Addis Ababa, 18 June 2015 (WIC) – The Federal Democratic Republic of Ethiopia signed a loan agreement amounting to 370 million US Dollars with the World Bank.
The agreement was signed today at the ceremony held at the Ministry of Finance and Economic Development (MoFED).
The fund will be used to construct Batu (Zeway) – Arsi Negele section of the mojo-Hawassa highway; thereby, contributes to enhance efficiency and safety in the movement of goods and people along the corridors, whilst
strengthening the recipient’s institutional capacity to develop and manage high capacity highways and expressways.
The 203 Km Mojo – Hawassa Highway project is planned to be implemented in four sections in two phases.
The Modjo-meki and Meki- Batu (Zeway) is now under implementation with support of finance secured from the African development Fund and the Korean Exim Bank respectively.
The financing Agreement that signed today will be used for the implementation of section 3 of this road which is Batu (Zeway)-Arsi Negele.
According the joint press release, section 4 Arsi Negele-Hawassa is expected to be financed by China EXIM Bank.
H.E. Ato Ahmed Shide,State Minister, Ministry of Finance and Economic Dvelopment and Mr. Guang Zhe Chen,country Director of the World Bank signed the agreement on behalf of the Ethiopian Government and the World Bank respectively.