Anyone who has passed through Addis Ababa’s Bole International Airport knows the scene: shoulder-to-shoulder crowds, long security lines, and departure halls struggling under the weight of success. Ethiopian Airlines, Africa’s fastest-growing carrier, has outgrown its home. Now, Ethiopia is responding with one of the boldest infrastructure projects in its history, a new $10 billion airport in Bishoftu, 40 kilometres south of the capital.
This is one of Africa’s most ambitious airport development projects to date, backed by the United States, the African Development Bank (AfDB), Ethiopian Airlines, and private creditors. If built as planned, Bishoftu International will be Africa’s largest airport—four runways, an “airport city” of hotels, malls, and business parks, and capacity for 110 million passengers a year. It is designed to rival Istanbul, Dubai, and Doha. For Ethiopia, the Horn of Africa, and the entire continent, this is more than an airport—it’s a statement about Africa’s ability to build infrastructure on a large scale and compete globally.
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The road to Bishoftu has been in the making for decades. Ethiopian Airlines, founded in 1945, has long carried the mantle of Africa’s most reliable and expansive airline. Yet for years, its biggest bottleneck has been Bole International Airport, which, despite expansions, is bursting at the seams. In August 2025, momentum shifted when a mandate letter was signed by Ethiopian Airlines’ Group Chief Commercial Officer Lemma Yadecha and AfDB President Dr. Akinwumi Adesina, in the presence of Ethiopia’s Finance Minister Ahmed Shide.
This agreement positioned the AfDB as lead arranger and global coordinator for nearly $8 billion of the financing required. The symbolism was powerful: Africa’s largest airline joining hands with Africa’s largest development financier under the gaze of Ethiopia’s government. Adesina hailed the project as a “game changer” for African aviation, praising Ethiopia’s visionary leadership and recalling the Bank’s past support, including a $160 million loan in 2016 to modernise Ethiopia’s fleet. This signing placed Bishoftu not just on Ethiopia’s calendar but on Africa’s development agenda.
The Bishoftu project’s financing tells its own story of partnerships and strategic alignment. AfDB will spearhead $7.8 billion of the funding, including a $500 million upfront allocation subject to board approval. Ethiopian Airlines itself will contribute 20% of the costs, while international creditors and engineering partners like Dubai’s Sidara will cover the rest. On the American side, the U.S. International Development Finance Corporation (DFC) and Boeing have signalled strong support. This is notable because Ethiopia, in recent years, has leaned closer to Russia and China in trade and defence, yet Washington is choosing aviation as a bridge to rebuild ties.
Comparatively, Bishoftu is designed to eclipse Africa’s current giants. Johannesburg’s O.R. Tambo International Airport, handling around 20 million passengers annually, will look modest next to Bishoftu’s planned 60 million (Phase I) and 110 million (full scale). Even Cairo and Cape Town—both highly rated global hubs—will pale in capacity. Globally, Bishoftu aims to join the ranks of Istanbul’s new mega-hub and Dubai International, positioning Addis Ababa as a top connector between Africa, Europe, Asia, and the Americas. This scale reflects not just Ethiopian Airlines’ ambitions, but Africa’s determination to own a place in global aviation infrastructure.
The African Development Bank’s role is central. By acting as lead arranger and global coordinator, AfDB brings credibility and technical expertise to mobilise commercial banks, institutional investors, and other DFIs. This is part of its wider “High 5” agenda, especially Integrate Africa, which prioritises cross-border connectivity and regional integration. AfDB is already involved in transformative transport projects like the Tanzania–Burundi–DRC Standard Gauge Railway and Ethiopia’s Aysha Wind Power Project. Bishoftu fits into this pattern of financing infrastructure that connects markets, accelerates trade, and strengthens Africa’s bargaining power globally.
The implications stretch far beyond Ethiopia. For Africa, Bishoftu demonstrates that mega-projects once thought possible only in Asia or the Gulf can be built on African soil. It strengthens the case for aviation as a pillar of the African Continental Free Trade Area (AfCFTA), where free movement of people and goods will depend heavily on air connectivity. It also boosts intra-African tourism, accelerates cargo exports, and positions Ethiopian Airlines as the undisputed pan-African hub carrier. Crucially, it reasserts Africa’s prominence: rather than relying solely on external airports in Dubai, Doha, or Istanbul, Africa is building infrastructure to keep its value within the continent.
Ethiopian Airlines, with revenues topping $7.6 billion in 2025 and carrying nearly 19 million passengers, is already Africa’s crown jewel in aviation. The new airport will give it the hardware to match its ambition. With investments in livelihood restoration and resettlement of affected communities, the project also shows a nod to sustainability and inclusivity—elements increasingly critical to Africa’s development path.
