Djibouti, Ethiopia, South Sudan, and Uganda have signed a memorandum of understanding (MoU) to establish the Djibouti-Ethiopia-South Sudan-Uganda (DESSU) Corridor Authority, a landmark initiative designed to strengthen regional trade, improve infrastructure, and enhance economic integration across East Africa.
The agreement, finalized during a high-level ministerial meeting and announced by the Ethiopian Embassy in Djibouti, represents a major step toward addressing trade barriers and fostering cross-border commerce. The DESSU Corridor will serve as a vital transport and logistics route, facilitating the movement of goods, services, and investments across the four countries, ultimately driving economic growth and job creation.
Strategic Importance of the DESSU Corridor
The new corridor is expected to streamline trade operations, reducing transportation costs and transit delays while improving access to global markets. By linking Ethiopia, South Sudan, and Uganda to Djibouti’s strategic port, the initiative aims to enhance supply chain efficiency and boost exports from landlocked countries.
Infrastructure development, one of the primary focus areas of the agreement, will play a crucial role in ensuring the success of this initiative. Officials highlighted the need for road and rail expansions, border facility upgrades, and digital trade solutions to enhance the seamless movement of goods.
Policy Harmonization & Security Cooperation
Beyond infrastructure, the DESSU Corridor Authority will also focus on policy harmonization between member states to simplify trade regulations and customs procedures. Security cooperation will be another key component, ensuring that the corridor remains a safe and reliable trade route.
The initiative underscores the growing commitment among East African nations to regional economic integration, mirroring similar trade corridors such as the Lobito Corridor in Southern Africa, which connects Angola, the Democratic Republic of Congo (DRC), and Zambia to global markets.
By fostering public-private partnerships and enhancing cooperation between governments, the DESSU Corridor is set to transform trade dynamics in the region, unlocking new opportunities for businesses and accelerating economic development across East Africa.