BII and DP World Partner to Develop Container Port in DRC
On 20 August 2024, British International Investment (BII) and Dubai Ports World (DPW) announced a partnership to develop the Port of Banana in the Democratic Republic of Congo (DRC). It will be the first deepwater container terminal in DRC and marks a significant step to unlock the huge trade potential of the populous country.
It is worth noting that BII has a history of successful collaboration with DPW in other African countries such as Egypt, Senegal and Somali. The focus on Africa reflects the high-growth potential and pent-up demand in the region.
”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.“
DPW CEO for Sub-Saharan Africa Mohammed Akoojee
According to the study, the new port development will bring about an extra USD 1.12 billion in trade, USD 429 million in economic output and sustain some 85,000 jobs directly or indirectly. On a macroeconomic level, the Port of Banana is expected to add 0.65% to the economic growth of DRC.
DRC is the fourth largest in area and second most populous on the African continent. Being earmarked as the largest container port, the potential for growth is immense.
“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.”
UK Minister for Africa, Lord Collins of Highbury
The Port of Banana is situated at the mouth of River Congo and is a terminal node along an #EconomicCorridor which is part of the development master plan. Thus, a Free Trade Zone (FTZ) is planned right next to the port. Then, the port will be linked by the Congo river, highway and rail to the capital Kinshasa, via Boma and Matadi, which are the country’s largest urban areas. Eventually, the Banana-Matadi-Kinshasa Economic Corridor will extend some 578 km and serve some 54 million along its path.
Under the agreement, BII will inject USD 35 million towards the first phase of the new container terminal. BII acts as an equity partner and shall leave the day-to-day port operations mostly to DPW.
Designed with a draft of 17.5 meters, the Port of Banana will be able to dock some of the largest container vessels. The port plans to implement the single window system to streamline the customs clearing. The container port is expected to be operational within a year after 12 months of construction.