Legal Challenges and Opportunities in Managing Cross-Border Railway Businesss: A Case Study of the Ethio-Djibouti Railway
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Date
2025-09-01
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Addis Ababa University
Abstract
This research comprehensively analyzes the legal challenges and opportunities of the Ethio-Djibouti Railway, a cross-border railway Business system between Ethiopia and Djibouti. The research deploys a qualitative research methodology, utilizing both primary sources (bilateral agreement, article of association, and shareholders agreement) and secondary sources. The analysis is further informed by the researcher‘s position as an insider and employee of the Company. The study examines international model legal frameworks for effective and seamless cross-border railway operation (CIM and CIV), trade agreements (TFA), along side regional and sub-regional instruments in Africa (AfCFTA, COMESA, IGAD). The study further examines the legal and institutional framework of the Ethio-Djibouti Railway. The finding of the study includes legal, operational and infrastructural challenges as well as opportunities it faces since its creation, stemming from misaligned national regulations and lack of political willingness resulting in inefficiencies, increment of cost and putting its reliability in jeopardy. In order to reduce such effects there needs to be a revision of the bilateral agreement and implementation of internationally recognized best practices, to create a harmonized legal, technical and operational environment
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Keywords
Ethio-Djibouti Railway, cross-border railway, harmonization