African Development Bank Group Signs Mandated Lead Arranger for Mandated New Bishoftu International Airport Project

Strategic Insights -

Ethiopia is on the path to becoming a global hub for air transport, with the signing of a pivotal agreement for the construction of the new Bishoftu International Airport, a project that will solidify Ethiopia's position as a major player in global aviation. The African Development Bank Group, led by President and Chairman Dr. Akinwumi A. Adesina, has been selected as the Mandated Lead Arranger, Global Coordinator, and Book Runner to mobilize $8 billion in debt financing for the project. The airport, which will be a game-changer for air transport in Africa and globally, will have a capacity to handle 60 million passengers per annum in the first phase, increasing to 110 million passengers in the second phase.

Key Takeaways:

  • The new Bishoftu International Airport will have a capacity to handle 60 million passengers per annum in the first phase, increasing to 110 million passengers in the second phase.
  • The airport will accommodate 3.7 million tons of cargo and provide parking for 270 aircrafts.
  • The construction of the new Bishoftu airport will cost a total of $10 billion.
  • The African Development Bank Group has been selected as the Mandated Lead Arranger, Global Coordinator, and Book Runner to mobilize $8 billion in debt financing for the project.
  • The African Development Bank has financed over $55 billion in infrastructure in the past ten years under Dr. Adesina's Presidency.
  • The new Bishoftu airport will enable Ethiopian Airlines to reduce its fuel consumption by 15%.
  • The airport will be a major economic driver for the region, creating thousands of jobs and stimulating economic growth.
  • The African Development Bank has pledged to support Ethiopia in its vision to expand the operational and fleet capacity of the Ethiopian Airlines.