Ethiopia Breaks Ground on $12.5bn Bishoftu Mega Airport
Ethiopian Airlines has officially begun construction of a USD12.5 billion airport project that government officials say will become Africa’s largest aviation hub when completed in 2030. The groundbreaking took place in the town of Bishoftu, located about 45 kilometres southeast of Addis Ababa.
The state-owned airline has been awarded the contract to design and develop the new four-runway Bishoftu International Airport, which is intended to relieve mounting capacity pressure at Addis Ababa Bole International Airport. Prime Minister Abiy Ahmed described the project as “the largest aviation infrastructure development in Africa’s history,” noting that the airport will be capable of parking up to 270 aircraft and handling as many as 110 million passengers annually.
That capacity is more than four times that of Bole International Airport, which Abiy said is expected to reach its operational limits within the next two to three years based on current traffic growth. Ethiopian Airlines has expanded rapidly over the past decade, turning Addis Ababa into a major intercontinental hub linking Africa with Europe, Asia, the Middle East, and the Americas.
Speaking at the construction site, Ethiopian Airlines’ Infrastructure Development and Planning Director Abraham Tesfaye said the carrier will fund around 30% of the project directly, with the remainder financed by lenders. The airline has already allocated USD610 million for initial earthworks, which are expected to be completed within a year. Main construction contractors are scheduled to begin work in August 2026.
The Bishoftu project was initially estimated at USD10 billion, but the budget has since increased to USD12.5 billion as the scope expanded. Tesfaye said a broad group of international financiers has expressed interest in supporting the development. The African Development Bank confirmed in August that it would provide USD500 million and help lead efforts to raise a further USD8.7 billion. Additional lenders from the Middle East, Europe, China, and the United States are also in discussions, according to Ethiopian Airlines.
Beyond easing congestion, the new airport is expected to play a strategic role in boosting Ethiopia’s economy and strengthening Africa’s air connectivity. Ethiopian Airlines has positioned the project as a catalyst for trade, tourism, and logistics, supporting the goals of the African Continental Free Trade Area by improving the movement of people and goods across the continent.
Ethiopian Airlines remains Africa’s largest carrier by network and fleet. The airline added six new routes during the 2024/25 period and continues to report rising revenues, underlining the urgency of expanding airport infrastructure to sustain its long-term growth trajectory.
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Sources: AirGuide Business airguide.info, bing.com, reuters.com