( 3 minutes read)
· The Board of Directors of the African Development Bank Group has approved two grants worth US$83.6 million to boost cross-border trade in electricity between Ethiopia and Djibouti
· The grant seeks to deepen integration in the Horn of Africa sub-region
· The funds comprise a US$69.65 million grant to Ethiopia and a second grant of US$13.93 million to Djibouti
The Board of Directors of the African Development Bank Group has approved two grants worth US$83.6 million to boost cross-border trade in electricity between Ethiopia and Djibouti. The grant seeks to deepen integration in the Horn of Africa sub-region. The funds comprise a US$69.65 million grant to Ethiopia and a second grant of US$13.93 million to Djibouti. Both the grants are sourced from the African Development Fund, the African Development Bank’s concessional financing window.
The Ethiopia–Djibouti Second Power Interconnection project will involve construction of nearly 300 km of interconnector line, 170 km of transmission lines, and construction or renovation of substations in both countries. Project is expected to increase Ethiopia’s power export revenue while also boosting Djibouti’s access to reliable and affordable clean electricity, lowering costs to below $0.10 per kWh.
