Business

Damerjog-Dewele Pipeline to Boost Ethiopia’s Economic Prospects

Damerjog:the Damerjog-Dewele Petroleum Products Pipeline Project is poised to accelerate Ethiopia's economic growth, bolster fuel security, and enhance economic ties with Djibouti. This significant infrastructure project, spanning 120 kilometers from Damerjog in Djibouti to Dewele in Ethiopia, is part of Ethiopia's broader efforts to transform its economy and improve fuel supply efficiency.According to Ethiopian News Agency, The construction of the pipeline was recently inaugurated by Ethiopian Prime Minister Abiy Ahmed, Djiboutian President Ismail Omar Guelleh, and Dangote Group President Aliko Dangote. The project is a collaborative venture between Ethiopian Investment Holdings and the Dangote Group, and it is designed to store and transport over one million cubic meters of refined petroleum products.Professor Tassew Woldehanna, President of the Ethiopian Economics Association, noted that the pipeline signifies Ethiopia's growing commitment to strategic investment in economic infrastructure. He pointed out that reliance on road transport for importing petroleum from Djibouti has posed challenges, which this dedicated pipeline system aims to alleviate.Economist Birhanu Alemu highlighted the necessity of enhancing Ethiopia's petroleum storage and distribution capacity in light of the country's expanding infrastructure and economic activities. The pipeline is expected to ensure a stable fuel supply, reducing disruptions in manufacturing, agriculture, and transport sectors, thereby supporting economic growth.The scholars emphasized that such infrastructure projects not only aid Ethiopia's economic transformation but also foster regional development. The pipeline is anticipated to strengthen economic interdependence with Djibouti, promoting investment and trade and contributing to regional economic integration. Overall, the Damerjog-Dewele pipeline embodies Ethiopia's national vision of infrastructure transformation and sustained economic growth.