The DBSA signed a landmark loan agreement in the amount of US$262 million with the National Road Fund Agency of Zambia for the rehabilitation of five priority roads. Disbursements have begun and construction is well under way.
Three of the roads to be rehabilitated form part of the Trans-African Highway route running from Cape Town to the DRC’s Katanga Province and onwards to Kinshasa. They link up parts of western, north-western and southern Zambia to the western side of the North-South Corridor and open up economic trade routes with Angola, Botswana, DRC and Namibia. By developing the road infrastructure in Zambia, areas of high economic potential that are now out of reach will become accessible, attract potential investors in agriculture, mining and tourism, and provide new opportunities for industrial developments.
Zambia is a key transit country in the North-South Corridor, as it borders on eight other countries. The rehabilitation of the Western Corridor will fit into the wider corridor network programme for the region, which will help to unlock the vast unrealised economic potential inland and attract the necessary investment.