The African Development Bank (AfDB) has extended a $66.7m loan to Ethiopia to upgrade a 112km Bedele-Metu road corridor project.

The development will reduce travel time, increase speed and reduce vehicle operating costs, benefiting about 1.3 million people along the corridor.

The project is estimated to cost $81.7m and serve small holder farmers, coffee producers, traders, as well as agro-based industries that include a brewery and a sugar factory works.

The loan will be implemented in four years.