AfDB satisfied with Ethiopia’s use of funds

Addis Ababa, September 12, 2017 (FBC) - The Executive Director of African Development Bank (AfDB) in charge of Eastern Africa, Dr Calleb Weggoro visited Ethiopia from 4th to 12th September 2017.

Dr. Weggoro, along with his Senior Advisor, Mr Amos Cheptoo, visited the Bank’s funded transport and energy projects in the all-important Ethiopia – Kenya corridor.

In a press release he issued after the visit, Dr. Weggoro was impressed with what he saw in the field.

According to him, the 300km of road from Agaremariam to Moyale, funded by the Bank as part of the 1,200km road from Modjo to Isiolo in Kenya, is complete, while the one stop border post (OSBP) at Moyale in Ethiopia is 80% complete and 100% complete on the Kenya side of Moyale. 

The OSBP is an ultra-modern facility that will facilitate trade between Ethiopia and Kenya and by extension the whole of East Africa Community (Tanzania, Uganda, Rwanda and Burundi) and Eastern DR Congo.

The first 100km section (stretching from Modjo to Zeway) of the Bank funded dual carriageway expressway from Modjo to Hawassa, which is co-financed with the Korea Exim Bank and Ethiopia, and which started in 2016 is well underway and more than 30% of the work is done, he said.

The expressway includes afforestation program in which 1 million trees will be planted on both sides of the road.

Construction works in the 200km section between Hawassa and Agaremariam are on-going. There were problems with 2 contractors whom the government has terminated and rewarded, according to Dr. Weggoro.

The Executive Director commended the government of Ethiopia for the quick action in conjunction with the country office to bring new contractors and works are expected to be completed by end of 2018.

The 1,000km high voltage electricity transmission lines project funded by the Bank that will evacuate about 2,000 MW of energy from Ethiopia to Kenya are very advanced and soon Ethiopia will start earning money from power export to Kenya, he noted.

The country–wide electricity transmission lines and substation systems improvement project, which was funded with a 200 million US dollars facility by the Bank, has been successfully completed, he said.

In addition to the Kenya-Ethiopia energy project, the Bank also funded the construction of transmission lines taking power from Ethiopia to Djibouti. These regional integration projects will earn Ethiopia foreign currency by export of energy, he stated.

Dr Weggoro had also a meeting with Dr. Abrham Tekeste, Ethiopian Minister of Finance and Economic Cooperation today.

The Executive Director briefed the Minister on his field visit and congratulated him, on behalf of the people and government of Ethiopia, especially the line Ministries in charge of transport and energy and their respective executing agencies, for a job well done.

The Dr Weggoro and Dr Abrham also discussed ways in which the Bank can further deepen its relationship with the Government in order to facilitate more investment and cooperation in various spheres of the economy.

The African Development Bank (AfDB) gave its first loan to Ethiopia in 1975. Since then, the Bank has invested 4.6 billion US dollars. The funds were invested in Key sectors in transport, energy, agriculture and social sector.

Posted by Amare Asrat