At a Glance
- Kenya, Ethiopia sign infrastructure deal to boost Horn of Africa trade and connectivity.
- New bridges, border posts to ease transport, link underserved Kenya-Ethiopia border towns.
- Cross-border fiber optics, digital services to drive regional economic integration and AfCFTA goals.
Kenya and Ethiopia have formalized a collaboration focused on accelerating cross-border infrastructure development to strengthen bilateral trade and socio-economic ties.
The agreement, reached during a high-level meeting in Addis Ababa on June 5, is part of the broader Horn of Africa Gateway Development Project (HOAGDP), a flagship initiative designed to boost connectivity and integration within East Africa.
Bridging communities and markets: Key infrastructure projects
Central to the partnership is the construction of two vital bridges spanning the River Dawa at Rhamu and Suftu.
These infrastructural projects are poised to transform the movement of goods, people, and services across the Ethiopia-Kenya border, fostering inclusive growth in underserved border communities.
The bridges will enhance access to essential services such as healthcare and education, while facilitating market connectivity for local businesses.
The joint communiqué highlights the transformative potential of these projects in driving socio-economic development and trade facilitation.
By improving physical infrastructure, the initiative aims to promote seamless cross-border cooperation, reinforcing Kenya and Ethiopia’s commitment to regional integration.
One-stop border posts and digital connectivity to streamline trade
Beyond bridges, the agreement covers the establishment of a One-Stop Border Post (OSBP) at Rhamu and a Trade Facilitation Center at Suftu.
These facilities are designed to drastically reduce border crossing times, lower transport costs, and increase competitiveness of regional goods in international markets. T
he initiative aligns with the Inter-Governmental Authority on Development (IGAD) strategy and supports the operationalization of the African Continental Free Trade Area (AfCFTA), reflecting a shared vision to deepen intra-African trade.
Both nations also committed to expanding cross-border fiber optic connectivity and improving digital services to support emerging technologies.
The enhancement of digital infrastructure is expected to underpin trade, financial services, and information exchange, further integrating the two economies in the digital era.
Government leaders champion regional economic integration
The meeting, held under the auspices of IGAD, brought together senior government officials including Ethiopia’s Finance Minister Ahmed Shide and Kenya’s Principal Secretary for the State Department of Investments and Assets Management, Cyrell Odede Wagunda.
The leaders underscored the importance of infrastructure development as a catalyst for regional prosperity and reiterated their commitment to implementing these projects swiftly.
This Kenya-Ethiopia infrastructure pact marks a critical step toward realizing the Horn of Africa’s potential as a hub of regional trade, investment, and sustainable development.