African Development Bank and Ethiopian Airlines Partner on Mega Airport Project - By Daisy BARRO


‎A landmark agreement has been reached between Ethiopian Airlines Group (EAG) and the African Development Bank (AfDB) for the financing of Africa's largest aviation infrastructure project. Following the signing of a Letter of Intent (LoI) on March 24th, 2025, the two entities have formalized their partnership through a mandate letter, appointing AfDB as the Initial Mandated Lead Arranger (IMLA) for the mega airport project.
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‎The new greenfield airport, situated 40 kilometers south of Addis Ababa in Abusera, will boast an initial capacity of 60 million passengers annually, with future expansion plans to accommodate 110 million passengers. This will cement its position as the largest airport in Africa and one of the top global hubs. The AfDB will provide a loan of USD 500 million and lead the mobilization of the remaining amount required for the project's development.
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‎Ethiopian Airlines Group CEO Mesfin Tasew expressed his enthusiasm for the partnership, stating, "We are pleased to partner with the African Development Bank in arranging the required financing for the development of this iconic aviation infrastructure. The signing of this mandate letter marks a decisive step toward realizing a world-class pan-African gateway that will boost intra-African trade, regional integration, tourism, and global connectivity."
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‎AfDB President Dr. Akinwumi Adesina echoed Mesfin's sentiments, saying, "This is a proud moment for African aviation and infrastructure. The signature of this mandate letter marks a decisive step toward realizing a world-class pan-African gateway that will boost intra-African trade, regional integration, tourism, and global connectivity."
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‎The mega airport project aligns with the African Union's Agenda 2063 and the African Single Air Transport Market (SAATM), underscoring the Bank's catalytic role in advancing strategic infrastructure. The project will not only address growing air traffic demands in Africa but also serve as a symbol of African-led development excellence.
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‎The airport will function as a future hub for all international passenger and cargo traffic, complementing Bole International Airport, which will retain its domestic operations. The aerotropolis anchored by the airport is designed to stimulate regional development, enhance logistics capacity, and generate tens of thousands of jobs.
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‎This partnership is a testament to Ethiopian Airlines Group's ambitious 2040 growth strategy, which emphasizes network expansion, infrastructure development, and human capital investment to enhance its global competitiveness. The airline's record revenues of USD 7.6 billion in the last fiscal year, reflecting an 8% year-on-year growth, demonstrate its commitment to excellence and growth.
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