South African-based railway operator Comazar was declared winner on Thursday of an international tender to administer the 1 000km Ethio-Djibouti railway for 25 years.
The line runs from the Ethiopian capital to the small neighbouring country of Djibouti, at the southern entrance to the Red Sea.
The two countries’ ministries of transport, which jointly administer the Ethio-Djibouti Railway Company, released a statement announcing that Comazar’s bid had been declared winner after thorough discussions.
Comazar currently operates railways in 20 other African countries.
The Ethio-Djibouti Railway was built at the turn of the 19th century by the French government and then-Emperor Menelik II of Ethiopia, providing the landlocked East African country with access to the outside world.
Djibouti became joint owner of the railway in June 1977 on attaining independence from France. – Sapa-DPA