The Federal Democratic Republic of Ethiopia and the government of Japan signed a 89 million USD financing agreement to be used on “Ethiopia Integrated Transport Program Phase Jimma-Chida Road Section” project.
The agreement was signed by Admasu Nebebe, State Minister of Finance, and Daisuke Matsunaga, Ambassador of Japan to Ethiopia, at the premises of Ministry of Finance.
On the occasion, Admasu Nebebe said that the loan agreement for Jimma-Chida and Sodo-Sawla road upgrading project from gravel road to asphalt concrete will boost connectivity. In addition to improving connectivity, the project will help reduce transport cost and travel time, and improve access to social and economic facilities. In turn, this is expected to improve agricultural production and marketing, and ultimately improve welfare of people, he added.
While the two countries enjoy longstanding economic cooperation, and strong partnership, the major focuses of development support from Japan have been on infrastructure development, agricultural productivity, human development as well as private sector development.
Ethiopia has strong interest to further boost the cooperation, Admasu continued, and the two governments need to jointly explore and engage in new and innovative financing initiatives and move beyond the conventional modalities.
Ambassador Daisuke Matsunaga, for his part, said that the implementation of this project was pledged during TICAD 7, and this is one of Prime Minister Abiy’s achievements during his visit to Japan. This project is expected to improve road connectivity, and help further facilitate and accelerate exports. He indicated that the project will also contribute to the acquisition of foreign currency.
The government of Japan has been actively supporting the development of Ethiopia, he said before adding that Japan will continue to supportEthiopia’s development endeavors through various Japanese assistance projects, as well as through other modalities of assistance.
Moreover, Director General of Ethiopian Roads Authority, Eng. Habtamu Tegegne, who was present at the signing, said that this is the very critical corridor, as the area is source of coffee, and it will further help to export products easily. He also stated that the project will expected to be commenced during this fiscal year.
The Ethiopian Herald November 27/2019