AfDB announces over $ 3.5bn mobilization for Liberty Corridor

AfDB announces over $ 3.5bn mobilization for Liberty Corridor
AfDB announces over $ 3.5bn mobilization for Liberty Corridor

Africa-Press – Liberia. The African Development Bank Group says it is in very strong financial shape and ready to contribute to major development projects on the Continent.

African Development Bank (AfDB) president Dr. Akinwumi A. Adesina has announced the mobilization of 3.5 to 5 billion dollars for the Liberty Corridor linking Liberia and the Republic of Guinea.

The Executive Mansion posted a press statement on its website on June 1, 2024, revealing the package.

At the Bank’s 2024 Annual Meeting, which was held in Nairobi, Kenya, the statement said the Bank announced, among other initiatives on the African continent, that it is “mobilizing $3.5 billion to $5 billion towards the development of the Liberty corridor to link Liberia and Guinea.”

Dr. Adesina delivered the speech on Wednesday, 29 May 2024, at the Kenyatta International Conference Center.

Among other initiatives outlined by Dr. Adesina was the raising of $3.2 billion by the AfDB for the East Africa standard gauge railway connecting Tanzania, the Democratic Republic of Congo (DRC), and Burundi.

He also announced providing $500 million towards the development of the Lobito corridor to link Zambia, Angola, and the DRC; and mobilizing $375 million for financing the railway linking Nigeria to the Niger Republic.

Another was the Bank’s engagement with partners of the Africa Investment Forum to mobilize $15.6 billion of investment commitments to develop the Lagos-Abidjan corridor.

Touting his Bank as a solution and impact-driven bank, the AfDB Leader declared that the African Development Bank Group is in a very strong financial shape and ready to contribute to major development projects on the Continent.

He projected that Africa’s real gross domestic product (GDP) growth will rise from 3.1% in 2023 to 3.7% in 2024, and up to 4.3% in 2025.

He noted that “African economies are showing resilience, despite the challenges posed by climate change, geopolitical tensions, global inflation, and rising debt, among others.”

The resources being raised by the Bank for the Liberty Corridor Project will heavily impact the consortium of investors led by HPX and Guma Group which are champions of the undertaking.

The project envisages the construction of a multi-user railway line connecting Buchanan Port with HPX’s iron ore mining concession in Guinea. It will also include the expansion of the Port facilities in Buchanan.

The project is expected to create thousands of high-paying jobs for Liberians both during and after the construction phase. It is an integrated rail project with a deep seaport, energy, telecommunications, and fiber optic development corridor.

When completed, the Government of Liberia is anticipated to generate tax revenue from this project. As a multiuser facility, it is expected to serve as a harbinger for regional trade between Liberia, Guinea, and landlocked Mali.

This announcement boosts and greatly supports President Joseph Nyumah Boakai’s Infrastructural Pillar of the ARREST Agenda.

On the margins of the AfDB Annual Meeting, members of the Liberian Delegation met with Mr. Robert Gumede, Chairman and CEO of the GUMA Group, as well as senior representatives of key multilateral financial institutions.

They include the Kuwaiti Fund for Economic Development, the Organization for Petroleum Exporting Countries (OPEC) Fund for International Development, and the Arab Bank for Economic Development (BADEA).

The meetings with these three international financial institutions were preliminary to financing the Gbarnga-Salayea-Voinjama Road Pavement Project.

Bilateral talks were also held with officials of the United States Treasury Department

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