AfDB Pledges Up To $5 Billion For Liberia-Guinea Railway Project

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Liberia and Guinea will be connected by rail through the Liberty Corridor, a project announced by the African Development Bank (AfDB) to raise between $3.5 Billion and $5 Billion.

This funding announcement was made on 1 June 2024 through a press release on the Executive Mansion’s website. The declaration came during the AfDB’s 2024 Annual Meeting in Nairobi, Kenya.

AfDB President Dr. Akinwumi A. Adesina revealed the plan on 29 May 2024 at the Kenyatta International Conference Center. He highlighted the Liberty Corridor as one of several significant projects the bank is supporting in Africa.

In addition to the Liberty Corridor, Dr. Adesina mentioned $3.2 Billion in funding for the East Africa standard gauge railway, which will connect Tanzania, the Democratic Republic of Congo (DRC), and Burundi.

He also announced $500 Million for the development of the Lobito corridor, linking Zambia, Angola, and the DRC, and $375 Million for a railway connecting Nigeria to the Niger Republic.

Furthermore, the AfDB is partnering with the Africa Investment Forum to secure $15.6 Billion in investment commitments for the Lagos-Abidjan corridor. Dr. Adesina emphasised the bank’s commitment to impactful development projects.

Dr. Adesina projected that Africa’s GDP growth would rise from 3.1 percent in 2023 to 3.7 percent in 2024, and reach 4.3 percent in 2025. He noted that African economies are showing resilience despite challenges such as climate change, geopolitical tensions, global inflation, and rising debt.

The Liberty Corridor project, led by a consortium including HPX and Guma Group, will build a railway from Buchanan Port to HPX’s iron ore mining concession in Guinea. The project also includes expanding Buchanan’s port facilities.

This initiative is expected to create thousands of well-paying jobs for Liberians during and after construction. It aims to develop an integrated rail network with a deep seaport, energy, telecommunications, and fibre optic infrastructure.

The project will boost Liberia’s economy through increased tax revenue and facilitate regional trade between Liberia, Guinea, and Mali. It supports President Joseph Nyumah Boakai’s Infrastructural Pillar of the ARREST Agenda.

During the AfDB meeting, the Liberian delegation met with representatives from major financial institutions, including the Kuwaiti Fund for Economic Development, the OPEC Fund for International Development, and the Arab Bank for Economic Development. These discussions focused on financing the Gbarnga-Salayea-Voinjama Road Pavement Project. Additionally, bilateral talks were held with officials from the United States Treasury Department.

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