MOGADISHU, Dec. 12 (Xinhua) -- The African Development Bank (AfDB) Group has approved 76.37 million U.S. dollars in additional financing to support ongoing road infrastructure development in Somalia.
The funding for the Road Infrastructure Program in Somalia is part of the broader Horn of Africa corridor project, which seeks to strengthen links between Somalia, Ethiopia, and Djibouti and enhance the region's capacity for trade and integration.
"The program is designed to stimulate cross-border trade, strengthen regional integration, and reduce fragility within the region," the AfDB said in a statement issued on Thursday.
The new funding package comprises 49.16 million dollars from the African Development Fund, the AfDB's concessional lending window, and 27.21 million dollars from the Transition Support Facility, which provides financing and support to African countries experiencing fragility and conflict.
The program will facilitate cross-border trade, strengthen support for small traders, and enhance institutional capacities in customs and trade management.
"Key interventions include establishing a simplified trade regime between Somalia and Ethiopia for small-scale operators and expanding Somalia's automated customs system to streamline and modernize customs procedures," the lender said.
Mike Salawou, the bank group's director of infrastructure and urban development, said the request for additional financing stems from an expansion of the project's initial scope.
"The program has evolved from minimal interventions to full road upgrades, enabled by improved designs and the integration of new components, including bridges, additional road sections, and trade facilitation measures, as well as social infrastructure to maximize benefits for the local community," Salawou said. ■
