Ethiopia is seeking another $300m loan from India for its Ethio-Djibouti railway project, estimated to cost a total of $1.2bn.

India has already allocated $300m for the development of the 665km rail line to connect the country with neighbouring Djibouti.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

India’s external affairs ministry additional secretary Gurjit Singh told IANS that the support to the railway is part of India’s support for regional integration in Africa.

"This is the first time we are doing a project which covers more than one country," Singh said.

"We are just facilitating and working with them on the feasibility study, from that we will discover how our part of the implementation will come through. Once all that is settled and the project goes on stream, we see no difficulty in periodic and timely disbursements."

The first phase of the Ethiopia-Djibouti railway project entails construction of a 317km long line between Addis Ababa and Mieso.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

China Railway Group (CREC), the project’s main contractor, and Ethiopian Railway entered into an agreement last October 2011 for the rail project.

The feasibility study of the project has been carried out in eight months while construction is scheduled to be completed in three and half years.

The entire railway network will have about eight main routes that will connect to more than 49 urban centres by 2015, where railway stations are to be built in the future.

Under the five-year national Growth and Transformation Plan, the Ethiopian Government aims to develop a 2,395km railway network nationwide, out of which 1,808km is planned to be completed by 2015.