CHINA has agreed to provide spare parts worth Yuan 155m ($US 23m) for the Chinese-built Addis Ababa light rail network, with 23 of the network’s 40 LRVs currently inoperable. Low ticket prices, overcrowded and limited services, and electricity supply problems have reportedly made it difficult for the light rail network to generate sufficient income to cover its operating costs. The light rail network generated $US 11.1m in revenue in its first four years but cost $US 154m to operate, putting it behind in making scheduled repayments for the loans that funded construction. It was built by China Railway Eryuan Engineering Group (CREEC), a subsidiary of China Railway Group, and funded by a $US 475m loan from China Exim Bank. When the first line opened in September 2015, it was the first modern light rail line in Sub-Saharan Africa.

Source: Ethiopian News February 24, 2023 23:40 UTC