News in Brief

Prime Minister Abiy Ahmed Visits Italy, Malta and France

Forum Discusses Role of Economic Diplomacy in Attracting FDI to Ethiopia

Africa and the African Union

African Union heads of state from the 55 member countries are expected to meet for the 36th ordinary session of the AU assembly. The meeting will be held on February 18–19, 2023, in Addis Ababa, Ethiopia. The key focus of the meeting is the accelerated implementation of the African Continental Free Trade Area (AfCFTA) and climate finance.

Ministers of Foreign Affairs and heads of delegations from the member states of the African Union (AU) converged on Wednesday (February 15) at the headquarters of the AU in Addis Ababa, Ethiopia, for the official opening of the 42^nd Ordinary Session of the Executive Council. The opening session was chaired by Madame Aissata Tall Sall, Minister of Foreign Affairs and Senegalese Abroad, in the presence of Demeke Mekonnen, Deputy Prime Minister and Minister of Foreign Affairs of the FDRE,  Mr. Moussa Faki Mahamat, Chairperson of the AU Commission, Deputy Chairperson of the AUC, Ag. Executive Secretary of the Economic Commission for Africa (ECA), the Commissioners of the AUC and Heads of AU Organs/Mission, the diplomatic corps, representatives of the international community, and invited guests, among others.

Acting Executive Secretary of the Economic Commission for Africa (ECA), Antonio Pedro, has urged African nations to accelerate implementation of the African Continental Free Trade Area (AfCFTA) in order to become more resilient and globally competitive. “Only through an accelerated and effective implementation of the AfCFTA can Africa build sufficient shock absorbers to build resilience,” said Pedro in his remarks at the 42nd Ordinary Session of the African Union Executive Council meeting in Addis Ababa on Wednesday (February 15).

Leaders of the African Union (AU) have been tasked with enforcing the implementation of the African Continental Free Trade Area (AfCFTA) agreement and climate finance at its meeting February 18–19, 2023, in Addis Ababa, Ethiopia. ONE Campaign, a global organization working to end extreme poverty and preventable disease, charged the AU, which is holding its 36th ordinary session two years after the AfCFTA agreement became operational, to enable free movement of people, goods, and services, make it easy and affordable to do business, and produce goods and services. AU and East Africa director of the ONE Campaign, Dorine Nininahazwe, said the AfCTFA is a vast free trade region bringing together the 55 countries of the AU and eight regional economic communities. The overall mandate is to create a single continental market with a population of about 1.3 billion people and a combined Gross Domestic product of approximately $3.4 trillion.

On the sidelines of the 42nd ordinary session of the Executive Council of the African Union, in preparation for the Summit of the Union to be held on February 18 and 19, Minister of Foreign Affairs of the Kingdom of Morocco, Nasser Bourita, co-chaired, on February 16, 2023, in Addis Ababa, a luncheon under the theme “the Intersecting Challenges of Climate Change and the Women, Peace, and Security Agenda.” Speaking on this occasion, Mr. Bourita stressed that African women suffer most from conflicts, violence, and forced displacement as a result of climate change, noting that they do not fully participate in decision-making processes related to adaptation and mitigation.

Ethiopia

President Sahle-Work Zewde reaffirmed Ethiopia’s commitment to empower women in agriculture. The President attended the Empower Women in Agriculture meeting held on the sidelines of the 36th AU Summit. “As Ethiopia has been selected to lead the Empower Women in Agriculture (EWA) Initiative, I would like to express Ethiopia’s readiness to implement this initiative. “We are committed to empowering women in agriculture,” the President said. She emphasized that “mechanization and digitalization are absolutely significant to transform the agriculture sector.” “Otherwise, women will remain in the vicious circle with no way to change their lives. “It will take it to another level, and the private sector has a big role to play,” she underscored.

Prime Minister Abiy Ahmed and his delegation paid a working visit to Italy, Malta, and France from February 5–8, 2023. (See article)

Addressing the 42nd Ordinary Session of the African Union’s Executive Council, Ethiopia’s Deputy Prime Minister and Foreign Affairs Minister, Demeke Mekonnen, stated that this year’s session is especially significant for Ethiopia because it comes at a time when the peace agreement between the federal government and the TPLF is making progress. Demeke underscored that the AU-led peace process has demonstrated the true meaning of “African Solution to African Problems.” “The implementation of the peace agreement is on course. We are redoubling efforts to ensure full implementation of the agreement. We have continued expediting humanitarian aid to people in affected regions,” he said.

Deputy Prime Minister and Foreign Affairs Minister, Demeke Mekonnen, held discussions on Thursday (February 17) with foreign ministers of several countries. On the sidelines of the 42nd Ordinary Session of the Executive Council of the African Union, Deputy Prime Minister and Foreign Minister Demeke Mekonnen discussed with the foreign ministers of Gambia, Malawi, Tunisia, Libya, and the acting foreign minister of Gabon, Mamadou Tangara, Nancy Tembo, Nabil Ammar, Najla Elmangoush, and Hermann Immongault, respectively. During the deliberations, DPM and FM Demeke briefed the aforementioned foreign ministers on current affairs and ways of further expediting the longstanding and multifaceted relations between Ethiopia and their respective countries. Regarding the peace process, Demeke said the Government of Ethiopia is focused on the implementation and consolidation of the Pretoria Peace Agreement in tandem with the rehabilitation and reconstruction of the areas affected by the conflict. The foreign ministers also vowed to further strengthen the multifaceted diplomatic relations and support Ethiopia on multilateral platforms. They also emphasized the fact that Ethiopia’s peace and development is Africa’s peace and development.

Deputy Prime Minister and Minister of Foreign Affairs of Ethiopia, Demeke Mekonnen, met on Friday, (February 17) at his office with Takagi Kei, Parliamentary Vice-Minister for Foreign Affairs of Japan. The two sides reviewed cooperation in the education and health sectors. They also noted that it is high time to deepen bilateral ties between the two countries through further engagements.

Minister of State for Foreign Affairs of Ethiopia, Ambassador Mesganu Arga, met on Thursday (February 16) with his Qatari counterpart, Sultan bin Saad Al Muraikhi, on the sidelines of the AU ministerial session. During the meeting, they reviewed bilateral cooperation relations between the two countries and ways to support and develop them, in addition to a number of issues of mutual interest.

State Minister of the Ministry of Foreign Affairs of Ethiopia, Ambassador Mesganu Arga, conferred with Oleg Ozero, Ambassador at Large and Head of Secretaries of the Russia–AAfrica Partnership Forum. The two sides expressed keen interest in expanding their bilateral relations in various engagements, including trade and investment. Ambassador Mesganu said that Ethiopia attaches great importance to its historical ties with Russia. Ambassador Mesganu briefed the Russian side on current situations in Ethiopia.

On the margins of the African Union Ministerial Session, the State Minister of the Ministry of Foreign Affairs of Ethiopia, Ambassador Mesganu Arga, discussed on Thursday (February 16) with Dr. Abraham Korir SingOei, the Principal Secretary of Foreign Affairs in the Ministry of Foreign and Diaspora Affairs. The two sides noted the need to review signed agreements between the two countries to facilitate trade, the movement of people, and the provision of services.

The African Capacity Building Foundation (ACBF) signed a host country agreement with the Ministry of Foreign Affairs of Ethiopia on Friday (February 17) to open a liaison office in Addis Ababa, Ethiopia. State Minister of the Ministry of Foreign Affairs of Ethiopia, Ambassador Mesganu Arga, and Mamadou Biteye, Executive Secretary of ACBF, inked the agreement.

Ethiopia has finalized preparations to share its best Green Legacy practices with various African countries on the sidelines of the 36th ordinary summit of heads of state of the AU, the Coordinator disclosed. Green Legacy Initiative National Committee Coordinator Adefris Worku (PhD) told the media on Friday (February 17) that the African continent is hydrologically connected by nature, thus, it is impacted by climate change, desertification, deforestation, land degradation, and others. He, therefore, said that to overcome these challenges, Ethiopia has been implementing the Green Legacy Initiative. Ethiopia’s “green legacy” initiative has encouraged neighboring countries to build resilient socio-economic communities. Its achievements on highland investments, specifically landscape restoration, forest and environment conservation, and other activities, have benefited not only Ethiopia but also the riparian countries, the coordinator said.

A forum entitled, “Economic Diplomacy for Quality Foreign Direct Investment” was held in Kombolcha on January 30, 2023. The Ministry of Foreign Affairs, the Institute of Foreign Affairs (IFA), in collaboration with Wollo University (WU) and the Kombolcha City administration, organized a day-long discussion forum on the role of economic diplomacy to attract quality foreign direct investment (FDI) inflow. The forum brought national and regional state presidents, ministers, lawmakers, regional investment and trade bureau heads, private sector representatives, university and research institution heads, and other stakeholders. (See article)

A delegation from the United Arab Emirates headed by Dr. Abdulla Al Mandous, Director-General of the National Centre of Meteorology (NCM), and President of the Regional Association II (Asia), took part in the Regional Technical Conference of the WMO’s Regional Association I (RA I RECO 2023) held from February 13th to 17th, 2023, in Addis Ababa, Ethiopia. With the participation of nearly 200 representatives from RA I, which consists of 53 countries in Africa, the conference aimed to enhance the capacities of National Meteorological and Hydrological Services (NMHSs) in Africa towards digital transformation in service delivery to ensure early warning services for all.

Ambassador Extraordinary and Plenipotentiary of the Federal Democratic Republic of Ethiopia to the Islamic Republic of Pakistan, Jemal Beker Abdula, said Pakistan needed to increase its footprint in Africa, especially Ethiopia, which is a gateway to the continent of 1.4 billion people. “To assist Pakistan in this regard, we have organized a 5-day trade delegation to Ethiopia, which will fly to Addis Ababa on March 5,” the ambassador said during a briefing to members of the Faisalabad Chamber of Commerce and Industry on the political, economic, and security situation of his country. He said the trade delegation would include subsidized airfares and accommodations, business-to-business and government-to-business meetings, as well as grand receptions and cultural nights hosted by the country’s leadership.

Ethiopian Cargo & Logistics Services, Africa’s largest network operator, has started two weekly freighter flights connecting Xiamen with São Paulo and Santiago via Addis Ababa. Ethiopian also plans to commence two weekly freighter flights between Shenzhen and Liège as of Friday (February 17). Ethiopian Airlines will deploy the B777 Freighter on the new cargo routes.

The Ethiopian Orthodox Church has said the crisis that rocked it after a group of archbishops set up a breakaway synod is now resolved. The three archbishops who set up their synod in the Oromia region have apologized, the church said on Facebook on Wednesday evening (February 15). “The recent problems within the Ethiopian Orthodox Tewahedo Church have been resolved through face-to-face discussions,” the statement said.

Illegal migration is now back to pre-pandemic levels, with Djiboutian authorities rescuing 383 undocumented Ethiopian migrants whose boat was at risk of capsizing in the Gulf of Aden in the past week alone, the International Organization for Migration (IOM) says. According to the UN migration agency, the rise in global immigration is being driven by the effects of climate change, as well as conflict and the loss of livelihoods. It reports that last year there were 150,000 crossings along the “eastern route”—through Yemen and into Saudi Arabia and other Gulf states.

Yemeni Airways announced the launch of twice-weekly flights to Addis Abeba from Aden starting on Wednesday (February 15). The last time the flag carrier of Yemen flew to Addis Abeba from Aden was in 2015, according to the airways’ Ethiopia Area Manager, Fouad Attashi.

Lamecha Girma of Ethiopia broke a 25-year-old indoor world record in the 3,000 meters at the Meeting Hauts-de-France Pas-de-Calais on Wednesday (February 15). Girma, who won the silver medal in the 3,000-meter steeplechase at the Tokyo Olympics, covered the distance in 7 minutes, 23.81 seconds at the World Athletics event. The previous record of 7:24.90 was set by Kenya´s Daniel Komen in Budapest in 1998.

Eritrea

Eritrean Foreign Minister, Osman Saleh Mohammed, arrived in Addis Ababa on Thursday (February 16) to participate in the ongoing AU meetings. Upon his arrival in Addis Ababa, Ethiopia the Eritrean Foreign Minister was received by Birtukan Ayano, State Minister of the Ministry of Foreign Affairs of Ethiopia.

Djibouti

The Djibouti Chamber of Commerce delegation, led by Chamber President Youssouf Moussa Dawaleh, arrived in Addis Ababa on Sunday (February 12). In its official social media post, the Ethiopian Investment Commission (EIC) said that the Chamber delegation was in Addis Ababa for an official investment consultation and to explore business and investment opportunities.

Kenya

President William Ruto has called for scaling up initiatives and interventions to counter the nation’s worsening drought and food shortage. Speaking at the State House during the launch of the 2022 Short Rains (October to December) Assessment Report, he stated that the situation must be addressed as soon as possible in order to avoid widespread distress and suffering. The head of state said Sh6billion has been set aside in the latest supplementary budget to respond to the drought between February and May. “We are facing a devastating drought that has led to widespread distress and suffering. This crisis is worsening and requires an urgent scale-up of interventions,” he said. “The amount will be supplemented by the private sector-led National Steering Committee on Drought Response, which has so far raised Sh650 million. However, this may not be enough.” “More than Sh15.35 billion is required for urgent life-saving interventions. We call on international partners, the private sector, and well-wishers to help us bridge this resource gap that will help in building long-term resilience.”

Kenya is racing to build two privately-owned KSh37.65 billion ($298 million) power transmission lines covering 237 kilometers, which will be a first in Africa. The public-private partnership (PPP) project is being developed by pan-African investment firm Africa50, with Power Grid Corporation of India Limited as a technical and minority equity partner. “The government of Kenya, in partnership with Africa50 through a PPP framework, intends to pilot transmission line PPPs by way of the financing, design, construction, operation, and maintenance of the 400 kV, 165 km Loosuk-Lessos transmission line and the 220 kV, 72 km Kisumu-Musaga transmission line. The project will also incorporate associated infrastructure, such as electricity substations,” the National Treasury said in its 2023 Budget Policy Statement.

The African Development Bank has opened a second Information and Communications Technology Center of Excellence at the United States International University-Africa in Nairobi, Kenya. The center of excellence is open to those aged 15 to 35 who are currently enrolled in the African Development Bank’s ‘Coding for Employment‘ program and who do not qualify for or have the means to attend traditional university programs. The program aims to support over 1,800 Kenyans via the two centers.

The contest for the IMO’s top job is expected to be a six-horse race, with Dominica and Bangladesh expected to formally join Panama, Türkiye and Kenya, plus one European candidate widely anticipated to come forward before the March 31 deadline. World Maritime University president and former International Labor Organization leader Cleopatra Doumbia-Henry is understood to be considering entering the race to become the next IMO Secretary General.

Somalia

The American military carried out a strike in a remote area of Somalia, killing five Al-Shabaab fighters, the US Africa Command said on Thursday (February 16). The “collective self-defense strike” near Bacadweyne, Somalia, took place the previous day at the request of the country’s government, AFRICOM said in a statement “The initial assessment is that the strike killed five Al-Shabaab fighters,” it added. The leaders of Somalia and neighboring countries vowed at a summit earlier this month to “make the final push” against the Al-Qaeda linked Al-Shabaab, which has been waging an insurgency in the Horn of Africa nation for more than 15 years.

Ethiopian Deputy Prime Minister and Minister of Foreign Affairs Demeke Mekonnen and Somali Minister of Foreign Affairs Absher Omar Jama discussed on Wednesday (February 15) enhancing bilateral relations on the sidelines of the 42nd session of the Executive Council of the African Union. The two sides discussed strengthening and deepening bilateral relations between the two countries and joint cooperation in the areas of security, development, and the economy. The Somali Foreign Minister praised Ethiopia’s role in the recent summit of neighboring countries and Somalia held in Mogadishu, pointing to the need for the two countries to cooperate in combating terrorism.

The Somali National Army, with the assistance of the Galmudug State Forces and local forces, killed 32 Al-Shabaab militants and injured others after conducting a planned operation against terrorists’ hideout at Qaycad area in Mudug region. SNA Commander at the Frontline, Gen. Mohamed Ali Nur, said on Thursday (February 16) that the joint forces also seized weapons during the operation, and indicated that the forces were still in pursuit of the terrorists fleeing. “We had a face-to-face fight against the terrorists and rooted them out of their hideouts, and we seized their weapons and killed their leaders in the fight,” Gen. Mohamed said.

More than 60,000 Somalis, mainly women and children, have fled to Ethiopia’s Somali region in the past few weeks to escape clashes and insecurity in the city of Laascaanood, in Sool region. More than half of them arrived earlier this week. Exhausted and traumatized, they have arrived with very little, only taking what they could carry. Women told staff from UNHCR, the UN Refugee Agency, that they had to sell their belongings to pay for transportation to reach safety. Many of them have lost loved ones in the clashes or have been separated during flight.

The International Fund for Agricultural Development (IFAD), announced on Tuesday (February 14) that it will substantially strengthen its support to Somalia and resume its direct investments after loan arrears resulted in a three-decade-long suspension. Speaking during IFAD’s 46th session of the Governing Council, president Alvaro Lario said, “This comes at a critical time when Somalia is facing critical challenges to its food security. The President of Somalia, Hassan Sheikh Mohamud, welcomed the re-engagement, but he also called on governments not just to invest in immediate aid for countries like Somalia.

Sudan

The integration of the Rapid Support Forces (RSF) in the army is the main reason for the support of the national army to the framework agreement, stated General Abdel Fattah al-Burhan, Commander-in-Chief of the Sudanese army, on Thursday (February 16). On December 5, 2022, al-Burhan and Hemetti signed the Political Framework Agreement, which provides for handing over power to civilians and merging the RSF into the national army.

Sudan and South Sudan have agreed to reactivate joint agreements and memoranda of understanding signed by the two countries in the field of mining. This came during a meeting the Sudanese delegation held on the sidelines of the African Mining Indaba Conference in Cape Town, South Africa. The Undersecretary of the Ministry of Minerals in Sudan, Mohamed Saeed Zainal-Abidin, affirmed that the next stage would witness the exchange of experiences and the building of geological cadres through training in Sudan.

The Trilateral Mechanism welcomed the workshop to evaluate the level of implementation of the Juba Peace Agreement (JPA) for Sudan, currently convened by South Sudan in Juba, in its capacity as mediator of the agreement. The Trilateral Mechanism said in a statement issued on Thursday (February 16) that “this event complements the workshop on the Juba Peace Agreement and completion of peace organized from January 31 to 3 February 2023, in Khartoum by the Trilateral Mechanism in its facilitation role of the final phase of the political process launched earlier this year by the signatory parties to the Political Framework Agreement.”

Sudan called on Sunday for the lifting of sanctions, including a panel of experts assisting to monitor the implementation of these sanctions, including an arms embargo on the Darfur region. In 2005, the Security Council imposed an arms embargo on the Darfur region in order to reduce the armed conflict between the government and armed groups and protect civilians.

The acting Minister of Transport, Hisham Abu-Zaid, stressed the importance of cooperation and joint coordination between Sudan and the Republic of Chad in all fields of transport and ways of enhancing and developing them for the benefit and interest of the two countries. This came when he met on Thursday (February 16) at the ministry, with the Chadian Minister of Transport, Mrs. Fatima Goukouni Wadei. The meeting discussed prospects for cooperation between the two countries and the exchange of experiences and training in all fields of transportation and its development and advancement.

South Sudan

A workshop on transitional justice commenced in Jonglei State on Wednesday (February 15), with calls for the establishment of mechanisms to promote accountability, truth, reconciliation, and healing in South Sudan. Community Empowerment for Progress Organization (CEPO), with support from the UN Human Rights Office (OHCHR), is organizing the three-day event. At least 30 participants are attending the workshop in the state capital, Bor.

South Sudan’s President Salva Kiir called on Monday (February 15) for more efforts in the implementation of the Juba Peace Agreement, saying it will help Sudan reach a political solution for peace and stability to prevail. He made the remarks during a meeting with a member of the Sudan Transitional Sovereign Council, Lt. General Yasser Abdul Rahman Al-Atta, and the Chadian special envoy, El Sheikh Ebn El Omar  in the capital, Juba. The meeting discussed the status of the implementation of the Juba peace accord. Sudanese government officials were in Juba for a workshop to evaluate the Juba Agreement for Peace, which was signed in Juba on October 3, 2020.

The number of civilians affected by violence in South Sudan increased sharply at the end of 2022, compared to both the previous quarter and the same period in 2021, the United Nations revealed. According to the latest quarterly brief from the UN Mission in South Sudan (UNMISS), from October to December last year, the number of civilians harmed increased by 87 percent compared to the same period in 2021.”This rise was accompanied by a disturbing increase in abductions and conflict-related sexual violence, which have gone up by 464 percent and 360 percent, respectively, when compared to the previous year,” it noted. The quarterly report, however, says the overall number of incidents of violence for the entire year 2022 decreased when compared to those of 2021.

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Prime Minister Abiy Ahmed Visits Italy, Malta and France

Prime Minister Abiy Ahmed and his delegation paid a working visit to Italy, Malta and France from February 5–8, 2023. On February 6, 2023, the Prime Minister and his delegation were received by the president of Italy, Sergio Mattarella, and discussed strengthening the long-standing bilateral relations between the two countries. In the afternoon, Prime Minister Abiy was received by the Italian Prime Minister, Georgia Melloni, and discussed ways to further deepen the longstanding friendship between Ethiopia and Italy.

After the bilateral discussion, the two leaders signed the joint declaration on the provision of 180 million euros for the Ethio-Italian Cooperation Framework for the years 2023–2025, of which 140 million is soft loan and direct support. The remaining 40 million will be used for other programs. Furthermore, the two leaders agreed to work closely in the fields of capacity building, strategic intelligence, trade, and investment.

During the occasion, Ethiopian Minister of Finance Ahmed Shide and Italian Deputy Prime Minister and Foreign Minister Antonio Tajani signed two agreements for the implementation of new programs of the cooperation framework. The first agreement was signed to provide 10.5 million euros to support Ethiopian agribusiness development operating in the coffee value chain through De-Risking Investments and Institutional Support to the Ethiopian Coffee and Tea Authority. The second agreement was concluded to support the Basin Scale Resilience Initiative for Ethiopian Basins, involving 31.5 million euros. This support is directed towards financing interventions in essential sectors, including water management in drought-affected areas.

After successfully concluding his Italian visit, Dr. Abiy Ahmed and his delegation arrived in Malta on February 7, 2023. The delegation was warmly welcomed by Robert Abela, Prime Minister of Malta. During the visit, the two leaders discussed ways to further enhance the relationship between Malta and Ethiopia in bilateral and multilateral areas. The two leaders also agreed to scale up trade and investment relations. They also agreed to explore other avenues of cooperation, including encouraging Ethiopian Airlines to use Malta as a stopover.

Prime Minister Abiy’s final stop was France.Mr. Emmanuel Macron, President of the Republic of France, received the Prime Minister’s delegation at Elysée Palace.The two leaders discussed various issues, including the possibility of unlocking funds from the World Bank and International Monetary Fund for the recovery, reconstruction, and rehabilitation of conflict-affected areas. Supporting Ethiopia’s request for debt treatment under the Common Framework was also one of the issues raised during the discussion. President Emmanuel Macron affirmed his commitment to supporting the debt treatment process to be finalized before July 20, 2023.

The implementation of the “Agreement for the Lasting Peace through a Permanent Cessation of Hostilities” signed on November 2, 2022, in Pretoria between the Government and TPLF and issues related to the flow of humanitarian assistance, the withdrawal of non-ENDF forces, and granting access to the International Commission of Human Rights Experts on Ethiopia (ICHREE) to investigate alleged human rights violations in the conflict affected areas were also on the agenda of their discussion.

Resuming the suspended defense cooperation signed in March 2019 to support the reconstruction of an Ethiopian navy, providing a legal framework for sending French troops to Ethiopia and vice versa, and the peace and security situation in the Horn of Africa were also issues raised during the bilateral discussion.

The two leaders also discussed possibilities in which French companies could invest in Ethiopia, especially in the telecom, fertilizer, and logistics sectors. Prime Minister Abiy Ahmed also held discussions with officials from the French National Treasury on the technical aspects of the debt treatment process.

Finally, Prime Minister Dr. Abiy Ahmed extended an invitation to President Emmanuel Macron to pay an official visit to Ethiopia. President Macron accepted the invitation and agreed to visit Ethiopia in the second half of 2023.

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Forum Discusses Role of Economic Diplomacy in Attracting FDI to Ethiopia

A forum entitled “Economic Diplomacy for Quality Foreign Direct Investment” was held in Kombolcha, a city in the Amhara Regional State of Ethiopia, on January 30, 2023. The Ministry of Foreign Affairs and the Institute of Foreign Affairs (IFA), in collaboration with Wollo University (WU) and the Kombolcha City administration, organized the day-long forum to discuss the role of economic diplomacy to attract quality foreign direct investment (FDI) inflow. The forum brought national and regional state presidents, ministers, lawmakers, regional investment and trade bureau heads, private sector representatives, university and research institution heads, and other stakeholders.

In his remark, Deputy Prime Minister and Foreign Minister Demeke Mekonnen said that the Ethiopian Government has undergone enormous reforms in the past four years to make the country ready for business. In this regard, the Homegrown Economic Reform Agenda and the 10-year Development Plan of the Government of Ethiopia aim to maintain sustainable growth, a stable macroeconomy, and decent and high-value-adding job opportunities. He also underscored that the objective of the economic reform was to ensure sustainable and accelerated economic growth and structural transformation, promote a market-led supply chain, and encourage the private sector to play its leading role in the economic sector.

The Deputy Prime Minister and Foreign Minister recalled that the Government of Ethiopia had identified the priority sectors, which are agriculture, manufacturing, mining, tourism, information, communication, and technology. He also underscored that the Ethiopian Government has laid out an elaborate program of building industrial parks (IPs), integrated agricultural industrial parks (IAIPs), special economic zones (SEZs), and special trade zones (STZs) as priorities for supporting foreign and domestic private sector partners, accelerating industrialization, and transforming the foundation of the economy. “The parks are favorable for agro-processors, leather product manufacturers, pharmaceuticals, and textile and garment manufacturers. In conjunction with  incentives provided by the the Government of Ethiopia, these IPs are set up with one-stop shopping services in order to expand the manufacturing sector.”

“To open up the economy, the Government of Ethiopia has made a concerted effort and implemented a wide range of interventions,” he said. “Huge strides have been made to eliminate previous development challenges, while a huge breakthrough has been made to overcome the setbacks that had plagued the country’s administration and governance. But Ethiopia has also faced complex challenges: a global pandemic and domestic political problem. The conflict in the northern part of the country is a case in point.”

The Deputy Prime Minister and Foreign Minister said that the peace agreement signed in Pretoria is critical and will move Ethiopia forward on the path of peace and prosperity. “The government of Ethiopia is committed to the implementation of the agreement signed, and it has taken all necessary measures and continued to faithfully implement the peace deal on the ground,” he said. It has also created a conducive environment and laid the foundation for sustainable peace and stability. The government is expediting the provision of humanitarian aid, the restoration of services, and reconstruction and rehabilitation, among others, he added.

He also explained his assurance that the government’s commitment remains steadfast and its collaboration on the implementation of the agreement is equally strong. Therefore, he goes on to say that the government of Ethiopia is determined to close this chapter and focus on ensuring sustainable and all inclusive socio-economic development in the country. This, combined with the government’s focus on massive infrastructure and human capital investment, abundant natural resources, an educated and trainable workforce, a sizable and captive market, and our geographical location, makes our business climate competitive. In his concluding remarks, Demeke Mekonnen said that Ethiopia has huge investment potential and untapped resources that make Ethiopia an investment destination for foreign investors; our ability to attract, retain, and expand investment projects operating in the country, as well as attract quality FDI inflows, requires concerted action. Thus, he called upon all stakeholders—government bodies at all levels and the private sector—to work together to improve Ethiopia’s readiness for global competitiveness in attracting quality FDI and reinvigorating growth through quality investment.

Following the opening remarks, four papers on “Quality Investment for Transformative Growth,” “Investment Opportunities and Challenges,” “Economic Diplomacy Roadmap,” and “Ethiopia Tamirt (Let Ethiopia Produce)” were respectively presented to the audience and then followed by thorough discussions. All participants appreciated the government’s initiatives targeted at increasing foreign direct investment (FDI) inflow and preparing such a timely forum. They also emphasized the need to resolve the challenges that operating investment projects have faced in some parts of the country and attract quality FDI that contributes to the creation of decent job opportunities, facilitates the transfer of technology, knowledge, and know-how, and enhances the skill base of our economy.

The discussion also emphasized strengthening domestic investors through capacity building, financial support schemes, and targeted incentive packages. It also recommended attracting high-value, mid- to small-scale FDI through targeted incentives, infrastructure, and enhanced investor services. Participants were also reminded that, in order to attract quality FDI, the government should place a greater emphasis on encouraging the private sector in general, and domestic investors in particular to develop an integrated national investment promotion strategy and a country-centric promotion strategy, as well as transition from an opportunity profile to a project profile. In addition, the role of stakeholders’ collaboration in creating a conducive investment environment to attract, retain, and expand investment projects in Ethiopia is paramount.

In his closing remarks, State Minister of Foreign Affairs Ambassador Mesganu Arga highlighted that Ethiopia has undergone massive economic changes to prepare the country for commerce. He cited, among other things, domestic economic reform aimed at encouraging private sector participation in the economy, national ease of doing business initiatives aimed at creating a transparent regulatory framework, opening up several sectors to the private sector, revision of the commercial law, and a new policy that opens up the financial sector to foreign investors as encouraging measures taken by the government to shift away from state-led development. However, he said much has to be done to improve Ethiopia’s readiness to attract quality FDI. In this regard, he added that the Ministry of Foreign Affairs will play a pivotal role in coordinating economic diplomacy activities to resolve investment constraints and make Ethiopia an investment destination. Finally, it was explained that the Institute of Foreign Affair and other research institutions should continue their research activities on foreign relations-related matters to maintain our national interest.

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