Funding found for Ethiopia road project

The World Bank is offering Ethiopia a loan worth US$370 million for the construction of a new expressway. The Ethiopian Roads Authority (ERA) will use the loan to construct the 57km Batu Ziway-Arsi Negele section of the 203km Modjo-Awassa expressway. The loan will be repaid over 38 years with six years of grace period. The Modjo-Awassa expressway has four sections, with the 52km Arsi-Negele section to be funded by China EXIM Bank. Korea EXIM Bank will finance the 37km Meki-Ziway section and the African Deve
June 4, 2015 Read time: 1 min
The World Bank is offering Ethiopia a loan worth US$370 million for the construction of a new expressway. The Ethiopian Roads Authority (ERA) will use the loan to construct the 57km Batu Ziway-Arsi Negele section of the 203km Modjo-Awassa expressway. The loan will be repaid over 38 years with six years of grace period. The Modjo-Awassa expressway has four sections, with the 52km Arsi-Negele section to be funded by China EXIM Bank. Korea EXIM Bank will finance the 37km Meki-Ziway section and the African Development Bank will fund the 57km Mojo-Meki section. The China EXIM Bank is also funding a project to build the Dire Dawa to Djibouti expressway, which is costing around $300 million while CGC Overseas Construction Group is the contractor handling the project.
Finance & Funding Road Structures

Related Content

  • Ethiopia’s challenging cement market: consumption stimulation
    January 26, 2018
    Ethiopia’s cement industry has enjoyed substantial growth in the past decade. However, challenges linked to the government’s investment policy could erode these gains, as Shem Oirere reports With nearly 16.5 million tonnes of cement capacity and 10% average growth in annual consumption, Ethiopia is among the top cement producers in sub-Saharan Africa. Only Nigeria and South Africa rival it.
    Read More
  • New highway for Ethiopia being constructed
    July 11, 2016
    Construction work on a 130km section of highway is being carried out at present in Ethiopia. The stretch runs between the towns of Awash and the city of Adama, which lie to the east of capital Addis Ababa. The new section of road being built will form part of the highway from Adama to Dire Dewa. The US$544 million project is being managed by the Ethiopian Roads Authority (ERA). The work is needed to improve the route from Addis Ababa to Dire Dewa, which carries a high percentage of heavy truck traffic and i
    Read More
  • Five Ethiopia road projects commencing
    June 10, 2016
    Work on five road projects will commence shortly in Ethiopia. The works are for a total of 347km of roads in all and the contracts were awarded by the Ethiopian Roads Authority (ERA) recently. Three of the projects are for building new roads while the other two involve upgrading and maintaining existing links. The work is worth a total of US$245.45 million, with all of the projects being handled by local contractors that are state-owned. Amhara Roads Works Enterprise will carry out work on the third pha
    Read More
  • Funding for Ethiopia rural road development
    October 14, 2015
    The EU will provide funding worth US$613.37 million to the Ethiopian Government for rural road development. The financing will be provided between 2016 and 2020, as part of a road funding programme in place since 1997. Around 65% of Ethiopia’s local districts have road access at present. The country’s investment in road infrastructure has seen a halving of average journey times in Ethiopia. Meanwhile the road network had grown to nearly 100,000km at the end of 2014 compared to just 26,000km in 1997. The con
    Read More

Highlighted Content