ADDIS ABABA — The Ministry of Finance (MoF) has signed Public-Private Partnership (PPP) agreements for the development of affordable housing, tourism destinations, and health services.
The signing has marked another step in Ethiopia’s efforts to accelerate infrastructure and service delivery through private sector engagement.
The agreement covers four affordable housing developments, two tourism resort projects, and one integrated diagnostics center. The signatories include private developers such as ICE Home Development and Construction PLC, Ovid Chaka Housing Development PLC, and OVID Kings Tower Housing Development PLC, along with the Ethiopian Construction Works Corporation.
On the tourism front, Denbi Lake Lodges PLC under MEDROC Ethiopia Group and Awash Falls Resort PLC in partnership with Bosten Partners are among the partners.
A consortium composed of Cerbalancet, ICL, and Pioneer will undertake the health project.
During the signing ceremony held yesterday, Finance Minister Ahmed Shide emphasized that the PPP framework is becoming a key development financing tool for the country.
He said it provides a modern platform to mobilize resources and unlock private investment in areas where public funds alone cannot meet demand.
He noted that Ethiopia has already launched major renewable energy projects such as wind, solar, and geothermal power under PPP arrangements, and the new projects represent continued momentum.
Ahmed highlighted the strategic importance of urban development and said that the housing projects will help address critical gaps in the city’s fast-growing demand for affordable homes.
He further stressed the importance of the tourism projects in boosting Ethiopia’s ecotourism potential while promoting environmental preservation and sustainable investment. He described the Awash Falls and Denbi Lake projects as unique ventures that combine economic growth with conservation.
Turning to the health sector, the Minister acknowledged that Ethiopia still faces significant gaps in access to modern diagnostic services and medical technology. He said the integrated diagnostics center will be instrumental in improving healthcare delivery and encouraged private investors to bring innovation and quality service to this critical sector.
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Ahmed urged all companies involved to deliver their respective projects on time, within budget, and at the expected level of quality. He noted that project performance will be closely monitored and that accountability is essential to building public trust in PPP initiatives.
He also pointed out that recent macroeconomic reforms, including the transition to a market-based foreign exchange regime, have resolved many of the concerns previously raised by the private sector. This has created a more favorable investment climate for both ongoing and future projects.
The Minister extended his appreciation to the various government institutions that contributed to the preparation and implementation of the agreements, including the Office of the Prime Minister, the Ministry of Health, the Palace Administration, the Ethiopian Wildlife Conservation Authority, and St. Peter Hospital. He reaffirmed the government’s commitment to working closely with private sector partners to drive inclusive and sustainable development across the country.
