Ethio-Djibouti Railways (EDR) 3278 views

Ethio-Djibouti Standard Gauge Railway Share Company (or Shortly Ethio-Djibouti Railway (EDR)) was established in April 2017, based on the Bilateral Agreement signed on 16^th of December 2016 between the two states, the Federal Democratic Republic of Ethiopia and the Republic of Djibouti. The Shareholders Agreement subsequently signed on the 11^th day of January 2017 among Public Bodies and State Enterprises of the two countries, to be administered pursuant to the commercial laws of Ethiopia.

The Shareholders have agreed to establish an Ethiopian share company, having an initial share capital of USD 500,000,000.00 consisting of 10,000 shares of USD 50,000.00 each, for the purpose of Operating and Maintaining the (Addis Ababa – Djibouti Standard Gauge Railway) Line (including the maintenance and renewal of all of the Line infrastructure and equipment) and operating freight and passenger transport services on the Line.

Following the decisions of the Board of Directors, EDR had commenced the Operation and Maintenance activities of the Railway on January 1, 2018 after a general takeover agreement between the EDR and the respective Railway Companies (ERC and SDCF).