Italian industrial and financial giants are poised to enter the race for the Bishoftu International Airport project, but the final trigger lies with Ethiopian authorities, who have yet to issue the official tender. Representatives from Italy’s trade and finance sectors told Capital that the technical and financial groundwork for Italian participation has been largely completed. The only remaining step, they say, is the formal launch of the tender by the Ethiopian Airlines Group (EAG).
The Bishoftu project, valued at around 12.5 billion US dollars, is expected to transform Ethiopia into a major global aviation hub, with components including airport infrastructure, main terminal construction, and integrated logistics zones. Italian lending institutions SACE and Cassa Depositi e Prestiti (CDP) have reportedly put in place the necessary financial framework to support the project. Claudio Pasqualucci, Trade Promotion Commissioner at the Italian Embassy in Addis Ababa, emphasized that the move from preparation to execution now rests entirely with the Ethiopian government.
“The commencement of the work depends entirely on the Ethiopian authorities,” Pasqualucci said. “We can say with certainty that there are massive Italian companies with a high interest in these projects. These companies have the capacity to bring not only their own experience but their entire technical supply chain.” What distinguishes the Italian approach, he noted, is the integration of financing and engineering.
Through SACE and CDP, Italy is offering a government backed financial model alongside construction and project delivery expertise—a formula aimed at easing Ethiopia’s budgetary pressure while maintaining high quality European standards. Italian private sector interest is not limited to isolated contracts. Companies are prepared to implement an “integrated supply chain approach,” combining construction, technology, and advanced engineering across the different lots of the Bishoftu project, which are expected to cover runway construction, terminal systems, and logistics infrastructure. “We are all active and on standby,” Pasqualucci added.
“The moment the Ethiopian authorities issue the tender and ensure a fair and transparent process, Italian companies are uniquely qualified to compete. We bring not just machinery, but the financial capacity to make these projects a reality.”
The Bishoftu project is scheduled to be unbundled into several technical sectors, a move that many observers say will allow both local and international firms to participate in specific components without being locked out by the sheer scale of the overall project. Design work is reported to be nearing completion, with Ethiopian authorities now focused on identifying lead contractors and finalizing the procurement framework.
The airport push is part of a broader strategic alignment between Ethiopia and Italy. On March 18, 2026, the two countries held a high level dialogue in Rome that brought together an Ethiopian delegation led by Finance Minister Ahmed Shide and Italy’s “Mattei Plan” Task Force, which includes senior officials from the Italian Ministry of Economy and Finance, the Ministry of Foreign Affairs and International Cooperation, as well as institutions such as SACE, CDP, and the construction group Webuild.
Among the issues discussed were the financial structuring of the Koysha Hydroelectric Project and the possible use of integrated financial instruments to fund the Bishoftu Airport development. The Bishoftu initiative is viewed as a flagship project under Italy’s Mattei Plan, launched in 2024 to promote investment driven cooperation across Africa, with an emphasis on infrastructure, energy, and strategic-mineral sectors.
The relationship with Italy now extends beyond airports and hydropower into high technology and critical minerals. The Italian Trade Agency (ITA) is currently implementing a three year study on Ethiopia’s strategic minerals, with a specific focus on tantalum—a heat resistant metal essential for aerospace components, jet engines, and rocket systems. “Italy is a highly sophisticated country in the aerospace sector,” Italian officials told Capital. “Identifying these opportunities through research will allow Italian companies to process these minerals right here in Ethiopia, creating added value for Ethiopia’s exports.”
Despite the lingering impact of the global pandemic, bilateral trade between Ethiopia and Italy has rebounded strongly, reaching about 450 million euros in 2025. While Ethiopian and Italian officials describe that figure as modest given the historical depth of their ties, both sides expect the volume to double within the next three years as new reforms and infrastructure collaborations take root.
