Ethiopian Airlines Group has signed a strategic partnership with the African Development Bank (AfDB) to develop Bishoftu International Airport, a project expected to transform Ethiopia’s aviation sector. The agreement, formalized through a Letter of Intent, was signed by Ethiopian Airlines CEO Mesfin Tasew and AfDB Vice President Nnenna Nwabufo in the presence of AfDB President Dr. Akinwumi Adesina and Ethiopia’s Finance Minister Ahmed Shide.
The new Bishoftu International Airport is set to address the increasing demand for passenger and cargo services, which Bole International Airport can no longer accommodate due to growing traffic. With an estimated cost of $7.8 billion, the project aims to increase Ethiopia’s annual passenger capacity from 17 million to over 60 million by 2040. The initiative is a key step in Ethiopia’s ambition to become a leading global aviation hub, strengthening Ethiopian Airlines’ position as Africa’s top carrier.
The airport will enhance services in aviation training, flight catering, maintenance, and ground handling. It is also expected to support Ethiopia’s vision of becoming a premier tourist destination.
Economic Growth and Regional Integration
During the signing ceremony, Finance Minister Ahmed Shide praised AfDB’s investment of over $1.2 billion in Ethiopia’s energy, infrastructure, and regional integration projects. He highlighted the role of economic reforms led by Prime Minister Abiy Ahmed in driving Ethiopia’s rapid growth and called for continued AfDB support in key sectors, particularly renewable energy and economic transformation.
AfDB President Dr. Akinwumi Adesina reaffirmed the bank’s commitment to Ethiopia’s development, describing the airport as a “flagship African project” that will boost regional air connectivity, trade, and tourism. He emphasized Ethiopia’s recent economic growth and the nation’s evolving role in Africa’s aviation sector.
The Bishoftu International Airport project is expected to create thousands of jobs, stimulate economic activity, and attract foreign investment. By enhancing Ethiopia’s connectivity, it will strengthen trade ties and regional economic cooperation across Africa.
This collaboration between Ethiopian Airlines and AfDB marks a significant milestone in Ethiopia’s aviation development, positioning the country as a major player in global air transport. As the project progresses, it is set to drive economic growth, improve infrastructure, and solidify Ethiopia’s role as a key hub for aviation and commerce in Africa.