Ethiopian Electric Power Negotiating €400 Million Loan for Koysha Dam

Ethiopian Electric Power (EEP) is negotiating a 400 million Euro commercial loan with Italian lenders to finance the Koysha hydroelectric dam project. The negotiations follow an exceptional authorization from the International Monetary Fund (IMF), allowing the project to secure commercial credit. Currently, the dam's construction is 77% complete, with EEP planning to reach 87% completion and finish the dam structure during the 2019 Ethiopian fiscal year. While the total project cost is estimated at nearly 3 billion Euros, EEP Chief Executive Engineer Ashebir Balcha noted that the project faces significant funding gaps. The 400 million Euro loan is intended to cover necessary costs to reach completion, with the remaining balance to be supplemented by the institution's own revenue. The project is currently running two to three years behind its original seven-year completion schedule.