The African Development Bank Group has approved $76.37 million in additional financing to advance transport connectivity in Somalia, reinforcing a key segment of the Horn of Africa corridor linking Somalia with Djibouti and Ethiopia. The funding will support the Road Infrastructure Programme in Somalia, which is central to improving internal mobility while strengthening cross-border trade and regional integration. The financing package comprises $49.16 million from the African Development Fund, the Bank Group’s concessional lending arm, and $27.21 million from the Transition Support Facility, which is designed to assist countries affected by fragility and conflict. The additional funding follows an expansion in the project’s scope, reflecting revised designs and the inclusion of new infrastructure and trade facilitation components.
Home / Latest News AfDB approves $76.3mn to expand Somalia road links in the Horn of Africa New AfDB funding supports road upgrades, community works, and trade facilitation across key regions in Somalia. ByOur Correspondent|16 Dec 2025 9:12 AM The African Development Bank Group has approved $76.37 million in additional financing to advance transport connectivity in Somalia, reinforcing a key segment of the Horn of Africa corridor linking Somalia with Djibouti and Ethiopia. The funding will support the Road Infrastructure Programme in Somalia, which is central to improving internal mobility while strengthening cross-border trade and regional integration. The financing package comprises $49.16 million from the African Development Fund, the Bank Group’s concessional lending arm, and $27.21 million from the Transition Support Facility, which is designed to assist countries affected by fragility and conflict. The additional funding follows an expansion in the project’s scope, reflecting revised designs and the inclusion of new infrastructure and trade facilitation components. Also Read – Traxtion confirms R3.4bn rail investment to expand freight capacity According to the African Development Bank Group, the programme has evolved from limited interventions into a more comprehensive road upgrade initiative. This includes the integration of bridges, additional road sections, and social and trade-related infrastructure aimed at maximising benefits for local communities and corridor users. The approach is intended not only to improve transport efficiency but also to address broader development and resilience needs. The new financing will focus primarily on upgrading two strategic road sections. These include a 15-kilometre stretch connecting Zeila to Asha Addo in Somaliland, and a 22-kilometre section between Beled Weyne and Kalabeyr in Hirshabelle State. Both corridors are considered critical for domestic connectivity and for linking Somalia’s road network with neighbouring countries.
Beyond road construction, the programme incorporates community development and resilience initiatives. Planned interventions include the construction of boreholes to improve water access, refurbishment of classrooms to function as skills development centres, construction of markets and storage facilities, and rehabilitation of health centres. These measures are aimed at ensuring that infrastructure investments deliver tangible socio-economic benefits at the local level. To further stimulate economic activity, the programme will support cross-border trade and small-scale traders while strengthening institutional capacity in customs and trade management. Key measures include establishing a simplified trade regime between Somalia and Ethiopia and expanding Somalia’s automated customs system to modernise procedures and reduce transaction costs. Together, these interventions are expected to enhance connectivity, promote regional trade, and contribute to long-term stability across the Horn of Africa.
