Ethiopian Airlines, AfDB Partner to Build Africa’s Largest Airport in $7.8 Billion Deal
Ethiopian Airlines has signed a landmark agreement with the African Development Bank (AfDB) to develop what will be Africa’s largest airport, with a staggering investment of nearly $8 billion.
The Bishoftu International Airport, to be built in Abusera near Bishoftu in the Oromia region, is set to revolutionize air travel across the continent, boosting passenger capacity and reinforcing Ethiopia’s position as a leading aviation hub.
In a statement released on Saturday, March 15, the Ethiopian Ministry of Finance confirmed, “Ethiopian Airlines signed a letter of intent with AfDB, establishing a partnership for the development project of the new Bishoftu International Airport.”
With an estimated cost of $7.8 billion, the new airport will significantly expand Ethiopia’s aviation capacity.
“The new airport… will bring the annual passenger carrying capacity from 17 million to more than 60 million by 2040,” the ministry added.
The project will be executed in phases:
The first phase will include a state-of-the-art terminal and runways capable of handling 60 million passengers per year.
Upon completion of the second phase, the airport will accommodate over 100 million passengers annually, making it one of the busiest in the world.
Ethiopian Airlines had previously signed an agreement in August 2024 with Dubai-based consulting firm Dar to develop the airport’s design. At the time, Tariq Al-Qanni, Dar’s Operations Director, described the project as: “Africa’s biggest airport once completed.”
Ethiopian Airlines, Africa’s largest carrier, reported $7 billion in revenue for the 2023/24 fiscal year, carrying 17.1 million passengers. The new airport will replace Bole International Airport, which currently has a maximum capacity of 25 million passengers per year.
The Bishoftu International Airport will cement Ethiopia’s status as a global aviation powerhouse, positioning Addis Ababa as a premier transit hub for international travel.
Though the Ethiopian Ministry of Finance did not disclose the exact investment amount from AfDB, the agreement signals a major leap forward in Africa’s aviation infrastructure.
