Ethiopia’s economy has been on a continuous and high growth trajectory since the turn of the millennium, registering an average annual growth of over ten pc. It’s about double the average growth rate recorded for sub-Saharan Africa over much the same period. 13 industrial parks in work sectors, including pharmaceutical, agro processing, and textile and garments, are the leading sectors.
Following the recent call by PM Abiy for Ethiopian diasporas’ homecoming, various investment opportunities are prepared to encourage the Ethiopian diaspora to invest in their own country.
The latest amendment to investment law opens the door to vast opportunities for the diaspora: As they are now to be considered domestic investors,
succeeding the AGOA trade benefit sanction by the US, the government has been looking for other options to sustain the development of the industrial parks.
According to Jay Jay Lanka Group, one of the world’s leading babywear manufacturers, the sanction significantly affected production and orders, taxation, and just set backing the process. However, it’s still functioning well with optimizing the output.
The company employs 8500 employees. Over 90pc of it is women. “we produce 90,000 packages every day, so far the sanction doesn’t have a huge effect on us, but indirectly we’ll be affected to some extent, and our fear is production is reduced in slight amount” mentioned Aself Tekie, production recorder.
The initiative includes a full-service package of basic infrastructures and facilities. In the parks, a share is available to buy and start their investment for diasporas. The initial investment request is submitting a proposal and issuing an investment license.
The investment is available in apparel, leather, garment, and agro-processing with 90 hectares of service land.
“It’s interesting to involve diasporas in a way it’s happening now. I appreciate the incentives the government is laying down for diasporas,” mentioned Mihret, a diaspora from Canada.