Ethiopia is taking a major step towards economic growth by repurposing wasted energy, thanks to support from the United Arab Emirates and China. Through a strategic partnership, UAE-based Hodler Investments and China’s GCL Energy Investment will supply energy to data centres in Ethiopia, focusing on artificial intelligence and blockchain applications.
Hodler Investments, a Dubai-based firm specializing in energy, AI, and digital mining, has partnered with GCL Energy Investment, a subsidiary of China’s prominent energy provider Golden Concord Group. This initiative, aligned with Ethiopia’s goal to lead in the digital economy, will convert flared gas and other wasted energy into power for the country’s growing data centre sector, while also reducing carbon emissions.
In line with Ethiopia’s Digital Transformation Strategy 2025, the project aims to drive the country’s digital economy forward. Mohamed El Masri, managing director of Hodler, emphasized that the partnership will help optimize Ethiopia’s local energy resources, while GCL CEO Wang Dong noted that the initiative will harness Ethiopia’s renewable energy potential through advanced technology and investment.
Ethiopia’s data centre market, valued at $95 million in 2022, is expected to grow to $226 million by 2028. This UAE-China collaboration will not only support Ethiopia’s ambition to become a regional hub for digital technology but also open doors for further international investment opportunities in the sector.