• Djibouti Port

Djibouti Port (Photo : Sean Gallup / Staff)

The China-funded and built railway that connects the two African countries was recently inaugurated and is now open for business. The operation of Africa's first electrified standard gauge railway is expected to make great impacts for Africa's trade and commerce.

The railway stretches 750 kilometers long, connecting the suburbs of Addis Ababa in Ethiopia with the Red Sea port of Djibouti, cutting the travel time from three days to just 12 hours. With the railway now in operation, people won't have to go through the arduous journey of passing through a congested, potholed road to get from one point to the other.

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Built by the China Railway Group and the China Civil Engineering Construction Corporation, the $4 billion project was financed by a consortium of Chinese banks which included the Export Import Bank, the China Development Bank and the Industrial and Commercial Bank.

"From today, millions more Africans are now linked to Djibouti's world-class port facilities. Connecting Africa, Asia and Europe, Djibouti is at the heart of the world's trade routes, and we are proud to play a vital role in developing the region and wider continent," said Aboubaker Omar Hadi, chairman of the Djibouti Ports and Free Zones Authority.

Not only is this a 'railway of Sino-African friendship in the 21st century, but the construction and operation of this railway is a win-win business investment for China and Africa.

While Africa will enjoy the benefits of a better way to transport products to and from the port, this project will encourage more Chinese investments into the continent.

"This could serve as an example for future railway projects in Africa and facilitate Chinese exports of rail equipment and machinery, as well as encouraging Chinese firms to build housing projects along the line," said He Wenping of the Institute of West-Asian and African Studies at the Chinese Academy of Social Sciences.

This railway project will open up many opportunities for both Africa and China. Hopefully, this will hasten the economic development not only in Djibouti and Ethiopia, but as well to the rest of Africa.