Egypt has offered to assist Ethiopia with financial aid for its Grand Renaissance hydroelectric scheme on the Nile River, a project understood to be about a quarter complete. However, Ethiopia declined the offer, preferring not to cede any control over the project to Egypt.

Egypt has long been concerned it will lose control of the Nile River, something it has had due to colonial era deals. Ethiopia has spent US$1.5 billion on the project to date and the project will cost a total of US$4.3 billion. By going it alone, the IMF has warned Ethiopia that the cost to the country could hurt its economic growth.

The Grand Renaissance project is expected to start producing its first 750 MW of power by the end of 2014. The final installation is expected to generate 6,000 MW.

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