Zambia and the United States have agreed to expand the scope of a $491 million Millennium Challenge Corporation (MCC) Compact, redirecting part of the funding toward infrastructure that will support the strategic Lobito Corridor.

Originally designed to improve agricultural productivity and market access, the programme will now also strengthen transport links serving Zambia’s critical minerals sector, reflecting the growing importance of copper and cobalt supply chains in the global energy transition.

The Lobito Corridor, which connects the mineral-rich regions of Zambia and the Democratic Republic of the Congo to Angola’s Atlantic port of Lobito, has emerged as one of Africa’s most significant trade and logistics projects. Under the revised agreement, priority road rehabilitation projects in Zambia’s North-Western and Copperbelt provinces will be aligned with the corridor, improving the movement of both agricultural goods and mining exports.

The initiative is expected to enhance regional connectivity, lower transportation costs, and attract additional investment into strategic sectors of the economy.

Beyond infrastructure, the realignment highlights a broader shift in how Zambia is positioning itself within global supply chains. As demand for critical minerals continues to accelerate, efficient logistics networks are becoming as important as the resources themselves.

By linking agricultural development with mining infrastructure, Zambia is pursuing a strategy that seeks to unlock economic opportunities across multiple sectors while strengthening its role as a key gateway for trade and investment in Southern Africa.