The African Export-Import Bank (Afreximbank) and the United Nations Economic Commission for Africa (ECA) have signed a framework agreement with the Democratic Republic of Congo and Zambia for the establishment of special economic zones (SEZs) to produce electric vehicles and batteries as the continent looks to add value to surging demand for its critical minerals. Both countries have major reserves of some of the critical minerals needed to produce batteries for electric vehicles and other technologies key to the green energy transition: the DRC accounts for approximately 70% of global cobalt supply and 88% of cobalt exports, and the two countries collectively contribute 11% of all copper supply globally. Both countries also possess reserves of lithium, a key ingredient in electric vehicle batteries. But until now both nations been relegated to the role of suppliers of unprocessed critical minerals to foreign manufacturers. In order to ensure that the countries move higher up in the value chain, Afreximbank and ECA will lead the establishment of an operating company in consortium with public and private investors and Afreximbank’s impact fund subsidiary, the Fund for Export Development in Africa. The new company will develop SEZs dedicated to the production of battery precursors, batteries, and electric vehicles, in both nations.
The Challenges Facing the New Leader of Africa’s Largest Economy are Simply Enormous
Understanding the Opinions of Africa’s Rising Generation
SA Reserve Bank Concerned about the Rand’s Recent Meltdown and Persistent Price Pressures
Africa’s Banking Sector Celebrates
ICYMI Sam Altman Made a Stop in Lagos
Is African Debt as Perilous as Foreign Lenders Assume?
Accra’s IPPs Threaten Shutdown Over Non-Payment
DRC To Change the Way it Does Business with China
Maputo Picks a Partner for its Hydro Plans
Results of the Kenya Small Firm Diaries study in Nairobi
Africa Day this Year Marks 60 Years since the Founding of the Organisation of African Unity
Zimbabwe Retailers Head to the Streets