Djibouti, Ethiopia, South Sudan and Uganda have formally established the Djibouti–Ethiopia–South Sudan–Uganda (DESSU) Corridor Authority, marking a major step toward improving regional connectivity and trade across East Africa.
The four countries signed the agreement on February 15 in Djibouti, creating a joint body to oversee the planning, regulation and implementation of the multimodal transport corridor linking the Red Sea to the Great Lakes region. The move follows a memorandum of understanding signed a year earlier and gives the project an institutional framework to move into full implementation.
The DESSU corridor is designed to connect the Port of Djibouti to inland capitals and commercial centres, including Addis Ababa, Juba and Kampala. The route will combine road networks, logistics hubs and border infrastructure to create a continuous trade artery serving both coastal and landlocked economies.
Officials said the new authority will coordinate infrastructure development, harmonise transport and customs regulations, and reduce non-tariff barriers that have long raised the cost of moving goods across borders. Transport costs in parts of East Africa are among the highest on the continent, often accounting for a large share of final consumer prices and limiting the competitiveness of regional producers.
The project is financed by the African Development Bank, which has positioned regional corridors as central to boosting intra-African trade under the African Continental Free Trade Area. The bank said the DESSU corridor will cut transit times, lower logistics costs and improve access to Djibouti’s ports for landlocked countries.
For Ethiopia, which relies heavily on Djibouti for its maritime trade, the corridor provides additional capacity and redundancy for imports and exports. South Sudan and Uganda are expected to benefit from improved access to global shipping routes, supporting trade in agricultural products, livestock and manufactured goods.
Djibouti, meanwhile, strengthens its position as a regional logistics hub by anchoring another major trade corridor through its port infrastructure. Authorities said the corridor will also facilitate cross-border movement of people, support regional value chains and stimulate economic activity in communities along the route.
The establishment of the DESSU Corridor Authority signals a broader push by East African governments to use cross-border infrastructure and joint institutions to drive growth, deepen integration and reduce structural trade barriers across the region.
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The formalisation of the Djibouti–Ethiopia–South Sudan–Uganda (DESSU) Corridor Authority reflects long-standing efforts by East African states to address structural transport bottlenecks that constrain trade, growth, and regional integration. Landlocked countries such as Ethiopia, South Sudan, and Uganda face some of the highest logistics costs in Africa, with transport expenses accounting for a large share of the final price of goods. Limited multimodal links, fragmented regulations, and weak cross-border coordination have historically slowed trade flows and reduced competitiveness.
Djibouti has emerged as a critical maritime gateway for the region, handling the vast majority of Ethiopia’s imports and exports through the Port of Djibouti. As Ethiopia’s economy expanded rapidly over the past decade, pressure on existing road and rail infrastructure increased, underscoring the need for alternative and complementary corridors that can distribute trade flows more efficiently. Extending reliable access beyond Ethiopia toward South Sudan and Uganda also aligns with broader regional goals of integrating the Horn of Africa with the Great Lakes region.
The DESSU corridor is designed as a multimodal route combining road, logistics hubs, and border infrastructure to support smoother movement of goods and people. Its governance framework, now formalised through the corridor authority, is intended to harmonise customs procedures, transit regulations, axle-load controls, and safety standards across borders. Such coordination is critical to reducing delays that often occur at border posts, where trucks can face long waiting times due to differing national rules and administrative processes.
The project is financed by the African Development Bank, which has prioritised regional transport corridors as part of its strategy to promote economic integration under the African Continental Free Trade Area (AfCFTA). The bank has argued that improved corridors can significantly lower transport costs, stimulate cross-border investment, and unlock agricultural, livestock, and manufacturing potential in corridor-side communities. In South Sudan and parts of Uganda, improved connectivity is also expected to enhance market access for farmers and pastoralists, strengthening food security and rural incomes.
More broadly, the DESSU initiative fits within a growing push by Djibouti, Ethiopia, South Sudan, and Uganda to use infrastructure as a foundation for economic resilience and political cooperation. By institutionalising joint oversight through a corridor authority, the four governments aim to ensure long-term coordination, attract private investment, and align national infrastructure plans with regional development priorities. If successfully implemented, the corridor could become a key trade artery linking the Red Sea to the interior of East Africa and reinforcing regional integration efforts.
