By Ayomide Otitoju
The Board of Directors of the African Development Bank Group (AfDB) has approved $75 million in financing to support Nyanza Light Metals Pty Ltd (Nyanza), a South Africa-based company, in a major push to advance industrialization and local value addition across Africa’s titanium sector.
The funding will enable the development of an 80,000-tonnes-per-year titanium dioxide pigment manufacturing plant within the Richards Bay Industrial Development Zone. The facility will process locally and regionally sourced titanium ores into high-value pigment used in industries such as paints, coatings, cosmetics, and food processing—reducing Africa’s reliance on costly imports and strengthening its position in the global titanium dioxide value chain.
The Bank’s financing package includes $25 million from the Africa Growing Together Fund (AGTF), a co-financing partnership between the AfDB and the People’s Bank of China. The project forms part of a syndicated funding arrangement led by the Africa Finance Corporation (AFC) and the African Export-Import Bank (Afreximbank), serving as the Initial Mandated Lead Arrangers and Bookrunners.
A major focus of the AfDB’s investment is job creation and inclusivity. The Nyanza project is expected to create more than 2,400 jobs during construction—30% for women and 30% for youth—and up to 850 skilled direct jobs when operations begin, with participation targets of 45% women, 30% youth, and 20% low-income earners.
Commenting on the approval, Solomon Quaynor, AfDB Vice President for Private Sector, Infrastructure and Industrialization, said the investment underscores the Bank’s commitment to transforming Africa’s resource economy.
“This investment reflects the African Development Bank’s commitment to driving Africa’s industrial transformation and changing the continent’s narrative from being dependent on raw material exports to one recognized for domestic value addition,” Quaynor stated.
He added that supporting Nyanza’s project would help “build an industrial economy that creates inclusive opportunities for millions of Africans.”
Nyanza President and CEO, Donovan Chimhandamba, described the AfDB’s backing as a “pivotal moment” for Africa’s industrial future.
“The AfDB brings more than funding; it brings credibility and long-term commitment to Africa’s transformation,” Chimhandamba said. “With this support, we are breaking the cycle of exporting raw minerals only to import high-value finished products. We are reclaiming value, creating jobs, and empowering youth, women, and entrepreneurs.”
The project aligns with the AfDB’s strategic objective to build climate-resilient infrastructure and promote local value addition to natural resources. It is expected to catalyze private sector investment, stimulate related industries and supply chains, and diversify South Africa’s exports through increased participation in global manufacturing value chains.
