African Development Bank Group Signs Mandate Letter for Construction of $10 Billion Bishoftu International Airport in Ethiopia

Strategic Insights -

The African Development Bank Group has signed a mandate letter for the construction of the $10 billion Bishoftu International Airport in Ethiopia, a project that is expected to be a game-changer for air transport in Africa and globally. The airport, which will be built in two phases, will have a capacity to handle 60 million passengers per annum in phase one, increasing to 110 million passengers per annum in phase two.

Key Takeaways:

  • The African Development Bank Group has been selected as the Mandated Leader Arranger, Global Coordinator, and Book Runner to mobilize $8 billion of debt financing towards the construction of the new airport, including up to $500 million of debt from the Bank.
  • The construction of the new Bishoftu airport will cost a total of $10 billion, with the first phase expected to be completed at a cost of $5 billion.
  • The airport will enable Ethiopian Airlines to reduce its fuel consumption by 15% and will accommodate 3.7 million tons of cargo and provide parking for 270 aircrafts.
  • The African Development Bank has a 10-year track record of financing infrastructure in Africa, with an estimated total of $55 billion in financing.
  • The Bank will work closely with the Government of Ethiopia to ensure the successful delivery of the project.
  • The Honorable Minister of Finance, Ahmed Shide, is commended for his strong leadership and for believing in the African Development Bank.
  • The Bank will deliver on its commitment to ensure that the project is delivered by Ethiopia for its people.
  • The project will have significant economic benefits for Ethiopia, including the creation of thousands of jobs and the stimulation of economic growth.

Statistics:

  • The total cost of the Bishoftu International Airport project is $10 billion.
  • The African Development Bank will deploy $8 billion of debt financing towards the construction of the new airport, including up to $500 million of debt from the Bank.
  • The airport will have a capacity to handle 60 million passengers per annum in phase one, increasing to 110 million passengers per annum in phase two.
  • The airport will accommodate 3.7 million tons of cargo and provide parking for 270 aircrafts.
  • The project is expected to create thousands of jobs and stimulate economic growth in Ethiopia.
  • The African Development Bank has an estimated total of $55 billion in financing to infrastructure in Africa over the past 10 years.

Sources:

  • APO (2025) - Report of the Honorable Minister of Finance and Governor of Ethiopia to the African Development Bank Group
  • African Development Bank Group (n.d.) - Bishoftu International Airport Project
  • Contify.com (2025) - African Development Bank Group Signs Mandate Letter for Construction of $10 Billion Bishoftu International Airport in Ethiopia