Addis Ababa, September 2025 — Ethiopia is gearing up to significantly improve its housing landscape with the launch of the Chaka Housing Project, a major public-private partnership (PPP) initiative valued at 67 billion Birr. The project involves constructing 4,175 housing units in and around the capital, marking one of the largest housing investments in recent years. Major players in this venture include several private developers along with the Ethiopian Construction Works Corporation (ECWC). The Reporter Ethiopia

One of the key features of the Chaka project is its financing model: the scheme will be implemented under a 70/30 financing arrangement, meaning private developers will take responsibility for 70% of construction costs, while the government assists with the remaining 30%. The project also includes infrastructure components such as roads and utilities, and aims to reduce housing shortages in rapidly growing residential zones. The Reporter Ethiopia+1

The adoption of this project comes amid growing regulatory reforms designed to protect homebuyers. For example, a recently passed law mandates developers must complete at least 80% of construction before transferring ownership of housing units, with all major infrastructure (mechanical, electrical, sanitary) in place. This is intended to ensure that buyers receive homes that are near completion and avoid long delays or substandard finishes.