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Ethiopia launches Africa’s $12.5 billion mega-airport project

Ethiopia has broken ground on a monumental infrastructure venture that promises to redefine aviation on the continent: the Bishoftu International Airport, a $12.5 billion project hailed by officials as Africa’s largest ever.

On Saturday 10 January 2026, state-owned Ethiopian Airlines officially launched construction in the town of Bishoftu, some 45 kilometres southeast of the capital Addis Ababa. Prime Minister Abiy Ahmed Ali led the ceremony, declaring the initiative “the largest aviation infrastructure project in Africa’s history” in a post on X.

Massive scale and capacity

The ambitious four-runway facility is designed to accommodate parking for 270 aircraft and handle up to 110 million passengers annually upon full completion — more than four times the capacity of the existing Addis Ababa Bole International Airport. Bole, a vital hub for Ethiopian Airlines and a key transit point for intra-African and intercontinental flights, is projected to reach its limits within the next two to three years amid surging demand.

The project, initially estimated at $10 billion, has seen its cost rise as planning advanced. Ethiopian Airlines, Africa’s dominant carrier, has secured the design contract and committed to funding 30 percent of the total. The remaining financing will come from international lenders, with strong interest already expressed by institutions in the Middle East, Europe, China and the United States.

Funding and timeline

The African Development Bank is a cornerstone supporter, pledging $500 million last August and leading efforts to mobilise an additional $8.7 billion. Ethiopian Airlines has already earmarked $610 million for initial earthworks, expected to wrap up within a year, while major construction is slated to begin in August 2026.

The mega-airport forms part of Ethiopia’s broader strategy to cement its position as the continent’s premier aviation hub. Ethiopian Airlines reported $7.6 billion in revenue for the 2024/25 fiscal year — an 8 percent increase despite global challenges — adding six new routes and transporting a record 19.1 million passengers.

Strategic impact

Experts see the Bishoftu project as a game-changer for regional connectivity, trade under the African Continental Free Trade Area and tourism. Once operational by 2030, the first phase alone is expected to serve up to 60 million passengers annually, with potential for an “airport city” featuring hotels, malls and recreational facilities, plus high-speed rail and expressway links to Addis Ababa.

The development comes at a pivotal moment for Ethiopia’s aviation ambitions, even as the country navigates regional security challenges in areas like Oromia, where Bishoftu is located. Yet officials emphasise the project’s role in future-proofing growth: a bold statement of confidence in Ethiopia’s rise as a global aviation powerhouse.

As earthmovers roar into action at the site, the Bishoftu mega-airport stands as a symbol of Africa’s infrastructure awakening — a massive bet on skies that could soon carry the continent’s dreams to new heights.

Reuters contributed to this report

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Central Africa Correspondent

Kamaria Joyce

Kamaria Joyce is the Central Africa correspondent for Who Owns Africa based in Yaoundé . She covers politics, business, technology and economics across the Central African region. She joined Who Owns Africa in 2023 after completing a Bachelor’s degree in Business and previously she was an editor and reporter in Cameroon.