Ethio Djibouti railroad key to socio economic progressAddis Ababa   January 11/2017 Prime Minister Hailemariam Desalegn has highlighted on the essential role of the Ethio-Djibouti railroad in advancing the socio-economic status of Ethiopia and Djibouti. The Prime Minister joined President Ismail Omar Guelleh of Djibouti to inaugurate the 100 kilometer rail track built inside the Djibouti boarder which heralded the completion of the Ethio-Djibouti railway line that links Ethiopia to the Port of Djibouti.

The two leaders inaugurated the Ethiopia side of the electrified rail track back in October 2016. Indicating the role of advanced infrastructure for sustainable economic growth, Hailemairam said the railroad is key in building green economy as it is run by electricity.  The Ethio-Djibouti railroad cuts short the three days road transportation to 12 hours with further benefits of enhancing ties between the two nations.

The Prime Minister also spoke of the transnational nature of the route as it extends up to Dakar, Senegal, assisting Africa's plan of linking nations with high speed railroad. The project testifies the growing China-Africa cooperation, he said, referring to the Asian country which covered the cost of the project through its Exim Bank.

Djibouti's President Ismail Omar Guelleh for his part cited the project as assurance for transformation.

Read more at: http://www.ena.gov.et/en/index.php/economy/item/2550-ethio-djibouti-railroad-key-to-socio-economic-progress-hailemariam

 

 

 

Successful business ideas that mattered the most for Ethiopia in 2016By Eden Sahle

Addis Ababa, January 9, 2017 (FBC) - Developing economy can inspire a lot of creativity and new ideas with its cheap labor offers. Being one of the strongest economies in the continent with so much untapped business areas; Ethiopia has registered yet another biggest milestone attracting big names to its investment sectors.

From Huajian Group, textile factories, Aliko Dangote, to AU Grand Hotel, Pullmann, Crowne Plaza, Wyndham Hotel Group, Jumia Travel, Crowne Plaza, Accor Group and Best Western and flower companies, Ethiopia welcomed major investors from Africa and beyond.

H&M and Tesco are also sourcing wears from the country, while PVH Corp owners of Calvin Klein brand are expected to source its textile production from Ethiopian within five years.

The country continues to register encouraging economic growth allowing the country to place itself as one of the countries with much untapped investment potential. In a research done with 124 countries over four decades, Ethiopia ranked among the fastest 20% in terms of infrastructure growth, says the World Bank. On the other hand, Ethiopia remained to be one of the fastest growing economies in the world.  Ethiopia has maintained an average growth rate of 10.9 per cent since 2004. The World Bank and the International Monetary Fund forecast also shows that the average growth will continue to grow at a close rate of 8% over the next five years boosting investors’ confidence in the country.

The growth was largely driven by state led development policies with rapid expansion of infrastructures and services. Increasing exports of primary goods and foreign direct investment (FDI) have also promoted its acclaimed growth leading the country into its ambitious plan to achieve middle-class income status by 2025. These developments are remarkable indicators for future private sector development including more local and international investors to the business arena.  The country has been intensively working to grow its manufacturing and export sectors lobbying for tax holidays and incentives to encourage investors.

Read more at: http://www.ethiodailypost.com/article/successful-business-ideas-mattered-most-ethiopia-2016

 

 

Sub Saharan Africa IMF

(EBC; January 5, 2017)- The African Department Director of the International Monetary Fund(IMF) Abebe Aemro Sellassie said Sub-Saharan Africa remains a region of immense economic potential. But in some cases, this potential is being stymied by elevated macroeconomic imbalances and rising policy uncertainty. Addressing this challenge promptly and forcefully will be very important in the coming months.

He also said Sub-Saharan Africa remains a region of great importance for the IMF.

"We work closely with the authorities in the region as they address their development challenges and promote strong, durable and inclusive growth. Our support takes the form of policy advice, financial support (where needed), and capacity development", he added.

Last year [2015], Sub-Saharan Africa received the largest share, about 40 percent, of all technical assistance provided by the IMF across the globe. Increasingly, it is being provided through the five technical assistance centres located in the region. Through these efforts, the IMF is helping African countries build administrative and governance capacity in areas such as public expenditure management, revenue mobilisation, and monetary and exchange rate policy

Source: CNBC

Read more at: http://www.ebc.et/web/ennews/-/sub-saharan-africa-a-region-of-immense-economic-potential-imf

 

 

Ethiopia Promoting Agricultural Investment for Stimulating GrowthFor over two decades now the government has showed a commitment towards enhancing agricultural productivity through attracting investment on agriculture both from local and foreign stakeholders. Legal frameworks are crafted and institutions are established for the provision of land for investors and licensing.

In addition, incentive provision is also made a point. To attract investors the government offers incentives such as duty free importation of goods, tax holidays, access to affordable lease holds of agricultural lands and access to finance from the Development Bank of Ethiopia. In collaboration with other stakeholders involved in agribusiness, the Ethiopian Agricultural Investment Authority, in this regard, has played a crucial role.

About the provision of land the Ministry of Agriculture and other pertinent authorities discharge their responsibilities as per their mandate. Ethiopia's Agricultural Sector Policy and Investment Framework is the government's strategic road map which identifies priority areas requiring investment to fast track the country's agriculture growth.

Read more at: http://allafrica.com/stories/201701100566.html

 

 

ICT part AfricomAddis Ababa January 05 2017 The new ICT industrial park will play a paramount role in enhancing international competitiveness and accessibility to organizations engaged in the sector, CEO of AFRICOM Technologies said.

In his presentation to the monthly trade consultative forum organized by Addis Ababa Chamber of Commerce and Sectoral Associations yesterday, CEO of AFRICOM Technologies Plc. Bahru Zeynu said the park could provide fast Internet services, adequate power supply, reliable data security, and affordable land and related inputs as well as many incentives.

The park also provides one-window service by various governmental institutions, including banking and financial institutions.

Many local and foreign companies which want to seize these opportunities have been entering the park, he added. According to the CEO, some 22 companies have moved into the park while 170 are on the way.

The moving of the companies into the park provides opportunity for access to infrastructure; besides creating conducive environment to business ties, the CEO elaborated. These in turn will speed up the development of the ICT sector by attracting foreign investment and raising foreign currency through import substitution.

Moreover, the park will create vast opportunities to new software developers and enterprises of ICT assemblies, it was indicated. The new Ethio-ICT Park has many incubation centers and is divided into five zones. Upon completion, the park that rests on 200 square meters will create 300,000 jobs.

The park, which aspires to become the biggest ICT park in Africa, was established in July, 2015.

Read more at:-  http://www.ena.gov.et/en/index.php/technology/item/2464-ethio-ict-park-will-create-vast-opportunities-to-software-developers-ict-assembling-enterprises-ceo