Addis Ababa:Ethiopia and China have entered into a $15 million grant agreement to support the Ethio-Djibouti Railway. The initiative is focused on improving the railway's operational efficiency, reliability, and long-term sustainability.
According to Ethiopian News Agency, the agreement was formalized in Addis Ababa with State Minister of Finance Tiguist Fisseha signing on behalf of Ethiopia, and Minister Counsellor at the Chinese Embassy in Ethiopia, Liu Xiaoguang, representing China.
The financial package, provided through the China-Aid fund, aims to supply essential materials, upgrade equipment, and build technical capacity to enhance the operation and maintenance of the rail corridor. It includes mechanical and electrical spare parts for electric locomotives, specialized track components, and station-yard accessories for infrastructure reliability.
The support also involves small-scale machinery for routine track inspections and maintenance. Furthermore, Chinese technical experts will visit Ethiopia to offer practical guidance and training to railway personnel, thereby strengthening local technical capabilities.
The supplementary project is anticipated to improve the operational reliability of the Ethio-Djibouti standard gauge railway and bolster the country's ability to maintain this important transport link. The agreement highlights the enduring economic and development partnership between Ethiopia and China, which also covers areas such as agriculture, technical education, green development, and future capital project studies.
Both nations reiterated their commitment to ensuring smooth execution of the railway support project through close coordination.
