ADDIS ABABA, Aug. 12 (Xinhua) -- The African Development Bank (AfDB) has agreed to lead efforts to mobilize 7.8 billion U.S. dollars to finance a mega airport project in Ethiopia.
Under a "Mandate Letter" signed Monday in Addis Ababa, the Ethiopian capital, between the AfDB and the Ethiopian Airlines Group, the bank will serve as the "Mandated Lead Arranger" to finance the Bishoftu International Airport project, which is scheduled to be completed in 2030.
The AfDB will provide a loan of 500 million dollars and lead the mobilization of the remaining amount to finance the construction of the new airport, about 40 km southeast of Addis Ababa.
Speaking at the event, Ethiopian Finance Minister Ahmed Shide said the new airport will position Ethiopia among the world's top 20 aviation hubs by 2035.
"This investment, the largest project in our country's history, addresses the region's rapidly growing air traffic demand, alleviating the saturation at Addis Ababa's Bole International Airport, which is nearing its annual limit of 25 million passengers," the minister said.
The new airport will quadruple Ethiopia's current aviation capacity and reinforce the country's position as a leading aviation and logistics hub in Africa upon the full implementation of its two-phase plan, Shide said.
According to the minister, the new airport's capacity will reach an annual 60 million passengers annually in the first phase and then to 110 million passengers in the second phase, making it the largest airport in Africa and one of the top global hubs.
AfDB President Akinwumi Adesina praised Ethiopian Airlines as a critical driver of regional integration and economic growth. "Ethiopian Airlines today is indispensable for connecting capitals, peoples, and markets across Africa."
"The construction of the mega Bishoftu International Airport is indeed a great testament to Ethiopia's vision and determination to put Africa at the top," he said. "Ethiopian Airlines has put Africa as top of global aviation."
The mega airport will serve as the future hub for all of Ethiopia's international passenger and cargo traffic, complementing Bole International Airport, which will then retain its domestic operations.
In the last fiscal year ending on July 7, the airline reported a record revenue of 7.6 billion dollars. It transported 19.1 million passengers, with 15.2 million on international routes and 3.9 million domestically. ■
