The Ethio-Djibouti Railway Transport Joint Stock Company announced that the vital Ethio-Djibouti Railway Line has reached profitability for the first time in its operating history.
This news, confirmed by CEO Takele Uma, marks a crucial milestone after years of operational challenges and financial losses. The company revealed that the railway line secured its first profitable quarter in the final three months of 2024, a dramatic shift that validates the three-year strategic plan implemented to revitalize the railway's performance.
“This achievement is a testament to the collective hard work and dedication of countless individuals. Today, we are witnessing the fruits of our labour, as the railway is not just operational but is now a profitable enterprise," Takele underscored in a statement released on his social media channels.
He highlighted that the current profitability figures are not just a slight improvement, but rather a considerable surge to the highest they have been since the railway began operations.
The CEO’s statements carried a palpable sense of relief and triumph.
The Ethio-Djibouti Railway, a critical artery for trade and commerce between landlocked Ethiopia and the port of Djibouti, has been under immense pressure to demonstrate its economic viability.
The transition to profitability is not just a win for the company, but also a substantial boost to regional trade, infrastructure development, and the overall economy of both nations.
Takele expressed profound gratitude to the people of both Ethiopia and Djibouti, acknowledging their contributions to this remarkable turnaround.
He also paid special tribute to the unwavering dedication of the railway's employees: "Their tireless commitment to our goals has been the backbone of this success. Without their perseverance, we would not have achieved this crucial milestone."
The CEO’s announcement also included an optimistic look towards the future stating that the best for the Ethio-Djibouti Railway Line is still to come.
In addition, Takele emphasized that the groundwork laid for this initial profitability will pave the way for more significant financial success in the years ahead, indicating that further upgrades to the railway, including operational efficiencies and increased traffic, are on the horizon.
The achievement of profitability for the Ethio-Djibouti Railway is not just a financial turning point; it also underscores the potential for transformative infrastructure projects in Africa, according to him, adding it serves as a powerful example of what can be accomplished with strategic planning, dedication, and unwavering belief in a shared vision. The success has reignited hope for further investment and development in regional infrastructure, positioning the railway as a model for other large-scale projects in the region, as per the CEO.