The Board of Directors of the African Development Bank Group has approved USD 878.09 million in financing for Algeria to implement a second phase of construction of the 495-kilometre Laghouat-Ghardaïa-El Meniaa railway line.
The project will make transportation more competitive and drive regional integration along the Trans-Saharan railway corridor from Algiers to Tamanrasset in the south of the country.
The operation entails the construction of the 230-kilometre Ghardaïa-El Meniaa section of the railway together with integrated infrastructure and institutional support activities. The project will be implemented by the Ministry of Public Works and Basic Infrastructure
"Through this financing, the African Development Bank is supporting Algeria in delivering strategic railway infrastructure that will drive economic transformation, territorial connectivity, and regional integration," said Mike Salawou, Director for Infrastructure and Urban Development at the African Development Bank Group.
The Laghouat-Ghardaïa-El Meniaa line will expand agricultural and mining production in provinces, or wilayas, along the corridor, reducing transport costs and times and fostering economic activity related to agro-industry, logistics, construction, and public works by bringing production centres closer to markets.
Abdoulkader Dileita, African Development Bank Country Manager for Algeria, said, "This project reflects Algeria's policy of economic diversification beyond hydrocarbons by connecting its people, mines, and ports to optimise the use of its resources and generate wealth. It is also a major asset for regional integration, reinforcing Algeria's position as a gateway between Africa, the Mediterranean and Europe."
The project also incorporates activities designed to support local development. These include targeted training for young people and women in occupations related to railways , logistics, tourism, and handicrafts.
The project is aligned with the African Development Bank Group's 2025-2030 Country Strategy Paper for Algeria, particularly its priority of promoting infrastructure to support economic development and regional integration.
