Ethiopia, Japan Sign 89 Million USD Loan Agreement for Road Project

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ENA November 26/2019 The governments of Ethiopia and Japan signed loan agreement amounting 89 million USD for Jimma-Chida road section upgrading project implementing under the Ethiopia Integrated Transport Program Phase 1. 

After completion, the project expected to improve connectivity, reduce transport costs and travel time by upgrading the 80 kilometers Jimma-Chida road section from gravel road to asphalt concrete.

The agreement was signed by State Minister for Finance, Admasu Nebebe and Ambassador of Japan to Ethiopia, Matsunaga Daisuke at the premises of the Ministry of Finance.

Speaking on the signing ceremony, State Minister for Finance, Admasu Nebebe said the project is complements to the increased funding that the government is putting into road construction and maintenance.

Appreciating Japanese government support for the economic development of Ethiopia, he said that the government has strong interest to further boost the cooperation in new and innovative financing initiatives and move beyond the conventional modalities.

Japanese Ambassador to Ethiopia, Matsunaga Daisuke said that the implementation of this project was pledged during the Tokyo International Conference of African Development (TICAD 7).

He added that Japan is keen to contribute more to the development of the Ethiopian economy through infrastructure development that supports economic growth in Ethiopia.

The loan was approved by Japanese Prime Minister Shinzo Abe after a discussion held with Prime Minister Abiy Ahmed in Tokyo this year in August.