Ethiopia to Buy 150 Electric Buses in 8.2 Billion Birr Investment

July 3, 2026
By Mintesinot Nigussie

Ethiopia's Public Transport Service is preparing to invest about 8.2 billion birr in the purchase of 150 electric buses, with the fleet expected to support urban passenger transport, tourism services and future cross border operations with neighbouring countries.

The procurement has been approved by the institution's management and is awaiting endorsement by its board, acting Director General Tadewos Lera told Ahadu Radio. He said preparatory work is under way ahead of the acquisition.

Based on current market estimates, each electric bus is expected to cost about 55 million birr, bringing the total planned investment to roughly 8.2 billion birr.

The Public Transport Service plans to finance the purchase in two stages. Half of the total cost will be paid during the current Ethiopian fiscal year, while the remaining 50 percent will be settled in the first six months of the next fiscal year.

According to Ahadu Radio, the buses are intended to ease shortages in urban public transport while also supporting future overland passenger services between Ethiopia and neighbouring countries. The fleet is also planned for use on routes serving the country's tourist destinations.

The electric buses are expected to reduce fuel costs, although the Public Transport Service has not disclosed plans for battery charging infrastructure to support the fleet.

Source: FSX Business News