On March 14, 2025, Ethiopian Airlines Group entered into a pivotal partnership with the African Development Bank (AfDB) to develop the Bishoftu International Airport, a project that will revolutionize Ethiopia’s aviation infrastructure. The agreement, formalized through a Letter of Intent (LoI), was signed by Ethiopian Airlines Group CEO, Mr. Mesfin Tasew, and Mrs. Nnenna Nwabufo, Vice President for Regional Development, Integration, and Strategy at AfDB. The ceremony took place in the presence of Dr. Akinwumi Adesina, AfDB’s President, and Mr. Ahmed Shide, Ethiopia’s Minister of Finance.
Expanding Ethiopia’s Aviation Capacity
The Bishoftu International Airport project is a direct response to the growing demand for passenger and cargo services, which the current Bole International Airport cannot accommodate due to rapidly increasing traffic. The new mega-airport, with an estimated cost of USD 7.8 billion, is designed to accommodate the nation’s growing aviation needs, boosting annual passenger capacity from 17 million to over 60 million by 2040.
This ambitious project is part of Ethiopia’s broader goal to become a global aviation hub and to solidify Ethiopian Airlines as Africa’s leading aviation group. The new airport will not only enhance the airline’s capacity for passenger and cargo transport but will also strengthen its services in aviation training, flight catering, maintenance, and ground handling. Additionally, it will play a pivotal role in supporting Ethiopia’s goal of becoming a premier global tourism destination.
A Boost for Economic Development and Regional Integration
During the signing ceremony, Minister Ahmed Shide lauded the African Development Bank’s ongoing support for Ethiopia, with a portfolio investment of over USD 1.2 billion in critical sectors such as energy, infrastructure, and regional integration. He emphasized the importance of the macroeconomic reforms initiated by Prime Minister Dr. Abiy Ahmed’s administration, which have laid the foundation for Ethiopia’s robust economic growth.
Minister Shide also acknowledged AfDB President Dr. Akinwumi Adesina’s decade-long support for Ethiopia’s development agenda. Ethiopia expressed its gratitude for AfDB’s partnership in advancing the country’s transformation, particularly in the fields of renewable energy and regional economic integration. Minister Shide requested AfDB’s continued backing for these transformational initiatives, which are key to Ethiopia’s long-term prosperity.
AfDB’s Commitment to Africa’s Development
AfDB President Dr. Akinwumi Adesina reaffirmed the bank’s commitment to Ethiopia’s development and its full support for the Bishoftu International Airport project, which he described as an “African flagship project.” Dr. Adesina praised Ethiopia’s 8.1% GDP growth in the past year and the dynamic transformation of Addis Ababa, underscoring the leadership of Prime Minister Dr. Abiy Ahmed in spearheading the country’s rapid development.
The AfDB President further emphasized that the new airport will play a significant role in boosting Africa’s air connectivity and will be a crucial driver of regional integration. By strengthening Ethiopia’s position in the global aviation landscape, the project is expected to enhance trade, tourism, and regional economic cooperation across the continent.
A Partnership for Innovation and Progress
As both parties moved forward with their strategic partnership, they agreed to focus on innovative collaborations that will not only benefit Ethiopia but also contribute to the broader African region. The Bishoftu International Airport is more than just an infrastructure project; it is a gateway to Africa’s future, enhancing the continent’s competitive edge in global aviation.
The development of the new airport is expected to create thousands of jobs, foster local economic growth, and provide a significant boost to Ethiopia’s tourism industry. It is also expected to attract foreign investments and stimulate further economic opportunities in the region.
The partnership between Ethiopian Airlines and the African Development Bank represents a critical step towards transforming Ethiopia’s aviation sector and positioning the country as a key player in regional and global air transport. The Bishoftu International Airport is a symbol of Ethiopia’s commitment to infrastructure development and sustainable economic growth.
As the project unfolds, it promises to not only enhance Ethiopia’s standing in the global aviation industry but also to drive broader economic benefits, improving connectivity, trade, and regional integration across Africa. This collaboration exemplifies the power of strategic partnerships and highlights the importance of continued investments in Africa’s future.
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