The Multilateral Cooperation Center for Development Finance has approved a US$2.1 million grant to support the green and climate-resilient development of Bishoftu International Airport, planned by the Government of Ethiopia and state-owned Ethiopian Airlines Group 40km southeast of Addis Ababa.
The MCDF Governing Committee approved the grant at its meeting in Doha, Qatar, on 27 September 2026. The African Development Bank will implement the grant-supported project.
The funding will support the application of international climate and environmental and social standards to the airport project, building on structuring and due diligence work already completed.
According to MCDF, the grant is a key step towards meeting the financing requirements of the AfDB and its partners for what is expected to become Africa’s largest airport, relieving passenger and cargo traffic at Addis Ababa Bole International Airport and reinforcing Ethiopia’s position as an aviation and logistics hub in Africa.
The grant will support green investment planning and access to climate finance, including the cost-conscious prioritisation of green and climate-resilient investments, refinement of emissions-reduction analysis for climate finance applications, development of the technical and financial case for mobilising climate and concessional finance, and guidance on the studies and documentation required to mobilise climate finance.
It will also fund work intended to ensure that the airport’s runways, terminals, electrical, drainage and water systems and other infrastructure comply with international environmental and social standards and green certifications.
This includes development guidance on the airport’s decarbonisation pathway and Carbon Management Plan, as well as an action plan to prioritise, integrate and operationalise climate-risk measures identified in the project’s existing assessments.
The grant will further cover knowledge-sharing and coordination workshops on findings and recommendations arising from the other grant-supported project activities. Participants will include Government of Ethiopia officials, Ethiopian Airlines Group staff, the project’s engineering partner and other stakeholders.
