Ethiopia sets sights on global aviation hub with $12.5bn mega-airport

Ethiopia has launched construction of a $12.5 billion airport set to become Africa’s largest, as the country pushes to establish itself as a major global aviation hub by 2030, according to local media reports.

The new facility, being developed by Ethiopian Airlines in Bishoftu, around 45 kilometres south-east of Addis Ababa, is expected to be completed by the end of the decade. Bishoftu International Airport will ultimately have the capacity to handle up to 110 million passengers a year, more than four times that of the country’s existing main airport.

Prime Minister Abiy Ahmed said the project represents “the largest aviation infrastructure project in Africa’s history”, adding that it would elevate Ethiopia into the ranks of the world’s leading air transport hubs.

Plans for the airport include four runways and parking space for up to 270 aircraft. It will eventually replace Addis Ababa’s Bole International Airport, which currently serves about 25 million international passengers annually and is forecast to reach capacity within the next two to three years amid rising air traffic.

Abraham Tesfaye, Ethiopian Airlines’ director of infrastructure development and planning, said the airline will fund roughly 30 per cent of the project, with the remainder financed through lenders. About $610 million has already been committed to initial earthworks, due to be completed within a year, while full-scale construction is scheduled to begin in August 2026.

Originally costed at $10 billion, the project’s budget has since increased to $12.5 billion. The first phase will be designed to accommodate about 60 million passengers annually, before expanding to its full planned capacity.

The development also includes extensive supporting infrastructure, including a new multi-lane highway linking Bishoftu to Addis Ababa and a 38-kilometre high-speed rail line capable of speeds of 120 to 200 km/h.