Ethiopia's parliament on Tuesday approved three loan agreements worth over 380 million U.S. dollars made with the Chinese government and the Export-Import Bank of China to finance major infrastructure constructions in Ethiopia.
The three loan agreements already approved will finance two road construction projects in Ethiopia's capital Addis Ababa and upgrade the capital's electric grid system, according to Birhanu Abebe, Vice Chair of the Budget and Finance Affairs Standing Committee of the Ethiopian parliament.
Briefing members of the House of Peoples' Representatives on Tuesday, the lower house, Birhanu said that one of the three projects is a 230-million-U.S. dollar advanced electric grid system installation designed to upgrade and modernize Addis Ababa's electric service provision.
The parliament also ratified two other loan agreements to finance two road construction sites in the capital Addis Ababa, which will cost 102 million and 50 million U.S. dollars, respectively.
"The road construction project will contribute to mitigating Addis Ababa's transport problem," Birhanu said.
Meanwhile, the advanced electric grid system installation will upgrade the old grid system to a new one. By minimizing the rate of power loss and interruption, the new grid system will bring efficient electric service provision in the capital Addis Ababa, he added.