Fleet Management System along the Djibouti-Ethiopia Corridor
Implementation Partners
Djibouti Port Community System (DPCS), Djibouti Ports and Free Zones Authority (DPFZA), transport associations, private sector logistics operators and other corridor stakeholders
Implementation Period
January 2024 - December 2027
Project Participants
Truck operators along the Djibouti-Ethiopia Corridor, corridor authorities, freight operators, logistics companies and other corridor users
Funding Partner
European Union
Project Rationale
The Djibouti-Ethiopia Corridor is a strategic regional trade route and the primary gateway for much of Ethiopia’s international trade. However, limited visibility of truck movements, fragmented fleet-management systems and operational inefficiencies contribute to higher transport costs, longer transit times and reduced predictability for corridor users. These challenges affect trade competitiveness and the efficient movement of goods between Djibouti and Ethiopia.
The Fleet Management System (FMS) addresses these challenges through a technology-enabled platform that supports real-time monitoring of truck movements, strengthens operational coordination and enables data-driven corridor management. Through RFID-enabled tracking, system integration and analytics, the initiative is expected to improve fleet utilisation, reduce delays and support more efficient and predictable trade flows. By strengthening digital connectivity and coordination between Djibouti and Ethiopia, the FMS will contribute to regional integration and the development of a more connected and competitive corridor.
Funding Attribution
This action is financed by the European Union and implemented under delegated cooperation with AFD through the Global Gateway Strategy, Team Europe and Horn of Africa initiatives. TMA supports implementation in partnership with the Government of Djibouti and corridor stakeholders.
Geographical Focus
The Djibouti-Ethiopia Corridor, including the Djibouti–Galafi, Djibouti-Guelileh and Djibouti-Tadjourah-Balho transport routes.
Implementation Strategy
The FMS is being implemented through a digital corridor management approach that combines technology deployment, system integration and institutional coordination to improve logistics performance along the Djibouti-Ethiopia Corridor.
Implementation Approach
1. Real-time fleet visibility: RFID infrastructure and monitoring systems are being deployed at strategic points along the corridor to strengthen oversight of truck movements and fleet performance. Monitoring sites established along key trade routes will provide the infrastructure required for real-time fleet visibility.
2. Digital systems integration: The Fleet Management System is being integrated with the Djibouti Port Community System to support information exchange, end-to-end visibility and better-coordinated corridor operations. Interoperability protocols between the two systems have been established.
3. Data-driven logistics management: The system combines RFID technology, monitoring tools and data analytics to support improved fleet utilisation, traffic management and operational planning. Better access to timely and reliable information is expected to enable more efficient and predictable movement of goods along the corridor.
4. Public-private coordination: Implementation brings together public institutions, transport associations, logistics operators, service providers and corridor-management institutions. This collaborative approach is intended to strengthen operational coordination, encourage system adoption and support long-term sustainability.
5. Corridor modernisation and regional integration: The initiative complements wider investments in trade facilitation, digital trade systems and corridor governance along the Djibouti-Ethiopia Corridor. By strengthening digital connectivity and coordination, the system will contribute to a more efficient, connected and competitive regional trade corridor.
Current Progress
- The FMS implementation contract was signed in June 2024 by the Government of Djibouti and TMA, with financing from the EU. This marked the start of the initiative to strengthen digital logistics management along the Djibouti-Ethiopia Corridor.
- Software development reached 100% completion, including finalisation of the system architecture and hosting specifications. The platform has been deployed in a pre-production environment, supported by the required cloud-hosting and technical infrastructure.
- RFID readers, towers, closed-circuit television systems and supporting equipment were procured and deployed at strategic corridor locations. Six RFID installations have been established to provide the infrastructure required for real-time monitoring of truck movements.
- Data-exchange protocols were established between the Fleet Management System and the Djibouti Port Community System, providing the basis for system interoperability, information exchange and more coordinated corridor management.
- The project is substantially completed, reflecting delivery of the main software, infrastructure and integration milestones. The system has progressed to final migration and pilot-readiness, while operationalisation and service-provider integration continue ahead of full deployment
