$730 Million Addis-Djibouti Corridor Funding Agreement Signed by Ethiopia and World Bank

Home » News » $730 Million Addis-Djibouti Corridor Funding Agreement Signed by Ethiopia and World Bank

Addis-Djibouti Corridor project foresaw a major step as the Government of Ethiopia has just recently signed a $730 million corridor project agreement with the World Bank which will fund the upgrade works of the major transport route that runs between Addis Ababa City and Djibouti. This was revealed by the Ministry of Finance in Ethiopia in a statement issued stating that the Horn of Africa Regional Economic Corridor Project which shall be supervised by Ethiopia and Djibouti, looks forward to improving the performance of logistics and connectivity between the two countries through the Addis-Djibouti corridor.

The Addis-Djibouti corridor is a part of the Horn of Africa Initiative which is a regional partnership that foresees to promote integration in the region through the development of infrastructure, linking to one of the major corridors that are part of the Initiative. The Addis-Djibouti corridor funding agreement was virtually signed between the Minister of Finance of Ethiopia, Ahmed Shide, and Ms. Boutheina Gurmiza who holds the position of Regional Integration Director of the World Bank.

Also read: Addis-Djibouti Corridor To Receive US$730 Million Funding For Upgrades

Addis-Djibouti Corridor Project Financers

The Ethiopian Government and the African Development Fund were both responsible for the joint funding of the rehabilitation works that were to take place between Awash and Adama.The ministry also got to elaborate that the Addis-Djibouti project was going to fund the construction of a 142-kilometer road from Miesso to Dire Dawa into a four-laned expressway that will be tolled and therefore leading to the improvement of its quality and safety, reducing the period of time spent on traveling, increase transport capacity and boost its overall efficiency. The route covers over 90% of the Ethiopia Maritime trade. The Addis- Djibouti Corridor will enable the connection of the hinterlands to port areas and market areas thus leading to a great boost in economic development and bringing about interaction among the people leading to social growth and development.