The African Development Bank (AfDB) has approved $214.47 million to launch Phase II of the South Sudan–Ethiopia–Djibouti Transport Corridor Project, a strategic initiative to boost regional connectivity, trade, and economic development. The financing, drawn from the Bank’s concessional window, includes $181.5 million for Ethiopia, $29.71 million for Djibouti, $1.96 million for South Sudan, and an additional $1.3 million for South Sudan from AfDB’s Transition Support Facility.
Phase II will deliver major infrastructure upgrades across the three countries. In Ethiopia, the project will construct a 67-km expressway and implement intelligent transport systems, while Djibouti will see improvements on the 18-km Dikhil-Mouloud section. In South Sudan, studies will be updated to upgrade 280 km of the Kapoeta-Boma-Raad road. The program also includes feeder road improvements—50 km in Ethiopia and 15 km in Djibouti.
“The transport corridor is a key driver of development, reducing transport costs, improving access to Djibouti’s ports for landlocked countries, linking production areas to regional markets, and strengthening agricultural and livestock value chains,” said Mike Salawou, AfDB Director for Infrastructure, Cities and Urban Development.
The project also emphasizes human capital development. Ethiopia will establish an automotive and engineering technical and vocational training centre, offering agro-industrial and entrepreneurship training to 300 women and youth. Djibouti will host a professional internship scheme for 10 engineers, including five women, while South Sudan will strengthen institutional and human resource capacity at its Ministry of Roads and Bridges and Roads Authority. Capacity-building activities are also planned for personnel in Ethiopia and Djibouti, ensuring long-term sustainability and skills development along the corridor.
