Ethiopia Steps Up Endeavors Affordable Housing Drive to Meet Rapid Urbanization

Addis Ababa, October 26, 2026 (ENA)—Ethiopia is stepping up efforts to address urban housing and infrastructure challenges amid an annual urbanization rate of 5.4 percent, Minister of Urban and Infrastructure, Mohammed Abdurahman said.

Speaking at the World Cities Day 2026 High-level Dialogue held at the UNECA in Addis Ababa, the minister said the government has been pursuing ab integrated approach to urban development aimed at expanding affordable housing, strengthening municipal capacity and transforming cities and towns into centers of economic growth, employment creation and innovation.

The minister said the Grand Medemer Strategy provides a strategic framework for accelerating urban transformation through coordinated planning, domestic resource mobilization and sustainable development interventions.
He emphasized that adequate housing should be viewed not merely as the construction of buildings but as a foundation for dignity, security, opportunity and inclusive social transformation.

The government's five-year target of building 1.5 million housing units was part of broader efforts to expand housing opportunities and respond to the growing needs of urban populations, Mohammed stated.

On institutional coordination, he said the Ministry of Urban and Infrastructure was advancing the Urban Agenda Platform for 2025–2030 to improve policy dialogue, program coordination, resource mobilization, joint monitoring and knowledge sharing.

 

The platform is expected to operate under the ministry's leadership, with the World Bank as co-chair and UN-Habitat serving as secretariat, bringing partners together around Ethiopia's urban development priorities.

The minister also called on government institutions, development partners, financial institutions, the private sector, academia and communities to contribute expertise, financing, technology and institutional capacity to the country's urban transformation agenda.

He also highlighted the importance of integrating climate resilience, environmental sustainability and preparedness for climate-related risks into housing and urban development investments as Ethiopia prepares to host COP32 in 2027.

On his part, Director of the Regional Office for Africa at the UN-Habitat, Oumar Sylla stated that over the years, UN-Habitat has strengthened partnerships with the ministries, the city administration, regional government and other federal institutions.

 

He commended Ethiopia for leading the way in harnessing the green economy of cities to foster economic, social, and environmental transformations.

He also welcomes the government's ambition to deliver 1.5 million housing unit over the next 5 years.

 

He reaffirmed the commitment of UN-Habitat to supporting this agenda by helping mobilize investment and strengthening the enabling environment for the delivery of adequate and affordable housing.

Ethiopia will be hosting the COP32 in Addis Ababa in November 2027, which present another significant opportunity to work advancing Africa urban climate priority, he pointed out.

UN-Habitat is looking forward to working closely with government and partners to showcase African-led solution in climate resilience housing, sustainable urban planning, and improved basic services, he asserted.

The World Cities Day 2026 High-level Dialogue was held under the theme “Regenerating the City: Adequate Housing for All in Ethiopian Cities,” focusing on housing and the broader challenges and opportunities associated with the country's rapid urbanization.