The United States has announced support for Ethiopia’s planned $10 billion Bishoftu International Airport, a project unveiled on September 29 to accommodate the country’s fast-growing aviation sector. The move follows Ethiopian Airlines’ record aircraft purchases, which highlighted the need for expanded infrastructure. Reuters, citing Business Insider Africa and The EastAfrican, reported that the U.S. International Development Finance Corporation is among the institutions backing the initiative.
The new airport will be located about 40 kilometres south of Addis Ababa and is designed to ease congestion at Bole International Airport. Phase One is expected to handle 60 million passengers annually, with eventual capacity reaching 110 million, alongside 3.73 million tonnes of cargo. The master plan also includes an “airport city” with hotels, retail, leisure facilities and new transport links to the capital. Construction is scheduled to begin in late 2025, with the first phase targeted for completion in November 2029, The EastAfrican reported.
Financing is being mobilised from multiple sources. The African Development Bank has signed a mandate to arrange nearly $8 billion for the project and has pledged $500 million subject to board approval. Ethiopian Airlines will contribute part of the investment, while U.S. backing is seen as both financial and strategic, reinforcing partnerships with Boeing and deepening aviation ties in Africa, Log Update Africa reported.
Analysts say the airport could transform Ethiopia into a stronger regional hub for passengers and cargo, boosting trade and tourism across Africa. At the same time, the $10 billion price tag and complex execution pose significant risks, making timely delivery and sustained financing critical to the project’s success, Kenyan Wall Street noted.
