Zambia Secures $50 Million Deal with BADEA for Kalabo-Sikongo-Angola Road Project
Zambia has signed a landmark $50 million cooperation agreement with the Arab Bank for Economic Development in Africa (BADEA) to finance the construction of the Kalabo-Sikongo-Angola Road Project in Western Province. This critical infrastructure development, which promises to enhance regional connectivity and promote economic growth, is set to improve access between Zambia and Angola, offering a direct trade route to Angolan ports.
The agreement was signed today in Riyadh, Saudi Arabia, between Zambia’s Finance and National Planning Minister, Dr. Situmbeko Musokotwane, and BADEA President, Dr. Sidi Ould Tah. The signing ceremony marks a significant step in Zambia’s efforts to modernize its road network, particularly in remote areas often isolated during the rainy season.
In addition to the $50 million concessional agreement for the road project, the two parties also signed a $500,000 capacity-building agreement aimed at enhancing the skills of public officials in key sectors such as finance, trade, and energy development. This initiative seeks to equip Zambian officials with the expertise needed to drive national development through effective governance and resource management.
Speaking at the signing ceremony, Dr. Musokotwane emphasized the project’s importance in achieving several key sustainable development goals (SDGs), including industrial development, innovation, infrastructure, decent work, and economic growth. He highlighted the transformative potential of the road project, particularly for the underdeveloped regions of Zambia.
“The US$ 50 million concessional agreement is part of our broader strategy to strengthen Zambia’s infrastructure and promote economic inclusivity. By improving the road network in Western Province, we are not only creating more job opportunities but also facilitating cross-border trade, which will help elevate many people in the region above the poverty line,” Dr. Musokotwane said.
He further explained that the Kalabo-Sikongo-Angola Road would address the long-standing issue of poor connectivity in Western Province, especially during the rainy season when entire communities are cut off due to flooding. The new road will offer a reliable link between these remote areas and the rest of Zambia, ensuring year-round access to essential goods and services. The improved infrastructure will also bolster agricultural production and trade by providing farmers with better access to markets, both domestically and internationally.
BADEA President Dr. Sidi Ould Tah, speaking at the same event, echoed the Minister’s sentiments, calling the Kalabo-Sikongo-Angola Road Project a “cornerstone” of Zambia’s national development strategy. He emphasized the project’s role in facilitating trade and boosting regional integration.
“By opening up access to Angolan ports, this road will facilitate greater trade between Zambia and Angola, accelerate economic growth, and strengthen regional integration across Southern Africa. This project will be pivotal in Zambia’s efforts to leverage its geographical position as a hub for trade and development in the region,” Dr. Tah said.
The road project is expected to not only benefit Zambia but also contribute to broader efforts aimed at regional economic integration. With improved access to Angola’s ports, Zambia will have greater potential to tap into international markets, making the country more competitive in global trade. This, in turn, could spur further investment and development in the Western Province, which has traditionally lagged behind other regions in terms of infrastructure and economic opportunities.
The agreements between Zambia and BADEA are part of a broader collaboration that extends beyond infrastructure development. The capacity-building initiative, valued at $500,000, is specifically designed to enhance the capabilities of Zambian public officials. By focusing on key areas like finance, trade, and energy, the initiative aims to ensure that Zambia has the human capital necessary to implement complex projects and foster sustainable development in the long term.
Today’s agreements are another milestone in Zambia’s ongoing efforts to strengthen ties with international financial institutions and development partners. With infrastructure being a key driver of economic growth, the Kalabo-Sikongo-Angola Road Project is expected to play a significant role in Zambia’s development trajectory, ensuring that the country remains on a path toward prosperity and regional leadership.
This is according to a statement issued by the Ministry of Finance and National Planning.
Please don’t forget about the Mokambo-Chembe pedicle road. It’s also of equal importance as regards trade with the DRC. This circa 50km road project started in 2010, but still far from completion. Let’s set our priorities right.