Ethiopia Design and Construction Launch of $7.8 Billion Airport City Project

In August 2024, Ethiopian Airlines Group (EAG) signed a design and advisory contract with Sidara Group (formerly Dar Group) for a state-of-the-art airport development at Abusera, near Bishoftu, approximately 40 km from Addis Ababa’s Bole International Airport.

The $7.8 billion project spans 35 square kilometers and aims to become Africa’s largest and a world-class aviation hub. Phase I includes a 1.1 million square meter terminal with capacity for 60 million annual passengers by 2029. The project will also feature more than 100,000 square meters of cargo facilities and two parallel Code 4E runways, with two additional runways planned in Phase II. Once operational, the new airport is expected to handle 95% of Ethiopia’s international air traffic.

The design consortium for the “Mega Airport City” is led by Sidara and includes renowned firms such as Zaha Hadid Architects and Pascall+Watson. U.S. firm KPMG is advising on the financing structure, while the African Development Bank (AfDB) has been confirmed as the Mandate Lead Arranger for project financing.

Groundbreaking is scheduled for October 2025, with site clearing and earthworks beginning shortly thereafter. Major construction is expected to commence by early 2027, following financial close anticipated in late 2026.

U.S. firms specializing in airport infrastructure, engineering, aviation systems, cargo logistics, energy, security, or smart terminal technologies are encouraged to explore opportunities to engage with this landmark project. The U.S. International Development Finance Corporation (DFC) has expressed interest in supporting the initiative, and Ethiopian officials have signaled a preference for “trusted” U.S. technologies and expertise to help realize EAG’s vision of an iconic, world-class airport.

Upcoming Webinar Opportunity:

The U.S. Department of Commerce – Foreign Commercial Service at the U.S. Embassy in Addis Ababa, Ethiopia, is planning to host a webinar at the beginning of next month to provide further insights and opportunities related to this project. Details of the webinar will be shared soon.

For more information, please contact: Siraj Mustefa, Commercial Assistant Email: Siraj.Mustefa@trade.gov