AfDB launches feasibility study for $1.2m Ethiopia-Sudan railway
The African Development Bank (AfDB) has approved a $1.2 million grant to the Ethiopian government for a feasibility study into a standard gauge railway link between Ethiopia and Sudan. This grant will come from the African Development Fund, the AfDB's concessional rate lending arm.
The full cost of the study will be $3.4 million, meaning that the AfDB's grant covers 35% of the total amount. The remainder will come from a $2 million grant from the NEPAD Infrastructure Project Preparation Facility (NEPAD IPPF), whilst Sudan and Ethiopia will contribute $100,000 each. The funding was approved in January.
The two-year study will assess the financial, social, and environmental feasibility of the project, as well as considering different financial structures, including a PPP. Once completed, the 1522km line will connect Addis Ababa to Khartoum, including an extension to Port Sudan in the Red Sea. The line is predicted to provide significant social benefit for citizens of both Ethiopia and Sudan.
