The African Development Bank (AfDB) has approved $75 million in financing to establish Africa’s first major titanium dioxide manufacturing plant in South Africa in a move aimed at boosting industrialisation and reduce reliance on imports.

The bank said in a statement on Wednesday that the financing package includes $25 million from the Africa Growing Together Fund, a co-financing initiative with the People’s Bank of China.

The package forms part of a broader syndicated arrangement led by the Africa Finance Corporation and the African Export-Import Bank.

“This investment reflects the African Development Bank’s commitment to driving Africa’s industrial transformation and changing Africa’s narrative from a continent that is heavily dependent on raw material exports to one that is globally recognised as a prominent player in domestic value-addition to its natural resources,” AfDB Vice President for Private Sector, Infrastructure and Industrialisation, Solomon Quaynor said.

Nyanza chief executive Donovan Chimhandamba hailed the AfDB’s support as a turning point for Africa’s industrial future.

“This endorsement affirms our mission to lead mineral beneficiation and positions Nyanza as a driver of inclusive industrialisation,” he said.

The facility, led by Nyanza Light Metals Pty Ltd, is expected to create over 3,000 jobs and position the continent within the global titanium value chain.

To be located in South Africa’s Richards Bay Industrial Development Zone, the plant is expected to produce 80,000 tonnes of titanium dioxide pigment annually using locally and regionally sourced ores.

Titanium dioxide is a key ingredient in products ranging from paints and coatings to cosmetics and medical applications.

Despite its widespread use, African manufacturers have long depended on costly imports.

Construction of the plant is expected to generate 2,400 jobs, with 30 percent reserved for women and youth.

Once operational, the facility will employ up to 850 skilled workers, targeting 45 percent women, 30 percent youth, and 20 percent low-income earners.