Home » AfDB Earmarks $76 Million to Finance Somali Road Infrastructure Programme and Boost Horn of Africa Trade

AfDB Earmarks $76 Million to Finance Somali Road Infrastructure Programme and Boost Horn of Africa Trade

Home » AfDB Earmarks $76 Million to Finance Somali Road Infrastructure Programme and Boost Horn of Africa Trade

The African development bank (AfDB) has earmarked $76 million to finance the Somali Road infrastructure programme. The project is designed to improve domestic transport links and strengthen trade across the Horn of Africa corridor. Once complete, it will connect Somalia, Djibouti and Ethiopia, providing ease of access. The package includes $49.16 million from the African Development Fund, the Bank’s concessional lending window. The other includes $27.21 million from its Transition Support Facility. It is a scheme that supports countries affected by fragility and conflict.

The Programme will upgrade two strategic corridors. One of them entails a 15-kilometer stretch linking Zeila to Asha Addo in Somali land. On the other hand includes the 22-kilometer route from the Beled Weyne to Kalabeyr in Hirshabelle State. The scope aims to integrate bridges, additional road sections, and trade facilitation measures aimed at maximizing local benefits. The bank is making commendable efforts to finance road projects such as the Adama-Awash expressway project. 

The Significance of the Somali Road Infrastructure Programme

Somali Road Infrastructure Programme
The African development bank (AfDB) has earmarked $76 million to finance the Somali Road infrastructure programme.

The completion of the Somali Road infrastructure programme aims to impact more than just road connectivity. It also encompasses community development initiatives such as boreholes and refurbished classrooms. The classes will be converted into skill centers, markets, and storage facilities. The Programme also seeks to facilitate cross-border trade, support small traders and modernize customer procedures. The roadworks will facilitate in this as will enable ease of travel of commodities and people across the region. The financing aligns with AfDB’s broader regional connectivity agenda. Earlier this month, the Bank approved 214.47 million US dollars for the second phase of the South Sudan–Ethiopia–Djibouti Transport Corridor Project. It is a flagship initiative aimed at enhancing trade routes and economic integration across the Horn of Africa. The expansion reflects an evolution from minimal interventions to full road upgrades. It also impacts social and trade infrastructure to maximize local and regional impact.

Project Factsheet

  • Institution: African Development Bank (AfDB)
  • Project Type: Road infrastructure and trade corridor development
  • Location: Somalia (Horn of Africa corridor)
  • Total Financing: $76 million
  • Funding Sources:

– African Development Fund: $49.16 million

– Transition Support Facility: $27.21 million

  • Beneficiary Country: Somalia
  • Regional Coverage: Somalia–Djibouti–Ethiopia trade corridor
  • Key Corridors:

– Zeila–Asha Addo Road (15 km, Somaliland)

– Beled Weyne–Kalabeyr Road (22 km, Hirshabelle State)

  • Project Scope: Road upgrades, bridges, and supporting infrastructure
  • Trade Component: Trade facilitation infrastructure along corridors
  • Core Objective: Improve transport connectivity and regional trade flows
  • Strategic Focus: Infrastructure investment in fragile and conflict-affected states
  • Expected Impact: Faster movement of goods and people, lower transport costs, improved regional integration

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