Egypt’s Strategic Push to Anchor a Transcontinental Trade Highway

February 2026 — Cairo & Pretoria — Egypt has unveiled an ambitious plan to spearhead the development of a comprehensive Cairo–Cape Town trade highway, a transcontinental road and logistics corridor intended to link North Africa with Southern Africa through one of the continent’s most ambitious infrastructure initiatives.

The proposal was highlighted during the Africa Climate Summit and emerging transport dialogues, with senior Egyptian officials framing it as a catalyst for regional trade, industrial growth, and continental economic integration under the African Continental Free Trade Area (AfCFTA) framework.

What Is the Cairo–Cape Town Trade Highway?

The highway concept envisions a continuous paved road and logistics artery linking:

• Cairo, Egypt (North Africa)

• Khartoum, Sudan

• Addis Ababa, Ethiopia

• Nairobi, Kenya

• Dar es Salaam, Tanzania / Dodoma Corridor

• Lusaka, Zambia

• Harare, Zimbabwe

• Gaborone, Botswana

• Pretoria & Johannesburg, South Africa

• Cape Town, South Africa

This backbone would stretch more than 10,000 kilometers and integrate road, rail, and logistics nodes along the Eastern and Southern corridors of Africa.

Official Objectives & Strategic Drivers

Egyptian officials have framed the trade highway as more than a transportation project. According to statements quoted by African Business, the initiative is meant to:

1. Facilitate intra-African trade by reducing transit times and transportation costs

2. Promote industrial value chains along the corridor

3. Enhance economic corridors consistent with AfCFTA goals

4. Attract investment into logistics, manufacturing, and services

5. Connect landlocked African economies to maritime gateways such as Alexandria, Port Sudan, Mombasa, Dar es Salaam, and Durban

Official sources suggest that feasibility studies and multilateral consultations have already begun, with coordination proposed between the African Union (AU), Regional Economic Communities (RECs) — notably the East African Community (EAC) and Southern African Development Community (SADC) — and national transport ministries.

Economic Significance & Logistics Impact

 Enhancing Continental Trade

Africa currently trades more with external markets than within itself. Intra-African trade stands at approximately 17% of total trade, compared with 59% in Europe and 52% in Asia.

The Cairo–Cape Town corridor could:

• Increase intra-African trade volumes

• Lower transport and logistics costs by up to 30% over long-distance routes

• Expand access to ports and global markets for landlocked nations such as South Sudan, Uganda, Rwanda, and Burundi

 Impact on Supply Chains

With reduced bottlenecks and improved road infrastructure:

• Heavy-duty freight movements will be safer and faster

• Transit insurance premiums and border delays could decrease

• Small and medium enterprises (SMEs) gain better access to regional markets

• Agricultural commodities and manufacturing goods can reach ports with less spoilage and delay

Integration with Regional Infrastructure Initiatives

The highway is expected to align with several existing or planned corridors:

• Trans-African Highway Network — particularly the Cairo–Cape Town route

• LAPSSET Corridor Project (Kenya) linking Nairobi with South Sudan and Ethiopia

• Northern Corridor (Kenya & Uganda)

• Central Corridor via Tanzania

By building on existing transport corridors, the initiative reduces duplicative investments and promotes harmonized standards across border crossings.

Challenges & Considerations

While strategic benefits are clear, implementation will require:

– Cross-government coordination across 10+ nations
– Harmonized customs and border procedures
– Multimodal integration with rail, ports, and inland dry ports
– Environmental & social impact assessments
– Structured financing from the African Development Bank (AfDB), World Bank, and African sovereign funds

Officials acknowledge the need for blended financing, combining public and private investment, and have called on international development partners to support project preparation and execution.

A Milestone for African Connectivity

If realized, the Cairo–Cape Town trade highway could:

• Become Africa’s longest integrated logistics corridor

• Attract billions in infrastructure investment

• Drive manufacturing and value-addition industries along the route

• Enable seamless logistics from the Mediterranean to the Indian Ocean and the Atlantic

The initiative complements the goals of the African Continental Free Trade Area (AfCFTA) by reducing physical barriers to trade and enhancing the competitiveness of African businesses in global markets.