British International Investment (BII), a development finance institution and impact investor, has announced its intention to invest up to US$35mn for the development of a new container port in the DRC
The new deepwater container port, the Port of Banana, will be the first of its kind in the country and will enhance the country’s access to international markets. It is hoped that, with the timely delivery of the project, the DRC will be able to unlock its vast trading potential, for the benefit of millions of its citizens.
“This investment from BII will help transform DRC’s economy, establishing the country as a major trading hub on the continent, and providing a significant boost to local sectors from infrastructure, logistics and green energy,” remarked the UK Minister for Africa, Lord Collins of Highbury. “Today’s announcement is a brilliant example of the UK-DRC partnership in action, working together to increase trade opportunities and drive sustainable economic growth that creates full and productive employment for many.”
BII’s commitment to the DRC port is an extension of the partnership between the organisation and DP World, a global port and logistics operator. This cooperation has seen the two companies support the modernisation and expansion of ports in Senegal, Egypt and Somaliland. Under the new agreement, the BII funding will be provided for the development of the first phase of the Port of Banana. This will be the first of multiple development stages that will gradually increase capacity over time.
Plugging DRC into the international market
The new port in the DRC will boast a draft of 17.5 m, allowing it to receive large container vessels from around the globe. According to BII, it will become a single gateway for imports and exports of containers in the country and is expected to cut the cost of trade in the country by 12%, generating around US$1.12bn in additional trade. Moreover, in another booster for the economy, around 85,000 jobs will be developed during development.
“The development impact case for investing in ports is irrefutable. Africa has a sixth of the world’s population, but accounts for just 4% of global containerised shipping volumes,” commented Chris Chijiutomi, managing director and head of Africa for BII. “Ports are vital to the long-term prosperity and wellbeing of countless people across the continent. The Port of Banana will play a major role in supporting the economic aspirations of millions living in DRC. This investment forms part of BII’s ongoing commitment to investing in key sectors in Africa, with further projects under development in the region.”
Mohammed Akoojee, CEO of sub-Saharan Africa for DP World, added, “We are excited to continue our partnership with British International Investment in developing the Port of Banana. This project is a significant step towards enhancing the DRC’s trade infrastructure, unlocking economic potential, and creating jobs. By reducing trade costs and improving access to global markets, we aim to support the DRC’s growth and prosperity. We look forward to the positive impact this development will have on the region and its people.”
This is but one of many recent investments unveiled by BII. In July, the organisation announced a US$20mn senior secured loan to TerraPay in order to enhance the efficiency of remittance transfers on the continent. Learn more at: www.africanreview.com/finance/us-20mn-loan-boosts-african-remittances
DRC to enhance access to international markets with new deepwater port
The port will be connected to a network of additional infrastructure, including a free zone and multimodal logistics infrastructure. (Image source: Adobe Stock)
