The African Development Bank (AfDB) will spearhead efforts to secure $7.8 billion for the construction of a new airport in Ethiopia, the bank announced.
According to Reuters, once completed in 2029, the facility will become the largest airport in Africa, with the capacity to serve 100 million passengers annually.
“The appointment of the African Development Bank as lead arranger reflects its catalytic role in advancing strategic infrastructure across the continent and its proven leadership in structuring complex transactions,” the AfDB said in a statement late on Thursday.
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State-owned Ethiopian Airlines has signed an agreement for the design of the four-runway airport, which will be built near Bishoftu, about 45 km (28 miles) southeast of Addis Ababa.
Presenting the airline’s financial results on Tuesday, Chief Executive Officer Mesfin Tasew said the project’s total cost is estimated at $10 billion. Ethiopian Airlines will fund 20% of the amount, with the remaining 80% expected from creditors.
Last year, Mesfin noted that Bole Addis Ababa International Airport, the airline’s current main hub, was nearing its maximum capacity of 25 million passengers per year.
A formal signing ceremony is scheduled for Monday in Addis Ababa, with AfDB President Akinwumi Adesina and Ethiopian Prime Minister Abiy Ahmed in attendance, the bank confirmed.
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Image Credit: Vanguard
