Yapi Merkezi Lawsuit Narrowed to Ethiopian Railway Corporation

The lawsuit filed by construction firm Yapi Merkezi against the Ethiopian ministries of Transport & Logistics and Finance, as well as the Ethiopian Railway Corporation (ERC), has been narrowed to focus solely on the ERC following objections from the corporation's legal team. Attorney Daniel Fikadu described the adjustment as the correct legal maneuver, while noting that the accrued interest remains substantial. By removing the ministries from the case, the ERC faces direct exposure; if it fails to pay the resulting arbitration award, its assets could be subject to seizure. The situation highlights potential risks similar to international precedents, where arbitration awards have led to the seizure of state-owned assets, such as aircraft in Tanzania and Nigeria.