Ethiopia looking to turn new airport in Addis Ababa into a massive regional hub

Plans are being finalized for a new international airport in Ethiopia, which promises to be a game changer not only for Ethiopian Airlines but for the entire region.

Addis Ababa airport capacity to quadruple

The Ethiopian government has signed an agreement for the design of a new airport near Addis Ababa, which is expected to become the largest in all of Africa. This new airport will have the capacity to accommodate up to 100 million passengers annually, featuring four runways and parking for 270 aircraft (many likely at remote stands).

The new airport is supposed to accommodate up to 100 million passengers per year (Source)

Although the new airport was first announced in 2018, progress has been slow, partly due to the pandemic. However, the country is now advancing with these plans, with Dubai-based firm Sidara tasked with designing the airport. National carrier Ethiopian Airlines is onboard with the project and expects the new airport to open in 2029.

The new airport will be located in Bishoftu, around 30 miles from Addis Ababa, with plans for easy transit between the city and the airport.

The airport will be opened in phases, with the first phase alone expected to cost $6 billion, funded through loans. It's not yet clear when the airport will reach its full capacity of 100 million passengers annually.

While the government seems committed to this project, it's worth noting that plans can still change, especially at such an early stage, before the design has even been finalized.

Ethiopian Airlines urgently needs a new hub

By most metrics, Ethiopian Airlines is Africa’s most successful global airline. The airline does an excellent job providing connectivity to its home country and has also been consistently profitable, particularly for the region.

Ethiopian Airlines’ passenger experience is generally good (though somewhat inconsistent), but the weak point is the carrier’s current hub, Bole Addis Ababa International Airport (ADD). The airport simply wasn’t designed to handle the level of traffic it faces during peak periods, so the airline could definitely benefit from a new setup.

Bole Internal Airport in Addis Ababa (Source)

It's interesting to consider the scale of the carrier’s growth plans. Ethiopian Airlines carried 17 million passengers last year, with the current airport having an annual capacity of 25 million passengers. The goal for the new airport is to have a capacity of 100 million passengers annually.

To put that into perspective, the current Dubai International Airport (DXB) has a capacity of 100 million passengers annually, while the new Dubai World Central Airport (DWC) is planned to eventually have a capacity of 260 million passengers.

So, the goal is for Ethiopia’s new airport to match the current primary airport in Dubai in terms of capacity. Ethiopian Airlines does have significant growth plans, particularly with wide-body aircraft, as the airline has recently ordered more Airbus A350s, Boeing 777Xs, and others. However, the Star Alliance carrier’s current order book doesn’t yet reflect the need for this level of capacity.

Conclusion

Ethiopia is planning to open a new airport near Addis Ababa, with the first phase expected to be ready in five years, by 2029. This new airport will become Ethiopian Airlines’ new home, paving the way for significant growth. The current airport has a capacity of 25 million passengers annually, while the new airport would quadruple that capacity to 100 million.

We are very curious to see how this project unfolds. There's still a lot that can change, and for that matter, airport construction projects are rarely on schedule. Regardless, this is something to look forward to…