Ethiopia has completed construction of the Grand Ethiopian Renaissance Dam (GERD), Africa’s largest hydro-electric project, Prime Minister Abiy Ahmed announced on Thursday. The milestone marks a major moment in a years-long regional dispute over Nile River resources.

In a national address, Abiy stated, “To our neighbours downstream – Egypt and Sudan – our message is clear: the Renaissance Dam is not a threat, but a shared opportunity.” The dam, more than a mile long and 145 meters high, sits on the Blue Nile in Ethiopia’s highlands, where 85% of the Nile’s waters originate.

Historic Project, Regional Tensions

Launched in 2011 with a $4 billion budget, GERD has become a symbol of national pride for Ethiopians. It is expected to provide urgently needed electricity to millions, as more than 60% of Ethiopia’s population currently lacks power access.

But Egypt and Sudan have consistently raised alarms. Egypt, which depends on the Nile for nearly all of its freshwater needs, fears that even a 2% reduction in water flow could devastate its agricultural sector. Sudan shares similar concerns over potential disruptions to its water supply.

In response to Ethiopia’s announcement, Egyptian President Abdel Fattah al-Sisi and Sudanese military leader Abdel Fattah al-Burhan reaffirmed their rejection of unilateral actions in the Blue Nile basin earlier this week.

Call for Diplomacy

Abiy Ahmed said both Egypt and Sudan would be invited to the dam’s official inauguration in September, stressing the importance of cooperation. “We believe in shared progress, shared energy, and shared water,” he said.

Despite multiple rounds of negotiations over the past decade, the three nations have failed to reach a binding agreement on dam operations and water-sharing protocols. Ethiopia now signals a readiness to “engage constructively,” although the next steps remain uncertain.