Regional Infrastructure Connectivity

$12.5 BN to Develop Cross-Border Regional Infrastructure Networks for a More Interconnected Horn

1. Upgradation of 6,000 km of Road on Four Priority Transport Corridors to Stimulate Economic Development (4 projects, $9 BN):
Upgradation of 6,000 km of Road on Four Priority Transport Corridors
  • Strengthen strategic economic corridors to connect inland populations to ports and markets.
  • Increase access to economic opportunities and improve productivity and regional spillover benefits.
  • Connect ports to economic centers and global markets, to increase national and regional trade.
2. Development of Regional Energy Markets (5 projects, $2.2 BN):
Development of Regional Energy Markets
  • Improve electricity services and increase access for populations and businesses.
  • Support regional power trade, improve reliability of power supply as well as operational efficiency.
  • Provide access to additional power supply from renewable resources and at lower cost.
  • Promote private sector participation in regional power trade.
Project NameProject Type AmountMWKM
Second Ethiopia-Djibouti Power SystemInterconnection Project$200 Million140 MW249 KM
Ethiopia-Eritrea TransmissionInterconnector Project$200 Million100 MW200 KM
Somalia Power Transmission$1.3 Billion
Second Ethiopia-Sudan Interconnector$600 Million
3. Development of a Single Regional and Inter connected Digital Market (3 projects, $1.7 BN):
Development of a Single Regional
  • Priority regional digital infrastructure: submarine festoon cables and terrestrial links.
  • Single regional data market: data infrastructure, cyber security, regulatory harmonization.
  • Single data service market: e-government, cross-border digital payment facilitation.
4. In Addition to Physical Infrastructure:
  • Undertake feasibility studies for bankable projects.
  • Support policy and regulatory harmonization measures to address diseconomies of small markets in trade, energy and digital.
  • Technical assistance to address policy and implementation challenges.