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Ethiopia Enhances Transport Infrastructure to Tackle Trade Imbalance


Addis Ababa: The Ministry of Transport and Logistics announced that Ethiopia is intensifying efforts to rectify its trade imbalance by enhancing transport and logistics infrastructure. This initiative was remarked at a forum held in Addis Ababa today, themed “Driving Efficiency through Seamless Connectivity.”



According to Ethiopian News Agency, Minister of Transport and Logistics Alemu Sime emphasized the government’s commitment to reducing the nation’s trade deficit through strategic improvements in the sector, particularly focusing on railway infrastructure. He stated that improving the efficiency and accessibility of transport and logistics services, including the railway network, is crucial for achieving a balanced trade regime and enhancing Ethiopia’s global competitiveness.



The minister underscored that the government’s comprehensive strategy includes addressing existing sector challenges and streamlining export-import operations and the critical role of a robust and efficient transport and logistics system in securing a stable trade balance and improving Ethiopia’s international standing. While acknowledging recent progress, the minister stressed the need for continued and intensified efforts, he emphasized.



A persistent trade imbalance, with imports exceeding exports, drives Ethiopia’s focus on improving transport and logistics, particularly the railway system, he added. Takele Uma, CEO of the Ethio-Djibouti Railway (EDR), on his part emphasized the railway’s critical role in facilitating export-import trade. The EDR, a multimodal operator, has significantly improved service speed and reliability since its inception in January 2018.



“The Ethio-Djibouti Railway is a crucial artery for our trade,” stated Takele. The 756 km electrified railway, connecting Ethiopia and Djibouti, features 16 stations in Ethiopia and 4 in Djibouti, along with a substantial fleet of freight wagons, electric locomotives, and passenger coaches. Both the minister and the CEO stressed the importance of strengthened stakeholder collaboration to further enhance logistics efficiency and boost Ethiopia’s global competitiveness.



They called for faster, higher-quality services to support the growing export sector. The government is actively streamlining transport and logistics operations, investing in infrastructure projects, and working with stakeholders to reduce costs and improve service delivery. The government remains committed to ensuring efficient transport and logistics serve as a catalyst for economic growth and the rectification of the trade imbalance, thereby enhancing the country’s global competitiveness.