U.S. backs $10 Billion Ethiopian airport following record aircraft purchase

The commitment comes despite Ethiopia’s growing alignment with Russia, reflecting Washington’s interest in reconnecting with key partners across the continent

The Bishoftu International Airport, located 40 kilometres south of Addis Ababa, is planned to ease congestion at Bole International Airport and support Ethiopian Airlines’ operations as Africa’s largest carrier.

Covering 34 square kilometres, it will accommodate both international passengers and cargo, while Bole Airport continues domestic flights. The project also includes an airport city with hotels, shopping centres, and recreational facilities.

U.S. Senior Advisor for Africa, Massad Boulos, announced the support during a recent visit to Ethiopia prior to attending the United Nations General Assembly. He confirmed that the U.S. International Development Finance Corporation (DFC) is involved and collaborating with Boeing on projects related to Ethiopian Airlines and other initiatives across Africa.

Phase I of the airport is expected to accommodate 60 million passengers annually, with planned expansion to 110 million passengers and 3.73 million tonnes of cargo per year. Groundwork is scheduled to begin in late 2025, with completion set for November 2029.

In August, Business Insider Africa reported that the African Development Bank (AfDB) will spearhead $7.8 billion in financing for the Bishoftu International Airport project, including $500 million upfront allocation, pending board approval.

Ethiopian Airlines will contribute 20 per cent of the estimated $10 billion cost, with the remainder covered by creditors, while Dubai-based engineering firm Sidara provides technical support.

As part of its strategic expansion, Ethiopian Airlines placed a record order for 124 new aircraft last year, one of the largest by an African carrier from U.S.-based Boeing. The order comprises 70 firm orders and 54 options, including thirty-four B737-8s, two B777-200Fs, eight B777-9s, and eleven B787-9s, alongside additional Airbus aircraft.

The airline had expected to receive 16 aircraft in the fiscal year starting July 2024. However, technical challenges, particularly affecting Boeing deliveries, have caused delays, with full delivery of the order still ongoing.

Once completed, Bishoftu International Airport will be Africa’s largest and most expensive airport project, surpassing O.R. Tambo International Airport in Johannesburg and handling the highest number of international airlines on its runways.

With a planned capacity of 100 million passengers annually, four runways, and an integrated airport city, it is designed to match or exceed Cape Town International Airport, currently one of Africa’s leading hubs and a Skytrax World Airport Award winner in 2025