eBizGuides Ethiopia by eBizGuides

ETHIOPIA

PRODUCTION Producer: Pascal Belda General Director: Carolina Mateo Regional Sales Manager: Abel Peña Secretary General: David Hazán Legal Department: Lucía Martí Project Directors: Manuel Sáinz & Marta Mariño Editor: Paul Morrissey Creative Director: Luisa Tronea EDITION Written and edited by eBiz Guides - FOR ALL SOURCE MATERIAL SEE BIBLIOGRAPHY Sector overviews provided by Minister of Finance & Economic Development from “Growth and Transformation Plan (2010/112014/15) Annual Progress Report for F.Y. 2011/12” and the Ethiopian Investment Agency Investment & Legal Framework, The Ethiopian Economy and Finance Sector Overviews provided by the Deloitte Consulting Plc and the Ethiopian Investment Agency Water & Energy Sector Overview provided by Ethiopian Electric Power Corporation Transport Sector Overview assisted by the Ethiopian Roads Authority and Ethiopian Railway Corporation Tourism Information provided by Ministry of Culture and Tourism (Ato Girma Timer) Charts, data and graphs provided by different Ministries and Authorities Other information sourced from various websites and documents, all to be found in the Bibliography at the back of the guide Photos: pictures by eBiz Guides, Antonio Fiorente, Ethio Telecom, Ministry of Mines, Ministry of Culture and Tourism, Ministry of Urban development & Construction, Ethiopian Roads Authority, and Water Works Construction Enterprise.

ACKNOWLEDGEMENTS We sincerely thank the following individuals and companies: Addis Ababa Chamber of Commerce, Allana Potash and Mr. Nejib Abba Biya for his support; the Ministry of Culture and Tourism, especially Girma Timer for providing invaluable information and photographs, and for his exemplary support to this guide book; to all the people working at the Ministry of Government Communications Affairs, especially Mr. G, the Ministry of Industry (H.E. Mekonnen Manyazewal), the Ministry of Transport (H.E. Deriba Kuma), the Ministry of Communication and Information Technology (H.E. Debretsion GebreMichael), the Ministry of Mines (H.E. Sinkinesh Ejigu), the Ministry of Urban Development & Construction (H.E. Mekuria Haile), Mr. Teshome Toga, Ambassador at France and Ms. Teguest Yilma, Managing Director of Capital Ethiopia, for helping us at the beginning of this report; Mr. Teshome Fantu, General Manager of Wassamar Hotel and the hotel’s staff, always the best hotel in town where we felt not only in paradise but also at home. And last but not least, our most sincere admiration and acknowledgements to Mr. Eyasu Endale and Mr. Ashenafi Mulatu, our Ethiopian brothers. We would also like to thank the heads of the following companies and organizations for their sponsorship and support and without whom this eBiz Guide would not have been possible: Allana Potash, Antonio Fiorente Photographer, Awash Insurance Company, Deloitte Consulting Plc, Ethiopian Rift Valley Safaris, Ethio Telecom, Ethiopian Airlines, Ethiopian Shipping and Logistics Services, Ethiopian Steel Plc, Jupiter International Hotel, Metals & Engineering Corporation, Ministry of Culture & Tourism, Panorama Hotel, Sugar Corporation, Wassamar Hotel, Water Works Construction Enterprise and Fikadu Asfaw and Associates Law Office.

DISCLAIMER While every effort has been made to ensure the accuracy of the information contained in this publication, this cannot be guaranteed and neither eBiz Guides nor any related entity shall have any liability to any person or entity that relies on the information contained in this publication. This publication is not a substitute for professional advice and it should not be acted on or relied on or used as the basis for any decision or action that may affect you or your business. Any reliance is solely at the user’s risk.

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Printed by Montegraf S.L. ISBN: 978-84-938169-2-6 Legal deposit: M-29564-2013

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HOW TO USE THIS GUIDE The goal of eBiz Guides is to offer extensive economic and investment information on a country, with a focus on the top companies, while offering the best tourism and entertainment information for your spare time. With this tool, we believe that our readers can get fully acquainted with the country, before investing in it long term. This book comprises three major sections, which deal with general information, business information and entertainment.

General Information Background information on the country is coupled with a useful map and vocabulary.

Business This section of the book starts off with the main business resources available for you as well as an in-depth look at the countryâ&#x20AC;&#x2122;s investment and legal framework and the economy itself. Through personal interviews with the most important business people in the country, we then provide our readers with privileged information and sector analysis, including introductions written by decisionmakers in the sector, such as government ministers. You will also find fact files of all major corporations, outlining their business activities, key projects and any investment opportunities.

Entertainment For you to fall in love with the country, we also showcase the best spots to visit, essential areas to discover, the top hotels, restaurants and much more.

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Icons

eBiz Recommended These companies were particular favorites of our team during their stays; this stamp is mostly given to restaurants and hotels.

eBiz Recommended Partner Our team has been interviewing the heads of many companies; when they choose to allocate this stamp to a company, it is because they have received reliable service from the company.

ATTENTION! This indicates that the information is important and something to take notice of when planning, or during your stay.

H.E. GIRMA WOLDE-GIORGIS PRESIDENT

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and even transformation of our economy in our Growth and Transformation Plan (GTP).

Dear reader, The change in the last years in Ethiopia is tremendous, both in political and economical issues. Economically, Ethiopia is better developed now than even before, because the country is open up; policies are very friendly. I also would like to assure you that Ethiopia is proud of being a fast growing economy, where we have been registering a remarkable double digit economic growth for the last eight years and heading forward to further expansion

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The secret behind such sustainable economic growth for about a decade is a well articulated, designed and implemented home grown economic road-map, the agriculture-led industrialization policy. Due to the fact that the majority of the Ethiopian people depend on agriculture for their livelihood, the policy has taken a clear account of the objective and realistic socio-economy of the country. It centered on the development of agriculture and agriculture led-industrialization. With the Government, we guaranteed the stability of the country, peace and security, which are very important factors for economic development. People must come to Ethiopia, see what a beautiful country it is, a very rich country with very nice people. On behalf of the people and government of Ethiopia and that of my own, I would like to invite you to come and invest in Ethiopia, a great trip you will never forget.

H.E. HAILEMARIAM DESALEGN PRIME MINISTER

Dear friends, As Prime Minister of the Federal Democratic Republic of Ethiopia it is a pleasure to address a few words to you. have come a long way. Never in its entire modern history has Ethiopia had the kind of rapid economic growth that

it has witnessed over the last decade or tory, Ethiopia has begun to see a bright light at the end of the tunnel in terms of real prospects for economic transformation. We are, no doubt, on a hugely promising trajectory. Our Growth and Transformation Plan to which our late Prime Minister was devoted and which is now embraced by our people, is designed to catapult our nation to that destination which has eluded our people for so long but which is now within reach. Our economic growth, which is at 11% of GDP per annum over the past eight years, and the fair distribution of incomes as well as the effective implementation of our economic policies, programmes and development strategies which focus on enhancing the productive capacity of small holder private

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agriculture users, expansion of service sectors, addressing poverty in urban areas by promoting pro-poor projects and creating job opportunities for the youth, are all major contributing factors to this very positive outcome. Although much remains to be done in overcoming the existing challenges, we believe that, with this very encouraging economic performance and fast pace of poverty reduction, we are on the right track to by half in 2015. Without a vibrant and strong private sector the economy cannot grow well, and it cannot be sustainable. So the focus is to have a vibrant, value-creative and strong private sector. This means on one hand, we have to eliminate all the bottlenecks for the private sector like infrastructure: without the proper infrastructure in place, you cannot make the private sector competitive. Logistics is one of the areas where we have to focus because you are competing globally, and if you compete globally in Africa the main bottleneck is the cost of doing business, the cost of transaction. So we have to reduce the cost of transaction and, in that manner, my government is engaging in huge infrastructure developments: one is energy; without proper energy in place, you cannot have a proper manufacturing sector; the other one is transport infrastructure, like railways, roadsâ&#x20AC;Ś we are engaged in this sector with huge investments, and on the other hand we need to have the social infrastructure like social connectivity; we need to have a proper Internet in place if we want to reduce the cost of transaction. We have invested billions of dollars in these areas. In 2013 alone, we are investing in Energy in the

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in telecom expansion we are engagthat in a year we have engaged in huge investments in infrastructure developments because we know that without proper infrastructures we cannot attract FDI as well as domestic private sector to grow. Also, the services we deliver have to be one-stop, and in this regard we have designed a proper institution to give one-stop services to private investment. So these are also part of doing business: the transaction cost will be reduced if the Government services are given in one place without hassling the private sector. So these are the areas that my government is working very hard to improve the investment environment in the country. We do all this also with full recognition of our responsibility, as the second most populous country in Africa, to contribute to regional integration. We foresee huge possibilities for bringing the countries of the greater Horn of Africa together. We have already gone some distance in playing a catalytic role in laying the infrastructural basis for consolidating economic ties with the countries of our region. The electric power interconnections and the road networks that we have built, and are in the process of building with Djibouti, Sudan, Kenya and South Sudan, are emblematic of our resolve to play our part in regional integration. Finally, I want to thank eBiz Guides for choosing Ethiopia as the focus of this important publication. I am sure it will provide support to the efforts being made to attract the eyes of the world to Ethiopia, where we always receive visitors with open arms. We look forward to welcoming you.

INDEX INTRODUCTION Map and Regional Profile

General Information

Diplomatic Institutions

Did you know?

? 40

Vocabulary

BUSINESS Business Resources

Top 100 Companies

Economy

Investment & Legal Framework

Finance

Water & Energy

102

Mining

120

Trade & Industry

130

Real Estate & Construction

150

Transport

162

Communication

184

Agriculture

194

Education & Healthcare

210

Tourism Industry

220

ENTERTAINMENT Introduction

244

What to see & do

266

Where to eat?

284

Where to stay?

285

Nightlife

286

MAP

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ETHIOPIA REGIONAL PROFILE

Federal Democratic Republic of Ethiopia. Federal system with multi-party democracy. President Girma Woldegiorgis. Prime Minister Hailemariam Desalegn. Addis Ababa. Ethiopia is situated in the north-eastern part of Africa. It is bordered by South Sudan and the Sudan to the West, Eritrea to the North, Djibouti and Somalia to the East and Kenya to the South, extending 30 º to 15º north of the equator and 33º to 48º east of the Greenwich meridian. 1.14 million km2. 513,000 km2 (45%). 34,200 km2 (3%). 7,000 km2. The Ethiopian Constitution was adopted in 1995. The Constitution provides for a federal system, which is structurally based on the federal government with nine autonomous regional states and two chartered city administrations. The FDRE has a parliamentarian form of government with a bicameral parliament, which comprises the House of the Peoples’ Representatives and the House of the federation. The House of the Peoples’ representatives is the highest authority of the federal Government. There are two major seasons. The dry season prevails from October through May. The wet season runs from June to September. Ethiopia has an elevated central plateau varying in height from 2,000 to 3,000 meters above sea level. In the north and centre of the country. 91,73 million (2012). Amharic. GMT +3. Birr (ETB). +251.

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General Information

Photo: Antonio Fiorente

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GENERAL INFORMATION Home to a rich and diverse cultural canvas and the genuine cradle of civilization, Ethiopia is a modern and ambitious country that still manages to retain its natural charm and fascination. With its population of some 90 million and dream strategic location, Ethiopia is poised to make its next important step in industrial and economic development.

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Photo: Antonio Fiorente

OVERVIEW With its fabulous 3,000 years of history, diverse ethnic groups with their own language, culture and traditions as well as with its magnificent scenery embracing contrasting land features ranging from the tops of the rugged Semen Mountains to the depth of the Denakil Depression (which is more than 100 meters below sea level and one of the lowest dry land points on Earth) Ethiopia’s nature, culture and history merge to form a timeless appeal. This was the cradle of humankind, where humans first began to walk upright, as evidenced by their celebrated ancestors Lucy, Selam and Ardi, who originated in this land and are believed to be the ancestors of everyone on planet Earth. In Ethiopia you will be walking on the footprints of your ancestors. The conditions are ripe: there are an estimated 91 million people in Ethiopia and the economy is growing fast; indeed it is one of the fastest growing economies in the world (28th as of 2013). One need only look at the government investments being made in infrastructure, in road networks, in electricity, etc. Taking into consideration all segments of economic government spending, there is a marked improvement, which is far more notable than what is happening in the rest of Africa. So if you are going to be investing in Africa, you can’t afford to miss out on Ethiopia as the indicators show

this is the country that is going to lead the continent’s growth. A very safe and stable country, its location is ideal, and the government is increasingly interested in imports. Africa is the emerging continent and Ethiopia is at the very heart of its movement; the continent’s best kept investment secret.

HISTORY Ethiopia is beyond your wildest dreams. The history of the country is known to many as Abyssinia: rich, ancient, and still in part mysterious. It is believed by anthropologists that Ethiopia’s Great Rift Valley is the site of the origin of humankind. The first recorded account of the country dates back to almost 5,000 years ago during the time of the Egyptian pharaohs, when the ancient Egyptians sent expeditions down the Red Sea in quest of gold, ivory, incense and slaves. It is in the Afar region of Ethiopia where scientists discovered the remains of “Lucy” or ‘‘Dinkenesh’’, meaning “Thou art wonderful”, as she is known to Ethiopians. “Lucy” lived more than three million years ago, and her bones now repose in the Ethiopian National Museum. Ethiopia is mentioned over 30 times in the Holy Bible

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as well as in the Holy Koran. The country’s rich history is filled with legends of King Solomon and the Queen of Sheba; the Ark of Covenant that is said to rest in Axum; the great Axumite Kingdom and the birth of Christianity; the rise of Islam; and the story of King Lalibela, who is believed to have constructed eleven rock-hewn churches, still standing today and considered by many to be the Eighth Wonder of the World. Ethiopia is the only African nation that was not colonized by European colonial forces. It was only briefly occupied by the Italians between 1936 and 1941. In modern history, between 1889 and 1913, Emperor Menelik II reigned and halted the progress of the advancement of European powers. The Italians created the greatest threat, having begun to colonize part of what would become its future colony of Eritrea in the mid 1880s. In 1896, the Ethiopians defeated the Italians at the Battle of Adwa, which was considered the first victory of an African nation over a European colonial power. The successor of Menelik II, King Haile Selassie I (who reigned from 1930-1974) was left with the task of dealing with Italian expansionism. During the years of World War II, Ethiopia was liberated from the Italians by the joint forces of the Renaissance Movement and the British Army.

The biggest impact of the coup d’état was the emergence of Lieutenant Colonel Mengistu Haile Mariam as the head of state, and the re-orientation of the government and the national economy from capitalism to Marxism. During the 17 years of the military-controlled government, the economy deeply worsened, while the civil unrest grew beyond the control of the military. Growing civil unrest and a unified force of Ethiopian people, led by the Ethiopian People’s Revolutionary Democratic Front (EPRDF) against their communist dictators finally led to the end of the Mengistu regime in 1991. Between 1991 and 1995, the transitional government of Ethiopia, as a coalition of 27 political and liberation organizations, embarked on its path to transform Ethiopia from a centralized, military controlled country to a free and democratic federation.

DEMOGRAPHICS Ethiopia's population is highly diverse. Most of its people speak a Semitic or Cushitic language. The Oromo, Amhara, and Tigrayans make up more than three-fourths of the population, but there are more

Photo: Antonio Fiorente

After being restored to power, Emperor Haile Selassie I (The First) attempted to implement reforms

and the modernization of state. However, increasing internal pressures, including conflict with Eritrea and severe famine, placed strains on Ethiopian society that contributed in large part to the 1974 military rebellion that ended the regime of Haile Selassie I.

Ethiopia has a very young population.

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than 80 different ethnic groups within Ethiopia. Some of these have as few as 10,000 members. In general, most of the Christians live in the highlands, the Muslims inhabit the lowlands, and adherents of animist religions populate the southernmost regions. English is the most widely spoken foreign language and is taught in all secondary schools. Amharic was the language of primary school instruction but has been replaced in many areas by local languages such as Oromifa and Tigrinya.

GOVERNMENT Ethiopia is governed under the constitution of 1995, under the title Transitional Government of Ethiopia, which provides for a president as head of state and a prime minister as head of government. This was led by Meles Zenawi from 1995 until his death on August 20th, 2012. The current government of Ethiopia was installed in August 1995; the first President was Negasso Gidada. The EPRDF-led government of Prime Minister Meles Zenawi promoted a policy of ethnic federalism, devolving significant powers to regional, ethnically based authorities. Ethiopia today has nine semi-autonomous administrative regions that have the power to raise and spend their own revenues. The bicameral Parliament consists of the 108-seat House of Federation, whose members are chosen by state assemblies to serve five-year terms, and the 547-seat House of People's Representatives, whose members are popularly elected and who in turn elect the president for a six-year term. The prime minister is designated by the party in power following legislative elections. Administratively, the country is divided into nine ethnically based regions and two self-governing administrations (the capital and Dire Dawa). The Transitional government of Ethiopia was established immediately after the fall of the People's Democratic Republic of Ethiopia, and was led by Meles Zenawi, who remained the Prime Minister of Ethiopia until his death. In 1995 a constitution was adopted, which ended the period of transition and created a democratic federal structure for the government. It made adopted the name "Federal Democratic Republic of Ethiopia" for the country, and redrew the provinces into ethnicity based regions, similar to how India formed its states soon after independence.

ADDRESSES OF THE MINISTRIES Ministry of Agriculture Addis Ababa P.O. Box 62347 Tel: +251-11-551 8040 / 551 7354 Fax: +251-11-551 1543 vmoasc@ethionet.et Ministry of Culture and Tourism Addis Ababa P.O. Box 1907 Tel: +251-11-515 6711 Fax: +251-11-551 2889 tour-com@ethionet.et Ministry of ICT Addis Ababa P.O. Box 80002 Tel: +251-11 552 7954 Ministry of Industry Addis Ababa P.O. Box 5641 Tel: +251-11-551 8025-29 Fax: +251-11-551 4288 Ministry of Finance & Economic Development Addis Ababa P.O. Box 1905 Tel: +251-11-155 2400 Fax: +251-11-156 0124 Ministry of Foreign Affairs Addis Ababa P.O. Box 393 Tel: +251-11-551 7345 Fax: +251-11-551 4300 / 551 1244 mfa.addis@telecom.net.et Ministry of Health Addis Ababa P.O. Box 486 Tel: +251-11 551 7011 Fax: +251-11 551 9366 Ministry of Mines Addis Ababa P.O. Box 486 Tel: +251-11-646 3166 Fax: +251-11-646 3364 information@mom.gov.et

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Ministry of Labor & Social Affairs Addis Ababa P.O. Box 2056 Tel: +251-11-551 7080 Fax: +251-11-551 8396 molsa.comt@ethionet.et Ministry of Trade Addis Ababa P.O. Box 704 Tel: +251-11-551 8025 Fax: +251-11-551 5411 Ministry of Transport Addis Ababa P.O. Box 1238 Tel: +251-11 551 8292 Fax: +251-11 551 5665 Ministry of Urban Development & Construction Addis Ababa P.O. BOX 24134 / 1000 Tel: +251 11-553 1688 Fax: +251 11-554 1268

due to the government's linkage with international communism and U.S. revulsion at its human rights abuses. Bilateral relations improved with the 1991 downfall of Ethiopia's regime. The United States and the people of Ethiopia share a strong history as friends and partners. Today, the three pillars of the bilateral relationship are economic growth and development; democracy, governance, and human rights; and regional peace and security. The United States and Ethiopia work together to enhance food security, improve health services, strengthen education, promote trade, and expand development. The United States has welcomed Ethiopia's dedication to maintaining security in the region, including through peacekeeping missions in Sudan and South Sudan.

U.S. Assistance to Ethiopia

Ministry of Water & Energy Addis Ababa Haile G / Silassie Road P.O. Box 5744 / 5673 Tel: +251-11 661 1111 Fax: +251-11 661 0710 / 0885 info@mowr.gov.et

Ethiopia is prone to drought, and the United States has provided emergency resources to it in the form of food aid and humanitarian assistance. U.S. development assistance to Ethiopia is focused on reducing famine vulnerability, hunger, and poverty and emphasizes economic, governance, and social sector policy reforms. Some military training funds, including training in such issues as the laws of war and observance of human rights, also are provided but are explicitly limited to nonlethal assistance, training, and peacekeeping support at present. Ethiopia is a member of the Non-Aligned Movement.

FOREIGN RELATIONS

SECURITY

Taken in its historical context, remarkable strides have been made in Ethiopiaâ&#x20AC;&#x2122;s foreign relations as of 2013. The country has broadened the scope of its foreign relations to cover diverse sectors including technology transfer, investment, trade, tourism, peacekeeping and joint border security, among others. Relations are particularly strong with Djibouti, Eritrea, Kenya, Namibia, and Somalia.

U.S. - Ethiopia Relations The United States established diplomatic relations with Ethiopia in 1903. Italy, which had neighboring possessions in Africa, invaded and occupied Ethiopia from 1935 until its expulsion in 1941 during World War II. The United States never publicly recognized Italian authority in Ethiopia. After Ethiopia's 1974 revolution, U.S., Ethiopian relations began to cool

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Most countries recommend caution when traveling to border areas due to terrorism activities. Registering to your Embassy is always advised.

U.S - threats to Safety and Security U.S. citizens are strongly advised to review their personal safety and security posture, to remain vigilant, and to be cautious when frequenting prominent public places and landmarks. While Ethiopia is generally stable, domestic insurgent groups, extremists from Somalia, and the heavy military presence along the border with Eritrea pose risks to safety and security. A number of al-Qaida operatives and other extremists are believed to be operating in and around Africa. Since the July 11, 2010, terrorist bombings in Kampala, Uganda, for which the

Photo: Antonio Fiorente

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Somalia-based, U.S. government-designated Foreign Terrorist Organization al-Shabaab has claimed responsibility, there have been increased threats against public areas across East Africa. Current information suggests that al-Qaida and affiliated organizations continue to plan terrorist attacks against U.S. interests in multiple regions, including Africa. In February 2012, leaders of al-Shabaab and al-Qaida announced a merger of the two groups. U.S. citizens should strongly consider the risk of attending or being near large public gatherings, or venues where westerners gather on a routine or predictable basis, and which have no visible security presence. Such gatherings or venues can provide vulnerable targets for extremist or terrorist groups. U.S. citizens should avoid, if possible, using public transportation, including mini-buses, and should vary their travel times and routes to the extent possible. You are advised to avoid unattended baggage or packages left in any location, including in taxis. There are periodic attacks on civilians as well as security forces in the Somali region of Ethiopia. In 2011, Kenyan and Ethiopian forces initiated an offensive against al-Shabab in Somalia, together with the African Union Mission in Somalia (AMISOM), which has been in Mogadishu since 2007, resulting in an increase in the threat level in Ethiopia and neighboring countries. In southern Ethiopia, along the Kenyan border, banditry and incidents involving ethnic conflicts are also common. You should exercise caution when traveling to any remote area of the country, including the borders with Eritrea, Somalia, Kenya, Sudan, and South Sudan, and avoid traveling outside of the major towns in these border areas.

GEOGRAPHY Ethiopia is in east-central Africa, bordered on the west by Sudan, the east by Somalia and Djibouti, the south by Kenya, and the northeast by Eritrea. It has several high mountains, the highest of which is Ras Dashan at 15,158 ft (4,620 m). The Blue Nile, or Abbai, rises in the northwest and flows in a great semicircle before entering the Sudan. Its chief reservoir, Lake Tana, lies in the northwest.

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The country is unique for being the only landlocked state in the region. Lengthy borders with Eritrea in the north and Somalia in the southwest are both disputed, for different reasons: Eritrea is hesitant to cede culturally important areas to Ethiopia, while Somalia refuses to abandon the many Somali people in the Ogaden desert region to Ethiopian rule. The Horn of Africa, and the Gulf of Aden off its coast, are a checkpoint for world trade; this has led to the spate of piracy eminating from the failed state of Somalia to the South. Sudan, bordering the country to the northwest, is home to the Darfur genecide. The state also shares borders with Djibouti and Kenya. Ethiopia is mainly highland topography, situated as it is atop the East African Rift plateau. The northern and southern highland regions are divided by the Great Rift Valley lowlands, which run through the middle of the country from southwest to northeast. The southern end of the valley is home to several large lakes. The northern highlands are further divided by the Blue Nile River, which is fed from Lake Tana, the largest body of water in Ethiopia. The northern highlands also contain the Simien Mountains, while large arid and semi-arid areas lie along the Somali border. The Danakil Depression, home to the Erta Ale volcano and other geologically active landformds, is on the northeast end of the Great Rift Valley, has the highest average annual temperature on Earth. Ethiopia is located in the tropical climatic region of Africa, though its varied topography leads to several different climate classifications throughout the country. The three primary climatic zones can be categorized as hot, temperate and cool. In the cool zone, which is restricted to areas above 2,400 meters, frost and snow are possible. The temperate zone is comprised of large

swaths of the highland regions, where elevations fall between 1,500 and 2,400 meters. Lowland regions with elevations less than this have temperatures more common to tropical Africa, with the Denakil and Ogaden regions even hotter than average for this lattitude. All areas, except the drier aforementioned regions in the lowlands, are subject to the monsoon season, which usually occurs no earlier than June. Addis Ababa and other eastern cities actually receive a second monsoon season, in April or May.

CLIMATE Ethiopia is in the tropical zone lying between the Equator and the Tropic of Cancer. It has three different climate zones according to elevation. is below 1,830 metres in elevation and has an average annual temperature of about 27 degree Celsius with annual rainfall about 510 millimetres. The Danakil Depression (Danakil Desert) is about 125 metres below sea level and the hottest region in Ethiopia where the temperature climbs up to 50 degree Celsius. includes the highlands areas of 1,830 and 2,440 metres in elevation and has an average annual temperature of about 22 degree Celsius with annual rainfall between 510 and 1,530 millimetres. is above 2,440 metres in elevation with an average annual temperature of about 16 degree Celsius with annual rainfall between 1,270 and 1,280 millimetres.

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Ethiopian Seasons june, july and august are the summer season. Heavy rain falls in these three months. september, october and november are the spring season sometime known as the harvest season. december, january and february are the dry season with frost in morning especially in january. march, april and may are the autumn season with occasional showers. May is the hottest month in Ethiopia.

PEOPLE & LIFESTYLE With over 80 different ethnic groups, the myriad cultures of Ethiopean communities are prominent in the peoples’ lifestyle. With traditions going back to the days of Axum, and a strong religious setting, celebrations and festivals play an important part in the daily lives of Ethiopians. The greatest festival is Timket (Epiphany), where tourists are welcomed to join in the celebratios. Other festivals, however, such as Enkutatash (the Ethiopian New Year, in September after the rains). Maskal, Gena (Christmas), Eid and Easter are just as glorious celebrations. In every region you will discover local festivals and ceremonies where you will be welcomed as an honoured guest. Remember, when checking any dates, that Ethiopia still retains the Julian calendar, and that the country is unique in having thirteen months.

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The Ethiopian traditional calendar remains almost eight years behind the Gregorian calendar of the West. The country’s population includes Semitic, Cushitic (Hamitic), Omotic and Niotic peoples, and a veritable melting pot of ancient Middle Eastern and African cultures. The population comprises more than 80 nationalities speaking about 83 languages and several dialects. The ethnic groups of Oromo, Amhara, Tigre and Sidama are the largest in that order.

LANGUAGES Due to the naturally fluctuating nature of languages, the official figure of active Ethiopian languages can differ. The general consensus is that there are 90 individual languages in Ethiopia, with the 1994 Ethiopian census indicating that some 77 tongues were spoken locally. Most of these languages belong to Afro Asiatic family. Semitic and Cushitic; Omotic languages are also spoken, though their classification is uncertain. Additionally, Nilo-Saharan languages are spoken by the nation's Nilotic ethnic minorities. According to Ethnologue, as of 2013 the number of individual languages listed for Ethiopia is 89. Of these, 87 are living and two are extinct. Of the living languages, 30 are institutional, 12 are developing, 28 are vigorous, 12 are ‘‘in trouble’’ and five are dying. English is the most widely spoken foreign language and is the medium of education in secondary schools and universities. Amharic was the language

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of primary school education, but has been replaced in many areas by local languages such as Oromo and Tigrinya. After the fall of the Derg regime in 1991, the new constitution of the Federal Democratic Republic of Ethiopia granted all ethnic groups the right to develop their languages and to establish mother tongue primary education systems. This was a significant shift from the language policies of previous governments in Ethiopia. In terms of writing systems, Ethiopia's principal orthography is Ge'ez or Ethiopic. Employed as an abugida for several of the country's languages, it first came into usage in the 6th and 5th centuries BC as an abjad to transcribe the Semitic Ge'ez language. Ge'ez now serves as the liturgical language of the Ethiopian and Eritrean Orthodox Churches. Other writing systems have also been used over the years by different Ethiopian communities. The latter include Sheikh Bakri Sapalo's script for Oromo. Ethiopian Semitic (also known as Ethiopian, Ethiosemitic, Ethiopic, or Afro-Semitic) is a language group, which together with Old South Arabian forms the Western branch of the South Semitic languages. The languages are spoken in both Ethiopia and Eritrea.

RELIGION The main religions in Ethiopia are Christianity, Islam, Judaism and Paganism. Ethiopia is a predominantly Christian country and the majority of Christians are Orthodox Tewahedo Christians, who belong to the Ethiopian Orthodox Tewahedo Church. There are a minority of Christians who are Roman Catholic or Protestant. The Ethiopian Orthodox Tewahedo Church is headed by a patriarch and is related to the communion of the Coptic Orthodox Church, the Armenian Orthodox Church, the Syrian Orthodox Church and Malankara Orthodox Church of India.

Christianity Christianity began in Ethiopia when two Syrian Christians (Frumentius and Aedissius) came to Aksum and started to tell people about Jesus Christ and the Christian faith. Frumentius and Aedissius influenced King Ezana, who ruled Aksum in the early part of the fourth century and successfully converted him to Christianity. Immediately after King Ezana converted to Christianity, he officially

decreed Christianity as the main faith of his kingdom in 341 A.D. and ordered Frumentius to go to Alexandria where he was consecrated bishop under the name of Abba Selama by the Patriarch of Alexandria in 346 A.D. Frumentius (Abba Selama) then returned to Ethiopia and became the first bishop of Ethiopia and founded the Ethiopian Church. Ethiopia became a powerful Christian kingdom and empire right up to the fifteenth century. Many Ethiopians claim that the Treasurer eunuch probably introduced the Christian faith when he returned to Ethiopia from his pilgrimage to Jerusalem well before the fourth century, but Christianity did not become the officially recognised religion until the reign of King Ezana in 341 A.D. The eunuch's pilgrimage is mentioned in the New Testament of the Holy Bible, Acts of the Apostles, chapter 8, verses 26 – 39. The Aksumite kingdom adopted Judaism and the Law of Moses during the reign of King Menelik, son of King Solomon and Queen of Sheba and then adopted Christianity as main faith in 341 A.D. The visit of Queen of Sheba to King Solomon and the pilgrimage by a high official (eunuch) to Jerusalem shortly after the death of Christ shows that the Ethiopians had close connections with the Israelites and Jerusalem. Since then Ethiopia has been observing both Old and New Testament practices.

Judaism Even though the Aksumite Kingdom had accepted the arrival of the Messiah, Jesus Christ, during the reign of King Ezana in 341 A.D., the Ethiopian Jews known as Felashas or Beta Israel refused to accept Christianity and continued to practise their Old Testament (Jewish) faith which they still do today. The Felashas (Beta Israel or Ethiopian Jews) were concentrated in Northwest Ethiopia, mainly, in the northern province of Gonder and west of Tigray province. The Falashas (Beta Israel or Ethiopian Jews) who kept their Jewish faith were airlifted in the 1980s, 1990s and those who were deemed eligible had also been able to immigrate to Israel until 2008. The immigration of Falashas was halted in 2008 due to the Israel’s “Law of Return” not permitting non -Jews until they prove their Jewish roots.The Falasha Mura (Beta Israel or Ethiopian Jews) community trace their Jewish roots to the biblical king Solomon. They are not eligible to immigrate to Israel under the Israeli’s “Law of Return”, which guarantees "every Jew has the right to immigrate to

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Israel, and granting automatic citizenship", because the Falasha Mura’s ancestors persuaded or forced to convert to Christianity in the 19th century and they have been unable to prove they are Jewish. However, the Netanyahu government recently decided to bring the remaining Falasha Mura community to Israel.

Islam Islam was introduced to Ethiopia in 615 A.D. when the followers of Prophet Mohammed, including his wife sought refuge in Aksum. The king of Aksum welcomed them, respected their religion and offered them protection. They later settled in Negash, east of Tigray, which became the foundation and one of the most important places for the Islamic faith in Ethiopia. Islam spread to the east and south east of the country (mainly Harar and Somali administrative regions) where the Muslim communities are predominant to this day.

Paganism / Indigenous Beliefs Paganism or indigenous religious beliefs are widely practised in Gambella, Southern Peoples' State, Oromia administrative regions. These regions also contain considerable animist communities.

EDUCATION Dating back centuries and until the early 1900s, education in Ethiopia had been controlled by the Ethiopian Orthodox Church, after which a secular system was introduced. The greatest challenge facing Ethiopian education has traditionally been, and continues to be, spreading and increasing literacy rates. The illiteracy rate of well above 90%, which reigned in the country has steadily been decreased over the years through dedicated strategies, to the point that literacy has risen to a reasonable 42% as of this year. The current system is based upon school expansion schemes to the rural areas, with the objective of decentralising and ensuring access for the entire population. Along with this, a policy of renationalisation has been put in place, allowing each diverse ethnic group to teach through its own language, beginning from primary level. The sequence of general education in Ethiopia

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is eight years of primary school, two years of lower secondary school and two years of higher secondary school.

PUBLIC HOLIDAYS & FESTIVALS With religion playing such an important part in Ethiopian culture, it is no surprise that this is the predominant theme in Ethiopian public holidays and festivals. Religious festivals and ceremonies play a focal point in Ethiopia’s social calendar; below is a list of the most important.

Ethiopian New Year (Enkutatash). Gena, Ethiopian Christmas is on Monday, 7 th January, 2013. Epiphany is on Saturday, 9th January, 2013. Victory at Adwa Day is on Saturday, 2nd March, 2013. Good Friday is on Friday, 29th March, 2013. Ethiopian Good Friday is on Friday 3rd May,2013. Ethiopian Easter Sunday is on Sunday, 5th May 2013. Labour Day is on Wednesday, 1st May, 2013. Patriots’ Victory Day is on Sunday, 5th May, 2013. Derg Downfall Day (National Day Ethiopia) is on Tuesday, 28th May, 2013. Eid al-Fitr (End of Ramadan) is on Thursday, 8th August, 2013. Meskel 2013 (Finding of the True Cross) is on Friday, 27th September, 2013. Eid al-Adha (Feast of Sacrifice) is on Tuesday, 15th Ocotober, 2013.

(Faseka) Easter. Timket Kulubi Gabriel Gishen Mariam Sheik Hussein

Sof Omar Axum Tsion Il Al Adha Id Al Fetir Maulid

BUSINESS WORKING HOURS Normal working hours are 8 hours a day or 48 hours a week. Overtime is only permissible for up to 2 hours a day, or 20 hours a month. There are 12 public holidays a year in Ethiopia. Ethiopia uses its own thirteen months calendar: The Julendar Calendar. Make sure you schedule your meetings using the Roman calendar!

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TAXES The Federal Inland Revenue runs the fiscal year from the 8th of July to the 7th of July. Expatriates are only liable for income tax on pay derived from local sources. All tax payers are provided with a unique 10-digit code number called the Tax Payer Identification Number. Flag of Ethiopia

VISAS Visas are required for all visitors to Ethiopia. The Immigration Department will issue either a tourist, work or business visa. Business visas are granted to people who frequently travel on behalf of the government. You can get a máximum of a 4-months visa. Be careful, if it expires, you might not be let go of the country! You can renew your visa at the Inmigration Department in Addis Ababa.

NATIONAL SYMBOLS Ethiopia has a number of national symbols with which its people identify.

The Emblem / Pentagram The Emblem of Ethiopia has been in its current

Flag The flag bears three equal horizontal bands of green (top), yellow, and red, with a yellow pentagram and single yellow rays emanating from the angles between the points on a light blue disk centered on the three bands; green represents hope and the fertility of the land, yellow symbolizes justice and harmony, while red stands for sacrifice and heroism in the defense of the land; the blue of the disk symbolizes peace and the pentagram represents the unity and equality of the nationalities and peoples of Ethiopia. Ethiopia is the oldest independent country in Africa, and the three main colors of her flag (adopted in 1895) were so often adopted by other African countries upon independence that they became known as the PanAfrican colors; the pentagram emblem in the centre of the current flag was added in 1996.

National Anathem Ethiopia’s national anthem is entitled "Wodefit Gesgeshi, Widd Innat Ityopp'ya", ("March Forward, Dear Mother Ethiopia"). The lyrics were composed by Dereje Melaku Mengesha and music by Solomon Lulu Mitiku. It was adopted in 1992, after the fall of the Communist regime. According to the constitution, The General Provision to says that the anthem “shall reflect the ideals of the Constitution, the Commitment of the Peoples of Ethiopia to live together in a democratic order and of their common destiny”.

The Emblem of Ethiopia

form since 1996. It contains a golden pentagram radiating rays of light on a blue shield. Today the pentagram stands for the unity of the people and the nationality of Ethiopia. The emblem also appears on the centre of the flag of Ethiopia. Ethiopia bears the pentagram on its national flag. A five-pointed star representing the five elements.

Ethiopia land of our fathers the land where our God wants to be like bees to a hive swiftly gather God children are gathered to thee. With our red, gold and green floating for us and our Emperor to shield us from wrong with our hope and our future before us we hail and we chant and we sing God bless our Negus, Negus I

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Photos: Antonio Fiorente

1. Ethiopia is one of the worldâ&#x20AC;&#x2122;s millenary cultures. 2. Ethiopia has over 80 different ethnic groups, 3, 4. Ethiopia's population is highly diverse, as different tribes represent.

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who keeps Ethiopia free to advance with truth and right, truth and right to advance with love and light, love and light. With righteousness pleading we hail to our God and King. Humanity pleading - one God for us all Ethiopia the tyrants are falling who once smote thee ´pon thy knee. Thy children are heartically calling from over the distant seas. Jahoviah - the great one has heard us. He has come to protect us from wrong. He has sent his holy angel to guide us and to protect us in this time God bless our Negus, Negus I who keeps Ethiopia free... to advance with truth and right, truth and right to advance with love and light, love and light. With righteousness pleading we hail to our God and King. Humanity pleading - one God for us all (Amharic transliteration) Yäzêgennät Keber Bä-Ityopp'yachen S'änto Tayyä Hezbawinnät Dar Eskädar Bärto. Läsälam Läfeteh Lähezboch Näs'annät; Bä'ekkulennät Bäfeqer Qomänal Bä'andennät. Mäsärätä S'enu Säbe'enan Yalsharen; Hezboch Nän Läsera Bäsera Yänoren. Denq Yäbahel Mädräk Yä'akuri Qers Baläbêt; Yätäfät'ro S'ägga Yä'jägna Hezb ennat; Ennet'äbbeqeshallän Alläbben Adära; Ityopp'yachen nuri Eññam Banchi Ennekura!

Lion of Judah Ethiopia's traditions, recorded and elaborated in a 13th century treatise, the "Kebre Negest", assert descent from a retinue of Israelites who returned with the Queen of Sheba from her visit to King Solomon in Jerusalem, by whom she had conceived the Solomonic dynasty's founder, Menelik I. Both Christian and Jewish Ethiopian tradition has it that these immigrants were mostly of the Tribes of Dan and Judah; hence the Ge'ez motto Mo`a 'Anbessa Ze'imnegede Yihuda ("The Lion of the Tribe of Judah has conquered"), included among the titles of the Emperor (King of Kings) throughout the Solomonic Dynasty. It is unknown whether John of Patmos was directly aware of this hereditary title when he penned it into the text of the prophecy. The Lion of Judah motif figured prominently on the old imperial flag, currency and stamps and may still be seen gracing the terrace of the capital as a national symbol. After the collapse of the Communist Derg

in 1990 and the increase of Western-style political freedoms, a minor political party bearing the name Mo'a Anbessa made its appearance.

CURRENCY Ethiopia’s oficial unit of currency is the birr (Ethiopian Birr). Before 1976, dollar was the official English translation of birr. Today, it is officially birr in English as well. In 1931, the Emperor of Ethiopia, Haile Selassie I, formally requested that the international community use the name ‘‘Ethiopia’’ instead of Abyssinia, and the issuing ‘‘Bank of Abyssinia’’ also became the Bank of Ethiopia. Thus, the pre-1931 currency could be considered the ‘‘Abyssinian birr’’ and the post-1931 currency the Ethiopian birr, although it was the same country and the same currency before and after. The Ethiopian Birr is the second-most-used currency in Africa with 88 million users, after the Nigerian naira. 186 billion birr were in circulation in 2008 ($14.7 billion).

COMMUNICATIONS Telecommunications in Ethiopia is a monopoly in the control of Ethio Telecom, formerly the Ethiopian Telecommunications Corporation (ETC); all telephone service and internet access requires Ethio Telecom to be involved.

HOW TO GET THERE Flying is the most practical mode of transport to get to Ethiopia, with Addis Ababa Bole International Airport being the country’s main airport, serving the capital city Addis Ababa. The total flight duration from London, United Kingdom to Addis Ababa, Ethiopia is 7 hours, 49 minutes. The total flight duration from California, U.S. is about 17-20 hours, depending on the number and location of layovers.

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Photo: Antonio Fiorente

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GETTING AROUND On arrival at Addis Ababa Airport, a taxi to the city centre is the most practical way and it is 100-150 birr. Hiring a car for a day-trip, on the other hand, can be quite expensive; at around 900 birr. Getting around in Ethiopia, and particularly in the capital Addis Ababa, involves familiarising oneself with the taxi colour scheme, of which there are blue, white, yellow and green. Blue and white minibuses / ‘line taxis’ are by far the most fun and uniquely Ethiopian way to get around. Line taxis are minivans with sliding doors on one side, holding maybe twelve to fifteen people. With their distinct colour they are easy to identify, and there are hundreds of them on the roads, weaving in and out of traffic. Catching a minibus involves the same process as anywhere else in the world - simply stand on the side of the road and hail it. The driver, usually a young man or boy pops his head out of the window or gets off at stops and shouts the name of the destination. Quite simply, if you’re going in that direction, you get on; if not, you wait for the next one. They are reasonably cheap, usually between 1-3 birr depending on how far you are going. To get out say "woraj alle", or just "woraj". Having an Ethiopian guide is advisable for your first time using these taxis, as it can be quite chaotic to find out, which minibuses go where, and from what places. Small, blue coloured Lada taxis are more expensive, as they are contracted as a traditional taxi, for a single trip or full day. Haggling is the norm and an expected part of the process, which can sometimes be a testing procedure as a foreigner. Yellow and green taxis usually hang around hotels like the Sheraton. They are more expensive, but very reliable, so worth it if you'd rather have peace of mind. 2. Otherwise, walking in Addis Ababa is a pleasant and perfectly accepted way of getting around. Locals will happily greet you, though foreigners should be vigilant of pickpockets.

1. The sun sets with style in Ethiopia. 2. White is the simbol of pureness. 3. Ethiopia has its own Orthodox church. 4. Nyala, the majestic Ethiopian icon. 5. Nach Dar National Park.

6. Addis Ababa is a melting pot of different religions.

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DIPLOMATIC INSTITUTIONS

Algeria Nifas Silk Lafto, Sub city H N New P.O. Box 5740 Addis Ababa Tel: +251 113 71 96 66 Fax: +251 113 71 96 68 algemb.addis@gmail.com

Austria Old Airport Area, Addis Ababa P.O.B. 1219 Addis Ababa Tel: +251 11 371 00 52 / +251 11 371 25 80 Fax: +251 11 371 21 40 addis-abeba-ob@bmeia.gv.at

Angola Rue Bole Road Wrada 18 Kebele 26 House N 006 C.P. 2962 Tel: +251 1 710118 Fax: +251 1 514922 angola.embassy@telecom.net.et

Bahamas Fikremariam Abatechan St. W16, K06 Addis Ababa Tel: +251 1 612354 Fax: +251 1 610588 b.emb4@telecom.net.et

Australia Hilton Hotel Addis Ababa, Ethiopia Tel: +251 11 552 3197 Fax: +251 11 552 3344

Belgium Kebena District Comoros Street Kebele 08

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FOREIGN EMBASSIES IN ETHIOPIA

P.O. Box 1239 Tel: + (251) 11 662 12 91 Fax: + (251) 11 661 36 46 AddisAbaba@diplobel.org Botswana P.O. Box 22282 Addis Ababa Tel: +251 1 715422 Fax: +251 1 714099 Brazil Kebele 2 Bole Sub-City, House N 2830 P.O. Box 2458 Code 1250 Addis Ababa Tel: +251 11 662-0401 / +251 11 662-0403 Fax: +251 11 662-0412 embradisadm@ethionet.et

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Bulgaria Kebele 6 Haile G/Selassie Road Addis Ababa Tel: +251 1 661 00 32 Fax: +251 1 661 62 70 bul.addis@gmail.com Canada Old Airport Area, Nefas Silk Lafto Sub City Kebele 4, House N 122, Addis Ababa Tel: +251 11 371 3022 Fax: +251 11 371 3033 addis@international.gc.ca China Jimma Road, Higher 24, Kebele 13, House N 792

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P.O.Box 5643 Tel: +251 1 711960 Fax: +251 1 712457 chinaemb_et@mfa.gov.cn Cuba Bole Subcity Kebele 1, N 1483 Addis Ababa Tel: +251 011 62636615 / 011 6260 embajada@et.embacuba.cu Czech Republic House N 289 Addis Ababa P.O. Box 3108 Tel: +251 11 5516382 Fax:+251 11 5513471 addisabeba@embassy.mzv.cz Denmark Bole Ketema, Kebele 3 H. N 'New' P.O.Box 12955 Addis Ababa Tel: +251 116 187 075 Fax: +251 116 187 057 addamb@um.dk Djibouti W17, K19, House N 003 Tel: +251 1 613200 Fax: +251 1 612786 brahim_kamil@hotmail.com El Salvador SIDIST KILO, Gulele Sub-City, Kebele 2 Addis Ababa Tel: +251 1 1226422 Fax: (251) 1 1226432 Finland Mauritania Street Kebele 12 House N 1431 P.O.Box 1017 Tel: +251 11 320 5920 Fax: +251 11 320 5923 France Quartier Kabana P.O. Box 1464, Addis Ababa Tel: +251 1 11 40 00 00

Fax: +251 11 140 00 40 presse@france-ethiopie.org Gabon Bole Road H-17 House 269 Tel: +251 1 61 10 75 Germany Khabana, Woreda 12 Kabele 20 Tel: +251 1 55 04 33 Fax: +251 1 55 13 11 german.emb.addis@telecom.net.et Ghana P.O. Box 3173 Tel: +251 1 71 14 02 Greece Off Debre Zeit Road, P.O. Box 1168, Addis Ababa Tel: +251 1 654911 2 Fax: +251 1 654883 greekeembassy@telecom.net.et Hungary P.O. Box 11127 Addis Ababa (22 Mazoria, next to Nazreth Building) Tel: +251 11 621 133 Fax: +251 11 615 494 haimanot54@yahoo.com India Arada District, Kebele 14 (Next to Bel Air Hotel) H.N 224, Around Aware Post Box N 528 Tel: +251 11 1235538/39/40 / 41 Fax: +251 11 1235547/1235548 bharat@ethionet.et Indonesia Mekanissa Road Higher 23 Kebele 13, House N 1816 Addis Ababa Tel: +251 712 104/ 712 185 Fax: +251 1 710 873 kbriadis@telecom.net.et Iran P.O.Box 70488 Addis Ababa Tel: +251 200794 / 712012

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DIPLOMATIC INSTITUTIONS Ireland Kirkos Sub-city, Kebele 06 Sierra Leone St. (Debre Zeit road) House N 021 P.O. Box 9585 Addis Ababa Tel: +251 11 466 5050 Fax: +251 11 466 5020 addisababaembassy@dfa.ie Israel Higher 16, Kebele 22 House N 283 Addis Ababa Tel: +251 11 646 09 99 Fax: +251 11 646 19 61 embassy@addisababa.mfa.gov.il Italy Villa Italia - KebenĂ P.O. Box 1105 Addis Abeba Tel: +251 111235717 / 1235685 Fax: +251 1235689 ambasciata.addisabeba@esteri.it Jamaica Debrezeit Road Higher 20, Kebele 45 House # 921, P.O. Box 5633 Tel: +251 1 654322 Fax: +251 114 654 747 Japan House N 653 Kebele 7 Woreda 18 P.O. Box 5650 Tel: +251 1 51 10 88 Fax: +251 1 51 13 50 Kenya Fikre Mariam Road High 16 Kebelle 01 P.O. Box 3301 Tel: +251 11 6610033 Fax: +251 11 6611433 kengad@telecom.net.et Kuwait Bole Road, Nouse 128 Addis Ababa Tel: +251 11 6615411/ 6615412 Fax: +251 11 6612621

Addis Ababa City: Kebele Phone: +2511 612828 / 614368/9 Fax: +2511 612837 mscaya@hotmail.com Madagascar Kefetagna 17, Kebele 19 House N 629 Bole, Addis Ababa Tel: +251 1 61 25 55 Fax: +251 1 63 75 62 amba.mad.addis@telecom.net.et Malawi Woreda 23, Kebele 13, House. N 1021 P.O.Box 2316 Addis Ababa Tel: +251 11 3711280 Fax: +251 11 3719742 malemb@ethionet.et malemb@telecom.net.et Mali Addis Ababa Tel: +251 11 2712601 Fax: +251 11 2712601 addismali.addis@telecom.net.com Mauritius P.O. Box 200222 Addis Ababa Tel: +251 1615997 Fax: +251 1614704 mmaddis@telecom.net.et Mexico Shola Axion (former Jacross Compound), Kebele N 14 New Block: B5/6 P.O. Box 21021 Code 1000 Tel: +251 116 479 333 Fax: +251 116 479 333 Morocco P.O. Box 60033 Addis Ababa Tel: +251 11 5531700 Fax: +251 11 5512818 Mozambique P.O. Box 5671 Addis Ababa Tel: +251 11 3728622/3 / 3718593 embamoc-add@ethionet.et

Lesotho P.O. Box 7483 Wereda 17 Kebele 23 H.2116/K,

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Namibia Bole Road W. 17, Kebel 19 House N 002, P.O. Box 1443 Tel: +251 1611966 / 612055 Fax: +251 1612677 Netherlands P.O. Box 1241 Old Airport Zone H24, K13, House 1 Tel: +251 1 711100 Fax: +251 01 711577 add@minbuza.nl

Portugal 'Dembel' City Centrer 8th Floor Bole Road Tel: +251 11 552 6899 Fax: +251 11 552 6885 embportaddis@gmail.com Romania Woreda 17, Kebele 19, Houses N 0910, Bole Road or P.O. Box 2478 Tel: +251 1 610156 Fax: +251 1 611196 roembaddis@telecom.net.et Russia

Niger W.9, K.23 P.O. Box 5791 Tel: +251 1 651305 / 550644 Fax: +251 1 651296 Nigeria P.O. Box 1019, Addis Ababa Tel: +251 1 1550644 Fax: +251 11 1552307 Norway Buna Board Road Mekanissa P.O. Box 8383 Tel: +25111 3710799 Fax: +251 11 3711255 / 3713605 emb.addisabeba@mfa.no Pakistan House N 2038, Kebele 3, K.K. Bole, P.O. Box N 19795, Tel: +251 11 6188395 / 6188293 Fax: +251 11 6188394 parepadisababa@hotmail.com Palestine Authority PO Box 5800 Addis Ababa Tel: +251 1 610811 / 251 1 610672 Fax: +251 1 611199 etemb@mofa-gov.ps zaeth2003@yahoo.com.uk Poland P.O.Box 27207, 1000 Addis Ababa Tel: +251 11 157 41 89/90 Fax: +251 11 157 42 22 polemb@ethionet.et addisabeba.amb.sekretariat@msz.gov.p

Fikre-Mariam Street, Addis Ababa Tel: +251 1 612-060 / 611 828 Fax: +251 1 613-795 russemb@telecom.net.et Rwanda Embassy of Rwanda Africa Avenue H-17K-20 P.O. Box 5618 Addis Ababa Tel: +251 11 6610300 / 6610357 / 6610387 Fax: +251 11 6610411 ambaddis@minaffet.gov.rw Saudi Arabia Gergos Area, 4 Qabali, House number B 179 1104 Addis Ababa Tel: +251 11 4425643 Fax: +251 11 4425646 etemb@mofa.gov.sa Senegal Africa Avenue, W17, K20, House N 777 P.O .Box 2581 Addis Ababa Tel: +251 1 611376 Fax: +251 1 610020 Serbia W15, K26, House N 923 P.O. Box 1341 Tel: +251 1 517804 Fax: +251 1 516763 / 1 514192 yugoslav.embassy@telecom.net.et Sierra Leone Nafas Silk Sub-City Kebele, 5 House N 2629, Tel: +251 11 371 0033 Fax: +251 11 371 1911 saloneembadd@yahoo.co.uk

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DIPLOMATIC INSTITUTIONS South Africa Nifasilk Lafto, Subcity Kebele 3 South Africa Street (Old Airport Area) Addis Ababa Tel: +251 11 371 1002 Fax: +251 11 371 3035 sa.embassy.addis@telecom.net.et Spain Addis Abeba Entoto Av. P.O. Box 2312 Tel: +251 11 55 02 22 Fax: +251 11 55 11 31 ethiopia@ethiopianembassy.org Sudan Tel: +251 1 515 241 Fax: +251 1 517 030 / 1 518 141 sudan.embassy@telecom.net.et Sweden Lideta subcity Kebele 7/14, House N 891 P. O. Box 1142 Addis Abeba Tel: +251 11 518 0000 Fax: +251 11 518 0030 ambassaden.addis.abeba@sida.se Switzerland Old Airport, W24, K13 Phone: +251 1 711107 / 710577 / 711608 Fax: +251 1 712177 vertretung@add.rep.admin.ch Tanzania P. O. Box 1077, Addis Ababa, Tel: +251 1 511063

Ukraine Woreda 17, Kebele 23, House 2111 Tel: +251 1 611698 Fax: +251 1 621288 USA Entoto Street P.O. Box 1014 Addis Ababa Tel: +251 1 550666 Fax: +251 1 174001 usemaddis@state.gov Sahrawi Arab Democratic Republic P.O. Box 3008 Addis Ababa Tel: +251 11 271 8666 Fax: (+251 11 271 8667 sadrem@telecom.net.et Yemen P.O. Box 664 Addis Ababa Tel: +251 1 711811 / 712204 / 710990 Fax: +251 1 710991 Zambia P.O. Box 1909 Addis Ababa Tel: +251 11 371 1302 Fax: +251 11 371 1566 zam.emb@ethionet.et Zimbabwe W17, k19, house N 007 P.O. Box 5624, Addis Ababa Tel: +251 1 61 38 77 / 2 Fax: +251 1 61 34 76 zimbabweembassy@telecom.net.et

Togo Tel: +251 152 26 75 / +251 152 35 22 Tunisia Africa Avenue, Woreda 17, Kebele 19, House N 8 100069 Tel: +251 1 612063 Fax: +251 1 650233 Uganda Tel: +251 1 5513114 / 1 5513088 Fax: +251 1 5514355 uganda.emb@ethionet.et uganda.emb@telecom.net.et

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DIPLOMATIC MISSIONS ABROAD Ethiopia Embassy of Austria Wagramer Strasse 14/1/2 A-1220 Vienna Tel: +43 1 7102168 Fax: +43 1 7102171 Ethiopia Embassy of Australia 38 Johnston Street, Fitzroy P.O. Box 2088 3065 Victoria Tel:+61 3 94173419 Fax:+61 3 94173219 ethiopia@consul.com.au Ethiopia Embassy of Belgium Avenue de Tervuren 231 P.O. Box 1150 Brussels Tel: +322 771 3294 Fax: +322 771 4914 etebru@brutele.be Ethiopia Honorary Consulate of Bangladesh Nirala Bhavan, 9/A, Toyenbee Circular Road (2nd Floor) Dhaka Tel: +880 29551477 maxim@msnbd.net Ethiopia Embassy of Cuba Fifth Avenue N 6604, apt 3 e/66 y 68, Miramar Playa Havana Tel: +537 206 9905 embaethicu@gmail.com Ethiopia Consulate of Canada 3080 Yonge Street, Suite 5080 M4N 3N1 Toronto Tel: +1 416 482 6637 Fax: +1 416 486 9175 info@ethioconsulatecanada.org Ethiopia Embassy of China N 3, Xiu Shui Nan Jie, Jian Guo Men Wai P.O. Box 100600 Beijing

Tel: +86 10 65325258 Fax: +86 10 65325591 ethchina@public3.bta.net.cn Ethiopia Embassy of Eritrea Frankling D. Resovelt St. P.O. Box 5668 Asmara Tel: +291 4 116365 Fax:+291 4 116144 Ethiopia Embassy of Egypt Mesaha Square, Villa 11 P.O. Box 21 Dokki Cairo Tel: +202 335 3696 Fax: +253 354 803 ethio@ethioembassy.org.eg Ethiopia Embassy of France 35, Avenue Charles Floquet 75007 Paris Tel: +33 1 478 38395 Fax: +33 1 430 65214 embeth@free.fr Ethiopia Consulate of Finland Snellmaninkatu 17 A 00170 Helsinki Tel: +358 9 6871 2780 Fax: +358 9 6871 2781 ethiopian-consulate@saboure.com Ethiopia Embassy of Ghana H/N 2, Milne Close Airport Residential Area P.O. Box 1646 Accra Tel: +233 21 775 928 Fax: +233 21 776 807 ethioemb@ghana.com Ethiopia Embassy of Germany Boothstrabe 20 a PO Box 12207 12207 Berlin Tel: +49 30 772060 Fax: +49 30 7720626 emb.ethiopia@t-online.de Ethiopia Honorary Consulate of Hong Kong UN123-24F Block B Focal Industrial Center 21 Man Lok Street HunQhom Kowloon Tel: +852 23339345

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DIPLOMATIC INSTITUTIONS Fax: +852 23630222 ethiopia@on-nets.com Ethiopia Honorary Consulate of Ivory Coast 3712 Abidjan Tel: +225 2021 3365 Fax: +225 2021 2709 ambethio@gmail.com Ethiopia Embassy of India 7/50-G, Satya Marg, Chanakyapuri 110 021 New Delhi Tel: +91 11 2611 9513 Fax: +91 11 2687 5731 delethem@yahoo.com Ethiopia Embassy of Ireland 1-3 Merrion House, Fitzwilliam Street Lower Dublin Tel: +353 1 6787062 Fax: +353 1 6787065 info@ethiopianembassy.ie Ethiopia Embassy of Israel 48 Derech Menachem Begin, Bldg, B FL. 8B 66184 Tel Aviv Tel: +972 3 6397831 Fax: +972 3 6397837 ethembis@netvision.net.il Ethiopia Embassy of Italy Via Andrea Vesalio, 16-1800161 Rome Tel: +0039 0644 16161 Fax: +0039 0650 40546 info@ethiopianembassy.it Ethiopia Embassy of Japan 12-7, Nishiminimachi, Ota-ku 145-0075 Tokyo Tel: +81 3 3756 5505 Fax: +81 3 3756 7878 info@ethiopia.emb.or.jp Ethiopia Embassy of Kuwait Jabriya, Block 10, St. N 107,Villa N 30 Kuwait Tel: +965 2534 8198 Fax: +965 2533 1179 ethiokuwait@yahoo.com

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Ethiopia Embassy of Kenya State House Avenue P.O. Box: 45198 GPO Nairobi Tel: +254 2 273 2052 Fax: +254 2 273 2054 info@ethioembnairobi.org Ethiopia Consulate General of Lebanon Rond Point Tayouneh, Zein Building, 1st Floor Beirut Tel: +961 138 8921 Fax: +961 138 8787 eth_con_leb8@hotmail.com Ethiopia Embassy of Nigeria N 14, Pope John Paul II, Maitama Abuja Tel: +234 9 461 8649 etembabuja@yahoo.com Ethiopia Embassy of Russia Orlovo-Davydovsky Per. 6 129041 Moscow Tel: +7 095 6801616 Fax: +7 095 6806608 eth-emb@col.ru Ethiopia Embassy of Saudi Arabia Al Hamra District, Al-Andalus Street Near Sulaiman Mosque Street Villa N 18 Riyadh Tel: +9662 6653444 Fax: +9662 6653443 ethcons@gmail.com Ethiopia Honorary Consulate of Spain C/Gran Via 55 - 6b Madrid 28013 Tel: +34 91 4337982 Fax: +34 91 5512276 Ethiopia Honorary Consulate of Sri Lanka 139, Mihindu Mawatha Colombo Tel: +94 1 421685 Fax: +94 1 330734 Ethiopia Embassy of Sweden Inverness Strand 1 182 76 Stocksund Tel: +46 8 857202 Fax: +46 8 6608177 ethio.embassy@telia.com

General Information

DIPLOMATIC INSTITUTIONS

Ethiopia Embassy of South Africa 47 Charles Street, Baileyâ&#x20AC;&#x2122;s Muckleneuk, Brooklyn 0181 P.O. Box 11469 Pretoria Tel: +012 346 4067 Fax: +012 346 3867 ethiopiapta@iburst.co.za Ethiopia Embassy of Sudan Near Farouq Cemetry, Plot N 04, Block 384BC Khartoum Tel: +249 11 471156 Fax: +249 11 471141 eekrt@hotmail.com

Embassy of Ethiopia of Turkey N 74/1-2 06700 G.O. P/Ankara Tel: +90 312 436 0400 Fax: +90 312 448 1938 ethembank@ttnet.net.tr Ethiopia Embassy of United Kingdom 17 Princes Gate South Kensington London SW7 1PZ Tel: +44 20 78383888 Fax: +44 20 78387054 info@ethioembassy.org.uk

Photo: Antonio Fiorente

Ethiopia Honorary Consulate of Switzerland Neugut 89, 8304 Wallisellen Zurich Tel: +41 1 839 4141 Fax: +41 1 839 4144

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General Information

DIPLOMATIC INSTITUTIONS

Ethiopia Embassy of Uganda Off Kira Road, Plot N 3L P.O. Box: 7745 Kampala Tel: +256 41 341881 Fax: +256 41 341885 ethiokam@starcom.co.ug Ethiopia Honorary Consulate of United States 9301 Southwest Freeway, Suite 250 TX 77074 Houston Tel: +1 713 271 7567 Fax: +1 713 772 3858 gezahgen@juno.com

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Ethiopia Consulate General of United Arab Emirates Al Wuheida, Street N 6, Community: 132 Dubai Tel: +971 4 269 9111 ethcodu@ethcongen.ae Ethiopia Embassy of Yemen Al-Hamadani St. P.O. Box 234 Sana'a Tel: +967 1 208833 Fax: +967 1 213780 ethoembs@y.net.ye Ethiopia Embassy of Zimbabwe 14, Lanark Road Belgravia P.O. BOX: 2745 Harare Phone: +263 4 701514 Fax: +263 4 701516 ethioembassy@comone.co.zw

DID YOU KNOW?

Addis Ababa is referred to as the capital city of Africa.

2. Macro-economic stability & growing economy. 3. Adequate guarantees & protections.

The capital city rests at 8,000 feet above sea level. 4. Transparent laws & streamlined procedures. Ethiopia is home to rich culture of tribal influences, with over 80 ethnicities, the Oromo being the largest. One of the oldest Christian nations, established in the 8th century B.C., with ancient history & Solomonic Dynasty. Ethiopia has a population of circa 91,000,000, of which 3.2 million live in Addis Ababa.

5. Ample investment opportunities. 6. Abundant and trainable labour force. 7. Wide domestic, regional & international market opportunity. 8. Competitive investment incentive package. 9. Welcoming attitude of the people to FDI.

TOP 10 reasons to do business in Ethiopia

10. Pleasant climate & fertile soils.

1. Political and social stability.

(EIA)

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VOCABULARY

English

Hello

Amharic

Selam (informal) Tena yistilign (formal)

How do you do?

Tenastiligne?

Fine, thank you

Dunna ñuey

What is your name?

Simi man naw?

My name is .....

Sime ..... yibalal

Pleased to meet you Please Thank you

Siletewaweqin dess bilognal Ebakih (to a man); Ebakish (to a woman) Ahmesugenalew

Yes

Awo

Aye

Ishi

You are welcome Excuse me I don’t understand Goodbye

Minem aydelem Yigirta Algebinem Dehna hun (to a man); Dehna hugni (to a woman)

Good morning

Dehna aderu

Good night

Dehna ederu

Help! How much is it? Good morning Mineral water Coffee, Tea, Water Beer

‘erdata! Sint new? Endemin aderu Ambowuha Buna, Shai, Wuha Birra

Driver Market

Gebeya

Time

Gize

Travel

Guzo

Today

Zare

Yesterday

Tilantina

Tomorrow

Neghe

When

Meche

Where Town

Yet Ketema

VOCABULARY

English

Amharic

NUMBERS

Zero

And

Hoolet

Sost

Arat

Amest

Sidist

Sebat

Sement

SeTegn

Aser

Haya

Selasa

Aba

Hamsa

Silsa

Seba

Semanya

ZeTena

100

MÃ¤to

1000

Shee

2000

Hoolet-shee

VOCABULARY

TIME - CLOCK TIME The day starts at 7am (o’clock in the morning)

1 (se’at ke tewatu)

8am

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9 se’at

5pm

10 se’at

6pm

11 se’at

7pm CET

12 se’at

8pm

1 se’at ke’mishitu (o’clock in the evening)

9pm

2 se’at

10pm

3 se’at

11pm

4 se’at

12am CET

5 se’at

1am

6 se’at ke’lelitu (o’clock in the night)

2am

7 se’at

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4am

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11 se’at

Business Resources

Photo: Antonio Fiorente

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Business Resources

BUSINESS RESOURCES A comprehensive list of services useful for any visitor to Ethiopia.

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Business Resources

ADVERTISING / COMMUNICATION / EVENTS AGENCIES Addis Behran Trading & Advertising P.O. Box 9622 Tel: +251 11 466 62 72 Fax: +251 11 416 19 61

AIRLINES British Airways Addis Ababa Tel: +251 11 552 1525 Fax: +251 11 5510655

Ethiopian Airlines Adika Communication & Events P.O. Box 2210 Addis Ababa Tel: +251 118 963437 info@adikacommunication.com

P.O. Box 1755 Addis Ababa Tel: +251 11 665 6666 Fax: +251 11 661 1474

Admas Advertising P.L.C. P.O. Box 12324 Addis Ababa Tel: +251 11 515 5222 Fax: +251 11 554 7373 addismass@ethionet.et Africa Theatre Promotion & Advertising P.O. Box 26210, Kebele 6 95 BP Addis Ababa Tel: +251 11 655 3912 Fax: +251 11 124 9011 Alpha Tibeb Advertising P.O. Box 17654 Wereda 02, Addis Ababa Tel: +251 0911 21 6573 Fax: +251 011 467 0167 Astar Advertising P.L.C. P.O. Box 1958 Addis Ababa Tel: +251 11 442 1866 contact@astarglobal.com Neon Addis P.O. Box 1025 Addis Ababa Tel: +251 11 157 65 08 Fax: +251 11 155 29 91 neonad@ethionet.et Sonic Screen Advertisement P.O. Box 9497 Addis Ababa Tel: +251 11 661 6102 Fax: +251 11 661 6105 info@soniscreen.com

Egypt Air Addis Abba Tel: +251 115564493 Fax: +251 115552203 Emirates Addis Ababa Tel: +251 11 518 18 18 Tel: +251 11 618 86 55 Kenya Airways Addis Ababa Tel: +251 11 551 4258 Fax: +251 11 551 1548 Lufthansa P.O. Box 3484 Addis Ababa Tel: +251 11 551 5656 Fax: +251 11 551 2988 National Airways Addis Ababa Tel: +251 11 663 8778 Fax: +251 11 663 8556 Saudi Arabian Airlines Addis Ababa Tel: +251 11 551 3151 Fax: +251 11 663 8031

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Business Resources

Trans Nation Airways P. O. BOX 233 Code 1110 Nefas Silk Lafto Sub-City Kebele 03, H. N 571, Midroc Ethiopia Technology Group Corporate Center Addis Ababa

NIB International Bank P.O. Box 12947 Addis Ababa Tel: +251 11 550 3288 Fax: +251 11 552 7213 nibbank@telecom.net.et

Turkish Airlines Addis Ababa Tel: +251 11 662 7782 Fax: +251 11 665 0443

United Bank P.O. Box 19963 Addis Ababa Tel: +251 11 665 5222 Fax: +251 11 665 5243 nibbank@telecom.net.et

BANKS

Wegagen Bank P.O. Box 1018 Addis Ababa Tel: +251 11 552 3800 Fax: +251 11 552 3520 wegagen@ethionet.et

Awash International Bank P.O. Box 12638 Addis Ababa Tel: +251 11 663 7754 Fax: +251 11 662 7765

Zemen Bank Bank of Abyssinia S.C. P.O. Box 12947 Addis Ababa Tel: +251 11 551 4130 Fax: +251 11 551 0409 abyssinia@ethionet.et Commercial Bank of Ethiopia P.O. Box 255 Addis Ababa Tel: +251 11 551 5400 Fax: +251 11 551 4522 cbemirk@ethionet.et Dashen Bank P.O. Box 12572 Addis Ababa Tel: +251 11 466 1380 Fax: +251 11 465 3037 dashen.bank@telecom.net.et Development Bank of Ethiopia Addis Ababa Tel: +251 11 551 1188 Fax: +251 11 551 1606 dbe@telecom.net.et National Bank P.O. Box 5550 Addis Ababa Tel: +251 11 551 7430 Fax: +251 11 551 4588 nbe.epc@telecom.net.et

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P.O. Box 1212, Kazanchis Addis Ababa Tel: +251 11 550 1111 Fax: +251 11 553 9042 info@zemenbank.com

BEAUTY SALONS/ HAIRDRESSERS/ SPAS Aida Beauty Classic On Bole Road Tel: +251 011 662 0396 Black and White Salon Second floor of the Awaris Hotel Addis Ababa Tel: +251 0911 241 526 Boston Day Spa P.O. Box 512 Addis Ababa Tel: +251 11 662 3808 Fax: +251 11 661 6042

Kuriftu Resort & Spa / Boston Day Spa Tel: +251 11 66 623 605 book@Kurifturesortspa.com

Business Resources

Lemlem Beauty Salon P.O. Box 8268 Addis Ababa Tel: +251 11 515 0428 Radisson Blu Hotel & Resorts PO Box 21555 Kazanchis Business District, Kirkos Subcity Kebele 17/18, Addis Ababa Tel: +251 (1) 15 15 76 00

CAR HIRE ABC Car Rental & Tours P.O. Box 16139 Addis Ababa Tel: +251 11 661 0404 abcplc@ethionet.et

All Tech Enterprise P.O. Box 70386 Addis Ababa Tel: +251 91 124 3720 Fax: +251 11 467 4403 endaleyasu@yahoo.com

BRC Budget Car Rental & Tours P.O. Box 25747 Addis Ababa Tel: +251 11 661 1922 Fax: +251 11 661 1923 info@brcbudgetethiopia.com

Nilotic Ethiopia Tour & Car Rental P.O. Box 792 Addis Ababa Tel: +251 11 850 0529 info@nilotictourethiopia.com Rainbow Exclusive Car Rental & Tour Sevice P.L.C. P.O. Box 9254 Addis Ababa Tel: +251 11 551 3755 Fax: +251 11 551 5244 rainbow@ethionet.et

CATERING Fiesta Caterer Addis Abeba PO Box 9693 Mickey Leland St. NB Business Center Suite 505-508 Addis Ababa Tel: +251 91 250 1444

Fiesta International Catering & Conference Service Sub city Bole Kebele 04/05, H. N 04/1439 Tel: +251 911 736 005

CINEMAS & THEATRES Addis Ababa City Hall Cinema Located at the center of Piazza in front of St. Giorgis Church around Menilek Square it is inside the City Municipality building. Addis Ababa Tel: +251 11 155 9873 Agona Cinema Located on Debre Zeit Road, near Concord Restaurant. Addis Ababa Tel: + 251 11 466 1763 Alem Cinema Sub-city: Bole, Bekale 4 Addis Ababa Tel: +251 11 663 6717 info@alemcinema.com

Cinema Empire Located around Piazza, at beginning of Adwa Road that takes you from Piazza to Arat Kilo. Addis Ababa Tel: +251 0 111 565029 Cinema Ethiopia Located near the Piazza, next to Eletric Power Authority. Addis Ababa Tel: +251 0 11 111 6690

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Business Resources

Matti Multiplex - Edna Mall

Deloitte Consulting P.L.C.

P.O. Box 8291 Addis Ababa Tel: +251 11 661 6278 Fax: +251 11 661 6207 info@ednamall.net

Ethio-China Frienship Avenue, Mina Building, 5th Floor, P.O. Box 25701 Addis Ababa Tel: +251 11 557 2779 Fax: +251 11 552 8384 sgizaw@deloitte.com

CONSULTING FIRMS ACA Raising Consultants P.O. Box 1279, Mekele Tel: +251 034 441 98 93 kelifamohammed@yahoo.co.in Afri Consult P.O. Box 7607 Addis Ababa Tel: +251 011 551 51 09 Fax: +251 011 551 27 82 africonsult@ethionet.et

Ernst & Young P.O. Box 24875, Code 1000 Addis Ababa Tel: +251 11 550 4933 Fax: +251 11 550 4932 www.ey.com

Azeb Adefrsew Private Consulting P.O. Box 27344 Addis Ababa Tel: +251 911 64 25 58 azebad@yahoo.com

KPMG Josphat Mwaura, Senior Partner of KMPG in East Africa Kenia Tel: +251 20 280 6100 jmwaura@kmpg.co.ke

B & M Development Consultants P.L.C. P.O. Box 4608 Addis Ababa Tel: +251 11 662 9006 Fax: +251 11 662 9007 mdevcon@ethionet.et

Multi-Link Consulting Ethiopia P.O. Box 1455-code1110 Haile Gebreselassie Str. Tel: +251 911 207364 multilinkaddis@gmail.com

BcaD - Consulting Managment P.O. Box 11194 Addis Ababa Tel: +251 11 554 9286 Fax: +251 11 554 9287 bcad@ethionet.et

NET Consulting P.O.BOX 3097 Addis Ababa Tel: +251 011 618 32 27 Fax: +251 011 663 93 10 netcon@ethionet.et

Best Consulting Engineers P.O.Box 101472 Addis Ababa Tel: +251 011 515 92 13 Fax: +251 011 515 92 16 best.consult@ethionet.et

Nolot Professionals Business P.O. Box 4929 Addis Ababa Tel: +251 11 662 6512 Fax: +251 11 663 4832 info@nolot.net

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Business Resources POST & MAILING SERVICES DHL P.O. Box 1840, Code 1110 Addis Ababa Tel: +251 11 663 0053 Fax: +251 11 661 3591

FEDEX P.O. Box 1840, Code 1110 Addis Ababa Tel: +251 11 661 0792 Fax: +251 11 661 0795 ethiopia@corp.ds.fedex.com UPS P.O. Box 41519, Code 1110 Addis Ababa Tel: +251 11 662 1305 Fax: +251 11 662 1306

DENTISTS Dr. Wondwossen Teshome, DMD Addis Ababa Tel: +251 011 663 6626 Gojeb Dental Clinic Piazza, Addis Ababa Tel: +251 091 160 7459 Lizi Higher Dental Clinic Bole Tel: +251 011 911 633952 Merso Dental Clinic Alliance éthio-française Tel: +251 011 5 54 79 03/06

ESTATE AGENTS/ PROPERTY AGENTS

Ethiobroker Addis Ababa Tel: +251 91 162 9381 menenjon@gmail.com Live in Ethiopia Mega Building (Bole Road),1st Floor Addis Ababa www.liveinethiopia.com

FOREX BUREAUS Money Gram Awash International Bank P.O. Box 12638 Addis Ababa Tel: +251 11 419 6489 Western Union Agents

Intercontinental Addis Hotel Addis Ababa Tel: +251 11 554 4084

HEALTH & FITNESS Addis Ababa City Administration Health Bureau Menelik II Referral Hospital P.O. Box 433 Addis Ababa Tel: +251 11 123 4322 Fax: +251 11 123 7022 Denberwa (MCH) Hospital P.O. Box 40193 Addis Ababa Tel: +251 11 662 4942 Fax: +251 11 661 1112 Kadisco General Hospital P.L.C. P.O. Box 120919 Addis Ababa Tel: +251 11 629 8902 Fax: +251 11 629 8903 Myungsung Medical Center

Addis Mender Real Estate P.O. Box 29300 Addis Ababa Tel: +251 11 553 8047 Fax: +251 11 551 2436

P.O. Box 15478 Addis Ababa Tel: +251 11 629 5420 / 5428 Fax: +251 11 629 2795

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Business Resources

Saint Gabriel General Hospital P.L.C. P.O. Box 5634 Addis Ababa Tel: +251 11 61 36 22 Fax: +251 11 61 45 40 Swedish Clinic C/o Embassy of Sweden, W21-k5, House N 453 P.O. Box 1142 Addis Ababa Tel: +251 11 371 0768 Emergencies: +251 911 206 291

Jupiter International Hotel P.O. Box 110778 Cazanchise Area Hotel Tel: +251 11 552 7333 Fax: +251 11 552 6418 Bole Area Hotel Tel: +251 11 661 6969 Fax: +251 11 661 6999 info@jupiterinternationalhotel.com

Tzana General Hospital P.L.C. P.O. Box 25521 Addis Ababa Tel: +251 11 371 1208 Fax: +251 11 371 9833

HOTELS Dreamliner P.O. Box 31349 Addis Ababa Tel: +251 11 467 0202 Fax: +251 11 667 0201 dreamlinerhotel@ethionet.et Friendship International Hotel P.O. Box 110778 Addis Ababa Tel: +251 11 517 0000 Fax: +251 11 551 5233 info@friendshiphotel.com.et

Nexus Hotel P.O. Box 14607 Addis Ababa Tel: +251 11 667 0044 Fax: +251 11 667 0080

Panorama Hotel P.O. Box 7560 Addis Ababa Tel: +251 11 661 6080 Fax: +251 11 661 6072

Intercontinental Addis Hotel P.O. Box 5907 Addis Ababa Tel: +251 11 518 0444 Fax: +251 11 554 0096 Harmony Hotel P.O. Box 16139 Addis Ababa Tel: +251 11 618 3100 Fax: +251 11 618 2910 info@harmonyhotelethiopia.com

Radisson Blu Hotel P.O. Box 21555, Kazanchis District Addis Ababa Tel: +251 11 515 7600 Fax: +251 11 515 5913

Sheraton Addis Hilton Addis Ababa P.O. Box 1164 Addis Ababa Tel: +251 11 517 0000 Fax: +251 11 551 5233 hilton.addis@ethionet.et www.hilton.com

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P.O. Box 6002 Addis Ababa Tel: +251 11 517 1717 Fax: +251 11 517 2727

Business Resources

Wassamar Hotel

Awash Inurance Company

P.O. Box 512 Addis Ababa Tel: +251 11 661 0059 Fax: +251 11 661 0065

P.O. Box 12637 Addis Ababa Tel: +251 11 661 4420 Fax: +251 11 661 4419

AWASH INSURANCE COMPANY S.C.

COMMUNICATION & PHONE Dulcian INC Ethiopia P.O. Box 18973 Addis Ababa Tel: +251 11 156 9122 info@dulcian.com Hillmark Ethiopia P.L.C. P.O. Box 100689 Addis Ababa Tel: +251 11 663 1739 Fax: +251 11 663 0646 hillmarketh@ethionet.et ITCS P.L.C. P.O. Box 2300 Code 1250 Addis Ababa Tel: +251 11 550 7150 Fax: +251 11 550 8424 itcs@ethionet.et National Marketers P.L.C. P.O. Box 40738 Addis Ababa Tel: +251 11 155 3655 Fax: +251 11 157 5706 nat.marketers@ethionet.et

INSURANCE SERVICES Africa Insurance Company P.O. Box 126941 Addis Ababa Tel: +251 11 662 4579 Fax: +251 11 551 0376 africainsmd@telecom.net.et

Ethiopian Insurance Corporation P.O. Box 2545 Addis Ababa Tel: +251 11 551 2400 Fax: +251 11 551 7499 eic.md@telecom.net.et

We transact both life and non-life insurance services. OUR 32 BRANCHES AWAIT YOUR

Global Insurance Company INSTRUCTIONS. P.O. Box 180112 Addis Ababa Tel: +251 11 556 7400 Fax: +251 11 556 6200 globalinsu@telecom.net.et NIB Insurance Company P.O. Box 285 Addis Ababa Tel: +251 11 553 5129 Fax: +251 11 552 8193 Nile Insurance Company P.O. Box 12836 Addis Ababa Tel: +251 11 442 6000 Fax: +251 11 442 6008 nile@ethionet.et NYALA Insurance Company P.O. Box 12753 Addis Ababa Tel: +251 11 662 6667 Fax: +251 11 Tel: 662011 6706 5 57 00-01/33-62 nisco@telecom.net.et Fax: 011 557 02 08 www.nyalainsurance.com E-mail: aic@ethionet.et

www.awashinsurance.com

United Insurance Company P.O. Box 1156 Addis Ababa Tel: +251 11 465 5656 Fax: +251 11 465 3258 united.insurance@telecom.net.et

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Business Resources LAUNDRY & DRY CLEANING Atomic Laundry P.O. Box 5904, Ras Abebe Road, Addis Ababa Tel: +251 11 551 60 30 D.H. Geda Dyeing & Bleaching Factory P.O. Box 523, Bole Road Addis Ababa Tel: +251 36 89 39

Rocate Laundry In front of Awaris Hotel Djibuti Street, Addis Ababa Tel: +251 11 618 63 70 St.George Laundry Abune Petros, Addis Ababa Tel: +251 11 111 5480

Stadium Laundry

Fikadu Law Office K Kare Building 5 floor Addis Ababa Tel: +251 91 162 3555 Kiros Gebru Woreta Law Consultant & Attorney at Law P.O. Box 21856 Addis Ababa Tel: +251 11 111 9224 MH - Trade & Devâ&#x20AC;&#x2122;t Law Office P.O. Box 40769 Addis Ababa Tel: +251 91 141 2642 Tadesse, Getachew & Abata Law Office Mega Building, Bole Road P.O. Box 33293 Addis Ababa Tel: +251 11 554 8949 Fax: +251 11 554 8950 Zewdineh Beyene Haile ( Zee Law Office) P.O. Box 45093 Addis Ababa Tel: +251 11 647 7245 Fax: +251 11 647 7244 zewdineh@gmail.com

Addis Ababa Tel: +251 11 553 0104

Zenith Laundry Addis Ababa Tel: +251 11 551 5927 Fax: +251 11 156 5864

LAW FIRMS

MASS MEDIA Capital - Syscom Sub-city: Bole, Kebele 05. H. No. 577 P.O. Box 95, Code 1110 Addis Ababa Tel: +251 11 618 3253 Fax: +251 11 618 5296 syscom@ethionet.et

Bekura Assefa Law Office P.O. Box 14649 Addis Ababa Tel: +251 11 5530775 Fax: +251 11 5530796 Endalkachew Yimenu Law Office Tefera Seyoum Building 8th floor P.O. Box 17825 Addis Ababa Tel: +251 11 156 1185 Fax: +251 11 154 1248

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Ethiopian Radio & Television Service Agency P.O. Box 1020 Addis Ababa Tel: +251 11 349 6262 Fax: +251 11 551 6977

Business Resources

Fortune-Independent News & Media P.L.C. P.O. Box 259, Code 1110 Addis Ababa Tel: +251 11 416 3020 Fax: +251 11 410 3039

PHARMACIES Anbessa Gibe Pharmacie P.O. Box 9873 Addis Ababa Tel: +251 11 122 6740 El Betel Drug Store Tanzania Street Addis Ababa Tel: +251 91 13 57 512 Gelead Pharmacy P.O. Box 40365 Addis Ababa Tel: +251 11 550 4312 rank@ethionet.et Lemlem Pharmacy Mozambique Street Addis Ababa Tel: +251 11 553 4845 Royal Pharmacy Addis Ababa Tel: +251 11 155 7364 Fax: +251 11 155 1382 Shewa Drug Store Next to Semien Hotel Dejazmach Belay Zeleke Street Addis Ababa Tel: +251 111 11 97 00 Tempo Foto Studio 308A Kebele 19, Kirkos, Addis Ababa Tel: +251 91 119 9479 Zacshalom Pharmacy Malawi Street Addis Ababa Tel: +251 91 346 0055

PHOTO STUDIO Antonio Fiorente Photographer Professional Photographer Mazoria 22, Lex Plaza Building, 1st Floor P.O. Box 3077 code 1250 Addis Ababa Tel: +251 11 618 1065 Mobile: +251 911 217 133 / 197 628 antonio@antoniofiorente.com Antonio Fiorente is a photographer living and working in Addis Ababa. Working in both the commercial and artistic sectors, he is best known for his “life” and reportage work, which focuses on the people and landscape of rural, tribal Ethiopia, fiercely revealing the other side of this culturally enriched nation, whose tarnished image of drought and poverty dominate worldwide perception. His work seeks to explain and express the situation; communicating the artistry of the photographer, the skills and knowledge existing behind the camera giving the photo identity. He has been exhibited worldwide and achieved critical accreditation, achieving the 2003 African Press Photo Award. Born in Ethiopia in 1964 to Italian-Ethiopian parents, he studied his elementary and high school at the Italian Cultural Institute in Addis Ababa, where it was his paintings, which first demonstrated his obvious artistic talent. In 1982 he moved to Italy, where it was a year later, on his 18th birthday, that his sister presented him with his first SLR camera. His passion and what would soon become his career for photography, began. Joining the Photography club in Bologna (Italy), he quickly established himself as a notable amateur photographer and in 1986 travelled to Europe, further developing his artistic talent whilst also working as a commercial photographer. Always inspired by the Ethiopian wilderness, in 1997 he returned and for two years ran workshops for Ethiopian photographers sponsored by Kodak, all the while developing a diverse and varied image bank for his clients, which would form the basis for his business in Addis. He has also conducted various valuable training sessions in Addis: in 2007 for UNESCO “Digital Story”, “Media Training for Youth” 2007, UNICEF, Ministry of Information, and he has also worked with the Architecture Faculty of Addis Ababa University. It is his passion for the Ethiopian landscape and people, which has produced some of his most prominent and critically acclaimed work to date.

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Business Resources

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Business Resources

Solo Exhibitions Alliance France, Babeur, Addis Ababa, Ethiopia (February 2000). World Space Corporation, The Other Side of Ethiopia, Washington DC, USA (September 2003). National Museum of Ethiopia, The Beauty of Diversity, Addis Ababa, Ethiopia (2006). Italian Cultural Institute, Muralles, Addis Ababa, Ethiopia (March 2007). Addis Ababa University Art School, Addis Ababa, Ethiopia (2007). Antonioâ&#x20AC;&#x2122;s work has appeared in numerous prominent publications and advertisement campaigns, and for various international organizations, most notably the BBC, Carter Centre, UNESCO, down Smith Sonian, New York times, UNOCHA-PCI, UNISAFE, ILO, UNECEA and World Investment News.

Elmika Digital Photo Studio P.O. Box 25018 Addis Ababa Tel: +251 11 157 2229 Fax: +251 11 157 2225 elmikadigitals@gmail.com

Time Professional Photo Studio 1370 Kebele 09 Bloe Addis Ababa Tel: +251 91 121 2166 Wondwossen Digital Studio P.O. Box 20077 Addis Ababa Tel: +251 11 655 0938 wondwossendigitalstudio@gmail.com

PRINTERS & GRAPHIC DESIGNERS Andnet Trading & Printerl P.L.C. P.O. Box 7279 Addis Ababa Tel: +251 11 442 2464 Fax: +251 11 440 2104 andnet@ethionet.et

Branna Printing Enterprise Fikru Angelo fikruangelo@yahoo.com Tel: +251 911 168 696. Gojo Pictures Bole Road Addis Ababa Tel: +251 11 213 26 95 Lael Photo Art P.O. Box 80284 Addis Ababa Tel: +251 11 830 0153 antioch@ethionet.et Photo Bahirdad Along the road from St. George to the market BP 67 Kebele 05 Bahir Dar Dire Dawa Tel: +251 58 226 5962 Photo Desta P.O. Box 622 Mekelle, Golden Guna Tigray Tel: +251 34 440 15 54

P.O. Box 22457 Addis Ababa Tel: +251 11 442 6599 Fax: +251 11 442 3680 branna@ethionet.et Benawee Printing Press P.L.C. P.O. Box 2447 Addis Ababa Tel: +251 11 416 6190 Fax: +251 11 465 5479 benawe@ethionet.et Ethio Tikur Abay Industry & Commerce P.L.C. P.O. Box 20184 Addis Ababa Tel: +251 11 157 3876 Fax: +251 11 157 3877 ethio.t@ethionet.et High Profile P.L.C. P.O. Box 41, Code 1250 Addis Ababa Tel: +251 11 554 9112 Fax: +251 11 554 6316 highprofile@ethionet.et

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Business Resources SCHOOLS

Edna Mall

Addis International Academy P.O. Box 62737 Addis Ababa Tel: +251 11 662 6686 addisacademy@yahoo.com

Sub-city Bole Addis Ababa Tel: +251 11 661 6278 info@ednamall.net

Aster Bette Fikir Kindergarten & Elementary School P.O. Box 22756 Addis Ababa Tel: +251 11 279 8975 Fax: +251 11 280 3214 asterbettefikir@yahoo.com

Friendship City Center Sub-city Bole P.O. Box 5505 Addis Ababa

Beteseb Academy P.O. Box 26761 Addis Ababa Tel: +251 11 348 2519 betesebacademy@ethionet.et

SPORTS CENTERS

Deborah School P.O. Box 33024 Addis Ababa Tel: +251 11 629 3344 Fax: +251 11 442 1973 info@deborahschool.edu.et

German Embassy School P.O. Box 1372 Addis Ababa Tel: +251 11 553 4465 Fax: +251 11 553 4418 info@dbsaa.de

Body Wise Wellness and Fitness Center Old Airport Addis Ababa Tel: +251 11 372 00552 Bole Bock Gym Behind Edna Mall Addis Ababa Tel: +251 11 618 8171 Haile & Alem Sport Center Kebele 4 P.O. Box 42814 Addis Ababa Tel: +251 11 551 6471 Fax: +251 11 553 9996

Macmillan Academy P.O. Box 3061 Addis Ababa Tel: +251 11 629 3641 Fax: +251 11 662 4745 macachievers@yahoo.com

SUPERMARKETS

School of Nations International P.O. Box 41189 Addis Ababa Tel: +251 11 372 9752 Fax: +251 11 551 5776 schoolofnations@gmail.com

Bros Supermarket Sunshine Condominium, Buildings Gerji Addis Ababa Tel: +251 911 09 59 77

SHOPPING MALLS

Bambis Shopping Center Addis Ababa Tel: +251 11 552 1104 Fax: +251 11 550 1900

Ethio Supermarket Africa Avenue Addis Ababa Tel: +251 11 553 8337

Dembel City Center Africa Avenue Addis Ababa

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Business Resources

Fantu & Family Commercial Industry Enterprise African Avenue/ Bole Road P.O. Box 512 Addis Ababa Tel: +251 11 662 6562 Fax: +251 11 661 4248

With three branches in Addis Ababa, Fantu Supermarket has been serving high quality products at a very reasonable price. Run by one of the most respected families in Ethiopia, Fantus Supermaket is the best choice available for your daily shops in Addis Ababa.

Huawei Technologies Co P.O. Box 25536, Code 1000 Addis Ababa Tel: +251 11 153 4622 ethiopia@huawei.com Nokia Siemens Networks P.O. Box 1250 Addis Ababa Tel: +251 11 662 0512 Fax: +251 11 662 0517

TRAVEL AGENCIES Ethiopian Rift Valley Safaris

Feben Bihonegne Mini Market P.O. Box 59949 Addisu Gebeya Addis Ababa Tel: +251 091 106 4873 Friendship Supermarket African Avenue/ Bole Road Addis Ababa Tel: +251 11 663 9850

P.O. Box 3658 Addis Ababa Tel: +251 11 155 1127 Fax: +251 11 155 0298 ervs@ethionet.et addisoffice@ervsafaris.com

Novis Super Market P.O. Box 21311 Addis Ababa Tel: +251 112 783 812 Queen’s Supermarket P.L.C. P.O. Box 2500 Addis Ababa Tel: +251 11 646 1012 Fax: +251 11 646 1051 queensmart@ethionet.et

TELECOMMUNICATIONS Ethio Telecom - Enterprise Business Center

Green Land Tours & Hotels P.O. Box 19018 Addis Ababa dario@greenlandethiopia.com

Anticipate unforgettable adv and we´ll take yo

Kibran Tours P.O. Box: 15475 Addis Ababa Tel: +251 11 662 6214 / 6215 Fax: +251 11 662 6216 Address: PO BOX 3658, Addis Ababa kibran@ethionet.et Phone: +251 1 55 85 91 / +251 1 55 21 28

addisoffice@ervsafaris.com www.ethiopianriftvalleysafaris.com

Téktours Churchill Road, P.O. Box 1047 Addis Ababa Tel: +251 11 557 3119 Fax: +251 11 557 3070

Addis Ababa Tel: +251 91 150 2882 / 011 662 4633 Fax: +251 11 662 6755 info@tekethiopiatours.com

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www.tekethiopiatours.com Travel Ethiopia P.O. Box 9438 Addis Ababa Tel: +251 11 552 5478 / 551 0168 Fax: +251 11 551 0200 / 11 653 7067 travelethiopia@ethionet.et www.travelethiopia.com

Fax: +251 34 440 9304 www.mu.edu.et

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Business Resources

UNIVERSITIES Addis Ababa University P.O. Box 1176 Addis Ababa Tel: +251 11 123 9729 infolib@lib.aau.edu.et www.aau.edu.et Addis Ababa City Administration (Finance & Economy Development Bureau) P.O. Box 205 Addis Ababa Tel: +251 0111 552 680 Fax: +251 0111 55 1685 admin@aabofed.gov.et Gondar Universiy P.O. Box 196 Gondar Tel: +251 58 114 1232 uogpir@gmail.com www.uog.edu.et Hope University College P.O. Box 12382 Addis Ababa Tel: +251 11 156 0345/156 0346 Fax: +251 11 155 2638 www.hopeuniversitycollege.org International Community School of Addis Ababa P.O. Box 70282 S Africa St Addis Ababa Phone: +251 11 371-1544 info@icsaddis.edu.et Mekelle University P.O. Box 231 Mekelle, Tigray Tel: +251 34 440 4005

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TOP 100 COMPANIES

FINANCE

INDUSTRY & TRADE

Addis Ababa Chamber of Commerce & Sectoral Associations Awash Insurance Company S.C. Awash International Bank S.C. Commercial Bank Of Ethiopia Dashen Bank Deloitte Development Bank of Ethiopia Ethiopian Insurance Corporation Ethiopian Investment Agency Ethiopian Revenues And Customs Authority National Bank Of Ethiopia NIB International Bank Nile Insurance Company S.C. Nyala Insurance S.C. Privatization And Public Enterprises Supervising Agency (PPESA) United Bank Wegagen Bank Zemen Bank S.C.

Ambo Mineral Water S.C. Ayka Addis Textile & Investment Group DH Geda Group East African Holding S.C. Ethiopian Steel P.L.C. FDRE Metals & Engineering Corporation (METEC) Gift Trading Pvt. Ltd. Co. Leather Industry Development Institute Mesfin Industrial Engineering P.L.C. Metals Industry Development Institute Midroc Ethiopia Investment Group Moneco Ethiopia Textile Industry Development Institute Tracon Trading P.L.C.

ENERGY Ethiopian Electricity Agency Ethiopian Electric Power Corporation Ethiopian Petroleum Supplier Enterprise National Oil Company P.L.C. Water Works Construction Enterprise Water Works Design & Supervision Enterprise

MINING Allana Potash Corp Ethiopian Mineral Development S.C. Ezana Mining Development P.L.C.. Midroc Gold Mine P.L.C.. Nyota Minerals Limited National Mining Corporation P.L.C.

REAL ESTATE / URBAN DEVELOPMENT & CONSTRUCTION Awash Construction Enterprise Batu Construction Enterprise Construction Design S.C. Derba Midroc Cement P.L.C. Midroc Ethiopia Construction P.L.C. Mugher Cement Enterprise Sunshine Construction P.L.C.

TRANSPORT DHL Ethiopia Ethiopian Airlines Ethiopian Airports Enterprise Ethiopian Railway Corporation Ethiopian Roads Authority Ethiopian Shipping & Logistics Services Enterprise

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TOP 100 COMPANIES ICT / COMMUNICATION

HEALTHCARE

Capital Ethio Telecom Ethiopian Telecommunication Agency Ethiopian Postal Service Enterprise Ethiopian Radio And Television Agency Midroc Ethiopia Technology Group

Myungsung Medical Center Saint Gabriel Hospital P.L.C. Swedish Clinic

AGRICULTURE Addis Exporter Aleta Land Coffee P.L.C. Alpha Trading Partners P.L.C. Daye Bensa Coffee Export P.L.C. Ethiopian Agricultural Transformation Agency Ethiopian Commodity Exchange Ethiopian Institute Of Agricultural Research Gujo Coffee Export P.L.C. Horra Trading Robera Coffee Exporters P.L.C. Sugar Corporation

EDUCATION

TOURISM ABC Car Rental Ethiopian Rift Valley Safaris Ethiopian Tour Operators Association Ethiopian Tourist Trading Enterprise Ghion Travel And Tours Green Land Tours & Hotels Harmony Hotel Hilton Addis Ababa Intercontinental Addis Hotel Jupiter International Hotel Kibran Tours Kuriftu Resort & Spa Panorama Hotel Paradise Lodge Arbaminch Radisson Blu Hotel Sheraton Addis TÃ©k Tours Travel Ethiopia Wassamar Hotel

Addis Ababa University Jimma University Mekelle University

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ECONOMY Traditionally heavily and overly dependent on agriculture, Ethiopia is consciously shifting forward and diversifying its economy as it becomes increasingly modernised; with particular focus on transport and trade.

Economy

OVERVIEW Ethiopia is located in the Northeastern part of Africa, commonly known as the Horn of Africa, at the crossroads between Africa, the Middle East and Asia. The country has a relatively stable political and economic environment. Enormous efforts have been made in major key sectors to achieve Millennium Development Goals (MDGs). As a result, the Ethiopian economy has witnessed sustainable double-digit broad-based growth. Ethiopia has managed to join the ranks of the fastest economies in the world over the last number of years, thanks to the sound economic policy and strategy that was put in place by the incumbent government. It is also clear that its economic progress is more of an all-round economic growth rather than unidirectional development. Though its economic development is agriculture-led industrialization, it has created fertile ground for the development of export-led industrialization. Itâ&#x20AC;&#x2122;s a fact that Ethiopiaâ&#x20AC;&#x2122;s economy is based on agriculture, which accounts for about 42% of the gross domestic product (GDP), 90% of foreign currency earnings and 85% of employment (as of 2009/10). Generally, the overall economic growth of the country has been highly associated with the performance of

the agriculture sector. Coffee is critical to the Ethiopian economy. It earned $528.3 million USD in exports in 2009/10. Other important export products include oil seeds, pulses, leather and leather products, meat and meat products, fruits and vegetables, livestock, flowers and gold. Though the economic growth that Ethiopia has registered in the last consecutive seven years is mainly attributed to the development of agriculture, it is the combination of industry and service, agriculture included, that helped the country to achieve the fastest economic growth. The industrial sector, which mainly comprises of small and medium enterprises, accounts for about 13% of GDP. Similarly, the service sector comprises of social services, trade, hotels and restaurants, finance, real estate, transport, communications, etc., and accounts for about 46.1% of GDP. Real GDP grew by an average of 10% in 2012/13, which places Ethiopia among the top performing economies in Sub-Saharan Africa despite the world economic meltdown and global financial crisis. All sectors contributed to this relatively high economic growth. Accordingly, agriculture, industry and services

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Economy

grew by an annual average of 7.6%, 10.6% and 13% respectively, during the indicated period. During 2009/10, 2011/12, and 2012/13 the general annual inflation was 28%, 30%, and 14% respectively. This last single digit inflation rate was registered for the first time since 2005/06. The macro-economic

4,620 meters above sea level in the Amhara region. Thus the country has 18 major and 49 sub agroecological zones, each with its own agricultural and biological potential. It possesses one of the largest and most diverse genetic resources in the world. Moreover, it has the soils and the climate suitable for the production of a variety of food crops.

ETHIOPIA INFLATION RATE 50

39,2

40,6

40,1

39,8

39,2

36,3

35,9 32

32,5

29,8 25,5 20,5 20

20,2

18,9 15,8

15,6

12,9

12,5

10,9 7,6

6,1

6,3

7,4

0 Jan/12

Jul/12

Jan/13

Jul/13

SOURCE: http://www.tradingeconomics.com/ethiopia/inflation-cpi

policy measures taken by the Government have been effective in reducing inflation and stabilizing prices. The country has a large population and thus potentially one of the largest domestic markets in Africa. By virtue of its membership of the Common Market For Eastern and Southern Africa (COMESA), embracing 19 countries with a combined population of over 400 million, Ethiopia also enjoys preferential market access to these countries. Ethiopia qualifies for preferential access to the European Union market under the EUâ&#x20AC;&#x2122;s EverythingBut-Arms (EBA) initiative and to the USA markets under the African Growth and Opportunities Act (AGOA). Accordingly, most Ethiopian products can enter into these markets quota duty free. Furthermore, broad ranges of manufactured goods from Ethiopia are entitled to preferential access under the Generalized System of Preference (GSP) of the USA. No quota restrictions are placed on Ethiopian exports falling under 4,800 products currently eligible under the GSP. Ethiopia is endowed with abundant natural resources. Altitude in Ethiopia ranges from 125 meters below sea level in the Danakhil depressions of the Afar region to

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The labour law of Ethiopia, prepared in conformity with international labour norms and standards, provides adequate provisions for the conclusion and termination of employment contracts with safeguards that do not infringe the rights of investors. Labour cost in Ethiopia is relatively low compared to the African average. The number of skilled workers and technicians is increasing steadily as a result of an increase in the number of universities, colleges, and vocational and technical training schools in the country.

ECONOMIC REFORMS & LEGISTALTION Growth & transformation plan (2010-15) The Growth and Transformation Plan (GTP) is directed towards achieving the Millennium Development Goals (MDGs), Ethiopiaâ&#x20AC;&#x2122;s long term vision and sustaining the rapid, broad-based and equitable economic growth anchored on the experiences that have been drawn from implementing pro-growth development policies and strategies undertaken since 1994. The GTP is a medium term strategic national framework for the five-year period (2010-2015). The overriding

Economy

development agenda of the GTP is to sustain the rapid, broad-based and equitable economic growth path witnessed during the past several years and eventually put an end to poverty.

the target (12.5%), but 0.7% behind the previous fiscal year performance. Significant contributions from agriculture, industry and services to the overall economic growth show that the growth is broad-based.

The GTP has four main objectives, including:

Percentage Distribution of Real GDP by Major Industrial Classification during 2010/11

Maintaining at least an average real GDP growth rate of 11.2% & and attaining MDGs. Expanding and ensuring the qualities of education and health services and achieving MDGs in the social sector. Establishing suitable conditions for sustainable nation building through the creation of a stable democratic and developmental state. Ensuring the sustainability of growth by realizing all the above objectives within a stable macroeconomic framework.

13,4% 41%

The objectives and strategies for sustaining rapid, broad-based and equitable economic growth path hinge on the following GTPâ&#x20AC;&#x2122;s strategic pillars: Sustaining rapid and equitable economic growth. Maintaining agriculture as major source of economic growth. Creating conditions for the industry to play a key role in the economy. Enhancing expansion and quality of infrastructure development. Enhancing expansion and quality of social development. Building capacity and deepen good governance. Promoting gender and youth empowerment and equity.

45,6%

Agriculture & Allied Activities Industry Service

Source: Ministry of Finance and Economic Development (MOFED)

The Ethiopian economy continued to register high overall economic growth in the first year of implementation of the GTP. During 2010/11, real GDP growth rate stood at 11.4%, which is well above the target and previous year performance by 0.4% and 0.8% respectively. This sustainable growth rate of real GDP explains the availability of prudent macro economy and sector policies, indicating that Ethiopia will achieve MDG targets. The growth rates of the GDP by major industrial classification during the period under review indicates that agriculture, industry and services registered growth rates of 9%, 15% and 12.5% respectively. Compared to the targets and the previous fiscal year, the growth rate registered by agriculture & allied activities were surpassed by 0.5% & 1.4%, the growth performance of the industrial sector exceeded by 1% & 4.2%, while the growth performance of services remained within

With regard to the demand side, the GDP at current market prices grew by 33.5% in fiscal year 2010/11. The share of gross domestic investment to GDP increased from 24.7% in 2009/10 to 25.5% in 2010/11, surpassing the target by 0.2%. This positive development has been promoted by a favourable investment climate, acceleration of privatization, and improved land lease management; as well as a series of investments in physical infrastructure and human development that contributed significantly to the growth of private investment. Exports of goods and non-factor services registered a growth rate of 64.8% in 2010/11 and imports of goods and non-factor services also increased by 28.6% during the same period. By

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Economy

Major Components as a Ratio to GDP at CMP (percent) on the year 2010/11 120 100 80 60 40

Total consumption

Import of goods & non-factor services

Gross domestic investment

Resource gap( trade deficit)

Export of goods & non-factor

Domestic savings

0 -20

2009/2010

2010/2011

-40 Source: Ministry of Finance and Economic Development (MOFED)

the end of 2010/11, exports of goods and nonfactor services reached 16.8% of GDP while imports of goods and non-factor services have reached 31.8% of GDP.

have been observed in primary and secondary enrolments. Quality improvement programs have been implemented to increase the quality of education. Access to health services has been increased and as a result child and maternal mortality has declined substantially. Improvement in access to drinking water and sanitation facilities has been witnessed.

Wellbeing & poverty The main objective of the Ethiopian Development program is to ensure broad-based, fast, fair and sustainable economic growth and social development while reducing poverty. In the first year of GTP implementation, it has been possible to continue the momentum of economic growth and social development registered prior to the GTP. Various activities that ensure fairness, transparency and accountability have been performed, which contributes to poverty reduction.

management Flow of External Assistance to Ethiopia Ethiopia receives Official Development Assistance (ODA) from two major sources: bilateral and multilateral donors. The assistance has been provided through development financing, technical assistance and debt relief. In 2010/11, the bilateral and multilateral organizations have committed to

The per capita income has increased from $377 USD in 2009/10 to $392 USD in 2010/11. In areas of social development, substantial achievements

EXTERNAL FINANCE COMMITMENTS IN MILLION USD Grant

Loan

Total

Period covered in years

Bilateral

1171.6

1430.0

2601.6

2 (2009/10-2010/119

International Financial Institutions

438.7

516.7

955.4

5 (2011/12-2014/15)

2014.9

4 (2012/13-2014/15)

35.0

35.0 35.0

5 (2011/12-2014/15)

Total

3660.1

1946.8

5606.9

Source: Ministry of Finance and Economic Development (MOFED)

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Economy

provide Ethiopia $3.6 billion USD of aid and $1.94 billion US dollar of loan. Although these funds were pledged in 2010/11, they are only expected to be actually disbursed over the coming four to five years until 2014/15. For the 2010/11 fiscal year, a total of $1.55 billion USD was expected to be received from external sources (with $1.28 billion USD of grant and $0.27 billion USD of loans). The country actually received $2.57 billion USD of which $1.92 billion USD is in the form of grants and $0.65 billion USD is in the form of loans. The funds obtained in the 2010/11 fiscal year were used to finance development programs and projects in agricultural and rural development, road construction, drinking water development, rural electrification, education, health, industrial development, tourism, capacity building and integrated (cross-cutting sectors) development projects.

Debt Management In 2010/11, a total of $2.07 billion USD was disbursed as external loans to finance on-budget (31.4%) and off-budget (68.6%) development programs. In the same fiscal year, the government has paid off $74.85 million USD for foreign public sector debt. The country has also settled domestic debt of 2.54 billion birr.

Government Commitment The Ethiopian Government has made commendable efforts, through legislative and procedural reforms, to improve the investment climate of the country and thereby attract more foreign direct investment. In line with market-oriented economic policy, the investment regime has been liberalised through a series of Government legislations. Since 1992, the investment code has been revised three times to ensure the participation of more foreign investments in various sectors of the economy.

Foreign Direct Investment It is an undeniable fact that Ethiopia has made considerable progress in economic and social development since 1992 as a result of the implementation of favourable policies and strategies that are instrumental in improving the national economy. The Rural Development Policy and Strategy, the Industrial Development Strategy, and other sector policies and strategies have initiated a new push towards creating frameworks

conducive to economic and social development. The Rural Development Policy and Strategy, which is under implementation in the country, underlines that agriculture-led development will bring about fast economic growth, enable its people to become beneficiaries of economic growth, and lay solid foundation for industrial development. The Industrial Development Strategy focuses on export manufacturing with priority given to textile and garments, leather and leather products, agroprocessing, and small and micro-enterprises. The Government of Ethiopia, in recognition of the role of the private sector in the economy, has revised the investment law over three times for the last 20 years (1992-2012) to make it more transparent, attractive and competitive. Major positive changes regarding foreign investments have been introduced through Investment Proclamation number 280/2002 and Regulations number 84/2003. As a result of the implementation of the above mentioned policies and strategies, agricultural and industrial production, investment and export trade are growing steadily from year to year both in terms of variety and volume. Export earnings from gold (187.6%), fruit and vegetables (160.3%), live animals (72.3%), chat (51%), pulses (43.4%), coffee (40.6%), flower (30.2%), meat (27.8%), oil seeds (0.7%) and other (23.2%) have been increased in 2009/10. The World Bank has also witnessed the double-digit economic growth registered in the last several years. This achievement is the highest among the non-oil producing economies of Africa. Due to the investment-friendly environment created in the country, the inflow of foreign direct investment (FDI) has been increasing over the last 20 years. Accordingly, out of the total investment projects licensed between 1992 - 2012, FDIâ&#x20AC;&#x2122;s share is about 15.71 %. However, the overall trend of investment in 2009/10 both the total number of projects and capital invested have shown decline. Ethiopia remains an untapped and unexploited market for investors. China, India, Sudan, Germany, Italy, Turkey, Saudi Arabia, Yemen, the United Kingdom, Israel, Canada and the United States are the major sources of FDI. Ethiopian government has formulated the five year Growth and Transformation Plan (GTP) to carry forward the important strategic directions in maintaining a fast growing economy in all sectors. Accordingly, Ethiopiaâ&#x20AC;&#x2122;s economy is projected to

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Economy

grow at an average growth rate of 11.2%. Areas of Opportunity Ethiopiaâ&#x20AC;&#x2122;s economy is still young with vast untapped resources and a range of investment opportunities. The country has comparative advantages in textile and garments, agriculture, agro-processing, and leather products. According to the Ethiopian Investment Agency (EIA), the areas with most promising potential for investment in the country today are agriculture, agro-processing, textile and garment, leather and leather products, sugar, cement, the chemical and pharmaceutical industry, tourism, mining and hydropower. The ongoing privatization program also offers enormous investment opportunities to private investors, particularly in the agricultural, manufacturing, hotel and tourism sectors. Thus, you will find in each chapter a brief description of these main areas of investment opportunities in the country.

PRIVATE SECTOR DEVELOPMENT Privatization The government, as part of the macro-economic reform, has launched a program for the privatization of state owned enterprises. Pursuant to this program, a number of enterprises have been transferred to the private sector. Currently, there are many state-owned enterprises in the pipeline to be privatized. These include food processing factories, companies from the beverage industry, textile factories, companies from the chemical industry, hotels, etc. The privatization program offers enormous opportunities to both private foreign and domestic investors particularly in the agriculture, manufacturing and hotel and tourism sectors. State-owned enterprises are privatized through competitive bidding. The Ethiopian Privatization and Public Enterprises Supervising Agency (EPPESA) is the responsible organ for executing the privatization program of the country. Currently, the Agency applies different modalities such as equity, joint venture, lease and management contract to privatize state-owned enterprises. All interested investors are invited to participate in a bid through official announcement on radio,

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television and in newspapers when transferring public enterprises to the private sector. Eligible buyers are required to fill out and submit a tender document to the Agency. The Agency will notify a winner and handover an enterprise to the buyer after signing a sale agreement. With regard to minimum capital requirement and incentives in case of expansion or upgrading, the investment law also applies to enterprises to be privatized. In 1992, the Government of Ethiopia (GOE) embarked on a comprehensive reform program to bring an end to economic stagnation inherited from the Derg regime. The momentum of the reforms, however, was interrupted by an outbreak of the conflict with Eritrea in May 1998, which lasted until end-2000. Subsequent to the war, the government resumed its economic reform program and reconfirmed its commitment to poverty reduction through rapid and equitable economic growth within a framework of macroeconomic stability. The principles of the program were detailed in the Governmentâ&#x20AC;&#x2122;s Sustainable Development and Poverty Reduction Program (SDPRP, July 2002). Further, reforms to stimulate private sector development (PSD) in facilitating growth and employment generation were elaborated in the Industrial Development Strategy (IDS, 2002). The objectives of the IDS were to increase the contribution of private sector to the economy as measured by private investment in GDP and to increase factory productivity. This was to be achieved through a comprehensive package of reforms to be implemented over the medium to long term. At the time of the project appraisal, even though some positive actions had been taken to improve the investment climate in the country, many of the constraints that negatively affect productivity of the private sector and its ability to compete domestically as well as regionally remained unaddressed. Some were structural (such as high transport costs and low domestic demand) while others (such as reforms of the tax regime, improving access, reliability and prices of utilities and improving access to credit) required more time to take effect. In addition, there were constraints that related to policies and institutions that impeded private sector growth and diversification. Specifically, these included:

Economy

Dominant role of public sector, lack of effective competition and level playing field limiting the space for private sector growth, as indicated by the small number of firms in the formal sector and the small size of firms, compared to the country’s size and international benchmark. Weak integration of the Ethiopian economy into the regional and international economy, as reflected in the low level of exports. Almost all Ethiopian firms were producing for the domestic market with few participating in export activities or managing to attract foreign capital. Low labour productivity and thus a limited capacity of the private sector to compete, and weak institutional support for the private sector. While the cost of labour in Ethiopia, compared to some leading countries exporting labourintensive manufactures’, was low: a typical worker in Ethiopia was 80% less productive than the average worker in Bangladesh and less than half as productive as the average Chinese worker. The PSD Project was designed to complement the policy dialogue under the PRSC. The PSD CB was to support the policy reforms under the PRSC through provision. In terms of technical and financial assistance in specific areas, it aimed to reduce the role of the Government in commercial activities through privatization; improve business climate and support stronger integration of the Ethiopian economy into the regional and international markets, and increase labour productivity of the private sector.

LABOUR FORCE & EMPLOYMENT The overwhelming fact of the labour market in Ethiopia is the rapid growth of labour supply. The labour force is growing much more rapidly than the population as a whole because of the youthdominated demographic profile. There are many more under 15-years old entering the work force each year than there are old people leaving the labour force.

population and labour force growth (on the supply side) and limited employment generation capacity of the modern industrial sector of the economy (on the demand side). It is recognized that poverty is less an outcome of open unemployment than of low labour productivity and inadequate levels of income. The agricultural sector and the informal urban sector employ a large size of labour force in Ethiopia. However, employment in these sectors is characterized by low earnings and contributes significantly to the problem of “working poor”. Labour market institutions provide such services as protecting the interests of workers based on standards and regulations related to employment, wages, benefits, promotion and other issues. In Ethiopia, the scope of such institutional provisions and protections has been confined in most part only to the public enterprises and to some private sector employees, with no protection for the largest segment of the labour force, which is engaged in the informal sector and subsistence farming. Public and private employment services are too weak to provide even basic services such as information to jobseekers and employers. The situation is believed to result in lack of protection and job security, lack of social dialogue, and poor labour market services against the background of labour market imperfections. Employment provides a link between growth and poverty reduction only when it is systematically guided through policies and strategies that influence the determinants of labour market characteristics. It is, therefore, necessary for Ethiopia to address the problem of unemployment and underemployment, working poor, and lack of protection in the informal sector through a coordinated employment policy framework addressing the issues of labour demand, labour supply, and labour market institutions in an integrated manner. The National Employment Policy and Strategy (NEPS) of Ethiopia is prepared in response to the need for such a framework to guide interventions aimed at improving employment and its poverty outcomes in the country.

Population, Profile and Dynamics Unemployment (mainly as an urban phenomenon) and underemployment continue to be serious social problems in Ethiopia despite some improvements in recent years. This is mainly a result of rapid

With a land area of 1.1 million square kilometres and an estimated population of about 86 million (50.46% male, 49.54% female) in 2008/09, Ethiopia is the second most populous country

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Economy

in Africa next to Nigeria. Ethiopia stands 9th in terms of geographic area in the whole of Africa. According to the May 2007 Population and Housing Census of Ethiopia, about 84% of the population still resides in rural areas agriculture being the major source of livelihood. Although the rate of population growth has been on a declining trend over the last three decades (3% per annum in the 1980s, 2.73% up until the early 1990s and 2.6% from the mid 1990s up to 2007) Ethiopiaâ&#x20AC;&#x2122;s population growth is still considered to be high given its size and demographic profile.

Survey Conducted by the Central Statistical Agency (CSA) in 2005, though fertility has declined over time, it is still very high, at an estimated 5.4 (6.0 in rural areas, 2.4 in urban areas) births per woman, which is high by African standards, which averaged 5.1 births, and world standards, which averaged 2.7 births per woman in the same year. Furthermore, remarkable declines in fertility have already taken place in urban areas - especially in Addis, where fertility has fallen fairly rapidly, which is estimated to be below 2.0 births per woman, compared with the national average of 5.4.

According to the May 2007 Population and Housing Census results (CSA, 2008), Ethiopiaâ&#x20AC;&#x2122;s population is predominantly young with about 45% of the population below 15 years of age. According to the May 2007 Population and Housing Census results, the proportion of working age population (15-64 years) was estimated at about 52%. The dependency ratio (number of dependents per 100 working age population) was estimated at 93 by the end of 2007, youth and senior citizens dependency being 87 and 6, respectively (CSA, 2008). High dependency means higher pressure on public services, high level of unemployment, low per capita income, and low level of domestic saving and asset accumulation with serious implication on poverty incidence. This has also serious implication on natural resources degradation with far reaching consequences on sustainable development.

The government has long recognized that rapid population growth is the major challenge in its poverty reduction effort. Accordingly, one of the pillar strategies of Ethiopiaâ&#x20AC;&#x2122;s Five Year Development Plan entitled Plan for Accelerated and Sustained Development to End Poverty (PASDEP), currently in its last year (2009/10) of implementation, is addressing the population challenge through balancing population growth with economic growth.

The root cause of high rate of population growth is the combination of high fertility and declining mortality. According to the Demographic Health

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One of the key interventions towards realizing this objective has been concerted implementation of family planning via increasing contraceptive prevalence rate from 15% to 80% by the end of the plan period (2009/10). Contraceptive prevalence rate has reached 33% by the end of 2007/08. The target was set to reduce fertility rate from 5.4 in 2004/05 to 4 by the end of 2009/10. Studies indicate that fertility rate has not yet gone down as desired and there is still huge pent up demand for family planning services.

Investment & Legal Framework

Photo: Antonio Fiorente

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INVESTMENT & LEGAL FRAMEWORK reporting, Ethiopiaâ&#x20AC;&#x2122;s legal and investment sector is in great condition, with many opportunities and incentives available for foreign investors.

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Investment & Legal Framework

H. E. TEDROS ADHANOM MINISTER OF FOREIGN AFFAIRS

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Investment & Legal Framework

market opportunities for Ethiopian products).

On the 50th anniversary of the founding of the OAU/AU, Ethiopia renewed its long-standing commitement to work for peace and security in the continent and for Africa to obtain its economic independence. Ethiopia works closely within the framework of the AU and IGAD, to support the rebuilding of democratic institutions therefore promotes regional integration and interdependence with all neighboring countries on the basis that economic relations are the only means by which to achieve sustainable peace, stability and development in the region. Collaborating with neighboring countries and regional institutions based on mutual interest in as poverty, terrorism, organized crime, is a priority. At the same time, we have a consistent policy of non-interference in the internal affairs of other states. Our foreign policy is also predicated on establishing a democratic developmental state, mainly through economic diplomacy (attracting investment, garnering development assistance and increasing www.ebizguides.com

Ethiopia is a thriving nation on the cusp of an important economic and developmental transformation. It is one of the fastest growing non-oil green-economies in the world. It presents investors with tremendous opportunities to expand their business horizons. With political and macro-economic stability over the last two decades and an investment regime that provides a variety of opportunities and incentives, it offers a large labor market, wide market access and substantial natural resources. In sum, Ethiopia offers unique and impressive opportunities for all forms of investment Ethiopia today is undergoing a transformational period. It is currently in the midst of a 5-year Growth and Transformation Plan aimed at placing the country on the path towards continuous and rapid double-digit growth, achievement of the Millennium Development Goals, ensuring food security and the establishment of a stable democratic developmental state. The core objectives of the plan are the increase of agricultural productivity while working towards making the industrial sector the mainstay of the economy. The plan will also provide the economic basis for eventual middle income status. Our transformation in Ethiopia also renessed across the continent today. As the diplomatic hub of Africa, Ethiopiaâ&#x20AC;&#x2122;s own exhilarating socio-economic transformation is also at the center of the continent. I would like to invite you all to come and witness this transformation, visible in Addis Ababa, the home of Africaâ&#x20AC;&#x2122;s diplomacy. 75

Investment & Legal Framework

OVERVIEW

The constitution is the supreme law, overriding all other legislation in the country. The legal system depends on codified laws, including civil, penal, civil procedure, penal procedure, commercial and maritime codes. All proclaimed laws are published in official gazettes (Negarit Gazeta). In administering justice, courts are directed by internationally accepted principles of justice as well as by the laws of the FDRE. The practice of law is reserved for Ethiopians. However, foreign nationals have the right to appear in courts as witnesses. In such cases, the foreigner is allowed to communicate through a court-appointed translator. The Commercial Code of 1960 provides the legal framework for undertaking business activities in Ethiopia. The constitution, in accordance with Article 40, ensures the right of every citizen to the ownership of private property, including the right to acquire, use and dispose of such property. The Investment Proclamation (2002) also gives a foreign investor the right to own a dwelling house and other immovable property necessary for his

investment. The government may expropriate property for public interest, strictly according to the law and only after making adequate compensation. The Investment Proclamation (2002) guarantees investors against measures of expropriation or nationalization, and specifies advance payment of compensation â&#x20AC;&#x153;corresponding to the prevailing market valueâ&#x20AC;? of a private property earmarked for expropriation or nationalization for public interest. Ethiopia is a member of the World Intellectual Property Organization (WIPO) and the Multilateral Investment Guarantee Agency (MIGA). Furthermore, Ethiopia has concluded bilateral investment treaties (BITs) and double taxation treaties (DTTs) with a number of countries.

INVESTMENT CLIMATE Ethiopia has a large population and thus potentially

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one of the largest domestic markets in Africa. Beyond the domestic market, by virtue of its membership of the Common Market for Eastern and Southern Africa (COMESA) embracing 19 countries with a population of 400 million, Ethiopia enjoys preferential market access to these countries. Ethiopia’s proximity to the Middle East also offers potential market opportunities. The country also qualifies for preferential access to the European Union market under the EU’s Everything-But-Arms (EBA) initiative and to USA markets under the African Growth and Opportunities Act (AGOA) and the Generalized System of Preference (GSP). Thus, most Ethiopian products can enter into these markets quota and duty free. Furthermore, a broad range of manufactured goods from Ethiopia are entitled to preferential access under the Generalized System of Preference (GSP) in USA, most countries of the EU and other developed countries. No quota restrictions are placed on Ethiopian exports falling under the 4,800 products currently eligible for GSP treatment. Ethiopia has concluded bilateral investment and double taxation avoidance treaties with the following countries: 30 Bilateral Investment Treaties (BITs): Algeria, Austria, Belgium and Luxemburg, China, Denmark, Djibouti, Egypt, Equatorial Guinea, Finland, France, Germany, India, Iran, Israel, Italy, Kuwait, Libya, Malaysia, Netherlands, Russia, South Africa, Spain, Sudan, Sweden, Switzerland, Tunisia, Turkey, United Kingdom, USA and Yemen. 13 Double Taxation Avoidance Treaties (DTTs): Algeria, Czech Republic, France, Israel, Italy, Kuwait, Romania, Russia, South Africa, Tunisia, Turkey, Yemen.

INVESTMENT LAW The Investment Proclamation of 2002, as amended in 2003, and the Regulations on Investment Incentives and Investment Areas Reserved for Domestic Investors of 2003, as amended in 2008, constitute the main legal framework for both foreign and domestic investment in Ethiopia. The Ethiopian Investment Agency (EIA) is an autonomous government institution accountable to

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the Investment Board. The Board is chaired by the Minister of Industry. The EIA is headed by a director general, who is also a member of the Board. The EIA has restructured itself recently with a view to promoting more FDI and improving the services it renders to investors. The major activities of the EIA and the one-stopshop services it renders to foreign investors are the following: Promoting the country’s investment opportunities and conditions to foreign and domestic investors. Issuing investment permits, work permits, trade registration certificates and business licenses. Registering technology transfer agreements and export-oriented non-equity-based foreign enterprise collaborations with domestic investors. Negotiating and, upon government approval, signing bilateral investment promotion and protection treaties with other countries. Advising the Government on policy measures needed to create an attractive investment climate for investor. Assisting investors in the acquisition of land, utilities, etc., and providing other pre and post-approval services to investors.

Registration The minimum capital required of a foreign investor is $100,000 USD per project. However, if a foreign investor invests in partnership with domestic investor(s), the minimum capital required of him is US$ 60,000 per project. The minimum entry capital required of a foreign investor investing in areas of engineering, architectural or other technical consultancy services, accounting and audit services, project studies or business and management consultancy services is $50,000 USD where the ownership is fully foreign-owned, and $25,000 USD where the investment is made jointly with domestic partner(s). A foreign investor reinvesting his profits or dividends or exporting at least 75% of his outputs is not required to allocate a minimum capital. An individual investor may also invest as a sole proprietor, with full equity ownership. Areas open for joint-venture investment with the government are the manufacture of weapons and ammunition and telecommunication services. Otherwise, the law encourages joint ventures with Ethiopian individuals

Investment & Legal Framework

and companies. Investment can also be effected through business organization incorporated in Ethiopia or locally registered branch companies, public enterprises and cooperatives established in accordance with the relevant laws. As a requirement, a foreign investor should obtain an investment permit first by submitting a properly filled application form with the required documents.

Commercial Registration of Company Where the application is to establish as a new local viable venture in Ethiopia, the applicant is required to submit the following documents: An application form signed by an agent of the company. A photocopy of agent’s power of attorney. A draft memorandum and articles of associations. Copy of each shareholder’s valid driver’s licence or identity card, or photocopy of a certificate evidencing a domestic investor status. In case of non share company, a bank statement showing that the company’s capital to be contributed in cash is deposited in a blocked account and proper documents related to contribution in kind (Proclamation N 686/2010). In case of Share Company, a bank statement showing that at least one fourth of par value of the subscribed shares of the company is deposited in a blocked account (Proclamation N 686/010).

Commercial Registration of a Branch Company Where the application is to establish as a branch company in Ethiopia, the applicant is required to submit the following documents. Legal certificate of incorporation in the country of origin. Notarized document of the memorandum and article of association. A decision stating the organization’s intention to invest in Ethiopia, together with the amount of capital allocated for the purpose. Power of attorney to the appointed agent in Ethiopia. Upon receiving in full the authenticated documents listed above together with properly filled investment application form, the investment permit and company registration certificate will be issued within 4 hours.

The Main Department for Immigration and Nationality Affairs issues a residence permit to a foreign investor, upon the submission of his investment permit. A foreign investor, who is a shareholder of a company or a branch company and an expatriate staff who has a work permit, is also entitled to a residence permit.

FINANCIAL REPORTING As of 2012, Ethiopia has made its first steps towards compliance with international financial reporting standards (IFRS), with a draft proclamation called “Financial Report Proclamation of Ethiopia”, which would oblige public interest entities to follow IFRS in their financial reporting. This move is as per the EU mandate of 2002, requiring all countries to conform with the international standards and norms. Prior to said draft proposal, there had been no formally recognised accounting standard in Ethiopia. Even though Financial Report Proclamation of Ethiopia has been criticized for not setting a firm deadline for the IFRS transition, it sets the financial reporting standards that reporting entities in Ethiopia should use when preparing their financial statements. These are: IFRS issued by IASB or its successor. IFRS for SMEs issued by IASB or its successor. International Public Sector Accounting Standard (IPSAS) issued by the International Public Sector Accounting Standards Board or its successor. According to the draft Financial Reporting Proclamation of Ethiopia, the country is in the progress of adopting IFRS and it is already required for a certain type of institutions. The main problem associated with this was the lack of an authoritative body for accounting, which can guide and dictate the 52 implementation of IFRS. These days it can no longer be a problem, as the Council of Ministers established the Institute of Certified Public Accountants of Ethiopia. The Institute of Certified Public Accountants of Ethiopia has objectives, among others, to promote the development of the accounting profession; and ensure the accountancy profession acts in the public interest.

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FOREIGN CURRENCY

are VAT, customs duty, excise and turn over taxes.

The birr is the unit of currency in Ethiopia. Before 1976, ‘’dollar’’ was the official English translation of ‘’birr’’. Today, it is officially ‘’birr’’ in English as well.

Direct Taxes Incomes taxable under Income Tax proclamation N 286/2002 (Article 6) include:

The Ethiopian Birr is the second-most-used currency in Africa with 88 million users, after the Nigerian naira. 186 billion birr were in circulation in 2008 ($14.7 billion).

Income from employment (5% - 35%). Income from rental of building (10% - 35%). Income from business profit - for unincorporated entities (10% - 35%); for incorporated ones (30%). Income from royalties is at a flat rate of 5%. Income paid for service rendered outside of Ethiopia is at a flat rate of 10%. Income from games of chances (15%). Dividends (10%). Income from casual rental of property is 15% (any land, building or movable asset). Interest income (5%). Gains on transfer of certain investment property. (sale or gift): Building for business, factory, office (15%), Share of companies (30%). Income from agricultural activities - based on proclamations issued by regional states.

Practicalities

Personal income tax rates applicable at present are the following:

History The Emperor of Ethiopia, Haile Selassie I, formally requested in 1931 that the international community use the name ‘’Ethiopia’’ (as it had already been known internally for at least 1600 years) instead of Abyssinia, and the issuing Bank of Abyssinia also became the Bank of Ethiopia. As such, the pre-1931 currency was generally referred to as the Abyssinian birr and the post-1931 currency the Ethiopian birr, although it was the same country and the same currency before and after.

Though historically a cash economy, Ethiopia has become increasingly au fait with electronic payment systems over recent years. Credit cards, for example, have become much more accepted as legal tender in recent years, but they are still of limited use in Ethiopia. The major cards are accepted to settle room and restaurant bills at the country’s most important hotels (Addis Ababa Hilton), and both Visa and Mastercard are more and more recognized as accepted form, though a surcharge is often added. As obsolete as they may appear to today’s business sojourner, traveler’s cheques remain a viable option, as, unlike plastic, they can be replaced if lost or stolen. Most major currencies are accepted at Ethiopian banks, though US dollar’s traveler’s cheques are still the safest and best guaranteed option.

TAXATION The Ethiopian tax law provides for direct and indirect taxes. The direct taxes are divided into five categories: personal income tax, rental tax, withholding tax, business profit tax and other taxes. The main types of indirect taxes applicable

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Taxes on personal monthly incomes

EMPLOYMENT INCOME / MONTH

TAX RATE

Over Birr

To Birr

150

exempt threshold

151

650

651

1400

1401

2350

2351

3550

3551

5000

Over 5000

Source: income Tax Proclamation N 286/2002

Taxable business income of companies is taxed at the rate of 30%. Other business taxpayers with business income ranging from ETB 1,801 birr to ETB 60,000 pay between 10% and 30%. Business income more than ETB 60,000 birr is charged at 35%.

Investment & Legal Framework

Tax on entity´s monthly income

TABLE BUSINESS INCOME TAX RATE

TAX RATE

Over Birr

To Birr

1,800

exempt threshold

1,801

7,800

7,801

16,800

16,801

28,200

28,201

42,600

42,601

60,000

Over 60,000

Excise tax is payable on a range of consumer goods, whether produced locally or imported, e.g., alcohol, tobacco, salt, fuel, television sets, cars, carpets and toys. Its rates vary from 10% on receivers, garments and textiles of any type and fabrics to 100% on perfumes, vehicles above 1,800 cc and alcoholic drinks. It is payable in addition to VAT.

Source: income Tax Proclamation N 286/2002

An individual foreigner, who lives in Ethiopia for more than 183 days in a period of twelve calendar months, whether continuously or intermittently, is regarded as being resident for the entire tax period and is taxed in accordance with the provisions of Income Tax Proclamation N 286/2002 (Article 5.2). However, the following are excluded from the computation of taxable income in accordance with Article 13 of the Income Tax Proclamation N 286/2002 and Article 13 of the Regulations N 78/2002: Medical treatment. Transportation allowance. Hardship allowance. Reimbursement of travelling expenses incurred on duty. Per diem and travelling expenses on joining and completion of employment, provided that such payments are made pursuant to specific provisions of the contract. Board members’ and board secretaries’ allowances; the income of persons employed for domestic duties; The contribution of the employer and the employee to the retirement or provident that do not exceed 15% of monthly salary. Payments made to a person as compensation in relation to injuries suffered by that person or the death of another person.

Indirect taxes The value added tax (VAT) replaces the old business tax system of commodity and service taxes including the sales tax and the withholding tax. The VAT rate

is 15% of the value of every taxable transaction by a registered person and all imports of goods and services other than those exempted. Taxable transactions, which shall be charged at zero percent, are: export of goods or services to the extent provided in the regulations. The rendering of transportation or other services directly connected with international transport of goods or passengers as well as the supply of lubricants and other consumable technical supplies taken on board for consumption during international flights.

Turnover tax, under the total value of 500,000 birr, is applicable to pay 2% or 10% from annual taxable transactions on goods sold or services rendered locally. All income from domestic or foreign sources is taxed whether it is obtained as remuneration, profit or gains, from employment, business activities or any activity, which brings income to the beneficiary. For depreciation allowance, assets are categorized into different classes. The categories and rates of depreciation are: Buildings and structures 5%. Intangible assets 10%. Computers, information systems, software products and data storage equipment 25%. All other business assets including automobiles, buses and minibuses 20%. Every investor has a tax obligation and is required to obtain a taxpayer identification number (“TIN”). An investor involved in taxable activity also has an obligation to register for VAT. Export tax is levied on raw and semi-processed hides and skins, and wet-blue cow hide, pickled sheep skins with wet-blue sheep and wet blue goat skins at a flat rate of 150%.

COMESA preferential tariffs The table below shows special customs tariff rates applicable to goods produced in and imported from Common Market for Eastern and Southern Africa (COMESA) member countries as against the regular customs tariff rate which is applicable to goods www.ebizguides.com

Investment & Legal Framework

produced in and imported from member countries.

REGULAR CUSTOMS TARIFF RATE (IN %)

COMESA TARIFF RATE (IN %)

4.5

31.5

Source: Ethiopian Revenues and Customs Authority Statistical Bulletin Vol.1. Feb 2011

between the employer and the employee. Generally, the cost of labour in Ethiopia is low by African standards. Labour disputes in Ethiopia are resolved through the application of the law, collective agreements, work rules, and employment contracts.

CONSIDERATIONS & INCENTIVES Fiscal The Council of Ministers Regulations N 84/2003, as amended in 2008, specifies the areas of investment eligible for investment incentives.

Custom Duty

HUMAN RESOURCES In conformity with the international conventions and other legal commitments, Ethiopia has issued its labour law to ensure that worker-employer relations be governed by the basic principles of rights and obligations with a view to enabling workers and employers maintain industrial peace and work in the spirit of harmony and cooperation. The labour law is believed to be consistent with the investment policy of the country. Foreign investors obtain work permits for their expatriate employees directly from the Ethiopian Investment Agency (EIA). The EIA processes applications of work permits in an hour. The labour law has fixed nominal hours of work as eight hours a day and 39 hours a week. Work done in excess of these hours is deemed to be overtime. The maximum number of office closure days in a year is 12. The government has strategic intervention to ensure linkage between economic growth and employment. Accordingly, most of the urban dwellers benefitted from the economic growth achieved in the past years. Urban unemployment declined from 26.3 % in 2002/03 to 18.9% in 2009/10. Ethiopia has abundant supply of skilled workers in the various fields at internationally competitive rates. Wages and salaries vary depending on the size of enterprise, type of profession and level of skill required. They are determined by agreement

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To encourage private investment and promote the inflow of foreign capital and technology into Ethiopia, the following customs duty exemptions are provided for investors (both domestic and foreign) engaged in eligible new enterprises or expansion projects such as agriculture, manufacturing, agro-industries, construction contracting, etc. 100% exemption from the payment of customs duties and other taxes levied on imports is granted to all capital goods, such as plant, machinery and equipment and construction materials. Spare parts worth up to 15% of the total value of the imported investment capital goods, provided that the goods are also exempt from the payment of customs duties. An investor granted with a customs duty exemption will be allowed to import capital goods duty free any time during the operational phase of his enterprise. Investment capital goods imported without the payment of custom duties and other taxes levied on imports may be transferred to another investor enjoying similar privileges.

Income Tax Exemption If an investor engaged in new manufacturing, agro-processing, the production of agricultural products and investment areas of information and communication technology (ICT) development: Exports 50% his products or services, or supplies 75% of his products or services as production or service input to an exporter will be exempted from income tax for 5 years. Under special circumstances, the Board may grant income tax exemption up to

Investment & Legal Framework

7 years and the Council of Ministers may pass a decision to grant income tax exemption for more than 7 years. Exports less than 50% of his products or services, or supplies his products or services only to the domestic market will be exempted from payment of income tax for 2 years. Exports, through the expansion or upgrading of his existing enterprise, at least 50% of his products or services and increases, in value, his products or services by over 25% will be exempted from income tax for 2 years. For each case mentioned above, the length of the tax exemption period may be extended for one additional year when the investment is made in relatively underdeveloped regions of the country. However, investors who export hides and skins after processing below crust level are not eligible for income tax exemption. Investors who invest in priority areas (textile and garments, leather products, agro-processing, etc.) to produce mainly export products will be provided land necessary for their investment at reduced lease rates.

Non-fiscal The non-fiscal incentives given to all exporters are the following: Investors who invest to produce export products will be allowed to import machinery and equipment necessary for their investment projects through suppliers credit. Investors who invest in areas of agriculture, manufacturing and agro-industry will be eligible to obtain loan up to 70% of their investment capital from the Development Bank of Ethiopia (DBE) if their investment is deemed to be feasible. The Government of Ethiopia will cover up to 30% of the cost of infrastructure (access road, water supply, electric and telephones lines) for investors investing in industrial zone development.

Loss carry forward Business enterprises that suffer losses during the income tax exemption period can carry forward such losses, following the expiry of the exemption period, for half of the tax exemption period.

EXPORT INCENTIVES Fiscal

following: cessed hides and skins), no export tax is levied on export products of Ethiopia. It offers investors an exemption from the payment of customs duties and other taxes levied on imported and locally purchased raw materials used in the production of export goods. Duties and other taxes paid are drawn back 100% at the time of the export of the finished goods. A voucher is a printed document having monetary value, which is used in lieu of duties and taxes payable on imported raw materials. The beneficiaries of the voucher scheme are also exporters. producers not eligible for voucher scheme but having licensed for bonded manufacturing are entitled to operate such warehouses in importing of raw materials duty free.

Non-fiscal The non-fiscal incentives given to all exporters are the following: Exporters are allowed to retain and deposit in a bank account up to 20% of their foreign exchange export earnings for future use in the operation of their enterprise and no export price control is imposed by the national Bank of Ethiopia. Franco-Valuta import of raw materials are allowed for enterprises engaged in export processing. Exporters can benefit from the export credit guarantee scheme which is presently in place in order to ensure an exporter receives payment for goods shipped overseas in the event the customers defaults, reducing risk of exportersâ&#x20AC;&#x2122; business and allowing it to keep its price competitive.

REMITTANCE OF CAPITAL A foreign investor has the right to make the following remittances out of Ethiopia in convertible foreign currency: Profits and dividends. Principals and interest payments on external loans. Payments related to technology transfer agreements. Proceeds from the sale or liquidation of an enterprise. Proceeds from the sale or transfer of shares or partial ownership of an enterprise to a domestic investor.

The fiscal incentives given to all exporters are the

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MAIN ENTITIES FIKADU ASFAW AND ASSOCIATES LAW OFFICE K Kare Building, 5TH Floor, Mozambique Street 150 M on the Ras Mekonen Street to Guenet Hotel Addis Ababa Ethiopia Tel: +251 11 515 1290 / 11 655 1720 fikadu@ethiopianlaw.com

Unfair Competition, Tort /Extra Contractual, to NGOS and charities. In terms of results, Fikadu Asfaw’s law firm boasts a portfolio of world-renowned companies who have entrusted the company with their legal duties. The firm has worked with numerous established International Companies and Law Firms in Ethiopia and still maintains its services to them in protecting their Corporate and Commercial, Intellectual Property, Franchising, Employment, Immigration, Tax, Commercial Contract, Debt Recovery, Dissolution and Bankruptcy, Banking and Insurance, Unfair Competition related legal interests. Fikadu Asfaw differentiates itself from other Ethiopian law firms through several core concepts that combine to form its unique identity.

Founded in 2003, Fikadu Asfaw and Associates Law Office (FALO) is an Ethiopian Law firm with wellestablished reputation in the industry, thanks to its client-oriented philosophy. It strives to take a genuine interest in its clients, understand their objectives, and achieve results that exceed their expectation through establishing a reliable legal partnership; van guarding their best interests while adding maximum value to their business growth and development. Integrity, professionalism, and respect are the three core pillars of the company ethos, which allows it to always work towards achieving high quality legal services; creating maximum accessibility, highest efficiency, timely responsiveness and being technologically reachable. A results-oriented legal team has been created through a strategy of quality and creativity, in dealing both with individuals and businesses, allowing the company to serve as a primary resource and partner in all aspects of clients’ business; creating a network of innovative legal solutions, excellent legal representation and a dedication to quality customer service. Fikadu Asfaw’s law office manages to cultivate such strong relationships thanks to its holistic approach, handling the full range of legal duties for its clients: from Foreign Direct Investment, Corporate and Commercial, Company Registration, Intellectual Property, Franchising, Employment, Immigration, Tax, Commercial Contract, Debt Recovery, Dissolution and Bankruptcy, Banking and Insurance,

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1. Intensive and Extensive Coverage of Service: Its distinguished legal practice in the area of Corporate and Commercial Laws, Foreign Direct Investment, Company Registration, Intellectual Property, Franchising, Employment, Immigration, Tax, Commercial Contract, Debt Recovery, Dissolution and Bankruptcy, since 2003, places the firm in a unique position to provide fully-fledged and reliable legal services on Business and Corporate Practice from the outset of incorporation up to dissolution. 2. Commitment to Technical Quality and Service Quality: Its legal team is composed of competent, hard-working and focused lawyers who are loyally working in an accountable manner towards the best interest of their clients. The firms’ efficient use of technology gives it maximum accessibility, highest efficiency and well-timed responsive communication. 3. Wide Geographical Coverage: Fikadu Asfaw has a geographical capacity that other law offices simply cannot provide. The firm provides nationwide legal services thanks to its team of multilingual lawyers and wide network of associates and partners. 4. Use of Specialists: In exceptional cases, when the firm is convinced beyond doubt that a particular case justifies it in order to protect the best interest of its client, Fikadu Asfaw engages the expertise of specialists, who work together with the firm’s own experts to engineer the most practical solution. 5. Straightforward and Transparent Fee Structure: The firm’s clear-cut and transparent fee structure, which doesn’t leave any space for hidden costs and payments, makes it a straightforward and uncomplicated option to work with.

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FINANCE

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Finance

OVERVIEW The financial sector in Ethiopia mainly consists of banking, insurance, micro-finance institutions and Mobile Banking Operators (under implementation). The National Bank of Ethiopia (NBE) licenses regulations and supervises the operations of these institutions. Before 1992, all financial institutions operating in the financial sector were government-owned. However, following the liberalization policy in 1992, new privately owned financial institutions were also allowed to work alongside the publicly-owned ones. At present, ownership of financial institutions is reserved only for Ethiopian nationals. Although the history of private financial institutions is very short, they are playing a significant role in the provision of banking, insurance and micro-finance services. Ethiopia has Anti-Money Laundering legislation in place. The government has also set up a Financial Intelligence Centre (FIC) to monitor money laundering and counter financing of terrorist activities in the country.

INVESTMENT OPPORTUNITIES The African financial services sector has greatly benefited from international banks playing a role in private equity and expansion deals. But such activity has been absent in Ethiopia – home to Africa’s 9th largest economy and 2nd biggest population.

Private investors are keeping close tabs on Ethiopian banks, awaiting their chance to exploit a the gradually emerging sector. For now, they must bide their time for the potential to come to fruition: a population of almost 90 million people, one of Africa’s biggest economies and a lucrative GDP growth, all combining to mean huge future opportunities for financial services. Added to these factors is Ethiopia’s huge unbanked population. Experts estimate that Ethiopia’s unbanked population could be as high as 85% to 90%. As the Ethiopian economy transitions to the international stage, financial infrastructure will have to facilitate access to the various under-served communities. The recent introduction of mobile banking and related services is surely a step in the right direction. Despite doomsday projections subsequent to the government’s decision - in May 2010, for private banks to spend 27% of their loans and advances in buying mandatory bonds, the financial sector is proven to be an industry worth investing hard earned savings. It is highly regulated, and safe for members of the public to buy share from - its latest financial disclosures reveal shareholders are rewarded awesomely from Dashen Bank’s highest dividends on share of 92.6% to United Bank’s 52%. No other industry in the economy is rewarding shareholders with such returns. Even insurance firms, with little capitalization compared to their sisters in the banking industry, are galloping. Nib Insurance

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Company, for example, has paid 22.2% dividends on shares, after recording 35.2 million birr in net profit from its operations of 2011/12. So as the above outlines, opportunities are ripening for investment in Ethiopiaâ&#x20AC;&#x2122;s financial sector.

BANKING SYSTEM The National Bank of Ethiopia (NBE) is the central bank of the country. Commercial banking functions are performed by the state-owned Commercial Bank of Ethiopia (CBE) and a number of private banks. The CBE and private commercial banks offer savings and checking accounts, short-term loans, foreign-exchange transactions and mail and cable money transfer services. They also participate in equity investments, provide guarantees and perform other commercial banking activities. The number of banks reached nineteen at the end of April 2013, of which sixteen banks are privatelyowned, with the remaining three governmentowned. These include the two specialized stateowned banks, i.e. the Development Bank of Ethiopia (DBE) and the Construction and Business Bank (CBB). The DBE, with its 32 branches, extends short-, medium- and long-term loans to viable development projects including industrial and agricultural projects. The CBB, with its 32 branches, provides long-term loans for the construction of plants producing housing construction materials and the construction of private schools, clinics, hospitals, and real estate development. Private banks operating in the capital and other major cities are: Awash, Dashen, Abyssinya, Wegagen, United, Nib, Cooperative Bank of Oromiya, Lion, Buna, Zemen, Abay, Birhan and Addis International Bank. A foreign investor can operate with any of the banks of its choice. However, it is advisable for a foreign investor to register initial investments with the National Bank of Ethiopia for the purposes of repatriation of dividend and capital. Currently there are very limited places that give credit card services for customers. These are places like hotels that accept American express, Master Card and Visa. Some local banks have a debit card service within the country. The major foreign currencies in use in the country include: US Dollar, UK Pound Sterling and Euro. However, many of the Banks in the country transact in Japanese Yen, South African Rand, Indian Rupee and Swedish Kroner.

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Residents are allowed to open bank accounts in any of the approved local institutions. Opening of foreign currency bank accounts requires prior approval of the National Bank of Ethiopia. Accordingly, foreign companies need to open and operate a foreign currency account in the country. With the exception of Development of Bank of Ethiopia, which is owned by the government, almost all banks provide identical commercial banking services. All the banks provide domestic banking and international banking services. Domestic banking services include: deposits, loans and money transfer; and the international banking services include: Import, Export, Letter of Guarantee, Money Transfer, FOREX Bureaus and Foreign Currency and other Non-Resident Accounts Operation. Commercial Bank of Ethiopia, which is a state-owned bank, is the biggest commercial bank and controls the majority assets of the industry. The Banks in Ethiopia have a good track record in terms of protecting customersâ&#x20AC;&#x2122; deposits. However, all the banks heavily rely on collateral-based lending and predominantly use Letter of Credit System for foreign trade. The improvement in the quality of the countryâ&#x20AC;&#x2122;s financial services over the last five years has facilitated transactions by allocating necessary funds to productive and effective sectors and as a result has helped accelerate economic growth. Fiscal year 2010/11 witnessed encouraging developments in the financial services and efficiency of commercial banks. For instance, in line with the 5% maximum set by the government on non-performing loans of banks as a percentage of total loans, the non-performing loans ratio declined from about 6.6% in June 2007/08 to 5% in 2009/10 and further to 2.13% in June 2011, reflecting outstanding improvement in the loan quality of banks. The bank branches also registered a substantial growth in EFY 2010/11. In 2008/09, there were 565 branches and in 2009/10 the number of bank branches increased to 681 and in 2010/11 to 970. This indicates that the banking system has opened 289 in 2010/11 alone; that has increased the banking branch by 42.4% compared to the previous year. Though the number of bank branches compared to the number of population who require bank services is still very low, bank-population ratio improved from 117,474 in 2009/10 to 82,474 in 2010/11.

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Modernization of the National Payment System The government has planned to strengthen and modernize the national payment system in the first year of GTP implementation period. The main target for the 2010/11 fiscal year was to introduce a modern and secured payment and settlement system. Accordingly, the government launched the National Payment and Settlement System, effective from May 2011. Along with this, the government has partially implemented the core banking system to enhance the use of the e-banking system. Upon compilation of the systems, all branches of commercial banks will be networked with the National Payment and Settlement System. To facilitate the banking system, core banking systems related to ATM and other payment instruments were introduced. In 2010/11 fiscal year, connecting branch banks to the core bank was initiated in order to facilitate and make effective the transactions among banks and the payment systems in the banking process. Moreover, by the end of the fiscal year, the government had also effectively introduced the National Credit Information System and had incorporated microfinance institutions into the information system. The credit information system provides the necessary and appropriate information about borrowersâ&#x20AC;&#x2122; and lendersâ&#x20AC;&#x2122; positions which avoids information asymmetry between the parties. It also facilitates exchange of information and reduces risk associated with loan disbursement.

Exchange rate The official average weighted exchange rate depreciated by 25% during 2010/11 and stood at Birr 16.1178/USD compared to the average rate of Birr 12.8909/USD recorded in the preceding fiscal year. The official exchange rate of the birr showed faster depreciation during the year largely due to the exchange rate adjustment at the beginning of September 2010 in view of improving export competitiveness and enhancing inflow of private transfers through official channels. Meanwhile, the average parallel market exchange rate of the birr weakened by 20.8 % to reach birr 16.5292/USD. As a result, the average premium between the official and the parallel market rates narrowed to 2.6% from 6.1%.

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number of public companies including green field operations are being set up through public offering of shares. The government also regularly sells Treasury Bills to raise short-term finance and bonds to finance long term projects.

INSURANCE SECTOR At present, one state-owned insurance corporation, Ethiopian Insurance Corporation (EIC), and fifteen privately-owned insurance companies are operating in Ethiopia. Overall, twelve insurance companies are engaged in both life and general insurance business, 2 companies in general insurance and 2 companies are exclusively focusing on life insurance (long-term insurance business). Many of the insurance companies that provide general insurance business provide the following services: Fire and allied perils. Burglary and house breaking. Business interruption. Vehicle. Good-in transit. Inland carriers liability. Aviation. Engineering. Personal/Group Accident. Fidelity Guarantee. Money. Professional Indemnity. Workmenâ&#x20AC;&#x2122;s compensation. Warehouse operators liability. Household comprehensive. Most Insurance companies engaged in long-term insurance business provide: Individual Life Insurance. Group Life Insurance. Executive Medical Insurance. Comprehensive Accident Insurance. Terminal Illness. Pre need Funeral Expenses. Others.

Reinsurance All Ethiopian insurance companies buy their reinsurance policies from cross border reinsurers. The re-insurance limit is specific to each individual insurance company.

Currently, there is no security trading market in Ethiopia. However, shares are bought and sold. A

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MAIN ENTITIES ASSOCIATION & PUBLIC AGENCIES ETHIOPIAN CHAMBER OF COMMERCE & SECTORAL ASSOCIATIONS

Issuance of certificate of origin. Document Authentification (Export). Invoice Chamberization. Affidavit of support for the business community. Need-based training, technical & skill development. Preparation of Strategic Plan, project Proposal, etc. Soliciting support for members from donors.

Mulu Solomon President P.O. Box 517, Addis Ababa Tel: +251 11 551 4005 Fax: +251 11 551 7699 ethchamb@ethionet.et

Mulu Solomon, President ADDIS ABABA CHAMBER OF COMMERCE & SECTORAL ASSOCIATIONS

The concept of a Chamber of Commerce was introduced to Ethiopia for the first time in 1943. The need for its establishment basically emanated from the economic crisis which was occurring during that time. The establishment of the Chamber of Commerce was seen as a solution to address the distribution of scarce commodities such as cotton, yarn, and woollen products. Members of the Chamber of Commerce were allowed to distribute those scarce commodities to stabilize the market. The Ethiopian Chamber of Commerce and Sectoral Associations (ECCSA) is an apex organization of Chambers and Sectoral Associations in Ethiopia. It has eighteen members including nine Regional Chambers of Commerce and Sectoral Associations, two City Chambers of Commerce and Sectoral Associations, one National Chamber of Sectoral Associations and six Sectoral Associations organized at national level. ECCSA is a member of the International Chamber of Commerce. The ECCSA is an autonomous, non-profit, private sector and membership-based organization. In its present form, the Chamber was restructured in 2007. The Chamber envisions becoming an internationally competitive and exemplary Chamber in Africa, and strives to create a vibrant private sector in the country through advocacy, promotion of trade and investment and capacity building. The services delivered by the ECCSA are mainly the following: Provision of business information to the business community. Research, advocacy and business advisory. Business networking, trade Fairs / exhibition. Investment Guide, Exporters Guide and Importer Guide

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Ayalew Zegeye President P.O. Box 2458, Addis Ababa Tel: +251 11 551 3814 / 8055 Fax: +251 11 551 1479 ayalewzegeye@yahoo.com www.addischamber.com

The Addis Ababa Chamber of Commerce, established in 1974, provides technical and advocacy assistance to help Ethiopians start, run, and grow their businesses. Today, the Chamber is the only organization that provides a wide range of non-financial assistance to business in the country. The Chamber, which previously was known as the Addis Ababa Chamber of Commerce, was reorganized as the Addis Ababa Chamber of Commerce and Sectoral Associations (AACCSA) in 2003. The AACCSA is an autonomous non-governmental, nonpolitical and non-profit organization that acts on behalf of its members. Since its establishment, it has served its members in promoting socio-economic development and commercial relations with the rest of the world. Its main objective is to promote the establishment of conditions in which business in general and in Addis Ababa in particular can prosper. With over 7,000 registered members, the AACCSA is the largest and oldest chamber of commerce in Ethiopia. It is the only representative body that speaks

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with authority on behalf of the business community. The Chamber represents 60% of business in Addis Ababa. In addition to being a pioneer Chamber in Ethiopia, it has a prominent place in the international network of Chambers. The Chamber has been at the forefront in helping business grow and prosper through the provision of business-related information and diversified services. In that sense, AACCSA is in charge of organizing the annual Addis Chamber International Trade Fairs, that are believed to have brought together agricultural, industrial, commercial and service rendering organizations from all parts of the world. The Addis Chamber International Trade Fairs are the hubs of all business activities. AACCSA, apart from safeguarding the interests of the business community, has also been playing a considerable role in prompting trade and investment in the country. It has been actively engaged in the national efforts geared towards creating a flexible and hospitable economic environment.

The mission statement of EIA is to enhance investment, both foreign and local, in the country by promoting its resource potentials and investment opportunities, initiating policy and implementation measures to create a conducive investment climate and providing efficient services to investors so as to bring fast and sustainable economic development to the country. EIA operates as a one-stop-shop to enhance prompt services in Ethiopia. To be a strong institution, which will make Ethiopia one of the leading investment destinations in Africa, EIA has the following duties and responsibilities: Providing information required by investors. Receiving investment applications. Approving and issuing investment permits. Providing registration services to newly incorporated business organizations. Providing work permits to foreign employees. Issuing trade and operating licenses. Facilitating the acquisition of land. Providing all other pre and post-approval services. Promoting the countryâ&#x20AC;&#x2122;s investment opportunities. Registering technology transfer agreements and export-oriented non-equity-based foreign enterprise collaborations with domestic investors. Negotiating and, upon government approval, signing bilateral investment promotion and protection treaties with other countries. Advising the government on policy measures.

Ayalew Zegeye, President of Addis Ababa Chamber of Commerce

ETHIOPIAN INVESTMENT AGENCY Fitsum Arega Director General P.O. Box 2313, Addis Ababa Tel: +251 11 551 0033 Fax: +251 11 551 4396 fitsumarega@yahoo.com www.ethioinvest.org

The Ethiopian Investment Agency (EIA) is a government agency, established in 1992 to promote private investment, primarily FDI. The overall activities of the Agency are supervised and followed up by an Investment Board, which is chaired by the Minister of Industry. The EIA is headed by a director general, who is also a member of the Board.

Fitsum Arega Director General PRIVATIZATION & PUBLIC ENTERPRISES SUPERVISING AGENCY (PPESA) Beyene Gebremeskel Director General Tel: +251 11 552 2616 Fax: +251 11 553 6629 pesa@ethionet.et / epa.et@ethionat.et www.ppesa.gov.et

The Ethiopian government, in line with its commitment to encourage the private sector, has so far taken a broad-based economic reform programme. One of the reform measures is a privatization programme, which has transferred a lot of public enterprises to

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the private sector. As long as public enterprises have to continue under state ownership until such a time that they would be privatized, it is necessary to provide them with appropriate guidance and support. Moreover, it is also necessary to support the public enterprises so as to enable them to be competitive and profitable. In order to achieve the above-mentioned goals, it became necessary to merge the Ethiopian Privatization Agency (EPA) and the Public Enterprises Supervising Authority (PESA) with a view to coordinating the implementation of the privatization programme with the activities of public enterprises. Therefore, Privatization and Public Enterprises Supervising Agency (PPESA) was established in 2004. The Agency’s powers and responsibilities focus on two major areas: implementing the privatization programmes as well as providing guidance and supervision to public enterprises. Enabling public enterprises to be competitive in the domestic as well as the international markets, and privatizing them in a transparent and effective manner is the vision of PPESA. In the ten years since privatization had started (19952005), 213 enterprises and their branches were transferred to the private sector. The total revenue from the sales of these enterprises amounts to 3.13 billion birr. In the next six years (2006-2011), 97 enterprises and their branches were transferred to the private sector at a sales price of 5.6 billion birr. Hence, on aggregate 310 enterprises and their branches have been privatized in the last sixteen years and the total revenue from their sales is 8.7 billion birr. In addition, the agency has planned to implement four projects in the strategic plan years. Accordingly, the following new projects plants will be implemented: hydrogen peroxide, 5,000 tonnes; synthetic yarn plant of 12 ton acrylic and 4,500 ton polyester; a fertilizer complex above 1.5 million tonnes of urea and dap; and a rubber plantation and processing plant with a capacity of 6,000 tonnes of tire sheets annually. ETHIOPIAN REVENUES & CUSTOMS AUTHORITY P.O. Box: 2599 Addis Ababa Tel +251 011 466 7324 / 466 Fax: +251 011 466 2628 min.of.reve@ethionet.et www.erca.gov

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The Ethiopian Revenues and Customs Authority (ERCA) is the body responsible for collecting revenue from customs duties and domestic taxes. In addition to raising revenue, the ERCA is responsible for protecting the society from adverse effects of smuggling. It seizes and takes legal action on the people and vehicles involved in the act of smuggling while it facilitates the legitimate movement of goods and people across the border. The ERCA traces its origin to July 7th, 2008 as a result of the merger of the Ministry of Revenues, the Ethiopian Customs Authority and the Federal Inland Revenues into one giant organization. The ERCA has its headquarters in Addis Ababa. It is led by a Director General who reports to the Prime Minister and is assisted by five Deputy Director Generals. Each deputy director general oversees at least four directorates. The Prime Minister appoints both the Director General and the Deputies.

As an autonomous federal agency having its own personality, the ERCA has the following objectives: 1. To establish modern revenue assessment and collection system, provide customers with equitable, efficient and quality service. 2. To cause taxpayers voluntary discharge of their obligations. 3. To enforce tax and customs laws by preventing and controlling contraband as well as tax fraud and evasion. 4. To timely and effectively collect tax revenues generated by the economy. 5. To provide the necessary support to regions with a view to harmonizing federal and regional tax administration systems. Since 2006, great strides have been made in automating ERCA’s operations hence ERCA’s daily operations have become improved and service delivery to importers, exporters, taxpayers and other customers has become a lot easier. The ERCA has witnessed success in revenue collection over the past five years beginning from 2006. During this period, the ERCA has tripled revenue collection from 11.2 billion birr in 2006 to 35.6 billion birr in 2010. Consequently the contribution of the revenue to covering the federal government’s expenditure grew considerably from 37.54% in 2006 to 55.35% in 2010.

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address their most complex business challenges. To meet the expectations of our clients, we deliver the same superior level of service worldwide, ensuring that our global Client Service Standards, corporate finance service methodology and training programmes are consistent throughout the world. DELOITTE Solomon Gizaw Country Leader/managing Partner Ethio-China Friendship Avenue Mina Building, 5th Floor P.O. Box 25701, Addis Ababa Tel: +251 (0) 115 572 779 Fax: +251 (0) 115 528 384 sgizaw@deloitte.com www.deloitte.com

Deloitte is driven by its core pillars, our vision ‘to be the standard of excellence’, ‘‘the first choice of the most sought-after clients and talent’’. Globally, Deloitte has in the region of 200,000 professionals, unified by a collaborative culture that fosters:

In Ethiopia, we serve clients through the following specialised service areas:

Deloitte East Africa in June 2012 established its presence in Ethiopia through HST Consulting, an Ethiopian management consulting firm affiliated to HST Chartered Certified Accountants. Established by three independent audit firms, HST was the first professional accounting partnership in Ethiopia and has a combined experience of over 20 years in the market. As part of the Deloitte East Africa practice, we serve clients in the East African region through our five regional offices in Addis Ababa, Nairobi, Mombasa, Dar es Salaam and Kampala. Our East Africa practice prides itself in having a workforce of over 650 employees sourced within the East African region.

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Financial Advisory Services Corporate finance; Reorganization and valuation services; Business support services; Deloitte forensic; and Corporate secretarial, registration and trustee services.

Enterprise Risk Services Locally, Deloitte Ethiopia provides Consulting, Enterprise Risk, Financial Advisory and Tax services to public and private clients spanning multiple industries. With 4 partners and above 80 Audit and Consulting Professionals, we have a wide range of practical experience in the areas of Accounting, Audit, and Management Consultancy in diverse business practices and across industries and sectors in Ethiopia. Tax Services Deloitte in Ethiopia leverages the power of Deloitte’s global network of member firms with presence in more than 150 countries to bring world-class capabilities and high-quality service to clients, delivering the insights they need to

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BANKS ZEMEN BANK S.C. Tsegay Tetemke President/CEO Joseph Tito Street, P.O. Box 1212, Kazanchis Addis Ababa Tel: +251 115 553 9040 Fax: +251 115 553 9042 info@zemenbank.com www.zemenbank.com

Zemen Bank started its operations in 2008 with a paid-up capital of 150 million birr and 2,800 shareholders. It recorded net profits of around 46 million birr in 2009/10, after which it became the first commercial bank to offer depositors 0.5 percentage points more on savings interest than the 4% imposed by the central bank. To qualify, a minimum monthly balance of 25,000 birr is required. Zemen Bank offers a professional banking relationship to all their customers backed by worldclass technologies and outstanding levels of services. Unique in the Ethiopian banking landscape, Zemen Bank’s operation are based on a single-branch, whose activities are supplemented by multiple service points such as ATMs, POS terminals, Foreign Exchange Bureaus and Banking Kiosks. This is part of their distinctive Multi-Channel banking model whereby the bank allows its customers the option of choosing from different banking service channels that suit their particular needs and circumstances. A key distinguishing feature of Zemen Bank is the highly dedicated and experienced staff. The bank’s staff is committed to meeting and exceeding all your banking needs, and to tailoring their offerings to your specialized requirements. In each of the bank’s departments, the staff work to minimize delays and maximize the financial benefits and services that every single customer expect from a trusted bank. Also distinctive about Zemen Bank is their focus on technologically-based banking services. All bank’s cash deposit and withdrawal services at their unique branch are fully computerized. Opening accounts is easily completed in about 10 minutes with your personal information processed via applications, pictures, and signatures that are securely and digitally recorded. Zemen Bank offer the full range

of services - ATMs, Internet Banking, Call Centre Banking, and (coming soon) Mobile Banking - that clients have come to expect from a modern bank. Zemen Bank, in partnership with several correspondent banks abroad, can offer the full array of international banking services: import and export letters of credit; international wires and transfers; foreign cash and check-related services; Dollar/Euro accounts to eligible savers; and remittance services to send/receive funds. Some of Zemen Bank’s customers are: Ethiopian Steel Plc, a dominant industrial producer; BGI Ethiopia, the country’s biggest brewer; and CocaCola, the world’s biggest brand.

NIB INTERNATIONAL BANK Kibru Fondja President P.O. Box 2439, Addis Ababa Tel: +251 11 552 3304 / 3288 Fax: +251 11 552 7213 / 550 4349 nib.ceo@ethionet.com www.nibbank-et.com

NIB commenced operations on October 28th, 1999, with a paid-up capital of 27.6 million birr and authorised capital of 150 million birr. The total number of employees was 27. Since establishment the bank has made remarkable growth. At the end of March 2009, the authorized and paid up capital reached 1 billion and 487 million birr respectively. It now has over 3,000 shareholders, and it made around 230 million birr in gross profits (unaudited) in 2011 fiscal year. Nib International Bank wants to provide efficient and effective full-fledged commercial banking services by utilizing qualified, honest and motivated staff and the latest technology and thereby optimizing stakeholders’ interests. The major business purposes of the bank are: to mobilize deposits in the form of savings, demand and fixed time deposits; to grant loans and advances; to render international banking services; to open and maintain Foreign Currency Accounts for Non-resident Ethiopians, foreigners and foreign organizations entitled for such facilities; to provide international and local money transfer service; and to engage in

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Foreign Exchange transaction services.

DASHEN BANK

To facilitate the rendering of better global banking services, the bank established correspondent banking relations with major global banks such as Citibank N.A., among others.

Berhanu W/Selassie President P.O. Box: 12752, Addis Ababa Tel: +251 11 466 1380 / 465 4127 Fax: +251 11 465 3037 dashnpo@ethionet.et

Kibru Fondja, President AWASH INTERNATIONAL BANK S.C. Tsehay Shiferaw President P.O. Box 12638, Addis Ababa Tel: +251 11 557 0065 / 0066 Fax: +251 11 557 0126 aib.president@ethionet.et www.awash-international-bank.com

Awash International Bank S.C. (AIB) is the pioneer private commercial bank in Ethiopia after the downfall of the military regime and introduction of a market economic policy in 1991. It was established by 486 founder shareholders with a paid-up capital of 24.2 million birr. Licensed on November 10th, 1994, it started banking operations on February 13th, 1995. It was named after the popular river “Awash” which is the most utilized river in the country, especially for irrigation and hydroelectric power. Awash River plays a pivotal role in the economic development of the country. The number of shareholders and paid-up capital increased continuously and currently reached over 3,000 and 910 million birr, respectively. Awash International Bank S.C. is the first private bank to build its own headquarters at the hub of what is growing into the Ethiopian financial district. The twins building named “Awash Towers’’ were built at a cost of more than 217 million birr in collaboration with its sister company, Awash Insurance Company S.C., being inaugurated in 2010. Currently, the bank has 80 branches spread throughout the country, thus boosting the wider branch network next only to the state owned, Commercial Bank of Ethiopia. All city branches and almost half of the outlying branches are providing online services.

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Named after the highest mountain in Ethiopia, Dashen Bank was incorporated on 20th September 1995 with paid-up capital of 14 million Ethiopian birr. With its commitment to providing an unparalleled banking service, in January 1996, it went operational with 11 area banks in the capital Addis Ababa and regional towns. For the past eighteen years, Dashen Banks’s overarching financial and operational performance has maintained its position as a leader among Ethiopian banks. The business purpose of the banks as enshrined in its basic documents is to render commercial banking activities both in the domestic and international spheres. Dashen Bank’s continuous focus on its customers and proven commitment to excellence has enabled it to achieve outstanding performances in the sector and maintain its leading role among Ethiopian banks. In June 2011, the bank’s total deposits mobilised, and loans and advances extended at corporate level, reaching 11.8 bn and 6.1 bn birr respectively, accounting for 24% of the entire registered performance of all private banks in Ethiopia. Its total assets at that date were valued at 15.2 birr and its primary capital, 1.2bn birr. The total income of 1.3 bn birr is the biggest in the history of the bank and among private banks in Ethiopia. As a mark of growing public confidence in the bank, its customer base registered a record high of 809,000 (2011). In addition to VISA and MasterCard, Dashen Bank has signed a partnership agreement with UnionPay to accept the UnionPay card in Ethiopia. This was the first time UnionPay has cooperated with any African bank. Amongst its international awards, in 2005 Euromoney named Dashen Bank the ‘‘clear leader and best bank in Ethiopia’’ and in 2010 it received the Bank of the Year award from The Banker magazine for the eighth time. Dashen Bank is the only bank to have received an award from the Addis Ababa Chamber

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of Commerce as an outstanding enterprise and its president won the Most Honourable Business Leader award.

strong capital and liquidity position, prudent lending policies, strict cost control discipline, fair and objective employment practices, and playing a responsible role in aligning the bankâ&#x20AC;&#x2122;s objectives with those of the communities.

WEGAGEN BANK Araya G/Egziabher President / Chief Executive Officer P.O. Box: 1018, Addis Ababa Tel: +251 11 52 3526 Fax: +251 11 52 3520 ceo@wegagenbanksc.com www.wegagenbanksc.com

Wegagen Bank was established in June 1997 with an initial subscribed capital of 60 million birr and a paid-up capital of 30 million birr. The number of shareholders reached 2,130 while the total capital (including paid-up capital, share premium and legal reserves) reached over 1.5 billion birr as of March 31, 2012. Wegagen Bank has a network of 63 branches of which 28 are in Addis Ababa and the remaining 35 are located in other cities and towns of the country. The Board of Directors consisting of a Chairman, a Vice Chairman and seven Directors governs Wegagen Bank. The overall management is entrusted to the management team, which comprises the President/ Chief Executive Officer, who is appointed by the Board of Directors, two Vice-Presidents and twelve Department Managers. As one of the premier service providers in the Ethiopian banking industry, Wegagen Bank is committed to giving the most efficient, fast and reliable service to the community at large in terms of loans, deposits, and international banking. Wegagen Bank is a pioneer bank, introducing a core banking system in July 2000, thereby managing to network the Head Office organs, City Branches and some of the outlying branches. At present, migration of the existing Core Banking System into a more versatile and ISO-standard solution is completed. The Bank has also implemented a full-fledged Card Payment System, enabling its customers to get 24/7 banking services, on our ATM network, and on POS Terminals, as well. To offer the best services to its customers, Wegagen Bank relies on the following principles and values: outstanding customer service, business integrity,

Araya G/Egziabher, President / Chief Executive Officer

DEVELOPMENT BANK OF ETHIOPIA Esayas Bahre President P.O. Box: 190o, Addis Ababa Tel: +251 11 551 3120 Fax: +251 11 551 1606 dbe_president@ethionet.et www.dbe.com.et

The Development Bank of Ethiopia (DBE), one of the oldest banks in Ethiopia, was established in 1909 and was called the Society for the Promotion of Agriculture and Trade. Since its reestablishment in 1970, the bank has been playing a significant role in promoting economic development all over the country. In 2010, it made a profit of 54.4 million birr, an 80% increase from the previous yearâ&#x20AC;&#x2122;s 30.3 million birr. Development Bank of Ethiopia is a specialized bank focusing on a national development agenda through development finance and close technical support to viable projects in the priority areas of the government. The bank earnestly believes that these highly valued objectives can best be served through continuous capacity building, customer focus and concern to the wider environment. The Development Bank extends loans to viable projects up to 70% of required capital of the investment. Currently, the following are key priority financing areas of the government banks, particularly of Development Bank of Ethiopia: agriculture and floriculture, agroindustry, transport and communication, mining and energy, education, health, tourism, manufacturing. The Development Bank of Ethiopia wants to achieve the 100% success for all financed projects by 2020. In its long years of existence, DBE has established recognition at both national and international

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levels. Nationally, it is the sole bank with reputable experience in long-term investment financing. Internationally, it is recognized as an important on-lending channel for development programmes financed by bilateral and/or multilateral sources.

Esayas Bahre, President NATIONAL BANK OF ETHIOPIA Teklewold Atnafu Governor P.O. Box 5550, Ethiopia Tel: +251 11 551 3859 Fax: +251 11 551 4588 nbe@telecom.net.et www.nbe.gov.et

The National Bank of Ethiopia (NBE) was established in 1963 and began operations in January 1964. Prior to this proclamation, the bank used to carry out dual activities, i.e. commercial banking and central banking. The proclamation raised the bankâ&#x20AC;&#x2122;s capital to 10 million Ethiopian birr and granted broad administrative autonomy and juridical personality. Since the early 1990s, the National Bank of Ethiopia has been at the forefront and taken the prime initiatives of maintaining macroeconomic stability, ensuring fair competitiveness and soundness of the financial system, and enhancing the economic progress of the country in pursuit of its mission. The National Bank of Ethiopia has played a major role in coordinating fiscal and monetary policies over the past 20 years, which has resulted in the achievement of remarkable economic progress. The vision, mission and goals of the National Bank of Ethiopia have emanated from the overall vision of the government which is to see a country, wherein democracy and good governance prevail upon the mutual consent and involvement of its people, wherein social justice reigns, and wherein poverty is reduced and income of the citizens reaches a middle economic level. The NBE directed its efforts to maintain price and

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exchange rate stability, to foster a sound financial system and undertake such other functions as are conductive to the economic growth of Ethiopia. Some of these functions are: Formulating and implementing the countryâ&#x20AC;&#x2122;s exchange rate policy, and managing and administering the international reserves of the country. Licensing, supervising and regulating the operations of banks, and other financial institutions authorized to deal in foreign exchange and hold deposits. Setting limits on the net foreign exchange positions and terms, and the amount of external indebtedness of banks and other financial institutions. Setting minimum saving and time deposit rates from time to time. However, Banks may pay higher than the minimum deposit rate. Providing short and long term refinancing facilities to banks and other financial institutions operating in the country. The National Bank of Ethiopia aims to be one of the strongest and most reputable central banks in Africa. NBE is one of the original 17 regulatory institutions to make specific national commitments to financial inclusion under the Alliance for Financial Inclusionâ&#x20AC;&#x2122;s (AFI).

COMMERCIAL BANK OF ETHIOPIA Bekalu Zelleke President P.O. Box 255, Addis Ababa Tel: +251 11 551 1271 / 5004 Fax: +251 11 551 4522

Established in 1942, the Commercial Bank of Ethiopia (CBE) is the oldest commercial bank in the country. Although the CBE has slowly been losing its market share to newly emerging private banks, its size (54.8 billion birr in deposits) and earnings in 2010 (3.5 billion birr) helps it to remain the dominant bank in the market. The bank made 2.8 billion birr in profits in the 2010 fiscal year. The CBE, the leading bank in Ethiopia, plays a catalytic role in the economic progress and development of the country. With 70 years experience behind it, its high-tech facilities, skilled staff and wide branch network, the CBE offers not only reliable and quality services, but also appropriate products to a wide base of customers.

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As of June 2011, it had about 86.5 million birr in assets and held approximately 63.5% of deposits and about 38% of all bank loans in the country. The bank has around 8,000 employees, who staff its headquarters and its over 500 branches in the main cities and regional towns. The latter include 45 branches in Addis Ababa. With the opening of a branch in Gechi in the Oromia Region, CBE’s banking network has reached 550 branches. As the country’s biggest bank, CBE’s main mission is to enhance the Ethiopian economy by providing valuable financial services to the commercial, industrial, transport, agricultural, construction and other sectors. On top of generating profit, the bank also promotes a banking culture in the entire country, by making its products and services available wherever and whenever is required. CBE’s main goal is to become a world-class commercial bank by the year 2025.

UNITED BANK Berhanu Getaneh President P.O. Box 19963, Addis Abeba Ethiopia Tel: +251 (0) 114 655 222 / 240 / 241 / 242 Fax: +351 (0) 114 655 243 / 244 www.unitedbank.com.et

to keep abreast with the latest developments in the local and international financial services industry. Allied to that, the aim is to become the preferred bank in the banking industry of Ethiopia. Currently, the Bank has 72 branch offices and out of which 42 branch offices are located in Addis Ababa and the other 30 Branches are in major towns of the country, namely: in Adama, Gondar, Dessie, Hawassa, Hossana, Bahir Dar, Wolaita Sodo, Mekelle, Metema, Gambella, Harar, Debark, Modjo, Shashemene, Dire Dawa, Jimma, Bure Damot, Debre Berhan, Mizan Teferi, Woldia, Alamata, Tewodros, Aba Geda, Bishoftu, Nekemeta, Jigjiga, Atse Yohannes. Shire,Togochale and Arba minech. The branch opening effort of the bank will continue to be the priority policy in the agenda of the bank at least in the short run. United Bank has established correspondent bank relationships with a number of prominent banks worldwide. Currently, the bank maintains correspondent account relationships with eight banks and bilateral key exchange arrangements with more than 98 banks in the United States, Europe, Middle East, Asia and Africa.

INSURANCES AWASH INSURANCE COMPANY S.C.

United Bank officially commenced operations on September 21st, 1998. It had a paid-up capital of nearly 20 million birr as of June 2009 and recorded a gross profit of 282 million birr in 2009/10. The bank obtained a banking services license from the National Bank of Ethiopia and is registered with the Trade, Industry and Tourism Bureau of the Addis Ababa City Administration. United Bank built itself into a progressive and modern banking institution, endowed with a strong financial structure and strong management, as well as a large and ever-increasing customer and correspondent base. At the end of June 2012, United Bank reported a net profit with earnings per share of 52.8%. Today, United Bank is a full service Bank that offers its customers a full range of commercial banking services with a network that includes 72 branches. United Bank’s priority in the coming years is to strengthen its capital base, maximizing return on equity and benefit from the latest technology in order

Mr. Tsegaye Kemsi Chief Executive Officer P.O. Box 12637 Addis Abeba Ethiopia Tel: +251 (0) 115 57 00 39 Fax: +251 (0) 115 57 02 08 aic@ethionet.et www.awashinsurance.com

AWASH INSURANCE COMPANY S.C.

We transact both

Awash Insurance Company S.C. (AIC) was founded in 1994 and is one of the first private insurance companies in Ethiopia. Twenty years later, the growth capacity of the business is evident.

LIFE & NON-LIFE INSURANCE SERVICES

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Finance

Mr. Tsegaye Kemsi, CEO The Mission of Awash Insurance Company S.C. is to provide diversified general and long-term insurance services to a continuously growing number of clients efficiently, competitively and profitably supported by modern technology as well as by a well trained, professionally and socially responsible team of management and employees. With a paid-up capital of 70 million Ethiopian birr, the company has selected highly respected business partners and bankers: Awash International Bank S.C. (their principal banker, and also AIC is the leading shareholder in the Bank); United Bank; Wegagen Bank; Commercial Bank of Ethiopia and Oromiya Cooperative Bank S.C. AIC’s customer base is one of the broadest among all private companies: many very large companies (like Hilton Addis) and organizations (private and public alike) are among their ever-growing client base. Achieving profit return throughout its years of service, with over 24% investment return on the average, AIC’s Reinsurance program is one of the most highly reliable arrangements in the industry, and their treaties are led by the African Reinsurance corporation with A - (Excellent) rating by S&P and A.M. Best.

AWASH INSURANCE COMPANY S.C.

We transact both

LIFE & NON-LIFE INSURANCE SERVICES

OUR 33 BRANCHES AWAIT YOUR INSTRUCTIONS

Manpower is one of the strengths of the company. An organized, well-trained, dedicated team that always serves customers is a must for Awash. The company has more than 360 permanent employees and 200 sales agents in the country, contributing to a sustainable growth and playing an important role within the economy of Ethiopia. Awash Insurance Company S.C. has 33 fullyfledged branches around the country and coowns its fabulous headquarters building with its sister company Awash International Bank S.C. An investment of 240 million birr was necessary for the construction, which makes Mr. Tsegaye Kemsi (CEO) proud: “We are the first to own a complex building that offers all the facilities that their employees need in order to work in the best conditions”, adds Mr. Kemsi. On the other hand, AIC innovates in terms of Product Development: life and non-life insurances. But the aspiration of the company is to maintain Awash Insurance Company as the leader of the Market

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Tel: 011 5 57 00-01/33-62 Fax: 011 557 02 08 E-mail: aic@ethionet.et

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Finance

and to keep up with the good work. AICâ&#x20AC;&#x2122;s purpose is clear: to provide the best in class customer service. According to the CEO:

the world. Its reinsurance treaties afford substantial underwriting capacity to enable it to automatically accept large risks of every description.

ETHIOPIAN INSURANCE CORPORATION To achieve that goal, the management style has to be serious and participative. Top managers always know what is going on in every branch every day, including Mr. Kemsi. His secret to achieve it:

Tsegaye Kemsi, Chief Executive Officer

THE UNITED INSURANCE COMPANY S.C. Zafu Eyessus W Zafu Chairman, Board of Directors Alpaulo Building, Deberzeit Road, Beklobet P.O. Box: 1156, Addis Ababa Tel +251 11 465 5656 Fax: +251 11 465 3258 united.insurance@telecom.net.et

The United Insurance Company S.C. was established in 1994 with the objective of transacting all life and non-life insurance; reinsurance and related business along with the best commercial and professional tradition, by providing the most complete and secure insurance cover and offering all these at reasonable and competitive prices. The United Insurance Share Company (UNIC) presented a profit of 40.7 million birr during the last Ethiopian fiscal year 2011/12 ending June 30th, 2012. The company almost doubled its net profit before tax to reach about 40.7 million birr. The net profit before tax for the previous fiscal year (2010/11) was about 22.63 million birr. Following its merger with Lion Insurance Company SC, the company is currently owned by more than 200 shareholders and operates via sixteen outlets. UNIC-ETHIOPIA has made first-class reinsurance arrangements with some of the major reinsurers in

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Yewondwosen Etefa Chief Executive Officer P.O. Box 2545, Addis Ababa Tel: +251 11 551 2400 Fax: +251 11 551 7499 eic.mkt@ethionet.et www.eic.com.et

Ethiopian Insurance Corporation (EIC) was established in 1976 by proclamation N 68/1975. The corporation came into existence by taking over all the assets and liabilities of the thirteen nationalized private insurance companies, with 11 million birr ($1.29 million USD) paid up capital with the following objectives: Engage in all classes of insurance business in Ethiopia. Ensure the services reach the largest number of people. EIC was operating the business for about nineteen years under a protected monopolistic system as state owned-sole insurer. After the demise of the Marxist regime in mid-1991, a fundamental change took place and there was a shift in political, economic and social orientation from totalitarianism to liberalism. Therefore, EIC was re-established as a public enterprise under proclamation number 201/94 with 61 million birr ($7.13 USD million) paid up capital. Upon re-establishment of the corporation in 1994 as a state-owned enterprise, the law covers the following new objectives to the Corporation: Engage in the business of rendering insurance services. Engage in any other related activities conducive to the attainment of its purpose. Nowadays, the mission of the corporation is to provide its customers with efficient and reliable insurance services which cover of life, property and liability risks. EIC provides its service by giving a paramount importance to its customersâ&#x20AC;&#x2122; safety and satisfaction; by making use of the right mix of expertise, the most

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up-to-date ICT and cost effective strategies. EIC has a long-standing and strong relation with many international Insurance Organizations and associations such as the Federation of Afro Asian Insurers and Reinsurers (FAIR), the African insurance Organization (AIO), and the Organization of eastern and Southern African Insurers (OEISA).

among the private insurance companies, and its shareholders are well-known entrepreneurs who have been engaged in various investment activities in the country. The company has a large customer base, with more than 33,000 policyholders from different businesses and institutions.

In terms of investment, EIC is a shareholder in the following firms: African Import & Export Bank, African reinsurance Corporation, MoENCO, and Universal Investors S.C.

NILE INSURANCE COMPANY S.C. Dawit G/Ammanuel Chief Executive Officer P.O. Box: 12836, Addis Ababa Tel: +251 11 442 6000 Fax: +251 11 442 6008 nile@ethionet.et

Nile Insurance S.C. was established in 1995 and it has been one of the leading private insurance companies in Ethiopia. Currently, the company’s assets have reached 447.8 million birr and its paidup capital 91.6 million birr. Despite the fact that Nile Insurance Company is also one of the earliest private insurers in operation, in recent years the company has decreased its market share in the industry. The current data shows that Nile comes third in profit, and fourth in premium collection. The services of the Company range from general insurance such as fire damages and burglary, to life insurance. With 22 branches all over the country, Nile Insurance Company offers one of the best quality services to its customers. In addition, Nile Insurance has reinsurance arrangements with famous companies in Europe and Africa. The company focuses on reliability and service excellence, while offering a full range of general and long-term insurance products. It has a sufficient and reasonable advice about the alternative policy options, quotations and other issues before underwriting and issuing policy both for individuals and organizations as appropriate. Nile Insurance has the highest paid up capital

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Dawit G/Ammanuel, Chief Executive Officer

NYALA INSURANCE S.C. Eyob Meherette Chief Executive Officer P.O. Box 12753, Addis Ababa Tel: +251 11 662 6707 / 6674 Fax: +251 11 662 6706 eyobm@nyalainsurancesc.com www.nyalainsurancesc.com

Nyala Insurance S.C. or “NISCO” was established with 5 million birr capital and 7 million birr paid-up, later increased to 25 million birr in 1997, and further increased to 30 million birr as of July 2005. The Nyala head superimposed on the traditional Ethiopian shield was chosen as the company’s logo for the following reasons: In recognition of the role the Ethiopian patriots and the conservationists played in “caring” for and “protecting” Ethiopia and its resources, human as well as natural; and in declaration of our pledge to give deserving “Care and Protection” to our customers, their dependents and their hard-earned assets. Nyala Insurance is at the forefront of financial strength, underwriting production, up-to-date decentralized Management System Application of Information Technology and Service network penetration nationwide. The Company has always shown year-to-year growth in manpower, business volume profitability, and above all public acceptance not only as a “Caring and Protecting” institution but also as part of and in parallel with the local community.

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WATER & ENERGY With greater electricity supply as its main concern, Ethiopiaâ&#x20AC;&#x2122;s energy sector is also concentrating on the development of bio-fuel due to its lack of oil resources. The sure and safe supply of potable water throughout the country is also high priority.

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Water & Energy

H.E. ALEMAYEHU TEGENU MINISTER OF WATER & ENERGY

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technologies in transport and industrial sectors while creating opportunities for green jobs. Ethiopia requires a great deal of support and cooperation to ensure that its strategy succeeds. There is great need for more investment, greater business opportunities, technology transfer and capacity building. Ethiopia is endowed with immense water and energy resources that can be exploited for the development of Irrigation and Hydropower. Studies carried out in all the river basins of the country estimate the existing potential of irrigation and hydropower at 3.7 million hectares and 160 TWH respectively. Ethiopia aims to produce 15,000 MW of power within 10 years as part of a plan to invest $12 billion USD over 25 years to overcome chronic power shortages and export to other energy-starved African countries. The Ethiopian government is rigorous â&#x20AC;&#x153;Growth and Transformation Planâ&#x20AC;&#x153; (2010-2015) enables my Ministry to ensure growth sustainability by achieving targets beyond Millennium Development Goals and provide major contribution to the African 2025 Water vision. Ethiopia view the green economy not as an option, but as a necessity and as the only realistic and effective tool for ensuring sustainable-development in our country, for overcoming poverty, improving the carrying capacity of our land and protecting and improving our environment. It is in line with this conviction that we have launched the Climate Resilient Green Economy Strategy which, among other things, aims to improve and protect our forests for economic and ecosystem services, expand electricity generation from renewable sources and www.ebizguides.com

Investment laws promulgated by the Government offer incentives to all interested investors to encourage foreign investment. The incentives are similar to other sectors and include among others, exemptions from custom duties and tax on all equipment, machinery, vehicles, spare parts, etc. Furthermore, there is a good policy framework in the water sector, which includes the water resources management policy, the water sector strategy, and a development program, which is a very conducive environment for investment in the water sector. The Ministry of Water and Energy invites all international investors to invest in irrigation and hydropower development. Foreign investors are very welcome in Ethiopia. They are considered as partners in the countryâ&#x20AC;&#x2122;s effort to pare the multifaceted socio-economic problems. Every effort will be made to ensure their safe and successful operations in the energy and water industry. Finally, I want to thank eBiz Guides for choosing Ethiopia as the focus of this important publication. I am sure it will provide important support to the efforts being made to attract the eyes of the world to Ethiopia, where we always receive investors with open arms. We look forward to welcoming you. 105

Water & Energy

OVERVIEW Ethiopia is endowed with energy resources such as coal, biomass, solar energy and natural gas and is not a great consumer of petroleum fuels. Current natural gas reserves are estimated to be 24 million cubic metres. 95% of the energy consumed in Ethiopia is derived from traditional energy resources. The balance is made up of electricity and oil products. Less than 4% of the population, however, is supplied with electricity. Consumption of liquid fuel products, in 1997, according to the U.S. Department of Energy was approximately 550,000 metric tons. The industry is regulated by the Ministry of Mines and Energy. The Ethiopian National Committee (ENEC) was established to deal with issues related to the energy sector and to assist in policy making and setting of priorities. ENEC operates through the Ministry of Mines and Energy as a planning secretariat. Energy parastatals and the agencies established for geothermal and petroleum exploration report to the Permanent Secretary of the Ministry or to the Minister directly. His Excellency, Izaddin Ali Zikeh is presently the Minister of Mines and Energy. Ethiopia’s energy sector development policy directions in the GTP period are geared towards minimizing the gap between the demand and supply of electricity and increasing the current lower per capita consumption and supply of power to the level of export. To promote and increase the electric power access program was planned to be strengthened. It quality supply of energy and energy conservation, and to make available well designed regulatory activities.

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GTP also realized that it is important to increase bio-fuel production and utilization to substitute fuel imports. To promote and realize the country’s green development strategy, the ongoing bio fuel development activities were planned to be continued. In addition, raising awareness of consumers in order to strengthen human capacity in bio-fuel production was planned to be carried out. Therefore, the major objectives of the energy sector all times for economic and social development as well as for irrigation activities, to accelerate and complete the construction of the ongoing hydropower electric generation projects.

INVESTMENT CLIMATE & OPPORTUNITIES Ethiopia’s energy sector has been open for foreign investment since the amendment made on the investment code of the country in 2003. Currently foreign and local private investors can participate in the production of hydropower, wind, solar and thermal energy. Ethiopia is endowed with an immense potential of renewable energy sources such as hydro power, wind, solar energy and geothermal energy. It is the source of eight river basins. The Nile, the longest river in the world, gets about 85% of its waters from the Blue Nile, which originates from Ethiopia. Almost all of the country’s rivers are suitable for hydropower generation, which is the main source of energy – a clean source of power generation. Non-

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Water & Energy renewable energy resources such as natural gas and coal energy also exist. The potential of the sector has created huge opportunities for the country to export electricity to neighboring countries and beyond. As the water tower of Africa, Ethiopia offers a great deal of opportunity for cleaner energy production, which has become vital in the current global environment. As the country has the potential to export energy to the region and beyond, investing in the energy sector of Ethiopia creates a new investment opportunity with high returns. Current potential capacity of production: Hydropower – more than 45,000 MW. Wind energy – more than 10,000 MW. Geothermal energy – more than 5,000 MW. Despite the abundance of potential resources suitable for the energy sector development, the level of electricity production was about 13%, which is less than 400 MW some 20 years ago. The government determined to turn around this reality and prepared a 20 year comprehensive strategy to increase energy production and coverage. This strategic approach, essential to spur the growth of other major sectors, has stimulated the completion of major hydropower projects.

loath to divert the labour force’s commitment from the most important task at hand: tilling the land. The late Prime Minister Meles Zenawi used to say that the petroleum and mining sector was so capitalintensive and risky by its very nature that only private companies should venture into this sector. Until recently, his administration had paid little attention to the mining and petroleum exploration Mines and international mining and oil companies working in Ethiopia not to publicize the ongoing exploration projects. However, contrary to his principle at an investment forum held in May 2012 at the UNECA Conference Hall, Meles hinted that the oil exploration work that has been going on for a long time in the country could bear fruit in the near future. the probability of oil discovery in Ethiopia.

Ethiopia has been totally reliant on imports to meet its petroleum requirements. Some petroleum imports are received at the port of Djibouti, and shipped via rail and tanker truck to Ethiopia. With the recent development of oil in Sudan, however, Ethiopia has begun importing oil which, under COMESA, is not subject to tariffs. Oil imports from Sudan began in January 2003 transported by tanker trucks along a new road between the two countries.

These are: Tekaze Hydro Electric power plant – 300 MW. Gilgel Gibe II Hydro Electric power plant – 420 MW. Beles Hydro power Electric plant – 460 MW. This has increased the current capacity of energy production up to 2,000 MW, which created 35% overall access to electricity. The overall electricity access is projected to reach about 50% in the coming

OIL Historical Overview Ethiopia is, strictly speaking, a non-oil producing country. However, the country has a great potential for discovering commercial reserves of crude oil. Rumors about oil discovery have been circulating among the public for the past several decades. To understand why it is so shrouded in mystery, one needs to take account of Ethiopia’s ecosystem; with 85% of the population invested in agriculture, the various political regimes over the years have been www.ebizguides.com

This explains why the new regime, headed by Hailemariam Desalegn, is taking a wholly more open and transparent approach to discussion of oil discovery, with the potential ever closer to being realized.

Ethiopia’s Petroleum Potential areas for oil and gas reserves discovery. As the country is located in the East African Rift System, a major regional hydrocarbon system (also known as Karoo Sedimentary Horizon), it is a prospective area for oil exploration activity. There has been a surge in exploration interest throughout the East African region based on a growing consensus about the potential for the East African Rift System. Recent oil discoveries in the East African Rift System in countries like Uganda and Kenya and the natural gas discovery in Tanzania drew the attention of oil companies to the East African Rift System and Ethiopia is part of this system. Ogaden, Gambella, Omo Valley, Abay Gorge and Mekele are

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Water & Energy Oil Resources The Ogaden Basin The Ogaden Basin, situated in the eastern part of Ethiopia, covers an area of about 350,000 km2. According to data obtained from the Ethiopian Ministry of Mines, the basin contains thick sedimentary succession up to 10 km in the deeper parts. There Ogaden, namely Calub and Hilala. The Calub gas condensate reserve is estimated at 2.7 TCF and that of Hilala is about 1.3 TCF. The Mesozoic basins of Yemen with commercial oil reserves have no relatable sedimentary sequences to that of the Ogaden basin. Oil and gas indications seen in several wells drilled in the Ogaden are a promising call for identifying possible trap seal condition. Abay basin Abay basin with sedimentary sequence comparable to that of Ogaden covers 63,000 km2. Geological studies indicate that the basin has source rocks 50 years ago in Wereilu locality in the Abay basin. A geochemical analysis of an oil seep sample from the north eastern end of the basin (at Wereilu locality) indicated the presence of mature marine source rock. Gambella basin This basin, with an area of 17,500 km2, on the southeast extension of the White Nile Rift of the Sudan, which contains the proliferous Melut Basin. According to petroleum experts, the Gambella basin, which is an extension of the oil productive Melut basin, is considered as one of the most promising blocks for oil discovery. The southern rift basins The Omo and Chew Bahir basins along with other small size garbens that lie within the East African Rift System make up the Southern Basins. Gravity survey conducted in those areas show that these basins have sediments with a thickness of 3,000 to 3,500 metres. The Omo and Chew Bahir basins are the The recent oil discovery in Kenya in close proximity to the Omo Valley boosted the probability of similar results in the Omo valley. Mekele Basin The basin covers an area of 8,000 km2 and the Mesozoic sedimentary succession in this basin is over 2,000 meters thick. According to the Ministry of Mines, the presence of potential source rock is yet to be established.

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Exploration history Studies undertaken by the Ethiopian Ministry of Mines and Petronas, the Malaysian oil and gas giant, indicate that the two most promising hydrocarbon areas in Ethiopia are the Gambella and Ogaden basins. The Gambella Basin is believed to be geologically analogous to South Sudan. In June 2003, the Ethiopian Ministry of Mines awarded the Gambella block to Petronas. After conducting aeromagnetic and seismic surveys Petronas drilled two wild cat wells in Jigaw and Jacaranda localities in close proximity to the South Sudan border. Both wells with the depth of 3,500 m were dry. Petronas relinquished the block in 2008 and recently South West Energy, an Ethiopian oil and gas company, took over the concession. Relatively speaking, the Ogaden is the most explored basin. The Ogaden basin is a vast arid land in the remote eastern part of Ethiopia. Since the sedimentary basin has an equivalent age and similar geological formation with that of oil productive basins in the Middle East it has been considered as the most promising area for oil reserve discovery. Dozens of foreign oil companies have been engaged in oil exploration activities since the 1940â&#x20AC;&#x2122;s in the region. To date 48 exploration wells were drilled at different sites by various companies in the basin. Seismic data was conducted on more than 20,000 km long lines. Various useful geological data were collected by Tenneco (1965-1975), and the Soviet Petroleum Exploration Expedition (SPEE) 1979-1992. Sinclair (American), Elwerath (German), White Stone (American) and Voyager (Canadian) were engaged in oil exploration in the Ogaden from 1944 to 1977. Mobil and Agip also conducted geophysical surveys in the Ogaden in the 1940s. Two American companies, Hunt (1990-2002) and Maxus (1990-1993), were active in the 1990s. After conducting, seismic, gravity, magnetic, and magneto telluric surveys, Hunt drilled one well with a depth of 1,963 m in Genale that had no oil and gas show. Hunt terminated its contract in 2002 saying it had budget constraint. Maxus conducted seismic and gravity surveys but did not drill a well. It abandoned its concession in 1993 for security reasons.

NATURAL GAS As of January 2003, the countryâ&#x20AC;&#x2122;s natural gas reserves were placed at 880 billion cubic feet.

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Water & Energy The story of Ethiopiaâ&#x20AC;&#x2122;s search for natural gas is an elusive one. For decades Ethiopia drilled for

Tenneco, an American company, struck gas in Somali Regional State. To date, there has been no commercial oil discovered in the region. However, recorded in a number of wells. The gas discovery was made in two clastic reservoirs of Permian and Triassic ages, in an area of 100 km2. And with a reserve estimated at between 2.0 to 2.7 trillion cubic feet (TCF) or about 70 to 76 billion cubic meters (BCM). ranging up to 1.3 TCF. The gas discovery is located southeast of Addis

promote private investment in the energy sector and contribute to government revenue through fees, taxes and royalties; it will enable cement manufacturers to use natural gas as fuel instead of imported fuel oil, coal or electricity; it will enable the country to diversify the generation options from the heavy dependence on hydroelectricity. The establishment of the gas industry will play a major role in combating the ongoing (LPG) to cities and towns, which shows a suppressed demand. The implementation of the Growth and Transformation Plan (GTP) requires a policy for attracting foreign direct investment for the establishment of a gas industry that will facilitate the utilization of this untouched resource. The government could even invite energy companies to develop the natural gas in a joint venture partnership. This will give companies the

remoteness of the site and the low gas price at unattractive for development. Besides, the low priced oil (below USD 20/bbl) in the 1970â&#x20AC;&#x2122;s and its abundant supplies from the Middle East meant that exploration companies and governments tended to ignore gas development, and instead focus on higher priorities. Things have changed since then and in the past several decades the roles of gas in developed and developing countries have grown substantially.

the growing demand for electricity in Ethiopia using domestic natural resources; reduce the countryâ&#x20AC;&#x2122;s dependence on imported oil for electric power generation and vehicle use; the natural gas will provide an alternative, lower-cost and more reliable power source; it will create skilled and unskilled employment opportunities during construction and operations; the country could use the natural gas in industry as an energy source or a chemical feedstock (e.g. fertilizer production). In addition, it will provide power, gas and associated economic

is currently constructing asphalt roads to areas once considered remote and the infrastructures being built will positively impact on the capital and operational cost and rate of return on investment in this sector.

Bio-fuel development The Ministry of Water and Energy is coordinating different stakeholders and promotes bio-fuel development, substitute petroleum oil and other energy sources for bio-fuel in the economic sectors especially in transport and household sectors in order to foster green development. In this respect, various activities have been carried out by coordinating different stakeholders to obtain bio-fuel land information. The activities performed include preparation of guidelines for bio-fuel land and formulation of data collection system. So far a total of 518,483.5 hectares of land (with 305,981 hectares of land in Tigray Region and 212,502.5 hectares of land in Oromia region) have been

agricultural Research institute. In coordinating with the stakeholders, domestic bio-fuel seeds

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In collaboration with the Ministry of Agriculture, one jatropha seed package has been prepared. Ethanol stove has been adopted in the laboratory. Coordinated activities have been carried out to build bio-fuel blending facilities and provide bio-fuel for blending purposes. With regard to storage and administration of reserve fuel; in 2009/10, the country’s capacity of fuel reserve was 369,800 cubic metres. The plan is to increase the capacity by 60,000 cubic meters by 2014/15, and it is ultimately planned to reach 429,800 cubic meters, which can serve for 45 days.

Electricity Supply Ethiopia has enormous potential for hydropower and geothermal energy generation. Several studies have so far been carried out to identify Ethiopia’s energy potential and to develop short, medium and long-term investment plans for the power sector. The country’s hydropower potential is estimated at 45,000 MW and the potential for generating electricity from geothermal is about 5,000 MW. The country is also endowed with enormous potential for other renewable energy sources like solar and wind, particularly in rural areas. Despite such huge resources, the country has so far managed to utilize merely 1,113 MW of its power-generating potential and only about 33% of the population has access to electricity. Since the formulation of the last comprehensive power system expansion master plan, the fundamental and unprecedented structural changes that have taken place in the economy are

Ethiopia has around 1,562.2 MW of installed power generating capacity, out of which 1,382.6 MW is generated from hydropower plants. The remaining 179.6 MW comes from diesel and thermal power plants. The construction of new hydropower plants including the Grand Ethiopian Renaissance Dam - will enhance its generating capacity. The potential of Ethiopia’s renewable and nonrenewable energy resources is large, with the economically feasible hydropower potential estimated at 45,000 MW. It has large potential for geothermal energy generation. Nine of its major rivers are suitable for hydroelectric power generation. The private sector can participate in electricity generation from any source and without any capacity limit. Transmission and supply of electrical energy through the Integrated National Grid System is, however, exclusively reserved for the Government. Private investors, www.ebizguides.com

however, both foreign and domestic, are allowed to operate an off-grid transmission and distribution of electricity. Moreover, private investors are highly encouraged to engage in generating electricity in bulk and reach an agreement of power purchase with the Ethiopian Electric Power Corporation (EEPCO), a public enterprise, for transmission and supply of electricity through the grid system.

RENEWABLE ENERGY Ethiopia is endowed with substantial renewable energy resources. Rough estimates place Ethiopia’s total renewable energy generation at about 60,000 MW. At the forefront is hydropower, which has been recognized for decades as the most valuable resource with an estimated generation capacity of over 45,000 MW or 75% of renewable energy potentials (See Table 1). Despite the available potential, Ethiopia is experiencing energy shortages as it struggles to meet growing electricity demand of 20 - 25% per Power Corporation (EEPCO), a governmentowned company responsible for power generation, transmission, distribution, and sales of electricity, supplied approximately 2,167 MW of electricity to consumers, of which 90% came from hydropower. To this end, the Government of Ethiopia has started a number of hydropower, wind, and geothermal projects. Most notable projects include the Gilgel Gibe III dam, with 1,870 MW generation capacity (expected completion date in 2014), and the Great Ethiopian Renaissance Dam (GERD), with 6,000 MW generation capacity (expected completion date in 2017, early power generation in 2014). Ethiopia has already started exporting 35 MW of electricity to Djibouti and 100 MW of electricity to Sudan and has also concluded power export deals with Kenya and South Sudan. The construction of Ethio-Kenya 500 kV transmission line is expected to be completed in 2016. Ethiopia has planned to export 400 MW of electricity to Kenya. The Government of Ethiopia somewhat liberalized the energy sector for private

generation and power transmission. As of early 2013, in tariff bill, which should offer independent power producers the option to sell renewable energy power

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Water & Energy RESOURCE

UNIT

EXPLOITABLE RESERVE

EXPLOITED PERCENT

Hydropower

45, 000

<3%

Solar/day

kWh/m2

4â&#x20AC;&#x201C;6

<1%

Wind Power

100

<1%

Speed

m/s

<1%

Geothermal

5000

Wood

Million tons

1120

50%

Agricultural waste

Million tons

15-20

30%

Natural Gas

Billion m3

113

Coal

Million tons

300

Oil shale

Million tons

253

Table 1

1. Engineering services to supply more renewable energy sources, such as wind, solar, geothermal, hydropower. 2. Supply and/or manufacturing of drilling rigs and associated equipment, electric and electrical cables, transformers, and electric meters.

Water Supply The Ministry of Water and Energy of Ethiopia is a federal organization established to undertake the management of water and energy resources of Ethiopia. This involves development, planning and management of water and energy resources, development of polices, strategies and programs, developing and implementing water and energy sector laws and regulations, conducting study and research activities, providing technical support to regional international agreements. During the Growth and Transformation Plan, the development objectives of the potable water supply and irrigation subsector are to develop and utilize sustainably and equitably, by increasing water supply coverage, developing irrigation schemes that ensure food security, supply raw material as input to agroindustry and increase foreign currency.

However, it utilizes only a small portion of these resources. The coverage for rural water supply increased to 71.3% providing access to 4.9 million more rural people, while urban and national coverage for potable water supply increased to 92.5% and 73.3% respectively in 2010/11. Access to potable water in 2010/11 REGION

RURAL

URBAN

TOTAL

Tigray

60.37

89.66

66.1

Afar

65.7

84.15

68.1

Amhara

89.93

90.62

84.9

Oromiya

70.11

97.33

73.6

Somale

36.11

74.56

41.5

B.G

86.86

87.38

85.0

SNNP

62.98

92.75

66.0

Gambella

73.62

70.12

72.7

Harari

56.48

122.45

92.3

Dire Dawa

74.15

77.76

76.2

Total

71.3

92.5

73.3

Source: Ministry of Water and Energy

Ethiopia has huge run-off and ground water potential.

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Water & Energy Ground water study: During the GTP period, the plan is to increase the coverage for ground water study from 3% in 2009/10 to 22.7 % in 2014/15 year plan, the target is set to increase the coverage by 4.5% annually until the end of the GTP period. Ground water study activities including digging 32 boreholes and irrigation scheme construction on 1,000 hectares of land have already been performed. In addition, digging of three boreholes around Mekelle; one borehole in Teru; digging of 6 boreholes around Welkite; testing of ground water for 50 hectares and 600 hectares of land for irrigation development around Raya and Kobo-Girana, respectively; digging of 16 boreholes in Kobo-Girana as well as the digging of 7 boreholes in the rift valley were performed. These activities increased the

The Ethiopian Electric Power Corporation (EEPCo) was named in 1997, after serving previously under the name of the Ethiopian Electric Light and Power Authority, which was established in 1956. EEPCo is a government-owned utility responsible for the generation, transmission, distribution and sales service of electric energy throughout Ethiopia. The mission of EEPCo is to provide adequate and quality electricity generation, transmission, distribution, and sales services, through continuous improvement of utility management practices and to be responsive to the socio-economic development and environmental protection needs of the public.

Surface water study: With regard to surface water

Generation The corporation has two electric power supply systems: the Interconnected System (ICS) and the Self Contained System (SCS). The main energy source of ICS is hydropower plants, and for the SCS mini-hydro and diesel power generators allocated in various parts of the country.

stations in different parts of the country and the achievement was 100%. In addition, it was planned to upgrade standards of 85 stations and improve the quality of information collected from 95 stations. The actual achievements indicated that 10 stations were upgraded and quality control was made on 50 stations, respectively.

The ICS consists of 11 hydro, 1 geothermal, and 15 diesel power plants with a total capacity of 2,022.2 MW, of which 91% is generated from hydropower plants. The SCS consists of three small hydro and many isolated diesel plants, located throughout the country with a capacity of 6.15 MW and 30.06 MW respectively.

Integrated basin development: The main objectives of the integrated basin development are to ensure the utilization of water resources of the basin based on planning equitably, as well as the rehabilitation of 1,000,000 hectares of degraded land thereby improving the livelihood of community living within the basin areas.

As part of the governmentâ&#x20AC;&#x2122;s Growth and Transformation Plan (GTP), EEPCo has launched hydropower, and other renewable projects to meet the 10,000

at the end of 2010/11.

MAIN ENTITIES ETHIOPIAN ELECTRIC POWER CORPORATION Miheret Debebe P.O. Box 1233, Addis Ababa Ethiopia www.eepco.gov.et Activity: Energy Date of creation: 1997 NÂş employees: 12,172 (2010/11) www.ebizguides.com

Transmission and Substation The electric energy generated from the main hydropower plants is transported through high voltage transmission lines rated 45, 66, 132, 230 and 400 kV. The 400 kV transmission lines of 685.71 km were constructed and commissioned recently while 500 kV and DC lines are being considered as part transmission lines is about 11,796.32 km. Regional interconnections with neighbouring countries including Djibouti, Sudan and Kenya are under the construction and procurement phases. Supply of the distribution network is provided by step down substations connected to the respective transmission voltages. In total, there are 143 substations, of which 127 are supplying the distribution system, while the remaining 16 are located in the powerhouse areas (switch yards). Distribution Power distribution both in ICS and SCS is effected

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Water & Energy Generation Capacity(MW) 2.500 2.059

2.178 2.000

2.000

1.5000

1.000

500

361

Source: EEPCo

1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Generated Energy (GWh) 7.000 5.212

6.000 4.978

5.000

4.000

3.000

2.000 1.129

1.000

Source: EEPCo

1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Transmission network distance (KM) by voltage level YEAR

400 kV

230 kV

132 kV

66 kV

45 kV

TOTAL

2007/08

2,175.00

2,234.6

475.93

66.1

8,868.78

2008/09

2,175.00

2,234.6

475.93

68.1

8,868.78

2009/10

211.38

2,235.02

2,234.6

430.15

84.9

9,281.84

2010/11

686.701

3,550.9

2,234.6

475.93

73.6

10,981.34

2011/12

686.701

4,222.976

1,973.136

255.09

41.5

11,796.32

Source: EEPCo

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Water & Energy at a primary voltage of 33, 19, 15 and 11 kV, consisting entirely of 3-phases, 3-wire feeders, and is stepped down to a utilization voltage of 380/220 V, using 3-phase transformers to customer’s level. The distribution system consists of 148,745.5 km of 33 kV, 19 kV, 15 kV, and 11 kV; and 380/220 V lines. 80,000 km of power distribution in both ICS and SCS

is achieved at primary voltage of 33 volts and 15 kV lines, and step down to 380 and 220 volts to customer’s level. The total number of customers connected by EEPCo at present is around 1,900,000 (July lages have highly increased in the last few years in accordance with the strategic plan and reached to a

Number of Substations by voltage level YEAR

400 kV

230 kV

132 kV

66 kV

45 kV

TOTAL

2007/08 -

212

120

123

127

2008/09 2009/10 2010/11 2011/12

Source: EEPCo

Generation Projects Planned to be Implemented up to Year 2015 NAME OF POWER STATION

HYDRO DIESEL

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GEOWIND COWASTE THERMAL GENERATION ENERGY 7

TOTAL (MW)

COMISSIONING YEAR

Existing Power Plants

1978

2178

Gibe III HEP Project

1870

2015

Genale Dawa III

254

2015

Ethiopian Grand Renaissance

6,000

2015-2017

Ashegoda Wind Park

2013

Ayisha wind Park

300

2015

Debre Birhan wind Park

100

2015

Asela wind Park

100

2015

Adama II wind Park

2015

Repi Waste Energy

Aluto Lang II Geothermal

2015

Finchaa Sugar Factory

2014

Wonji Sugar Factory

2014

Tendaho Sugar Factory

2015

Total by 2015

10102

112

854

104

11249

Source: EEPCo

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Water & Energy total number of 6,317 by July 2012, which brought the electricity energy access to 48.3%.

At present EEPCo is undertaking investment projects worth $2 billion USD per annum.

WATER WORKS CONSTRUCTION ENTERPRISE Atakilt Teka P.O. Box 1008, Addis Ababa Tel: (+251) 11 645 9166 Fax: (+251) 11 645 9161 tzenu@yahoo.com

Activity: Construction of Water Resources Date of creation: 2004 (last re-establishment)

WWCE has undergone a number of transformations to reach its present level. In 1991 the Water Resources Commission was absorbed in the Ministry of Natural Resources & Environmental protection. From here on, only the Ethiopian Water Works Construction Authority survived as an independent organization, while the other authorities were dissolved in the new Ministry. Later on the water sector was again re-established as “Ministry of Water Resources”. However, this did not bring any change to EWWCA. In 1994, when the government restructured all the publically-owned organizations, the former EWWCA was also reorganized. The Rural Water Supply Department was taken out of EWWCA and transferred to regional governments. The major construction department was re-established under the new name of “Water Works Construction Enterprise” (WWCE). From here on, the company became an independent public enterprise, which should depend on its own income. All government subsidies were suspended. The enterprise had to compete freely in the market to get projects, unlike before, when projects were given by exclusive appointment. At present WWCE is one of the few 1st grade general contractors in the country. It is the only

2004 to suit the prevailing market environment. Moreover, the Council of Ministers has issued a regulation in order to amend the aim of WWCE’s establishment. According to this regulation PESA has been replaced by MOWR as WWCE’s supervising Authority. Furthermore, it allows the enterprise to involve itself in the construction of its own dams pertaining to water resource development for irrigation and other related development purposes, and to administer the involvement cost. As well as such dams and invests the money on other similar developments. WWCE is also empowered to issue, sell and pledge bonds including the manufacture and sale of different kinds of pipes necessary for its activities. The total establishment capital of WWCE is 3,704,180,000 birr of which 205, 412,000 birr is paid in cash. WWCE envisages becoming a leading and a preferred construction enterprise in East Africa, especially in construction and irrigation development, hydropower construction, dry port, road and other construction activities. The mission of the enterprise is to deliver quality, through the execution of: dams, irrigation and drainage networks; water supply and sewerage networks; construction of roads and buildings; land reclamation; river diversions; deep well drillings; hydro power plants; and manufacture and sale of different kinds of pipes necessary for its activities. Ongoing Projects WWCE has been executing large-scale dam and irrigation construction projects in several parts of developments projects are being constructed at present in Afar, Amhara, Oromia and South Nations Nationalities and Peoples’ States: Tendaho Dam and Irrigation Development Project: requires the construction of a dam with the capacity of 1.8 billion cubic metres of water, the building of 70 km of main canal as well as a number of primary and secondary canals. About 54 km of the main canal has been completed so far. Kesem-Kebena Dam and Irrigation Development Project: The project aims at providing water that can irrigate 20,000 hectares of land. It also envisages providing water for developing 10,000 hect-

Water Works and Road Constructions. The Enterprise’s structure was revised in August

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the local pastoralists. It has provided water to 2,860 hectares of land so far. The execution of the dam is www.ebizguides.com

Water & Energy

Tendaho Dam and Irrigation Development Project. Water Holding Capacity 1,86 billion m3 water. Potential Capacity of Irrigation: more than 90.000 hectareas of land. Construction: Local Companies and WWCE. 100% Budget come from Ethiopian Government. Tentative year of Finalization: 2015

almost completed, and it has already accumulated 84 million cubic meters of water (August, 2012). Ribb Dam and Irrigation Development Project: Launched some years ago, it has a cost of 1.4 billion birr, and aims at enabling local farmers develop 20,000 hectares of land through irrigation. Gedabo Dam and Irrigation Development Project: With a cost of over 800 million birr, this project envisages developing 11,000 hectares of land through irrigation for the local people. The pastoralists living in Abeya and Dale woredas. Kuraz Sugar Development Omo River Diversion Project: Launched at a cost of 450 million birr, it is one of the latest successfully completed projects executed by WWCE. The new activities include constructing a network of canals on 460,000 hectares of land. Water Works Construction Enterprise has executed a number of potable water supplies, road, and building projects over the last years. The most important ones included the following: Semera Dry Port, Mojo Dry Port Construction Project, Sugar Factory Expansion Project, Road Projects and Building Construction Projects. The history of WWCE is a true success story.

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WATER WORKS DESIGN & SUPERVISION ENTERPRISE Dr. Mebrate Taffese P.O. Box 2561, Addis Ababa Tel: (+251) 11 661 4501 / 5373 Fax: (+251) 11 661 5371 / 0898 w.w.d.s.e.@ethionet.et www.wwdse.com.et Activity: Design & Supervision (Water Resources) Date of creation: 1998 Established by government proclamation in 1998, Water Works Design & Supervision Enterprise water resources development sectors to enhance the effort being made in realizing the potential of the water resources of the country, in order to improve the socio-economic development of the society. It has been proven during the last decade that the Enterprise adhering government priorities and proto address the national challenges in the water

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Water & Energy sector. In this regard, the Enterprise has delivered quality consultancy service to enormous government and private water resources projects with a strong dedication in line with the international standards and norms. Moreover, it has been playing a considerable role in the sector in building national capacity in terms of human and material resources to form a strong consultancy service basis that will ensure a steady exploitation of the abundant water resources potential of the country so as to assure a sustainable growth of the economy. The mission of the enterprise is to deliver quality consultancy services in water resources development such as drinking and industrial water supply. Irrigation & Drainage, Sewerage Disposal, Hydropower, Flood Control, Dams, Integrated Basin Development Master Plan studies, etc. to Government, NGOs and private sector clients through continuous building of internal capacity construction supervision.

strong collaboration and partnerships with private, corporate and public entities including academic and research institutions within and abroad working on water resources development. It strongly believes that such alliance brought synergic impact on delivering quality consultancy services as well as speeding up the socioeconomic advancement of the society. So far, Water Works Design and Supervision Enterprise delivered quality consultancy services for about 62 study and detail design as well as 26 construction supervision and contract administration projects. In the same fashion, it has been delivering study and detail design as well as construction supervision and contract administration services for 16 and 11 projects respectively. The enterprise has highly professional skill with a variety of disciplines in the water resource development sector. Regarding this, the staff has wide experience and accumulated knowledge in the sector over a long period of time.

Currently, the enterprise is the leading and NATIONAL OIL COMPANY P..LC. consultancy business in Ethiopia. It always gives due consideration to quality consultancy services to maximize customersâ&#x20AC;&#x2122; satisfaction as well as sharpen its competitive edge in the liberalized market arena. Water Works Design and Supervision Enterprise, with the prime motive of playing a key role in water resource investigation, development and utilization agenda of the nation has been involved in different projects that incorporate the three major and crucial interventions: study, design and construction supervision.

Tadesse Tilahun Cape Verde Street P.O. Box 951, code 1250, Addis Ababa Ethiopia Tel: +251 11 663 9494 / 6 Fax: +251 11 663 9495 noc@ethionet.et www.nocethiopia.com Activity: Down Stream Oil Date of creation: 2004

in its consultancy business as a result of integration Laboratory Testing, Surveying, GIS and AutoCAD Service as well as geotechnical investigation works in its project execution. The retrospective that the company has gained a good reputation and acceptance in its business endeavour, which in fact has triggered and is expected to attract more customers for similar services. Various efforts have been made by the Enterprise in the various business interventions so as to WWDSE gives key importance for capacity enhancement and hence, welcomes active and

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National Oil Ethiopia (NOC) PLC is the fastest growing oil company operating in the downstream oil business of Ethiopia, following reforms made by the government of Ethiopia to encourage investment in the oil industry that has been under the domain of multinationals for about a century. NOC is products with a wide network of modern service stations strategically located across the country. The company focus and continuously strive to improve their products and services. NOC is also marketing Caltex lubricants, one of the worldâ&#x20AC;&#x2122;s leading lubricant brands of the three giant corporations - Chevron, Caltex and Texaco, which are involved in upstream and downstream energy www.ebizguides.com

Water & Energy businesses world-wide. Since its establishment in April 2004, the company has captured a good share of the market, competing with multinationals, which are already comfortably operating in the industry. The company is acquiring numerous corporate customers engaged in different sectors of the economy.

petroleum reserves, set at a three-month supply, and to maintain the quality of the stored petroleum. This new enterprise is accountable to the Ministry of Finance and Economic Development (MOFED).

ETHIOPIAN ELECTRICITY AGENCY NOC business units are organized to deliver products & services in the most cost effective and highway or in air, NOC delivers solutions to keep their customers going. The marketing and sales team is organized into retail and commercial units market leadership and effective customer service delivery in oil and gas sector of Ethiopia. National Oil Company P.L.C. is part of MIDROC Group Ethiopia.

ETHIOPIAN PETROLEUM SUPPLIER ENTERPRISE Higamlak Haile Tessema

Gosaye Mengiste Director General P.O. Box 486, Addis Ababa Ethiopia Tel: +251 11 61 51 31 Fax: +251 11 61 51 30 www.mowr.gov.et/EEA/ Activity: Electricity Date of Creation: 2000

The Electricity Proclamation N 86/1997 of June 1997 gave way to the establishment of the Ethiopian Electricity Agency (EEA) as an autonomous federal government organ. EEA has been fully operational since the beginning of 2000.

Date of creation: 2013 Number of employees: 137 The Ethiopian Petroleum Supplier Enterprise (EPSE) is a recent amalgamation of the Ethiopian Petroleum Enterprise (EPE) and the National Petroleum Depot Administration (NPDA). The merger didn’t bring much change to what the two bodies were currently doing, but will bring more coordination between them and facilitate the

Currently, its name has been changed to the Ethiopian Energy Agency, in order to encompass the energy sector in a broad spectrum. It is based on the nationwide launched Business Process Reengineering (BPR) study, which is hoped to bring radical changes, rapid development and transformation in the country. The Energy Agency is accountable to the Ministry of Water and Energy. It is responsible for regulating the energy sector

has the task of meeting the country’s demand for petroleum.

quality and the like, based on rules, regulations, directives and standards.

The EPE, established in 1995, was the sole entity established to meet the country’s demand for

By the year 2015, through enhanced regulatory capacity. The company vision is to achieve 80% consumers’ satisfaction in electricity services &

gas (LPG), bitumen products, and lubricants. It carried out the procurement of all other petroleum products through international competitive bids. It imported 1.9 million metric tonnes of petroleum, worth 26.8 billion birr in 2010/11. The NPDA, established in 1997, was an autonomous institution, which was responsible for overseeing Ethiopia’s petroleum reserves to maintain the regular petroleum supply in case of interruption or shortage. The administration, which is mandated to maintain a minimum level of www.ebizguides.com

conservation by the year 2013. The mission of the company is to promote and equitable electricity services by: operation licenses, determining tariff, performance standards, and improving

reliable issuing setting energy

study on energy supply & consumption, setting by engaging in popularization activities.

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MINING Ethiopia has an enormous potential to develop its mining sector & investors are welcome to help.

Photo: Antonio Fiorente

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Mining

H.E. SINKINESH EJIGU MINISTER OF MINES

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Mining

Dear Readers, Ethiopia is a country rich in mineral resources, where gold, tantalum, soda ash, potash, nickel, platinum and other precious minerals are found in abundance. There are also different basins nationwide. The proven reserves of the Calub gas Field, located in the Ogaden Basin in Eastern Ethiopia, are estimated at 2.7 TCF. Moreover, more than 3,500 meters of sediments are expected in the Southern Rift Basin, which has an area of 15,000 square kilometres. This is presumed to be the northward continuation of the North Kenyan rifts. The Mekele Basin, in the northern part of the country, has an area of 8,000 square kilometres.

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The Ethiopian Government is keen to enhance the mining industry, and considers foreign investment not only as a catalyst but also as a determining factor in the countryâ&#x20AC;&#x2122;s economic development. The Ministry of Mines has promulgated laws, which offer fair incentives designed to encourage foreign direct investment. These incentives include low royalties, exemption from custom duties and taxes on all equipment, machinery, vehicles and spare parts necessary for the mineral operations. They also include a fair exchange control mechanism, and different licenses providing exclusivity rights; and give security of land tenure for all investors. In Ethiopia, we believe that investors, as partners, could play a pivotal role in creating jobs for Ethiopians and in adding value to the mineral resources of the country. The Ministry of Mines is calling on foreign investors to come and invest in the mineral sector of Ethiopia. There is no doubt investors destined in the country would discover the reality that the Ethiopian people have a long-standing tradition of hospitality, a rich history, and a friendly, diverse culture. Reliable partnership is a value embedded in the core of the rich Ethiopian culture.

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Mining

Mining operations started in Ethiopia many years mining operations) was written in 1920 E.C.

Starting from 1935 E.C., the mining industry as a sector has been administrated in different ministries

Investment Opportunities

According to the Ministry of Mines, Ethiopia has

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Mining

MAIN ENTITIES ALLANA POTASH CORP

312 km2

Activity: Mining Date of creation: 1995 “We believe the potential of the deposit is huge. tonnes of potash resource from which we believe we can produce millions of tonnes”

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Mining

capacity by the end of 2017. “Allana Potash wants to be a good corporate citizen, we operate on the basis of a win-win situation for Ethiopia and for the community. We are the ambassadors for Ethiopia to the investment communities. Ethiopia’s story has to be told properly by credible people, and we believe we are very credible” “Ethiopia has a lot of stories to tell: the country has very good investment policies and mining policies are very transparent”

outstanding and trades on the Toronto Stock

*The measured, indicated and inferred mineral resource and reserve estimates were reviewed and optimized by EuroGeol. Dr. Henry Rauche and EuroGeol. Dr. Sebastiaan van der Klauw, Instrument 43-101 .For information regarding the mineral resource estimates, including parameters used to generate the estimates, please see Allana Potash’s press release dated February 4, 2013 and the technical report entitled “TECHNICAL REPORT Summarizing the Feasibility Study for a Sylvinite Solution Mine for the ALLANA Potash Project (The ALLANA and NOVA properties), Afar State, Ethiopia” available on SEDAR.

NATIONAL MINING CORPORATION P.L.C.

nmicdceo@yahoo.com www.nmicboka.com

“For the price of one drill hole in Canada we can do capital cost is low, and that is music to the ears of the investors”

Activity: Mining Date of creation: 1993

and started operation in March 1993, as part

into business transaction in the buying and of Transport, Minister of Mines and Minister of

China and India to construct some 5,000 km of

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Mining

than 50 meters. The company produces and

Mining Corporation has been exporting its products European countries.

to introduce its products and is a member of the

within Ethiopia, on

3,147 km2 capture a good market position. At present, the

are expected.

NYOTA MINERALS LIMITED Richard Chase

Activity: Gold Mining and Exploration

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Mining 1. Pushback Project: MIDROC GOLD MINE PLC. 2. Emulsion Plant:

Corporate Center

3. Carbon in Pulp Plant:

Ethiopia 4. Tailing Dam: tion. Activity: Gold Mining Date of creation: 1997 earners for the country.

EZANA MINING DEVELOPMENT PLC

Ethiopia

Activity: Mining Date of creation: 1993

endowed with rich experience, and geared up for company future growth.

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Mining ETHIOPIAN MINERAL DEVELOPMENT S.C.

Ethiopia

www.emdsc.org.et Activity: Exploration Date of creation: 2000

and fashioning of gemstones. The company was

Enterprises was one of the four enterprises, which

areas.

Rudimentary mining tool are still used in Ethiopia

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Trade & Industry

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Trade & Industry

TRADE & INDUSTRY Virtually non-existent a generation ago, Ethiopiaâ&#x20AC;&#x2122;s trade and industry sectors are rapidly catching up with those of their European counterparts. A nascent export-oriented industry is testament to this, though focus is still very much centred on small and micro business.

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Trade & Industry

H.E. MEKONEN MANYAZEWAL MINISTER OF INDUSTRY

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Trade & Industry

transformation of Ethiopia’s economy and ensure the country’s Grand Renaissance. The plan is mobilizing citizens and entrepreneurs to invest in this grand project.

Ethiopia is one of the world’s oldest civilizations, with a proud history. Its economy is among the fastest growing in the world – registering on average 10 percent per annum. Private sector investment (both domestic and foreign) is contributing to this inclusive and dynamic growth. This is because Ethiopia offers wide investment opportunities in different sectors especially in manufacturing where the priority sectors are textiles and garments, leather and leather products, agro-industry, chemicals and pharmaceuticals, metal and engineering industries. Agriculture also offers great opportunities such as In order to maintain the momentum of the increasing economic growth and investment opportunity of the country, the Ethiopian Government is implementing its Five Year Growth and Transformation Plan (GTP), which is intended to realize the rapid

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Our GTP also focuses on the expansion of infrastructures like roads, railways, power and telecommunications, which in one way or another opens ample opportunities for the participation of potential investors and businesses. Ethiopia is investing in its human resources. The investment in infrastructure and human resources is creating the foundation for long-term growth and development. Currently, Ethiopia is experiencing growth in its foreign direct investment (FDI). There is a business-friendly economic policy with an increasingly vibrant economy, which is seeing record double-digit growth, and ever-increasing proactive continual transformation in creating a friendly private sector business environment. Finally, I would like to reiterate how keen we are to deepen and expand private investment in priority manufacturing sectors. Government is committed to providing developmental leadership and supporting the private sector. I therefore invite you to come and use the manufacturing and other investment opportunities and be part of an African ‘lion economy’ in the making. Ethiopia is your dependable investment partner to create wealth through industrial growth.

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Trade & Industry

OVERVIEW The Five Year Growth and Transformation Plan envisages ensuring faster and sustained development of the industrial sector and enabling the sector to gradually play a key role in the economy. To this end, particular emphasis is given to the promotion of micro and small enterprises as well as supporting the development of medium and large-scale industries. Focus is laid on creating favourable conditions to export-oriented and import-substituting industries so as to accelerate structural changes in the sector.

INVESTMENT OPPORTUNITIES Small & Micro Enterprise Development The development of micro and small-scale enterprises is a central focus of the industrial development strategy. One of the primary tasks has been to comprehensively overhaul the micro and small enterprises development strategy based on the experience gained so far in Ethiopia and the experiences of other successful countries. Accordingly, a comprehensive micro and small

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enterprises development strategy was devised and approved by the government in consultation with all relevant actors. In addition the federal executive agency responsible for the execution of the strategy was reorganized to strengthen its institutional capacity. A strategy was also devised to ensure that all public programs are executed in such a way that they create productive employment opportunities, nurture skill development and promote the development of competitive micro and small enterprises. These targets of employment generation, skill and business development were in particular planned to be realized through the construction of public universities, sugar factories, integrated housing construction, road development, train network development, power generation schemes, and cobblestone development activities.

Industrial Zones Development The GTP emphasizes the establishment of four industrial zones. Supports are channelled to the establishment of three zones in different parts of the country. The construction of the Eastern Industrial

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Trade & Industry

Zone at Dukem is already completed, while EthioTurkish Industrial Zone and the Kombolcha textile cluster are a bit lagged due to the absence of preparation from the investorsâ&#x20AC;&#x2122; side. Efforts are underway to speed up the implementation through close supervision and support.

Public Enterprises Management & Privatization A high level of corporate leadership is put in place to monitor and evaluate the performances of public enterprises. In addition, directives and regulations are developed and follow-up of their implementation has been strengthened. Some of the activities carried out encompassed corporate planning, technical and marketing supports, establishment of network and cooperation among the enterprises, and leadership and professional training. Improvements are exhibited in capacity utilization, sales revenue and profit and export performance of the enterprises. In 2010/11, it was also planned to privatize 24 enterprises and 100% of the target is attained by transferring 21 public enterprises to private ownership through sale and joint venture as well as by transferring three enterprises to their former owners. The overall performance of the sector is encouraging, but in light of the expected role of the industrial sector the performance needs to be significantly enhanced further. Therefore, the following gaps need to be addressed in order to speed up the progress of the sector and register better achievements. Limited capacity and coordination of supportproviding government institutions: Because of the presence of limited capacity of government implementing organizations and attitude gaps on having synergy and ownership, program implementation and operations lack efficiency. The distance travelled to redress this attitude gap is not satisfactory and hence there is a need to execute interventions in a fruitful manner. Low level of technological and managerial capacity of factories: Overall leadership capacity of factories, productivity and technological capacity limitation, inability to cope with fierce global competition in terms of quality, price and time, below par level of commitment of investors, absence of transitional change to value added on export products at the required scope and speed led to loss of foreign earnings that would have otherwise been gained by exporting huge amounts of value added

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products. These revealed the need to strengthen and channel more supports to build the technological and managerial capacity of manufacturing businesses. Shortage and quality problems of inputs and supplies needed by manufacturing industries: shortage of input supplies and quality problems as well as marketing systems with high price on locally produced raw materials - especially cotton and raw skin - hampered factories from utilizing their full capacity. This, therefore, shows that redressing quality problems and shortage of supply of inputs is key to increasing the contribution of the sector in the economy. Delay in completion of new and expansion projects: investment projects from various subsectors and which are presumed to have their construction completed, and ready to start export, are delayed and impacted on export trade due to problems of project management, shortage of construction inputs, weak construction capacity, limited capacity to provide support and supervision, weakness of follow-up. This reflects the importance of finding a research-based way out. In general, a lot has been achieved by the sector surviving the aforementioned obstacles in 2010/2011. The cumulative effect of the endeavours enabled the sector to grow by 15% and contribute 13.3% to the national GDP. This growth of the sector by 15% surpassed the target set by the base-case scenario for 2010/2011 by 1 percentage point. This reflects that the sector could develop even higher and faster by avoiding the constraints.

Manufacturing The manufacturing sector contributed about 13% to GDP growth in 2009/10. The major manufacturing activities are in the production of food, beverages, tobacco, textiles and garments, leather goods, paper, metallic and non-metallic mineral products, cement and chemicals. Under the Growth and Transformation Plan (2010/11-2014/15) of the country, production of textile and garments, leather products, cement industry, metal and engineering, chemical, pharmaceuticals and agro-processing are priority areas for investment. Thus there are ample manufacturing opportunities for prospective investors in the following areas: Textile and clothing: Spinning, weaving and finishing of textile fabrics and the production of garments. Food and beverage products: Processing and preserving of meat products, fish and fish products,

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and fruits and vegetables; integrated production and processing of dairy products; manufacture of starch and starch products; processing of animal feed and processing and bottling of mineral water; sugar production; brewing and wine-making, etc. Tannery and leather goods: Tanning of hides and skins up to finished level; manufacture of luggage items, handbags, saddle and harness items, footwear and garments, and integrated tanning and manufacturing. Glass and ceramics: Tableware and sanitary ware, sheet glass and containers. Chemicals and chemicals products: Manufacture of basic chemicals based on local raw materials, including fertilizer, soda ash, rubber, PVC granules from ethyl alcohol; manufacture of caustic soda and chlorine-based chemicals; carbon and activated carbon; precipitated calcium carbonate; ballpoint ink; and tallow for soap. Drugs and pharmaceuticals: Manufacture of pharmaceutical, medicinal, chemical and botanical products in the form of tablets, capsules, syrups and injectables. Paper and paper products: Pulp from indigenous raw materials, paper and paper products. Plastic products: High-pressure pipes, pipe fittings, shower hoods, wash basins, insulating fittings, light fittings, office and school supplies, and fittings for furniture. Building materials: Manufacture of cement, lime, gypsum, marble, granite, limestone, ceramics, roofing tiles, corrugated sheets, tubes, pipes and fittings.

Textiles & Garments The Government of the Federal Democratic Republic of Ethiopia (FDRE) has been working diligently to realize a developed and prosperous Ethiopia through its Agricultural Development Led Industrialization Economic policy. Apart from formulating the policy, the government has also designed various strategies meant to implement the policy. One of the most important strategies is the Industrial Development Strategy, which gives much attention to the textile industry among others. It is obvious that Ethiopia is naturally endowed with rich resources and a hardworking trainable youth, favourable for textile industry development. To take advantage of the favourable conditions and utilize the potential in the sector, the Government of FDRE has undertaken various measures geared towards scaling up the country’s textile industry to the level of other developed countries. The urge for giving much emphasis to the textile sector stemmed from the country’s potential for cotton

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plantation, dependable power supply and easily trainable labour force, political stability, proximity to major markets and favourable climate which makes Ethiopia the number one choice for investors to aspire to be successful in the textile industry. The fact that the sector is capital-saving and labourintensive would contribute a lot towards reducing unemployment by creating job opportunities for a number of citizens, which in turn boosts the country’s economy. Currently, the textile industry is the largest manufacturing industry in the country. There are a number of state-owned and private textile and garment factories. The industry contributes the lion’s share of employment to the manufacturing subsector. The main textile products manufactured are cotton and nylon fabrics, acrylic yarn, wool and waste cotton blankets and sewing thread. The availability of inexpensive labour and the main raw material, cotton, are the major factors for considering this industrial sector as one of the strategic industries for export development. The public entity in charge of developing the sector is the Textile Industry Development Institute (TIDI).

Leather Industry The Ethiopian leather industry encompasses three major industrial sub-sectors or components: the tanneries processing and producing the leather, the footwear manufacturers (shoe producing), and the leather goods and garments manufacturers. They are medium and large whereas the micro enterprises particularly in footwear manufacturing area operate in the informal sector. The history of the modern leather industry in Ethiopia dates back to the middle of 1920s. It was introduced by Armenians mainly in response to the growing local market demand for leather shoes. As a result, the first two tanneries were established and vertically linked to two shoe factories: Darmar tannery & shoe factory (the present Awash tannery and Anbessa shoe factory) and Addis Ababa tannery & Asco shoe factory (the present Addis tannery and Tikur Abbay shoe factory). Currently, there are 22 tanneries operating in Ethiopia with installed daily capacity of producing 5,760 square feet of hides and 101,600 square feet of skins. The actual daily capacity utilizations, however, are 81% and 44.97% for hides and skins, respectively. Taken as a whole, these tanneries have created direct job

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opportunities for more than 4,000 people. Out of 22 tanneries, 9 are 100% export-oriented in semiprocessed skins, mainly pickle and wet blue. The other tanneries managed to produce finished leather products by introducing new technologies and thus, are selling almost 20% of their products in the local market. The shoe manufacturers and leather goods and garments producers come under the umbrella of ‘The Leather Products Industry’ within the leather and leather products industry. These are manufacturers of leather shoes, shoe uppers, leather garments, bags, and stitched upholstery and belong both to the formal as well as the informal sector of the economy. The footwear (shoe) industry is, in turn, composed of two sub-sectors: the larger mechanized shoe industries sub-sector and the smaller production units – micro, small and medium enterprises including the informal ones. Currently, there are 13 medium and large mechanized footwear factories in the formal sector, the first shoe factory being established in 1938, with an installed daily capacity of 13,650 pairs of shoes. Nevertheless, the actual current capacity utilization of these firms is 47.6%. They primarily produce and export men’s and children’s shoes. Although there are shoe factories producing ladies shoes for the local market, they were not able to export for they lack the necessary technology and trained manpower. Out of 13 shoe factories, almost half of them are currently under expansion, mainly by sub-contracting work for foreign companies, and investment. On the other hand, there are 16 enterprises operating in the leather goods and garments sub-sector. Taking into account only major leather goods and garment producers (14 in number), the overall installed capacity and actual outputs per day were 700 pieces and 309 pieces, respectively. More specifically, they have a daily installed capacity ranging between 20-150 pieces; however the actual factory output ranges from 10–60 pieces of garments per day. The reasons behind this low capacity utilization are the size and static state of the domestic market, lack of competitiveness and negligible penetration of the export market. Ethiopia exports processed and semi-processed hides and skins to the world market. Some of the products, such as Ethiopian highland sheepskin (which has gained an international reputation for making gloves), are known for their quality and natural characteristics. Ethiopian hide and skin exports include pickled sheepskin, wet blue sheepskin, crust

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sheepskin, wet blue goatskin, crust goatskin, crust cow hides, finished garment leather, finished glove leather, lining/upper leather, suede leather, full grain leather, embossed leather and patent leather. The manufacturing and export potential of finished leather and leather products (such as leather garments, footwear, gloves, bags and other leather articles) is also highly promising. The public entity in charge of developing the sector is the Leather Industry Development institute (LIDI).

Agro-processing Ethiopia has tremendous potential for investment in agro-processing. Many of its agricultural products can be exported without being processed, while others can be processed before they are brought to domestic and foreign markets. The government has also placed a priority on the export of processed products, which involves and stimulates the growth of the agro-processing sector. The Ministry of Industry is willing to promote to private investors interested in participating in caustic soda, soda ash, pulp and paper, soap and detergents, plastic, pharmaceuticals and medical equipment industries. It was expected by the Ethiopian government to establish two more institutes at the end of 2013 fiscal year: The Food, Beverage & Pharmaceuticals Industry Development Institute, and the Chemicals & Construction Materials Development Institute.

TRADE – IMPORTS & EXPORTS The trade sector plays a significant role in sustained economic growth in the market-oriented economic system. Raising the efficiency and competitiveness of the sector, strengthening domestic and foreign investment and trade, eradicating rent-seeking behaviours, establishing a favourable environment for productive investors, promoting a competitive and efficient domestic trade and distribution system, ensuring consumers’ rights, strengthening consumer’s cooperatives, and strengthening the transparency, fairness and accountability of the legal framework for trade activities are the main strategic directions of the sector in the GTP period. The trade sector was established at Ministerial level recently and it has completed developing its own

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strategic plan, organizational structure and allocation of personnel. In relation to trade registration and licensing services, awareness creation was provided for 259,584 business communities by organizing workshops. In addition, based on the new trade registration and licensing system, business license registration and renewal was made for 4,000 licenses. Besides, collection and analyzing of information on international fuel and oil prices were made, and accordingly a review of fuel and oil prices has been made during the fiscal year. Furthermore, a document containing 982 business types has been prepared and distributed to the implementing body.

Trade Promotion The agricultural and industrial sector played an important role in the realization of export promotion and import substitution strategies. Particularly, the export sub sector plays a key role in the economic growth and raising foreign exchange. Around $2.75 billion US dollars were raised from exports in the 2010/11 fiscal year. When compared to the performance in 2009/10, it is higher by 37.1%. Use of a modern marketing system in the agricultural sector is the main reason for better performance in the export sub-sector.

production only accounts for 2.2% of the worldâ&#x20AC;&#x2122;s coffee exports. Leather, animal hides, and skins also bring in export revenues (9.9%). Other agricultural products, including vegetables, oil seeds, and cotton reflect the remainder of major exports (10%). Ethiopia is heavily dependent on imported manufactures. Machinery, petroleum, and petroleum products represent the leading import items. In order to enhance the export sector, the government has established the Ethiopia Commodity Exchange (ECX). ECX is a marketplace where buyers and sellers come together to trade, assured of quality, delivery and payment. ECX assures all commodity market players the security they need in the market through providing a secure and reliable end-to-end system for handling, grading, and storing commodities, matching offers and bids for commodity transactions, and a risk-free payment and goods delivery system to settle transactions, while serving all fairly and efficiently. During 2009/10, total export earnings amounted $2.0 billion USD, which is an increase of $555 million USD (38.3%) compared to 2008/09. Except leather and leather products, the increase in earnings over the period was due to both increase in value and volume.

Coffee exports generate more than half of Ethiopiaâ&#x20AC;&#x2122;s export returns (53%), but the countryâ&#x20AC;&#x2122;s coffee

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The coffee-dominated export sector of the country has exhibited high price variations from season to season. These variations are a combined effect of the factors affecting domestic supply and the periodic trends of the global coffee demand and supply situations. Also, the variation can be seen between different varieties and grades of coffee. Some varieties like the Yeirgacheffe and Sidama command considerable premium in the international market. Export receipts were $528.3 million USD in 2009/10. Export earnings from oil seeds, the second largest export commodity, went up from $356.1 million USD in 2008/09 to $358.5 million USD in 2009/10 due to the increase in the international market prices. In 2009/10, the receipts from the export of pulses, leather and leather products as well as fruits and vegetables were $130.1 USD, $56.4 USD and $31.5 million USD respectively. Earnings from meat and meat products exports rose to $34 million USD in 2009/10 from $26.6 million USD in 2008/09 due to higher exports to the Middle East. There was also an increase in earnings from the export of live animals, which reached $90.7 million USD in 2009/10 due to the better international prices. The receipt obtained from the export of cut flowers was $170.2 million USD in 2009/10 compared to $130.7 million USD in 2008/09. Similarly, the income from chat reached US$ 209.5 million in 2009/10. Gold export also increased from $97.8 million USD in the year 2008/09 to $281.4 million USD in 2009/10.

exchanges, encompassing mutual political trust and bilateral cooperation in international affairs. Bilateral cooperation and trade has grown rapidly between the two countries, to the point that Ethiopia has become one of the important partners of China in Africa in project contracting and economic cooperation and trade. Free trade agreement encompassing close diplomatic relations. A free trade zone on their border for goods worth up to 2,000 birrs ($285 dollars USD), with 250 licences issued. Small business linked to industry and agriculture, apart from coffee, is free of trade barriers and customs fees. A Trade Bloc signed by Democratic Republic of the Congo, Burundi, Comoros, Djibouti, Egypt, Eritrea, Ethiopia, Kenya, Libya, Madagascar, Malawi, Mauritius, Rwanda, Seychelles, Sudan, Swaziland, Uganda, Zambia, Zimbabwe. Continental free trade agreement signed by Angola, Botswana, Burundi, Comoros, Djibouti, Egypt, Eritrea, Ethiopia, Kenya, Lesotho, Libya, Madagascar, Malawi, Mauritius, Mozambique, Namibia, Rwanda, Seychelles, Swaziland, South Africa, Sudan, Tanzania, Uganda, Zambia and Zimbabwe.

MAIN ENTITIES MIDROC ETHIOPIA INVESTMENT GROUP

Despite the success, there were challenges faced in the export of goods and services. These challenges include shortage of professionals; low awareness level by the business community; the slow progress to improve information and communication system; lack of efficient organization in regions that implement the reform program and the slow progress of the cooperatives in building their resource capacity.

Sheik Mohammed Hussein Ali Al-Amoudi Owner & Chairman P.O. Box 8677, Addis Ababa Tel +251 11 554 9969 mid.pr@ethionet.et www.midroc-ethiopia.com.et Date of creation: 1996

FREE ZONES Ethiopia has a number of free trade zones, which make it an even more attractive location to trade with.

Free trade agreement between Ethiopia and China, which extends beyond simple industrial

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MIDROC Ethiopia Investment Group, owned by Sheikh Mohammed H. Al-Amoudi , started operation in 1996. It is the leading private investment group engaged in multifaceted investment undertakings that have been proven to make significant contributions to the development of the countryâ&#x20AC;&#x2122;s economy. MIDROC Ethiopia Investment Group to date has 41 companies operating in agriculture & agro-industry,

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construction, hotel & tourism, manufacturing, mining, oil & gas distribution, real estate development, transport (including air transport), trade & commerce, healthcare, and education & training. The strategic direction of MIDROC Ethiopia Investment Group’s engagement in the country’s development includes, among others, the following objectives: To invest in the agricultural and agro-industrial sector with emphasis to further develop the sectors and enhance their efficiency and export earning capacities. To invest in the exploration, development and marketing of the country’s mining resources. To invest in, develop and expand the manufacturing and service industries that enhance the economic competitiveness of Ethiopia and add value to local based resources. To undertake projects and invest in the development of the basic infrastructure in Ethiopia, like in the health services, education and training, transport, etc. To invest in the development of the tourism industry in Ethiopia, capitalizing on the tourism potential in the sub-region. To invest and actively participate in the development and the rational utilization of the country’s natural resources. To construct, buy, lease, sell and administer real estate including apartments, multi-purpose buildings and structures. These strategic objectives are implemented through companies that constitute the MIDROC Ethiopia Investment Group. The companies retain and develop their own identities and business ideas but can work, cooperate and support each other. The significant employment opportunity created in tens of thousands by the MIDROC Ethiopia Group Companies is among the notable derivatives of Sheikh Mohammed H. Al-Amoudi’s investment endeavour. MIDROC Ethiopia Investment Group can be divided into the following group companies: MIDROC Ethiopia Group Companies: Addis International catering Plc; Ethio Agri-Ceft Plc; Ethio Leather Industry Plc (ELICO); Kebire Enterprise Plc; Lame Dairy Plc; Mamco Paper Products Plc; Midroc Construction Ethiopia plc; Midroc Energy House Electro-Mechanical Services Plc; Midroc Foundation Specialist Plc; Moha Soft Drinks Industry SC; Mugad Travel Plc; National Mining Corporation Plc; National Oil Ethiopia Plc (NOC); Pharmacure Plc; Salam Health Care Plc; Sheraton Addis; Star Soap and

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detergent industries Plc; Unlimited Packaging Plc. MIDROC Ethiopia Affiliate Companies: Cabey Plc; East West Ethio Transport Plc; Equatorial Business Group Plc; National motors Corporation Plc. MIDROC Ethiopia projects under implementation: Awassa Chipwood Plan Project; Derba 5000 TPD Cement Plant Project; Hotel Projects; METI (MIDROC Education and Training Institute). MIDROC Ethiopia Technology Group Companies (please see fact file in ICT chapter).

EAST AFRICAN HOLDING S.C. Buzuayehu T. Bizenu Chairman Lideta behind Awash Wine Factory, Addis Ababa Tel: +251 11 440 1495 Fax: +251 11 440 4137 info@eastafricanholding.com www.eastafricanholding.com East African Holding (EAH), a leading industrial group in Ethiopia is playing a prominent role in the industrialization of the country during the last decade. The enterprise was established as an umbrella company comprising sister subsidiary companies which operate in a variety of sectors such as manufacturing of Fast Moving Consumer Goods, agriculture, agro processing, printing and packaging, transport, real estate, cement production and coal mining. EAH is also involved in the export of various types of washed Ethiopian coffee and also has a coffee roasting and packing facility to supply the local market. While engaged in such diverse economic activities, EAH is continuously evolving and strengthening its position as a major contributor in the development of the private sector in Ethiopia. As its strategic plans, EAH is heading for major expansion and diversification projects through mega industries of national importance such as large scale mining and commercial farming which will significantly contribute to the industrialization of the nation, in hand with the GTP set out by the Government. The subsidiary companies include: Bizenu Investments Plc. Cosmar east Africa Business Plc.

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East African Agri-Business Plc. East African Group (Eth) Plc. East African-Tiger Brands Plc. National Cement SC. Ethio-Asian Industries Plc. East African Real Estate Development Plc. East African Coal Mining Corporation Plc. Distribution Outlets (21 and growing). All the companies are grouped by sector and led by its respective Executive Officer. Each company is run independently but shares a common vision and core values.

GIFT TRADING P.L.C. Gebreyesus Igata Managing Director P.O. Box 2522, Addis Ababa Tel: +251 11 465 5580 Fax: +251 11 465 2154 gifttrading@ethionet.et Activity: Trading Date of creation: 1990 Gift Trading P.L.C. is a dynamic and fast-growing business enterprise mainly engaged in import & wholesale distribution, export, commission agent, real estate (building rentals). Gift Trading Private Limited Company is one of the most reputed trading companies in Ethiopia. It was established by Ato Gebreyesus Igata, its founding entrepreneur who developed his business skills early in early childhood. In 1989 he became a fully-fledged importer and distributor of general merchandize and consumer goods. He also became commission agent for major foreign suppliers and manufacturers. He eventually decided to change the status of his business from sole proprietorship to private limited company. Thus in 1990 the GIFT Trading Private Limited Company was founded with a total capital of 350,000 ETB, becoming the parent company for all other companies including Gift Real Estate. The name “Gift” is an acronym that stands for Gebereyesus Igata Family Trading. In recent years, Gift trading Co. alone made an annual turnover of $10 million USD from its merchandise trade and export business. Currently, GIFT Trading PLC. is a company with more than two decades of service in import, export, commission agency and in Real Estate Development. It is one of the few leading and fast growing companies in Ethiopia. In the import sector, GIFT mainly focuses in construction supplies envisaging

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galloping growth of the construction sector. In the export business Gift Trading has been used to export agricultural products such as sesame seeds to the Middle East, China, India and Europe for the past several years. By being a reliable exporting partner, Gift has built its image as a reputable company. Further, Gift Trading is representing overseas companies in the Ethiopian market, especially in big tenders, for supply of Asphalt Bitumen, Re-enforcement bars, UPVC chemicals, Pumps, Generator, etc. Gift Trading is a well-established company equipped with all necessary resources and facilities needed to successfully execute its operations. It is now a company with a strong financial capital, qualified and experienced employees, full-fledged warehouse, extensive sales outlets and adequate delivery and transport trucks and vehicles.

MOENCO ETHIOPIA Chris de Muynck Managing director P.O. Box 5727, Addis Ababa Tel: +251 11 661 3957 Fax: +251 11 661 1766 chris.de.muynck@moenco.com.et www.moencoethiopia.com Activity: Commercial and Distributor Date of creation: 1959 The Motors and Engineering Company of Ethiopia Ltd. S.C. (MOENCO) was established in January 1959 and predominately owned by Inchape Plc of London, quoted on the London Stock Exchange and one of the largest automotive distributers of the world. With Inchape’s encouragement and financial support, Moenco took over the Toyota distributorship in 1968. Today, MOENCO has four operational sites: two in Addis Ababa; one in Awassa, which opened in 1998; and one in Bahir Dar, which was opened in 2004. Additional outlets are planned to open soon in Nazret and Kaliti. Their network includes 13 dealers across the country; Moenco employs more than 580 employees and have an annual turnover of close to one billion Ethiopian birr. For all the products Moenco delivers, it supplies genuine spare parts and provides maintenance service through the qualified personnel in its wellestablished garages and its after-sales service.

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TRACON TRADING P.L.C. Omer Ali Shifaw Chief Executive Officer P.O. Box 2243, Addis Ababa Tel: +251 11 126 2038 Fax: +251 11 126 2008 traconimport@gmail.com www.tracontrading.com Activity: Trade & Export Tracon Trading PLC is one of the main business groups contributing to the economy of Ethiopia. Tracon trading is a family-owned and managed business. The family has been in business for over 40 years with experience in export, import, retail and industrial farming in recent years. Tracon operates seven strategic main business units, which interlock and support each division. Tracon has used the link between the divisions to take advantage of their competitors. These united businesses are: Coffee, Real estate, Aluminium, Goodyear, Imports, Farming, Quarry and Freight Transport (by their sister company Issam). Tracon Trading P.L.C. was established a decade ago and has achieved an accelerated growth since its establishment. The company’s paid up capital is 80 million Birr, and they have a workforce of over a thousand employees.

established a state of the art and vertically integrated knitting production unit in the country, the company serves top brands and retailers from the field to the end consumer with the latest technologies and innovations. The company covers a wide assortment of ladies, men, kids and sport fashion. Ayka Textile performs the whole process of manufacturing, starting from yarn up to finished garments, being able to control the progress of the production and thereby grant highest quality standards and full customer satisfaction. Having invested $165 million USD in the factory in Ethiopia, the group now employs more than 7,000 Ethiopians and in 2012 the export target was $75 million. Ayka now has an estimated 50% market share of the whole textile-exporting sector in Ethiopia, in part because the production is not yet sold domestically.

AMBO MINERAL WATER S.C. Claude Lasseigne Managing Director P.O. Box 1070, Addis Ababa Tel: +251 11 371 6242 Fax: +251 11 371 6256 info@ambowater.com www.ambowater.com Activity: Mineral Water Date of creation: 1930

AYKA ADDIS TEXTILE & INVESTMENT GROUP Yusuf Aydeniz Chairman Bole Main Road dabi Complex 5th Floor Kebele 3 Addis Ababa Tel: +251 11 661 6950 Fax: +251 11 661 6952 yusuf.aydeniz@gmail.com www.aykaaddis.eu Activity: Textile Date of creation: 1988 Ayka Textile is a Turkish international group, founded in 1988 as a ready-made garment manufacturer and exporter. Their youngest investment is the Ayka Addis Textile & Investment Group in Ethiopia, vertically integrated subsidiary company. Ayka Textile brought the tradition and almost 40 years of textile experience from Turkey. Having

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Ambo Mineral Water has been bottled and marketed since 1930 and is considered the market leader in Ethiopia. The source of Ambo Mineral Water is a thermomineral spring, rich in natural calcium, magnesium, potassium, bicarbonates and carbon dioxide. The water originates in a volcanic fissure, which then peculates through mountainous terrain eventually being tapped at the springs in Ambo Senkele, 130 km from Addis Ababa, capital city of Ethiopia. These springs are located on the crossroads of an ancient, major trade route, and have been revitalizing travellers, traders, nomads, soldiers and settlers from the beginning of humankind. Ambo comes from the Ethiopian highlands, a unique part of the world. It is recognized as the leading beverage of Ethiopia, a true ‘Ethiopian Icon’. It is popularly consumed during and after meals as a digestive, also popularly consumed as a thirst-

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quenching ‘soft-drink’ or as a discerning mixer, specifically with whiskey.

the establishment of Textile Industry Development Institute (TIDI) in 2010.

The growing demand for Ambo both locally and abroad has resulted in new investments in capacity and packaging variations. The product and pack range has been extended to include convenience packaging in plastic bottles, as well as new products, ‘Ambo lite’ (lower carbonation and mineralization) and ‘Ambo flavoured water’ (Orange, Apple, Pineapple, Lemon-lime).

The Institute is one of the catalysts towards achieving the textile industry sub-sector’s goals set by the Government in its Five Years Growth and Transformation Plan (GTP). The plan eyes on generating one billion US dollars from export of textile products by the end of 2015, which would be a leap from 23.2 million US dollars, registered in 2010. A more concerted effort of all stakeholders backed by the necessary investment promotion, communication and public relation activity among other things, will ultimately be of paramount importance to meeting these goals. It is also planned to generate employment opportunities for about 40,000 citizens during the plan period.

TEXTILE INDUSTRY DEVELOPMENT INSTITUTE Seleshi Lemma Director General P.O. Box 5637, Addis Ababa Tel: +251 11 439 1990 Fax: +251 11 439 5003 textil.dgeneral@gmail.com www.tidi.gov.et

Activity: Textile Date of creation: 2010 Because clothes are necessities for human beings (just like food and shelter) the demand for them is never ending. It is obvious that the ever-increasing demand for clothes with a complex design and fashion orientation all over the world magnifies the need for working towards an efficient textile industry in the country. In order to accelerate the economic growth of Ethiopia through the export-led industrial development strategy, the textile sector should play a considerable role. Cognizant of the comparative advantage and potential of the country for the development of the textile industry, the Government of FDRE has given due attention for the industry which virtually led to

The textile industry in Ethiopia has great many advantages to offer for investors starting from the production of raw materials such as cotton, which is a widely used ingredient in the sector. Moreover, the product/supply value chain of the industry provides wider opportunities for those investors aspiring either to specialize in certain products or to become involved in the production of integrated products. Although this particular industry is still in its infancy, it has been growing tremendously in recent years. This growth stimulates the export and domestic consumption of textile. Ethiopia has the largest potential domestic market in Africa for textile products. Although the purchasing power of the people is still limited, the fast growing economy of Ethiopia would create a better scenario for the local textile market. Given the large size of the local market and the huge textile and apparel imports, it is obvious that there is unexploited potential for producers. By 2024, TIDI aspires to be a world-class Institute that enables the Ethiopian textile industry to be competitive in the global market.

METALS INDUSTRY DEVELOPMENT INSTITUTE Workneh Delelegn Director General P.O. Box 1180, Addis Ababa Tel: +251 11 629 3475 / 3425 Fax: +251 11 629 3474 midi@ethionet.et

The low cost of the labor force is one of Ethiopia’s strongest competitive advantages.

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Activity: Metal Date of creation: 2010

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The country is going through a heavy industrialization process.

The Ethiopian government has identified growth of its metals industry as a priority for future national development and, to achieve its objectives, in 2010 it founded the Metals Industry Development Institute, an autonomous federal government office having its own legal personality. For that reason, the objectives of the institute are to facilitate the development and transfer of metals and engineering industries technologies and to enable the industries become competitive and beget rapid development. The Institute has the following powers and duties, to: Formulate policies, strategies and programs that assist in the facilitation of the development of metals and engineering industries and implement the same upon approval. Collect, analyze, organize and transfer to the sectorâ&#x20AC;&#x2122;s data center and disseminate to users. Prepare and disseminate project profiles that may be helpful in expanding investments in the metals and engineering industries; conduct feasibility studies for those investors desiring to engage in the sector; follow up project implementation and provide remedies concerning problems encountered during implementation. Advise investors desiring to engage in the metals and engineering industries sector on the selection of technology, negotiation, construction, erection and commissioning. Prepare and conduct practical trainings on technology, technical matters, marketing and management and other tailor made trainings, that assist the development and competitiveness of the sector, and issues certificates to trainees. Conduct studies and research to promote the development of the metals and engineering industries, Provide support and consultancy services concerning production process, production planning and quality control.

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Cooperate with government and private institutions with similar objectives, and encourage similar cooperations between private institutions. Undertake benchmarking studies that facilitate the development and competitiveness of the sector, Deliver testing services to metals and engineering industries products. Extend support in the creation of input and output linkage. Identify technologies than can be developed and undertake product development activities. Deliver its services to users as a one-stop-shop, among others.

LEATHER INDUSTRY DEVELOPMENT INSTITUTE Wondu Legesse Director General P.O. Box 24692, Addis Ababa Tel: +251 11 439 1492 Fax: +251 11 439 2259 elidi.lidi@gmail.com contact@elidi.org www.elidi.org www.lidi.gov.et

Activity: Leather and leather products Date of creation: 1998

The Ethiopian leather industry is a relatively old industry with more than 80 years of involvement in processing leather and producing leather products. The industry bases itself on the countryâ&#x20AC;&#x2122;s livestock resources. Indeed Ethiopia possesses one of the worldâ&#x20AC;&#x2122;s largest livestock populations. This enormous population of livestock provides ample opportunity for the development of the leather industry in the country. In addition to possessing a large livestock population, Ethiopian cattle hides are well known

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internationally for their fine grain pattern and good fiber structure and are ideal for making shoe uppers. Correspondingly, the Ethiopian highland sheepskins have got a worldwide reputation in terms of quality, thickness, flexibility, strength, compact structure and clean inner surface. It is also estimated to assume for about 70% of the national sheepskin production, found to be very suitable for the production of high quality leather garments, sport gloves, and has great demand on the international leather market.

forefront of them along with the Italian Development Cooperation; playing critical roles in capacity building, market promotion and other pertinent aspects of the industry and of the Leather Industry Development Institute. The USAID has been providing equally considerable support through various programs that range from enhancing the livestock development of the country to focused interventions, specifically in the leather industry.

In order to facilitate and speed up the development of leather and leather products technologies and make industries highly competitive in the global market, the FDRE Government of Ethiopia established the Leather Industry Development institute (LIDI) in 1998. LIDI was called Leather and Leather Products Technology Institute (LLPTI) when it was first established.

DH GEDA GROUP

Since then, the Institute has been engaged in multifaceted leather and leather related activities, focusing mainly on production, investment and marketing phases in order to meet the export target put forward by the government and tap $5,000 million USD in the coming GTP period (2010/15). Thus, to make Ethiopia a greater beneficiary from the leather sector by providing transparent, efficient and sustainable services in investment, production and marketing, the main objectives of the LIDI are: To facilitate the development of the leather and leather products industry by helping the technology and knowledge transfers so as to upgrade production, quality and marketing required for international exposure. To assist the investments in this sector in order to connect Ethiopian companies with the international markets so as to enable this industry to become competitive and beget rapid development. To provide constant training in order to sustain skills and knowledge upgrading of the various actors in the industry.

Million Duguma Managing Director Headquarters: D.H. Geda Tower at bole Road P.O. Box 534, Addis Ababa Tel: +251 11 663 8158 / 8159 / 8160 Fax: +251 11 663 8162 d.h.ged@ethionet.et www.dhgedagroup.com www-dhgeda.com Activity: Trade and Industry Date of creation: 1970 DH Geda Trade and Industry has become one of the leading establishments involved in a broad spectrum of industries. The company is involved in the production and marketing of paints, blankets, wheat flour, acrylic yarn, and galvanized sheets. It also runs its newly built commercial center, DH Geda Tower, where its headquarters is stationed. The marketing and sales division operates out of headquarters with its ten shops in Merkato and its branches which are located in major towns: Mekele, Harrer, Desse, Gonder, Bahir Dar, D/Markos, Shashemene, Jimma, Nekemt and Wolayita as its sales distribution outlets. DH Geda strives to better serve its clients by implementing backward and forward integration, such as: chemicals to paints, farming to flour, warp to blankets, and galvanization to sheets. By strengthening its R&S, DH Geda aspires to maintain its competitive advantage in all of the sectors itâ&#x20AC;&#x2122;s involved in.

LIDI offers a wide variety of services be it in the field of chemical and physical testing, supporting, marketing feasibility studies, or education and vocational training. LIDI will help and offer their services in all the stages: investment phase, production phase and marketing phase.

The group aims to become one of the leading competitively dynamic companies in the Horn of Africa in producing and supplying construction materials such as roofing paints, steel reinforcements, cementations products and construction chemicals.

There are many international development partners supporting the Ethiopian leather industry to come out as a vibrant, attractive and internationally competitive player. UNIDO and UNDP have been at the

DH Gedaâ&#x20AC;&#x2122;s management is dedicated to producing customer-driven products in the most efficient and cost effective manner with total quality management as its emphasis. The company believes that valued

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customers are the sole purpose of its existence and will make every effort to satisfy them through its commitment to quality, technology and service. The following companies form the group: DH Geda Flour Factory, DH Geda Galvanized Iron Sheet Factory, Zemilli Paint Factory, DH Geda Blanket Factory, DH Geda Dyeing & Bleaching Factory, DH Geda Real Estate & Construction Plc, DH Geda Construction Chemicals, and DH Geda Construction Minerals.

aided. The engineering and technical staffs guide manufacturing processes, assembling works and supervise erection and installation works at outof-plant sites. MIE has travelled a long distance in technological advancement in modernizing the plant and organizing the workforce. The company has made huge investment towards the introduction of new technologies and upgrading skills by training personnel both locally and abroad. MIE, backed up with skilled manpower and modern machineries is a pioneer company in Ethiopia and East Africa in the production of prefabricated petroleum storage tanks in its own plant.

MESFIN INDUSTRIAL ENGINEERING P.L.C. Habte Hadish General Manager Main ffice: Mekelle Tel: +251 34 440 6800 Fax: +251 34 440 6225 miegm@ethionet.et www.mie.com.et Activity: Industry Date of creation: 1993 Mesfin Industrial Engineering PLC (MIE) was established in 1993 as the engineering wing of EFFORT (Endowment Fund for the Rehabilitation of Tigray), with a capital of 7 million birr. It is located at some 780 km north of the capital city Addis Ababa, at Mekelle in Tigray region, in a modern and spacious campus with a 20,000 m3 shaded land premises of 200,000 m2. MIE employs a workforce of over 200, and it is a vast unrivalled metal construction and electromechanical engineering complex in Ethiopia and Eastern Africa. The company is currently engaged in the manufacturing of liquid and dry cargo bodies, trailers, semi trailers, low beds and in the fabrication of fuel storage tanks and various equipment for the construction and energy sectors such as cement plant components, and hydropower elements. It is also engaged in electromechanical erection and installation works, which include erection of machinery and equipment of various industrial projects, civic buildings and fuel storage facilities. Having grade I electromechanical works license and General Contractor certificate of civil works, MIE also engages in turn-key projects of industrial complexes. MIE is not only a well-equipped establishment, but also well-organized and staffed with highly educated, experienced, highly trained and skilled personnel. All engineering works are carried out computer-

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MIE is ISO 9001:2008 certified for the implementation and operation of Quality Management System by BSI for the following scopes: Design, manufacture, supply and service of low bed / high bed / dry / liquid cargo trailers. Design, manufacture, supply and erection of petroleum liquid reservoirs (including electrical/instrumentation system). Supply and erection of HVAC system. Manufacture and supply of steel fabricated products for industrial applications. Equipment maintenance and administration.

ETHIOPIAN STEEL P.L.C. George Arodi General Manager / COO P.O. Box 8692, Addis Ababa Tel: +251 11 434 2720 Fax: +251 11 434 1940 arodi@ethiopiansteel.com www.safalgroup.com

Activity: Metal supplier Date of creation: 1996

Ethiopian Steel P.L.C. was created in 1996 and operates out of Addis Ababa. Ethiopian Steel supplies corrugated sheets, bull-nosed sheets, minicorrugated sheets, ridges and gutters, flashings, door profiles and tile profiles. Ethiopian Steel believes in the practise of the Kaizen principles in the workplace and they consistently aim to improve the quality of their products and operating systems. The Safal Group is Africaâ&#x20AC;&#x2122;s leading flat and long

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steel product manufacturer, striving for continuous technological growth, harmonising Human Relations practises through many cross-cultural boundaries and unrivalled Corporate Social Responsibility commitment. The Group has over 4,500 employees and will soon open its doors in Djibouti, Burundi and Madagascar. The Safal Group continues to provide leadership, resources and training necessary to create an environment in which every stakeholder and member can contribute to the growth and success of their community. Ethiopia Steel Plc was established in 1997 as a 100% foreign direct investment Company and was among the first companies in Ethiopia to receive ISO accreditation. Through the roll-forming operation, the company offers a wide range of roofing solutions and accessories. Some of the established company brands include ANBESSA, ANBESSA PLUS, GALSHEET RESINCOT, VERSATILE and ELEGANTILE. The company has a reputable industrial customer base that includes Varnero Plc, Sunshine

Construction, Elmi Olindio Construction, Akir Construction, Yotek Construction and government projects such as the Housing Boards. As part of its business development strategy, Ethiopian Steel Plc is always exploring new markets and expanding its product range. For this reason, the company created a unique concept of Service Centres and Showrooms. Service Centres are small production facilities situated in market nodes outside the logistical reach of the main production base in Addis Ababa. They produce for the market within immediate reach of their operation. To increase local market awareness and offtake, showrooms are located in high visibility cities and construction nodes. A field sales team is attached to each showroom, to sell into surrounding construction areas. The team of trained artisans has experience in roofing and can also take roof measurements if required. Through all these initiatives, the company will become a formidable player in the Ethiopian roofing market over the next few years.

Ethiopian Steel PLC is a flagship for excellence.

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FDRE METALS & ENGINEERING CORPORATION

Mexico Square, Roosvelt Street Lideta Subcity Addis Ababa Tel: +251 11 552 2198 Fax: +251 11 552 1141 Activity: Engineering and Industry Date of creation: 2010

Producing machineries, industrial equipments, vehicles, tracks, high value spare parts geared towards meeting the country’s mounting needs in construction and other sectors. Upgrading manufacturing sectors and optimizing military equipments and armaments to be utilized by the armed forces and security forces. Setting standards for excellence in the services it provides and being in tune with customers, stakeholders as well as the country’s growing and changing needs through its innovative, flexible and technologically driven approach. Objectives:

The once called Defense Industry was operated by FDRE Ministry of Defense. On June 9th 2010 it came under the council of ministers regulation N. 183/2010 as FDRE Metals and Engineering Corporation. Its goal is conclusively to accelerate the country’s industrialization process devoting itself to satisfy the technological and engineering needs of the people and the government. Nowadays METEC is fully engaged in many government construction mega projects. Among them, the Grand Ethiopian Renaissance Dam, in which METEC is expected to create electromechanical systems as it has signed an agreement with a plant contractor that is estimated to cover 50% of the project.

To design, manufacture, erect and commission manufacturing industries. To design and manufacture different types of vehicles construction machineries, locomotives, agricultural equipment, plastic products and apparels. To engage in maintenance and overhauling of manufacturing industries. To manufacture industrial machineries, capital goods and industrial spare parts. To expand and enhance engineering and technological capabilities through creating partnership for the integration and interfacing industrial resources. To undertake production, manufacturing, maintaining overhauling and upgrading of weapons, equipments and parts useful for the defence force and security forces for combat and war operations. To build technological capabilities of the country’s defence forces by identifying existing and potential needs and through research and development.

Industries of METEC: METEC is involved in 15 different industries, with an average of 5 sub factories and more than 13,000 employees.

Vision: To make Ethiopian Industry prosper.

Mission: To satisfy the country’s growing development demand in both the public as well as in private arena by vigorously and innovatively designing, building, manufacturing industries along with integrating and commissioning them all.

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Dejen Aviation Industry Bishoftu Automotive Industry Gafat Armament Industry 4. Homicho Ammunitions Industry 5. Hibret manufacturing and machine Building Industry Adama Agricultural Machinery Industry 7. Adama Garment Industry Metals and Fabrication Industry Akaki Basic Metals Industry Ethiopian Power Engineering Industry Hi-Tech Industry Ethiopian Plastic Industry Construction Machineries S-Industry Locomotive S-Industry Fuel and Propellant S-Industry

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REAL ESTATE & CONSTRUCTION With the huge progress being made in road developments, great opportunities currently exist in the Ethiopian construction sector. Great strides still need to be made, however, in urban linkages, with an Urban Development Policy now

Photo: Antonio Fiorente

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H.E. ATO MEKURIA HAILE

MINISTER OF URBAN DEVELOPMENT & CONSTRUCTION Urban Development and Construction. The Ministry was formerly called the Ministry of Work and Urban Development until October 2010. But based on the

Ethiopia, though one of the ancient civilized countries of the world, is a developing country rich in ample natural resources and diverse ecological zones suitable for agricultural activities, tourism, Investment, and trade. The country has registered fast and strong economic growth in the past 8 or 9 consecutive years with double digit economic growth, which consistently outperformed most other countries in Africa and other countries in the world. It is clear that after the downfall of the dictatorial Dergue regime by the Ethiopia People Revolutionary Democratic Front (EPRDF), the nations, nationalities, and peoples of Ethiopia long-term question for equality and democracy was answered for once and for all in a strong basis. As the question of democracy and equality is clearly answered by our constitution, now what the nations, nationalities, and peoples of Ethiopia need is development in the economic and social sectors both in the urban and rural areas of Ethiopia. To implement these targets different institutions play their responsibility and role, and hence one of those institutions which take part in the development endeavor of the country is the Ministry of 152

the power and duties of the executive organs of the federal democratic republic of Ethiopia, the former name of the Ministry was changed and now has been renamed the Ministry of Urban Development and Construction. In order to implement the aforementioned duties and responsibilities of the Ministry, it designed its vision of Creating Resilient and Livable Cities & Internationally Competitive Construction Industry in 2020 and for the realization of this vision, the Ministry works responsibly for the renaissance of cities and towns. In order to achieve its mission of Capacitating Cities and Urban centers to play their role as development center by providing standardized services for their residence and creating competitive construction industry in collaboration with all stakeholders and development partners, the Ministry has carried out so many key activities towards it. The Ministry undertakes studies for the integration of urban and rural developmental activities important for setting general directions. It also works for promoting the expansion of micro and small scale enterprises, creating conducive environment for the development of internationally competitive and standardized construction industry. In addition it undertakes research for improving the types and qualities of local construction materials and many more activities. www.ebizguides.com

Real Estate & Construction In order to achieve the national responsibility given to the ministry effectively, it gives due attention in creating job opportunities to urban residences and encouraging them to own properties. Accordingly, in the past two and half years of the Growth and Transformation Plan years, 2,001,384 citizens got job opportunities in the area which outperformed nearly two folds of the plan, indicating the fact that the Ministry is working for equitable distribution of resources and engaging them in income generating activities and hence helping to eradicate poverty in urban areas. It is quite clear that our constitution only to the â&#x20AC;&#x153;state and the peopleâ&#x20AC;?, but citizens can lease land up to 99 years and are not permitted to mortgage and sell. This is for the effective and productive use of the limited resources, land, as the society needs it. In this case the Ministry works for the modern use of urban land preparation and management systems. To implement such responsibilities in to effect, the Ministry designed new strategies conducive to supplying and preparing land for different services (infrastructure, commercial, social and the like activities). It also helps for preparing land for investors as they want to invest in different developmental activities. Moreover, the Ministry is undertaking cost effective housing schemes to make the urban residential their own house owner so as to ensure equitable resource distribution and income generation. These include condominium housing schemes, 10/90 housing schemes for low income citizens and 40/60 housing program for middle income citizens. These housing programs are based on encouraging saving of the citizens and are currently underway in Addis Ababa and are in good stead. www.ebizguides.com

The other goal of the Ministry is developing construction industry to enable it carry the over expanding construction works and construction sector. In order to sustain the construction boom in our country; the Ministry undertakes capacity building trainings for contractors, consultants, and machinery suppliers including providing inputs for them. Modern registration and professional assessment is also in place to enhance the capacity of all professionals engaged in the sector. It is also important that development and good governance are other critical issues in Ethiopian urban centers and hence establishing a transparent, participatory approach on this issue, has a farmunicipality standards in order to make urban dwellers access for international standards municipality services. It is generally believed that development and good governance management requires an all-inclusive participation of the public ranging from money contribution to active participant and hence creates for all urban dwellers as urban development agents. This act of the urban residence is a steppingstone for development of the coming generations. It is also quite clear that to make urban areas clean and healthy for the societyâ&#x20AC;&#x2122;s living and recreating within it, public mobilized activities should take place in a good manner. Finally, I call upon different stakeholders from within Ethiopia and abroad on behalf of the Ministry and on my own to actively participate in the nation building effort to the realization of development and good governance, for it is the only gateway to ensure our survival for the future. Thank you

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OVERVIEW The Ministry of Urban Development and Construction (MUDC) is one of the Executive Organs of the Federal Democratic Republic of Ethiopia. It was re-established in October 2005. MUDC was established by merging two different sectors: the urban development sector, which was formerly organized under the Ministry of Federal Affairs, and the construction sector, which was accountable to the ex-Ministry of Infrastructure. Based on the current rearrangement, the rights and obligations of the Ministry of Federal affairs relating to the urban development sector and of the ex-Ministry of Infrastructure with respect to the construction sector were transferred to the Ministry of Urban Development and Construction. Urban development, domestic construction capacity building, and road sector development are the major areas of concern of MUDC. Recent evidence shows that out of the total population of Ethiopia urban dwellers constitute about 16% with the estimated population size of about 12 million. The annual growth rate of the urban population is also estimated to be about 4.3%, which is the fastest growth rate in developing countries. Taking these demographic and other socio-economic factors into account, the government has recently given due attention, more than often, to the urban development sector. In Ethiopia, especially in urban areas, there are problems of developing, democracy and good governance. For instance, according to the Nationâ&#x20AC;&#x2122;s Urban Development Policy, lack of adequate infrastructures such as telephone, potable water,

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roads and electric services, shortage of social services, problems of dwelling houses, slums, environmental pollution, problems of urbanâ&#x20AC;&#x201C;rural and urban-urban linkage and the existing imbalance of development among cities are the major drawbacks for urban development. Regarding democracy and good governance, lack of independency in city administration, insufficient public participation, lack of clear democratic outlook and culture, problems of transparency and accountability could be cited as drawbacks. To alleviate these social, economical and political problems, the government has been taking various measures. Among the measures taken, adoption of urban development policy, preparation of an Urban Development Package and Urban Good Governance Reform Package can be cited as admirable examples. In relation to the construction sector, special attention has been taken to formulate laws, directives and manuals to make the legal framework smooth and uniform throughout the nation. Similarly, the road sector has been considered as one of the major sectors that scales up urban-rural linkage, besides its great role in bringing about accelerated and sustained development to alleviate poverty.

INVESTMENT OPPORTUNITIES Ethiopia has extensive opportunities in the construction industry, particularly in the construction of roads, residential, commercial and industrial buildings, including low-cost housing. Aware of the

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crucial role the road sector plays in the development of the national economy, the Government has given special attention to the development of the country’s road network. A wide range of opportunities exist for investors in the following areas: General Contractor Grade One (GC1). Building Contractor Grade One (BC1). Road Contractor Grade One (RC1). Specialized Contractor Grade One (GC1). Water well drilling. Construction machinery and equipment rental services.

REAL ESTATE GTP Performance of Urban & Construction As stated in the GTP, the objectives of the urban and construction development are improvements of the living standards of urban residences by reducing unemployment and poverty through wide use of manpower in infrastructure construction and management; improving the capacity of the local construction industry; improving the quality of design and construction works; enhancing the role of the industry sector in job generation and expansion of local contractors, consultants and suppliers and building their capacity. In addition, the aims in urban development, particularly in Addis Ababa, are reducing urban slums, addressing housing (shelter) problems, promoting domestic savings and creating a wide range of job opportunities by constructing affordable, good quality and standardized urban housing for all urban residences. Regarding the Integrated Housing Development Program, the main focus is to address urban housing problems and generate employment opportunities. Based on this, the target for 20101/11 was to finalize ongoing low-cost housing projects in the regions and transfer them to beneficiaries as well as to build 30,000 new houses in Addis Ababa. At the end of the planned period, the construction of 17,171 new houses was already underway and the preparation works for the remaining houses performed. Moreover, 176,317 employment opportunities were generated from the housing development. It was also planned to increase the number of new and existing smallscale construction enterprises to 1,000. Regarding capacity building, the target is to

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prepare new low-cost design on competitive bases. Accordingly, 17 new low cost designs were prepared in 2010. Draft manual for residential houses were also prepared. Laws, regulation and directives to form an association for three sugar development projects and one fertilizer development project, as well as model directives for condominium residential houses are prepared and distributed to regions. Training was also provided to 266 contractors of sugar development projects and 10 universities. To strengthen agro-stone production centres, support and follow-up activities have been performed for production centers at Tendaho; Bahi Dar & Desse towns (Amhara); Adama town (Oromiya); Hawasa town (SNNPR) and Addis Ababa. These production centres are currently supplying agro-stones for condominium houses and other construction projects.

Urban infrastructure development program Through the implementation of several urban infrastructure programs, cities are made capable of providing efficient and effective infrastructure and services to dwellers in 2010/2011. To this effect, 222.2 km of cobblestone and 36 km of drainage systems constructions were created in different cities. Moreover, a landfill at Bishoftu, liquid waste disposal facility at Dessie, three modern abattoirs in Adama, Dilla and Jimma are constructed and started providing services to communities.

INFRASTRUCTURE Infrastructure contributed 0.6 percentage points to Ethiopia’s annual per capita GDP growth over the last decade. Raising the country’s infrastructure endowment to that of the region’s middle-income countries could add an additional 3 percentage points to infrastructure’s contribution to growth. Ethiopia’s infrastructure successes include developing Ethiopia Airlines, a leading regional carrier; upgrading its network of trunk roads; and rapidly expanding access to water and sanitation. The country’s greatest infrastructure challenge lies in the power sector, where a further 8,700 megawatts of generating plant are needed over the next decade, implying a doubling of current capacity. The transport sector faces the challenges of low levels of rural accessibility and inadequate road maintenance. Ethiopia’s ICT sector currently

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suffers from a poor institutional and regulatory framework. Addressing Ethiopia’s infrastructure deficit will require a sustained annual expenditure of $5.1 billion USD over the next decade. The power sector alone requires $3.3 billion USD annually, with $1 billion USD needed to facilitate regional power trading. That level of spending represents 40 % of the country’s GDP and a tripling of the $1.3 billion USD spent annually in the mid-2000s.

Land Allocation In Ethiopia, land is public property. Individuals, companies and other organizations have only the right to the use of land. There are two broad classifications of land for rent or lease purposes: rural land and urban land.

Rural land is rented mainly for agriculture. Currently, there are nearly 11.55 million hectares of potential land for farming. The rental price of rural land is generally low. There is strong commitment from the government to avail of the country’s fertile land for investment. The Ministry of Agriculture has given the responsibility of providing technical support for private investors investing in agriculture. The support ranges from providing land above 5,000 hectares, information, technical support, and facilitation of other public services. Urban land is divided into land for industrial use and land for other activities. Industrial land is given much attention by the government and a number of industrial zones with the necessary infrastructural facilities (roads, electricity, water, telephone) are established in the major cities and towns in order to support the country’s drive for rapid industrialization. Industrial land in industrial zones is allocated to investors at fixed prices. Land for export-oriented industries is generally available at concessionary rate. The Ethiopian Investment Agency (EIA) has the mandate to facilitate the allocation of land for FDI projects throughout the country. Urban land for other activities is available on an auction basis. The auction prices vary, depending on demand. The lease and rental prices of urban and rural land vary according to location, type of investment and class of land. The land cannot be mortgaged

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or sold, but the lease or rental value of land and the fixed assets thereon may be mortgaged or transferred to a third party.

MAIN ENTITIES

quality project delivery. Their qualified, well-trained and committed workforce also enables them to adhere to project schedules, even under adverse circumstances. Sunshine has a solid reputation for completing projects on time, within budget and with a high standard quality. It has attracted the attention of so many governmental institutions and private companies for its high quality construction work and performance both in road and building construction line. It is currently executing major infrastructure projects in various parts of the country.

SUNSHINE CONSTRUCTION P.L.C. Samuel Tafesse General Manager African Avenue, Sunshine Building P.O. Box: 107, Addis Ababa Ethiopia Tel: +251 11 153 274/75 Fax: +251 11 551 2444 sunshinerealestate@telecom.net.et www.sunshinecon.com Activity: Construction & Real Estate Date of creation: 1984 Sunshine Construction is a sole proprietorship business entity and one of the leading and largest companies capable of handling complex and challenging projects ranging from residential, warehouse and office complex buildings, road and bridge construction, and Real Estate development. The company came into being in April 1984, and eventually evolved into a Private Limited Company in September 1993. Since its inception the company has set as its primary target scaling the heights in the construction sector and attaining pole position while at the same time spreading its area of undertakings into various business activities. Sustained hard work and a friendly atmosphere have enabled the company to build a reliable operational capacity and prove itself a dynamic force particularly in the construction sector. Sunshine has exerted towards filling the gap in the construction sector by fine-tuning its activities in line with the countryâ&#x20AC;&#x2122;s policy initiatives to satisfy the growing demand in the sector. Sunshine is a well-structured and adequately staffed organization capable of handling a number of projects at a time. The Company uses the combined knowledge and experience of personnel, from directors to skilled workers, for consistent

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BATU CONSTRUCTION ENTERPRISE Mesganaw Dagu General Manager Woreda 26, Kebele 14 P.O. Box 1783, Addis Ababa Ethiopia Tel: +251 11 321 0248 Fax: +251 11 321 4162 batu@ethionet.et Activity: Construction Date of creation: 1983 So far, the enterprise has undertaken the following major construction works: feeder and asphalted roads, parking lots, sanitary sewerage project in Addis Ababa, and residential buildings. The total value of works executed by the enterprise amounts to 250 million birr. The enterprise has both road and building construction projects at hand whose total value amounts to 150 million birr.

AWASH CONSTRUCTION ENTERPRISE Mulugeta Kalayu General Manager Woreda 19, Kebele 47, Addis Ababa Ethiopia Tel: +251 11 442 1242 / 4423 Activity: Construction Date of creation: 1993 Located in Addis Ababa, Awash Construction Enterprise (ACE) is a state-owned construction enterprise, established in January 1993 with first grade general contractor license, (GC-1), which

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enables it to undertake construction projects worth 25 million birr or more. This license allows it to undertake the construction of: Buildings such as schools, institutes, hospitals, offices, industrial buildings and residential houses Bridges and roads. Airport facilities including runways and terminals Hydraulic structures such as water supply systems, dams and irrigation works. ACE’s head office is located in Addis Ababa on an area of 83,000 m² with the following facilities: 1,500 m² of properly furnished offices with modern office equipment and furniture. Modern store facility with an area of more than 7000 m2. 3,500 m² of well-equipped garage complex for maintaining and repairing heavy and light duty vehicles and earth moving equipment and other construction equipment. 3,000 m² of workshops for fabricating wooden and metal related products. 380 m² of machine shop for producing and maintaining machinery parts and metal accessories. Two branch offices have been established to help expand its market share in Awassa, southern Ethiopia and in Mekelle, northern Ethiopia. The enterprise operates, for its own use, 32,000 m² of stone quarry in Addis Ababa not far away from its head office. The quarry produces crushed aggregate for concrete, asphalt works, and various concrete products like cement pipes, hollow blocks, etc. ACE has different types of light and heavy construction equipment. Some of the major types of equipment include earth-moving machinery such as dozers, graders, rollers, excavators and dump trucks; light construction equipment including pumps, mixers, vibrators, drilling machines and compressors; transport equipment; mobile cranes; workshop facilities; quarry equipment; and laboratory facilities. ACE has an annual building capacity of 60 million birr and, at present, operates at 80% of its building capacity. Over the coming five years, it intends to expand its building capacity from an annual turnover of 60 million birr to 80 million birr. It also intends to gradually move from building construction activities to equipment intensive construction activities such as roads, bridges, and water works.

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CONSTRUCTION DESIGN S.C. Alganesh Tesfay Teferi General Manager D/Zeit Road, opposite St. Josef Church P.O. Box 40036, Addis Ababa Ethiopia Tel: +251 11 442 0800 / 400 960 Fax: +251 114 400 621 / 420 153 bde.@ethionet.et www.cdsco.com.et Activity: Construction Date of creation: 1986 Construction Design Share Company (CDSCO) is an Architectural & Engineering Consulting firm, which has been rendering a wide range of services in Building Works Construction Consultancy since 1986 and has expanded its service range to Road & Water Works Construction Consultancy from 1995 onwards. The Company has completed thousands of projects in the past and is continuing to play its prominent role for the construction industry in Ethiopia. Construction Design Share Company (CDSCo) is a state owned Engineering and Architectural Consultancy organization. The company has undergone the following different formations ever since its establishment: Established as a mere Design Department in the former Ministry of Works and Urban Development. It was re-established as Construction Design Enterprise in and was categorized as PPESA. Reformed as an Architectural & Engineering Consultancy Entity and thereafter it was named Building Design Enterprise. Finally the company incorporated doing Road and Water Works activities in 2002 and adopted its current name, Construction Design Share Company (CDSCo). The formation of the new organizational structure has caused the creation of autonomous offices of Building Works, Road Works Office; Water Works Office; MIS and Finance, Human Resources and Property Administration; marketing and Tendering; and Research and Development. CDSCO provides the market with the highest quality Architectural and engineering consulting services, changing the image to a centre of excellence that would enhance competitiveness and profitability for the company, thereby ensuring the desired benefits to all its stakeholders of the company.

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MIDROC ETHIOPIA CONSTRUCTION P.L.C. Eng. Nigussie Abera General Manager P.O. Box: 16960, Addis Ababa Ethiopia Tel: +251 11 551 0899 Fax: +251 11 551 2244 midroc.conet@ethionet.et www.midroc-ethiopia.com.et Activity: Construction Date of creation: 1993 MIDROC Ethiopia Construction Plc. was established in 1993, with a total investment in construction equipment plant and facilities of 500 million birr and engaged in a wide range of construction undertakings of all types and sizes. The vision of the company is to build an international standard construction company and engage in large multimillion birr heavy construction projects and thereby contribute its share in the development of the infrastructure of Ethiopia. The Companyâ&#x20AC;&#x2122;s mission, among others, is based on firm company values and commitment to: Offering the highest level of quality construction service to clients. Providing company trustworthiness through longterm collaborative relationship with clients and suppliers. Striving to work for excellence and quality on continuous basis for the satisfaction of clients, Maximizing the potential of employees through training and development programs. MIDROC Construction Ethiopia Plc offers a wide range of construction services in all types of construction project works of any size and complexity including high rise buildings, hospitals and schools and civil engineering works, such as roads and bridges, airports and dams. The company also supplies ready mix quality concrete (C15-C40), meeting national and international standard specifications. MIDROC Construction Ethiopia Plc. is familiar with different procurement arrangements in construction contracting Traditional BOQ Contracts, Design and Building Contracts and Turnkeys Contracts. Since its establishment in 1993, the company has undertaken several multi-million birr projects in Ethiopia. To mention a few: Sheraton Addis Hotel, Nani MIDROC Corporate Office Building,

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Mekele Referral Hospital Building, Pharmacure pharmaceuticals manufacturing factory, African Union Conference Hall & Office Complex, Oromia State Conference Hall & Office Complex, Loli Office and Residential Building, Amhara Martyrâ&#x20AC;&#x2122;s Monument, a number of multi-million birr road and highway projects, Federal Police Head Quarters, and Ethiopian Airlines Cargo Terminal. Major pieces of equipment and Plant owned by the company include: Hot Asphalt Mixing plants 100150 tons per hour capacity, Concrete Mixing Plant of 30-60cm/Hr, Aggregate Crushing Plants 100180 tons per hour, fleet of Earthmoving Equipment and Dump Trucks, Asphalt Pavers/Finishers, Tower Cranes 45-100m HUH, Mobile Cranes 20-90 ton, among others.

MUGHER CEMENT ENTERPRISE Mekonen Zergaw Chief Executive Officer P.O. Box: 5782, code 3749 Addis Ababa Ethiopia Tel: +251 11 442 1480 Fax: +251 11 442 0688 mughercement@mugher.gov.et www.mughercement.gov.et Activity: Cement Date of creation: 1999 Mugher Cement Enterprise is a governmentowned enterprise established with the purpose of producing and supplying cement and carrying out related activities that are important for the attainment of its objective. It was established with an authorized capital of 334,716,000 birr of which 257,516,000 birr was paid up in cash. The Enterprise was established in 1999 through amalgamation of two formerly independent factories: Mugher Cement Factory and Addis Ababa Cement Factory. Mugher Cement factory is located about 90km north-west of the capital city, Addis Ababa, on the elevation of about 2,450 metres above sea level. It is the mother plant of the enterprise with three production lines and production capacity of about 5,000 tons of clinker per day. The first and second lines started operation in 1984 and 1990 respectively, and the third one commenced production in June 2011. The first and second line plants were established

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with a long-term loan secured from the Development Bank of Ethiopia and former East German Government plus a financial outlay from the treasury of the Ethiopian government. Addis Ababa Cement plant, formerly known as Addis Ababa Cement Factory, was built in 1964. Initially it had a production capacity of 70,000 tonnes of cement per annum. However following the obsolescence of the machinery and increase in the dust emission level, which brought about pollution in the surroundings, the plant was forced to stop production of clinker in 1996. It, however, was reconditioned into grinding plant by the enterpriseâ&#x20AC;&#x2122;s engineers and now it can produce a minimum of 140,000 tonnes of cement per annum. This plant has two cement mills each with 12.5t/hr milling capacity. In addition to the production sites, located in the heart of Addis, it also runs a quarry site at Derba, which is located northwest of Addis at a distance of about 70 km. This quarry site is rich in high quality Silica sand, gypsum and limestone, which can be directly sold to other factories because of their needs to use as raw material inputs. Mugher Cement Enterprise also has a paper sacks-making plant in the compound of Addis Ababa branch office. This plant was established in the year 2000 with the objective of producing and supplying valved environmentally friendly paper sacks, which are to be used for packing cement, lime, fillers and other powdered products. The production capacity of the paper bag plant is 60 million pieces of paper sacks per annum. This plant supplies paper sacks for all packing plants of the enterprise and also sometimes sells to local customers. Derba Midroc Cement (DMC) is a green field cement plant based in the Muger valley some 70 km northwest of Addis Ababa. The present performance test based clinker production capacity is 5,600 tonnes per day (8,000 tons of PPC cement per day) with annual cement production capacity standing at 2.5 million tonnes. The plant produces ordinary Portland cement (OPC) and Portland pozzolana cement (PPC) with mix of OPC: PPC at 30:70. The products meet the requirement of the Ethiopian National Standard No.En-197.

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DERBA MIDROC CEMENT P.L.C. Haile Assigdie Chief executive Officer P.O. Box: Addis Ababa Ethiopia Tel: +251 11 554 9888 Fax: +251 11 554 9808 www.dmc.com.et Activity: Cement Date of creation: 2006 Derba MIDROC Cement (DMC) was founded to contribute its share in unleashing the potential of the Ethiopian cement industry by availing of cement, the critical input that underwrites infrastructure development, abundantly and at a reasonable price. The company is the largest state-of-the-art cement plant in the Muger valley, some 70 km northwest of Addis Ababa, where the major raw materials required for cement production are in abundance. The company also enjoys proximity to the market offered by Oromiya and Amhara Regional States and the City State of Addis Ababa. DMC was established on the 13th of February 2006 with a fully paid up capital of 500 million birr (equivalent to $55 million USD). The total investment cost is in the region of $351miilion USD. The clinker production capacity is 5,600 tonnes per day (8,000 tonnes of cement per day). The company was inaugurated on the 5th of February, 2012 in the presence of the late Prime Minster of Ethiopia Ato Melese Zenawi and the Chairman and Founder Sheik Mohammed Hussein Ali Al-Amoudi. Nowadays, Derba MIDROC Cement P.L.C. is executing a number of cement production projects in different parts of the country. DMC partners with African Development Bank (AFDB), International Finance Corporation (IFC), European Investment Bank (EIB) and Development Bank of Ethiopia (DBE) with respect to financing and expert advice in technical and operational areas. Many suppliers and contractors have had unwavering partnership with DMC in realizing the dream of becoming the biggest and greenest cement plant in Ethiopia. By sanctioning the necessary policy incentives, the Ethiopian government has been the companyâ&#x20AC;&#x2122;s main partner in development. DMC also has a working relationship with more than 70 companies operating under the MIDROC Ethiopia Group.

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TRANSPORT With its strategic location at close proximity to competitive advantages over its neighbours. In that context, huge investment and developments have been made in rail, road and shipping, with less and less visible evidence of its more primitive past.

Transport

H.E. DERIBA KUMA MINISTER OF TRANSPORT

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services for the community of the country. In the Growth and Transformation Plan (GTP) extended by the government from 2011 up to 2015 in consideration of land, air and water transport are one of the basics, currently the URRAP (Universal Rural Road Access Program) has been implemented for more than 71,000 km of rural road pastoralists and farmers. The current Federal and Regional road 64,522 km in 2015. The Federal Democratic Republic of Ethiopia, Ministry of Transport has been conducting vast train railway constructions regarding the infrastructure development of the country delegating adequate budget.

Regarding the expansion and construction of the train network, vast activities are going under effect in implementing more than 2,000 km of train network in selected three

In addition to the support rendered In the fast growing economy of the country by the transport infrastructure

Generally, the Ministry of Transport is conducting its activity by having the visionary slogan of â&#x20AC;&#x153;Delivering transport Services for all Society in 2017â&#x20AC;?.

role in having justify transport and

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OVERVIEW Roads play a vital role in transporting people and goods in Ethiopia. Cognizant of its cardinal role, the government has identified the road sector as top priority for public investment and remarkable progress has been made in the expansion of the road network in the country. Addis Ababa, the capital city, is an important regional and international transport hub. The road network radiates from Addis Ababa to regions linking it with important cities and other economically active centres of the country. International highways also link Addis Ababa and other towns with neighbouring countries such as Kenya, Djibouti, Eritrea, Somalia, Sudan and South Sudan. The Ethiopian Government has been implementing successive Road Sector Development Programs (RSDP) since 1997. RSDP has been adopted as a strategy to address the deep-rooted and multifaceted problems of the road sector in a comprehensive and sustainable manner. Accordingly, to address constraints in the road sector related to restricted road network coverage and poor condition, the government formulated the Road Sector Development Program in 1997. The RSDP framework was laid down while the Federal Government connected important major development and settlement centres; the regions for their part should construct roads that connect rural villages to district centres and then to main roads while forming efficient road networks. The RSDP has so far been implemented over a

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period of 15 years and in four separate phases as follows: Period from July 1997 to June 2002 (Completed). Period from July 2002 to June 2007 (Completed). Period form July 2007 to June 2010 (Completed). Period from July 2010 to June 2014 (Ongoing). That is, in 1997 nearly 80% of the rural population had no access to road, which in turn prohibited the rural population from having access to basic social services and agricultural input and output market. About 52% of the road network was found in poor condition and only 22% was in good condition. As a result, vehicular movement was curtailed, which led to a severe shortage of public and freight transport services. Institutional capacity of road agencies was limited in terms of skilled and experienced manpower, organizational structure and working systems. Only a few local contractors existed, which had insufficient equipment, personnel, management experience and working capital. Over the past 15 years, 27.8% of the total RSDP expenditure was utilized for rehabilitation and upgrading of trunk roads, 44.1% was for upgrading and construction of link roads and 8.4% was for expansion and maintenance of the regional roads. www.ebizguides.com

Transport

Actual 8908

8709

9813.0

7284.6

8486

12006

141

15985.8

18112.9

113

20686

19250

34643.9

34957.9

101

57112

41398

47405.2

48107.2

101

95192

81363

107848.0

108463.0

101

Source: Ethiopian Roads Authority, Ministry of Transport

Around 7.9% of the expenditure was utilized for federal road maintenance (periodic & routine) and 2.9% was for supporting institutional support projects and other activities. Around 8.9% of the RSDP expenditure was used for the construction of community roads, urban road maintenance and Universal Rural Road Access Program (URRAP). Over the past 15 years of RSDP Institutional capacity of road agencies has been enhanced significantly. Road agencies now have much more skilled and experienced professionals. They have also improved management systems. During 15 years of RSDP, priority has been given to training of manpower in the road sector. A total of 1,167 have completed MSC training in local and

overseas universities sponsored by Ethiopian Road Transport Athority (ERA) and Donors including EU and currently about 1,260 students are undertaking postgraduate study in 5 Local Universities that are sponsored by ERA. Also short-term training was given to 2,606 professionals in local and overseas training institutes. A total of 20,923 technicians have been trained in ERA training centres. After 15 years of RSDP, the number of local consultants and contractors participating in the federal road sector reached 60 and 61 in 2012 respectively. Local consultants have been awarded consultancy services having total value of 2.3 billion birr and local contractors have been awarded road construction projects having a total value of 36.5 billion birr.

Proportion of Asphalt roads in Good Condition

17%

75%

341

Proportion of Gravel roads in Good Condition

25%

57%

128

Proportion of Rural roads in Good Condition

21%

57%

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Proportion of Total Road network in Good Condition

22%

64%

191

Road Density 1/1000 sq.km

24 km

57.3km

139

Road Density 1/1000 population

0.49 km

0.75km

Proportion of area more than 5 km from all weather road

79%

56.4%

Average distance to all weather road

21km

8.7km

Road length (in km)

26,550

63,083

Source: Ethiopian Roads Authority, Ministry of Transport

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Transport As can be seen from Table on road indicators, the proportion of the road network in good condition increased from 22% in 1997 to 64% in 2012. The total road network of the country increased from 26,500 km in 1997 to 63,083 km in 2012. As a result, the proportion of the rural population without access to road decreased from 79% in 1997 to 56.4% in 2012. Over the past 15 years of RSDP, vehicle kilometre travel increased from 3.7 million in 1997 to 14.3 million in 2012, which shows the significant improvement of inter-urban public and freight transport services in the country. Financing of RSDP has been complemented and supported by additional contributions from various development partners including the World Bank, European Union, ADB, NDF, BADEA, OFID and the Governments of Japan, Germany, U.K. and Ireland. The Saudi Fund for Development, the Kuwait Fund and the Government of China has been part of the financing partnership since RSDP II. Agreement has recently been reached with Abu Dhabi fund to finance one of the link roads under current phase of the program. Assessment of contribution of finance to the implementation of the RSDP showed that 74% comes from internal sources (the Government, the Road Fund and the Community). The remaining 26%

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has been pooled from the international community. Specifically, the share of the government of Ethiopia is the highest (63%), followed by Road Fund (10%), the IDA (9%), EU (6%) and ADB (4%). Due to the positive impact of RSDP, journeys that formerly took days now take a mere matter of hours. Cars are gradually replacing the horse, the mule, and the donkey. Wide span bridges have been substituted for the swimmer and the canoe. Today a large number of development sectors to which the Government has given priority are booming in connection with improvement of the road network. Import and export is one of the main development sectors registering encouraging progress, which could be considered as a great beneficiary of the RSDP. Remarkable achievements have been recorded in different parts of the country in the agriculture, industries, hotels & tourism, sectors as a result of the progress made in the overall roads construction activities under RSDP. Apart from these, the RSDP. has also enabled a number of local contractors, consultants and daily labourers to benefit from job opportunities offered by the construction sector and have improved their professional skills.

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Transport Currently, over 60 domestic contractors are participating in road construction at various levels. 20 years ago there were none. In general, the achievements are significant in terms of enhancing the socio-economic wellbeing of citizens, accelerating the overall economic growth and productivity improvements and poverty reduction endeavours. The expansion of roads and improvements of their conditions over the last 15 years have also contributed to ensuring equitable regional growth, and to the endeavour of bringing about an unfilled economic community in the country.

Much has been done; much still remains to be done. One should not, however, paint a rosy picture of it. Camels, horses, mules and donkeys are still used to transport people and goods in some parts of the country. There still remains much to be done though roads have been built and are being built on all fronts. The country has been making spectacular road sector development over the past two decades. Thus, keeping this record growth momentum and ascertaining its sustainability would be a key to boosting domestic investment and also attracting foreign investment.

The main focus of the aviation sub-sector in the GTP period is to expand and improve the quality of air transport service. To accomplish this, the sector is expected to strengthen its operating capacity, expand its market and comply with International Civil Aviation Organizationâ&#x20AC;&#x2122;s Universal Safety and Security Audit procedures. Air transport is an important part of Ethiopiaâ&#x20AC;&#x2122;s transport network. Ethiopian Airlines, Africaâ&#x20AC;&#x2122;s world class airline, which has gained a very good reputation internationally in its 68 years of active service, provides both domestic and international air transport services. It has an outstanding safety record and is one of the few profitable African airlines. Ethiopian services include both passenger and cargo transport in its international flights and domestic routes. It also provides training and maintenance services to more than a dozen other African and Middle Eastern airlines. Domestic flight services are provided through 17 destinations across the country. Ethiopian Airlines links the 63 destinations worldwide Frankfurt, London, Paris, Washington DC, Bahrain,

country with over including Brussels, Rome, Stockholm, Bangkok, Beijing,

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Transport Beirut, Dubai, Guangzhou, Hong Kong, Jeddah, Kuwait, Mumbai, Delhi, Riyadh, Sanaâ&#x20AC;&#x2122;a, Tel Aviv, Johannesburg, Nairobi, Lagos, Lusaka, Accra, Dakar and many more big cities in Africa. It is also expanding its international services.

be operational within the foreseeable future.

Regarding Ethiopian cargo services, it operates over 40 cargo destinations spread across Africa, Europe, Asia and the Middle East via its hub â&#x20AC;&#x201C; Addis Ababa, and another cargo hub at Liege.

The Ethiopian Government has taken the policy initiatives for the development of the aviation sector in the country. The most significant initiative undertaken by the government is the opening up of an air cargo service to foreign investors without any capacity limit and allowing Ethiopian nationals to provide chartered services using aircrafts with a seating capacity of up to 20 passengers.

In addition to Ethiopian, other airlines have flight schedules to and from Addis Ababa and these include such airlines as Emirates, KLM, Lufthansa, Kenyan and others. The passenger terminal at Bole International Airport in Addis Ababa has new and modern facilities providing efficient services to passengers. Ultra-modern cargo terminal catering for fresh products and a maintenance hangar have also become operational since 2006. This new and modern terminal has the capacity to handle 350,000 tonnes of cargo per annum. Anticipating the future growth of perishable cargo, Ethiopian Airlines has proactively launched an expansion project to construct a new perishable cargo terminal that will

In the five-year plan period, the target for the sub sector is to build a total of 2,395 km rail network. During the fiscal year 2011, concerted efforts were made to finalize the pre-construction preparatory works such as surveying; detail engineering design and tender document preparation. Accordingly, civil engineering design including alignment selection, design work, feasibility study, and environmental and social impact assessment were accomplished. In addition, wide ranging capacity buildings

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Transport activities were conducted in the rail industry.

The Government of Ethiopia (GoE) has been a major financier of RSDP in the past fifteen years. The total that the GoE has spent on RSDP in the past 15 years amounts to ETB 68.8 billion, which accounts for 63.4% of the overall expenditure on RSDP. The contribution of GoE has steadily been increasing through RSDP I (5 years), RSDP II (5 years), RSDP III (3 years) and RSDP IV (2 years). GoE has spent ETB 3.5, 8.7, 20.5 and 36.3 billion during RSDP I, RSDP II, RSDP III and RSDP IV respectively, which shows increased commitment of the GoE to road sector development in the country. SPSP has also contributed to its role in the increase of the government budget. In general, as a result of road sector investment under the RSDP, the total road network of the country and its condition has improved. Since its inception in 1997, the RSDP has focused on rehabilitation and

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expansion of the main paved and unpaved roads and important regional roads. Accordingly, the total road network has expanded from about 26,550 km at the beginning of the RSDP to its current 63,083 km including Woreda roads, increasing the road density from 24.1 to 57.3 km per 1000 km2 and 0.46 to 0.75 km per 1,000 population.

The majority of cities and towns have got some kind of public transport including buses and taxis, meaning getting around in Ethiopia is relatively practical and no great difficulty. The best, most practical (and most fun) public transportation in Addis Ababa is the Blue-White line ‘‘taxis’’. Line taxis are minivans with sliding doors on one side, holding 12 to 15 people. Most of them are blue and white and are easy to identify, and there are hundreds of them on the roads, weaving in and out of traffic.

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Transport These are very cheap – between 1 birr 30 cents (7 US cents) and 2 birr 70 cents, and go on most main roads. In terms of interacting and communicating with drivers, some words in Amharic would be helpful, but one can generally get by with English. Line taxis are very safe (urban legend of pickpockets is unfounded though one should always be vigilant as with anywhere). Activity: Shipping & Logistics Services Date of creation: 2011

The key focus area during the GTP period is to enhance the capacity of the sub-sector by strengthening and expanding dry port infrastructure services, facilitate export and import trade through improved transit corridors utilization, reduce general logistics time and costs incurred in import and export of goods as well as improve the management of freight vehicles so as to increase frequency of travel and reduce transportation time and cost. In order to ensure efficient, cost effective and reliable import and export movement of cargo to and from the seaports of neighbouring countries, the government has established the Dry Port Service Enterprise. The Enterprise is currently operating two dry ports, which are located at Modjo, in the Oromiya Regional State, and at Semera, in Afar Reigional State. Addis Ababa, the capital city, is linked by road to the port of Djibouti, at the Gulf of Aden. The port of Barbara in Somaliland and Port Sudan are other external trade routes that provide services for export-import trades of the country. Another potential port accessible to Ethiopia is Mombassa in Kenya.

Ethiopia’s economy is growing very fast; in fact, it is the fastest growing non-oil economy in Africa and one of the top thirty fastest growing economies in the world. Ethiopia’s GDP has been growing with an average of 11.2% for the last eight consecutive years. Its import/export trade has also increased in leaps and bounds. To maintain this economic growth and to transform it rapidly, the country has implemented the five year Growth and Transformation Plan (GTP) for the period 2010/11-2014/15 and is now in the third year of this ambitious effort. To help achieve this ambitious economic goal, one of the strategic measures taken by the government is merging the former three public enterprises that have until recently been operating separately in a rather similar and interdependent maritime sub-sector; namely, Ethiopian Shipping Lines S.C, Maritime and Transit Services Enterprise and Dry Port Enterprise. The Ethiopian Shipping and Logistics Services Enterprise (ESLSE for short) is the result of this merger. This newly amalgamated enterprise came into being following the issuance of Regulation by the Council of Ministers (Regulation No. 255/2011), and is vested with the huge responsibility of rendering sea-transport & logistics services to the country’s importers and exporters in a more effective and efficient way, by reducing transit time, cost and handoffs.

As set out in the regulation issued by the federal government of Ethiopia in 2011, the objectives for which the ESLSE is established are:

Ahmed Tusa Dalu Chief Executive Officer P.O. Box: 2572, Addis Ababa Tel: (+251) 11 515 3725 / 552 4809 Fax: (+251) 11 552 6847 ceo@eslsc.com.et

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To render coastal and international marine and inland water transport services. To render freight forwarding agency, multimodal transport, shipping agency and air agency services. To provide the services of stevedoring, shorehandling, dry-port, warehousing and other logistics services. To provide container terminal services.

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Transport To engage in the development, management and operation of ports. 6 To establish and run human resources development and training centre in the fields of maritime profession. To study the country’s import and export trade demand and thereby develop technological capacity in order to render maritime and transit transport services. To engage in other related activities conducive to the achievement of its objectives. The newly amalgamated Enterprise has recently designed its organizational structure, and relaunched its services based on four sectors, namely: Shipping Services Sector. Freight Forwarding Sector. Port and Terminal Sector. Corporate Services Sector. The first three sectors of the Enterprise are operation-based while the fourth one provides support services of human personnel and training, finance, ICT, procurement, and communications. The Enterprise is led by a Chief Executive Officer who is accountable to a board of directors appointed by the Government. It has close to 2,000 employed staff, working in the four sectors, 17 departments and nearly 30 divisions. The enterprise, with its headquarters at Addis Ababa, has major branches in Djibouti and in Modjo, each of them comprising over 200 employees. ESLSE also has branches operating in Mekellle, Diredawa, and Kombolcha.

provisions available for the ships and their crew. It prepares timely notifications for importers, and facilitates smooth flow and recollection of containers at Djibouti port. It also provides booking and canvassing services for huge amounts of Ethiopian export goods destined to various parts of the world. ESLSE is one of the major stevedoring companies in the port of Djibouti that provides an efficient loading and discharging service of import and export cargoes, by making use of modern port equipment. In this case, ESLSE discharges various types of import cargoes from ships. It also renders stuffing service, thus facilitating the loading of cargoes for shipment. It also avails of needed containers timely and expedites the recollection of empty containers to carriers. This includes safe storage of discharged cargoes from vessels in Djibouti Port until they have been transported to their destination in the country. ESLSE’s Djibouti Branch offers coordinated and efficient shore handling services with its CLT (Container Lifting Trucks), trucks, truck trailers, tractors and forklifts of various capacities. Cargoes are handled with care and with maximum discharging and dispatching rates. In case of bulk cargoes and other containerized goods, a quick direct delivery service is provided with the cost of minimum transit time. In this manner a number of gangs are operated in all the three shifts throughout the day. The Freight and Forwarding Sector of the Enterprise is concerned with multimodal and unimodal service provisions of import and export cargoes.

The main focus of the Shipping Sector of ESLSE is to provide Coastal and International Marine Transport services to and from Djibouti Port, through the Ports of: Gulf and Indian sub-Continent, China, Korea, Japan, Singapore, South Africa, and Indonesia. The Shipping Sector provides uninterrupted sea transport service in and around the above ports with its own ships, as well as via slot chartering of major carriers. The service the sector provides is quite safe, because it takes the maximum care towards all the cargo it carries. ESLSE’s Shipping Sector branch office, at city and port of Djibouti makes prompt notification to port authorities, whenever its own ships as well as other principal ships call to port and process all due formalities. It makes all the necessary www.ebizguides.com

As is known, this is a transport service system that places the responsibility for transport activities under one operator (carrier), who then manages and coordinates the total task from the shipper’s door to the consignee’s door, ensuring the movement of the goods along the best route, by the most cost effective means, to meet the shipper’s requirement of delivery. Essentially, this is a door-to-door service with SAD (single administrative document) from the point of origin to the point of destination. In ESLSE’s case, the cargoes are shipped all the way from the port of their origin via Djibouti port and finally to Modjo Dry Port. Therefore, ESLSE as official Multimodal operator/MTO/, takes all possible care of the cargo under its custody, as of the time the shipment is confirmed and ordered.

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Unimodal transport service by contrast involves one mode of transportation, i.e. sea, rail or road, or airfreight of cargo. Here services are disintegrated, with many operators and agreements involved. In ESLSE’s case, the unimodal service ends at port of Djibouti, after which the consignee will choose his/her form of transit and/or transporter and enter agreement with which to receive cargo in the hinterland of the country. Customs and port clearing: Introducing time saving and reliable documentation processes, ESLSE accomplishes, with utmost care, port and customs formalities and enables imported/exported cargoes to arrive at the appropriate destination. ESLSE is equipped with 60 modern heavy trucks with the objective of speeding up transportation of freight from Djibouti to inland ports and vice versa. Apart from its own trucks, ESLSE sub-contracts all the necessary trucks for direct or consolidated cargo delivery; for this it works jointly with the major transportation companies in Ethiopia. The enterprise is also bracing itself to purchase 100 additional trucks. The Port & Terminal Sector of the Enterprise is a point of destination to Ethiopia’s import and export trade where goods are loaded and unloaded; customs formalities are completed; goods are temporarily stored, stuffed and un-stuffed, made ready for transport, and distributed to their final destinations. The port & terminal services include stuffing, unstuffing, storage and distribution services. The enterprise endeavours to make these services more efficient and convenient to importers and exporters and play a crucial role in the logistics chain. With the introduction of multi-modal transportation system in Ethiopia and the commencement of dry port operations at Modjo and Semera, and recently in Mekelle, Diredawa, Kombolcha and Gelan (at project phase), ESLSE has prepared itself as the designated multi-modal operator and is gradually building its capacity with a view to maximizing the satisfaction of its customers for transit and transportation solutions. In this regard, the Enterprise is expanding its service rendering capacity through the construction of import and export cargo facilitation terminals at the above mentioned inland ports as well as in Djibouti port. ESLSE conveys the message to all its customers “You just come, or call and confirm your bookings; we carry your cargo and care for it.”

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The Modjo Dry Port / Terminal has a total area of 61 hectares of land and is located along the road between Addis Ababa and Djibouti, 76 km east of Addis Ababa. The port consists of a container terminal, a break bulk terminal and RORO terminal. Furthermore, the port is designed to have 6 warehouses, which can serve as break-bulk storage, container freight station for stuffing and stripping activities, and customs warehouses for inspection of cargos. The port is located in a strategic place at a near distance to the capital city and major industries in the country. It is the first multifunctional inland port where all types of freight are loaded, unloaded, stored and handled in the appropriate way.

Semera Port / Terminal is located 318 km from Djibouti port, which is the main outlet of Ethiopia’s import and export trade and about 592 km east of Addis Ababa. In total, the port has 100 hectares of land for the loading, unloading, and multi-modal transferring of import and export goods and an additional 60 hectares of land for dwelling and other purposes. The port is equipped with appropriate equipment for handling containerized and noncontainerized cargos including vehicles.

30 km from Addis. Has 21 hectares. 14 hectares currently being developed at 95% completion. Will start service rendering soon. Equipped with bonded warehouse facilities for import, and export cargo. Has truck parking and container maintenance and cleaning facility.

Under construction.

Has 50 hectares of land. Is currently under development.

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The Institute is yet another aspect whereby human resource development is carried out within the company’s own premises. The courses offered at the institute are drawn up within the framework provided by the international convention on Standards of Training, Certification and Watch keeping for Seafarers (STCW-95) code. After successful completion of the courses the trainees will be able to demonstrate competency in serving at sea in the event of ship abandonment; minimizing the risk of fires; taking immediate action upon encountering an accident, or medical emergency; complying with emergency procedures; observing safe working practices and effectively communicating with others. The trainees of the Institute would either be employed by ESLSE or market themselves to enjoy international employment-in which there is unquenched demand.

Shiferaw Alemu Chief Executive Officer P.O. Box 90652, Addis Ababa Tel: (+251) 11 655 0565 Fax: (+251) 11 665 0686 bole.a.p@ethionet.et public_relation@ethiopianairports.com www.ethiopianairports.com Activity: Airports Date of creation: 2003 Despite the long history of aviation in Ethiopia, the Ethiopian Airports Enterprise (EAE), in its present form, is one of the youngest organizations in the country. The establishment of the enterprise is a new phenomenon in the aviation history of the nation, in which an independent legal entity has come into existence to run the airport services delivery. Its present form is the outcome of recent developments that led to the reshaping of certain organizations and the creation of new ones, so as to streamline business practices without mixing them up with regulatory functions. However, following the Government’s decision that the three activities (economic and technical regulations, airport services, aviation security) have been handled separately to deliver efficient services, two independent organizations have been created: the Ethiopian Civil Aviation Authority, and the Ethiopian Airports Enterprise, while the security activity is continued with the National Security and Intelligence Affairs. www.ebizguides.com

The Ethiopian Airports Enterpriser was formally established in January 2003 as a public enterprise entrusted with the mandate of executing quality airport infrastructure and services to its customers, having its own distinct mission, vision and core values. The company vision is to be the leading airport service provider in Africa. The company mission is to provide high quality airport infrastructure and services to our customers. The EAE plans to achieve a sustainable and strong competitive position by providing customers friendly airport services that will make it the leading airport service provider in Africa. Currently, the EAE has been engaged in a major airport infrastructure expansion at various places throughout the country. In addition, EAE has undertaken some other major expansion and renovation projects to equip their airports with the necessary facilities that can enable them to provide customers friendly services. Just like with many airports in the world, EAE’s services can basically be divided under two categories: Aeronautical Services. Non-aeronautical services. It is important to recognize that the Ethiopian Airports Enterprise’s revenue has been generated from these services. Currently, the EAE strives to maximize the aeronautical and non-aeronautical revenues by developing and improving the services it has provided. Under its nationwide responsibility, the Ethiopian Airports Enterprise administrates 21 throughout Ethiopia, of which 4 are international. Addis Ababa Bole, Dire Dawa, Bahir dar Ginbot 20, Mekelle Alula Aba Nega. Jimma, Gondar Emperor Tewodros, lalibella, Axum Emperor Yohanis IV, Arbaminch, Gambella, Assosa, Jijiga, Gode, Humera. Robe Goba, Semera, Comboicha, Shire Major General Hayelom Araya, Shilabo, Kebridhar, Pawe. “I’m proud to tell you that the growth of Ethiopia is one of the major in the whole world. This is due to the government right policy and making conditions for investment. Being a service provider in air

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Transport transport, I’m happy that the growth in traffic is going very sharp. My message to anybody who is thinking in Ethiopia is come and see, because things are changing!“ Shiferaw Alemu, Chief Executive Officer

Tewolde Gebremariam Chief Executive Officer Bole international Airport P.O. Box 1755, Addis Ababa Tel: (+251) 11 665 2222 / 661 4883 Fax: (+251) 11 661 1474 tewoldeg@ethiopianairlines.com www.ethiopianairlines.com

Date of creation: 1945 (1946 starting year of operation)

Employees (2012): 6,557

Ethiopian Airlines, the fastest growing African airline, is the flag carrier of Ethiopia. During the 65plus years of its existence, Ethiopian Airlines has become one of the continent’s leading carriers, unrivalled in Africa for its efficiency and operational success, turning profits in almost every year of its existence. Operating at the forefront of technology, the airline has also become one of Ethiopia’s major industries and a veritable institution in Africa. It commands a lion’s share of the Pan-African network including the daily and double daily east-west flight across the continent. Ethiopian Airlines currently serves 72 international destinations operating with the newest and youngest fleet. Ethiopian Airlines joined Star Alliance, the world’s largest airline network, in December 2011. This enables Ethiopian customers to enjoy a seamless travel experience allowing them access to 21,900 daily departures, 1,329 destinations within 194 countries. Ethiopian Airlines’ vision is to become the leading

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aviation group in Africa by 2025. Beyond the passenger airline business, the Aviation Group will diversify into seven profit centres with $10 billion USD in revenue. The profit centres of the Ethiopian Aviation Group are: Ethiopian Cargo, Ethiopian Aviation Academy, Ethiopian Maintenance and Overhaul (MRO), Ethiopian International Passenger Service, Ethiopian Domestic and Regional Passenger Service, Ethiopian In-Flight Catering and Ethiopian Ground Services. Ethiopian Airlines has shown strong growth over the past five years becoming the fastest growing airline in Africa. The average yearly growth of operational and traffic statistics from 2006/07 to 2010/11 are:

Passenger number

16.2%

Revenue Passenger Kilometer (RPK)

17.83%

Available Seat Kilometer (ASK)

15.32%

Freight Ton Kilometre (FTK)

24.56%

Available Ton Kilometre (ATK)

18.6%

Passenger Revenue

35.24%

Cargo Revenue

40.75%

Total Revenue

35.62%

Source: Ethiopian Airlines

The unaudited figures for the fiscal year 2011/2012, show that despite the challenges faced by the airline during the year, Ethiopian Airlines finished that year in the black with a strong overall performance and is set to continue its growth to achieve goals set in its Vision 2025: “Ethiopian Airlines will be the most competitive and leading aviation group in Africa by providing safe, market driven and customer focused passenger and Cargo transport, Aviation Training, Flight Catering, Services, Domestic and Regional Services”. Ethiopian Airlines has two class in-flight services: Cloud Nine, combined services of First and Business Classes; it has the space, comfort and style of service that makes flying with Ethiopian Airplanes a pleasure; and Economy Class, where www.ebizguides.com

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Transport passengers are offered 12 audio channels with access to a video library of more than 7 titles.

Abidjan, Abuja, Accra, Addis Ababa, Bamako, Bahir Dar, Bangui, Berbera, Blantyre, Brazzaville, Bujumbura, Cairo, Dakar, Cottonou, Dar-Es-Salaam, Dire Dawa, Djibouti, Douala, Entebbe, Harare, Johannesburg, Juba, Khartoum, Kigali, Kilimanjaro, Kinshasa, Lagos, Libreville, Lilongwe, Lome Luanda, Lubumbashi, Lusaka, Malabo, Malakal, Maputo, Mekele, Mombasa, N’Djamena, Nairobi, Ndola, Ouagadougou, Ponte-Noire, Seychelles and Zanzibar.

Passenger carried: 4.6 million

+25%

Available Seat Kilometre (ASK)

+22%

Freight Ton Kilometre (FTK)

+16%

Operating Revenue: 33.80 billion ETB

+37%

Operating Expense: 5.7 billion ETB on fuel

+35%

Operating Profit: 1 billion Birr

+155%

Net profit: 732 million ETB Source: Ethiopian Airlines

Brussels, Frankfurt, London, Milan, Paris, Rome, Stockholm, Toronto and Washington DC.

Bahrain, Bangkok, Beijing, Beirut, Dammam, Dubai, Hangzhou, Guangzhou, Hong Kong, Jedda, Kuala Lumpur, Kuwait, Mumbai, Muscat, Delhi, Riyadh, Tel Aviv and Sana’a.

Addis Ababa, Arba Minch, Assosa, Axum, Bahar Dar, Dire Dawa, Gambella, Gonder, Gode, Humera, Jijiga, Jimma, Kabri Dar, lalibela, Mekele Shire and Shilavo.

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Ethiopian Cargo started operation in 1946 with Nairobi as its first destination. Since the early 1970s, the flourishing agricultural export products of Ethiopia have positively impacted the growth of the cargo services. In addition to the utilization of the belly space of passenger fleet of B767300, B757-200, B777-200 LR, B737-700 and B737-800 aircraft, Ethiopian Cargo services operates dedicated freighter aircraft on a charter and scheduled basis. Currently Ethiopian Cargo operates over 40 cargo destinations spread across Africa, Europe, Asia and the Middle East via its hub – Addis Ababa and Liege. Ethiopian Cargo is dedicated to maintaining fast and reliable operations for all outgoing and incoming products. The cargo service mainly focuses on exports such as fruits, semi-processed (finished) leather, vegetables, flowers, carpets, chilled meat and frozen fish products and coffee. Imports include chemicals, machinery spares, electronics, garments, pharmaceuticals and vehicles.

Shebamiles, Ethiopian frequent flyer program awards Ethiopian frequent flyers with award tickets, upgrades to the business class, and access to all Star Alliance member airline executive lounges, additional free baggage allowance and many other privileges for their accumulated mileages. The more their customer flies the higher the benefits are. Moreover, after the integration of Ethiopian with Star Alliance, Shebamiles launched a frequent flyer program partnership agreement with over 25 airlines including all the Star Alliance member airlines and over 10 non-airline partners (hotels, restaurants, shopping centers etc.) where members have the privilege to earn and redeem miles whenever they utilize the services of these partners. There are three levels with increasing privileges as a member progresses from Blue to Silver, and from Silver to Gold. The sum of status miles or the number of qualifying sectors flown annually determines a membership status to a certain tier. These benefits are not only for international flights but members can also accrue a minimum of 500 miles per flight segment on any Ethiopian Airlines domestic flight.

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Zayid Wolde-Gebriel Director General Ras Abebe Aregay Streets P.O. Box 1770, Addis Ababa Tel: +251 11 551 71 70 / 79 Fax: +251 11 551 48 66 mwud_support@ethionet.et Activity: Roads Date of creation: 1951 The Ethiopian Roads Authority is a legally autonomous agency, which has been re-established several times since its creation in 1951. However, its major responsibility, the development and administration of roads, has never been substantially altered. Sustainability of the road sector is, however, a challenge facing the sector. Efficient planning, contract administration, maintenance and donor coordination subsumes a well-established Road Authority. As per the current reestablishment proclamation, the main duties of ERA are the following: Carry out or direct the undertaking of feasibility studies, designs construction and maintenance of highways. Regulate the safe use of highways. Enforce vehicle weight and size control regulations. Take necessary measures to protect the environment during road works. Initiate policies and laws related to roads, determine design standard for roads, and classify and designate road network, prepare short and long-term road development plans and implement the same upon approval by the government. To discharge its responsibilities, ERA has been recently reorganized into 3 main departments, which are accountable to the Director General, namely: Engineering and Regulatory Department, Operation Department, and Human Resources and Finance department. ERA expects the total road network in the country to reach 136,044 km from the 48,793 km coverage the country had back in 2010. Most of the money will come from the federal coffers and external loans. ERA is going to modernize itself to ensure organizational excellence in order to better satisfy its customers’ needs. To achieve this, ERA is going to improve transparency and accountability, engineering innovation and research, quality assurance and environmental management and safety. A Road Map to modernise and transform ERA has been prepared and will guide this process. www.ebizguides.com

Essete Gebriel Country Manager Slip road from Megenagna to Imperial Hotel P.O. Box 184, Code 1110, Addis Ababa Tel: +251 111 661 5113 Fax: +251 111 661 3591 essete.gebriel@dhl.com www.dhl.com Activity: Express and Logistics Services DHL is the world’s leading express and logistics company offering customers innovative and customized solutions. With global expertise in express, solutions, air and ocean freight and overland transport, DHL combines worldwide coverage with an in-depth understanding of local markets. DHL’s harmonised international network links more than 220 countries and territories worldwide. DHL continues to be at the forefront of key technology and, with more than 285,000 dedicated employees, guarantees fast and reliable service aimed at exceeding customers’ satisfaction and expectations. Based in Brussels, Belgium, DHL is part of the world’s leading postal and logistics groups, and encompasses three divisions: DHL Express, DHL Global Forwarding, Freight and DHL Supply Chain. DHL provides a service for all organizations’ inbound/outbound for documents, small and large parcels. DHL Ethiopia is part of a worldwide network that provides fast and secure transportation of consignments. DHL Ethiopia is present at Addis Ababa, Bahir Dar, Dire Dawa and Mekele, establishing a solid reputation and long-term experience operations in the African continent. DHL Ethiopia continues to improve its service and client support to meet the demands of a rapidly changing business environment.

Mahamoud Houssein Dirie Djibouti Ports Representative Ethiopian Shipping Line Building Tel: +251 11 553 3744 Fax: +251 11 5534659 mahamoud.houssein@port.dj

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Transport Activity: Port The Port of Djibouti is located at the southern entrance to the Red Sea, at the intersection of major international shipping lanes connecting Asia, Africa and Europe.

July 2011 the Port of Djibouti has undergone organizational changes and the concession of the ingot to DPW has been terminated. Within the past 10 years, the strategic planning for the Port has been the development of specialized terminals by encouraging private sector investments.

The port is a minimal deviation from the principal East-West trade route and provides a secure regional hub for transshipments and relay of goods. Since 1998, the port has handled 100% of Ethiopiaâ&#x20AC;&#x2122;s maritime traffic, which moves to and from Addis Ababa by truck and rail. To accommodate this important business, the Port has made an additional 20 hectares of dry yard area available. The port of Djibouti is ideally located to serve the COMESA market, linking 19 countries and 380 million people.

This has resulted in the construction of new specialized platforms, a grain and fertilizer terminal, an oil terminal and a container terminal, for free zone development. With these finalized, the focus is on the development and improvement of the Port of Djibouti as a multipurpose port. The Port of Djibouti is constantly improving and upgrading the capacity of port facilities to cope with the challenge of continuing growth in cargo throughput with the rehabilitation of the Portâ&#x20AC;&#x2122;s infrastructures.

Since June 2000, DP World has operated the Port of Djibouti on a 20-year concession but since

The total traffic handled in the port in 2011 registered a positive growth compared to that in

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Transport 2010. The number of ship call through the port has also shown a significant growth of 11% compared to that in 2010, with total movement 1,730 calls.

Getachew Betru General Manager P.O. Box 27558-1000, Addis Ababa Tel: (+251) 11 661 1294 Fax: (+251) 11 618 9065 erailways@erc.gov.et erc.org@ethionet.et www.erc.gov.et Activity: Railway and Light Rail Transit Date of creation: 2007 Railway has been the effective means of land transport for freight and passenger since the days of the Industrial Revolution. It has also been the driving force of the socio-economic development of the successful economics of the world for over 150 years. It is also believed that a railway system well integrated with other modes of transport is environmentally friendly, economically feasible and

can be a growth engine for developing countries. It is with the above background that the Ethiopian Railway Corporation (ERC) was established on November 28th, 2007 by regulation of the Council of Ministers. The regulation mandates ERC to develop railway infrastructures and provide passengers and freight rail transportation services in Ethiopia. The ERC key objective is to develop an integrated and high capacity railway transport system to ensure competitive and affordable transport. ERC has developed railway projects on 8 corridors in the country that have been identified as necessary to enhance both the social and economic needs. The Government of the Federal Democratic Republic of Ethiopia has planned to implement several mega projects in the Growth and Transformation Plan between 2010/11-2014/15. Construction of more than 2,000 km of standard gauge railway is the main part of the GTP. The ERC has identified 8 railway corridors (the National Railway Network of Ethiopia) for study, design and subsequent implementation, the total estimated length with buffer of which is some 5,060 km. The 8 railway routes are:

Addis Ababa-Modjo-Awash-Dire Dawa-Dewanle

656

Modjo-Shashemene-Arbaminch-Konso_Moyale including Shashemene-Hawassa and Konso-Weyto

905

Addis Ababa-Ijaji-Jimma-Guraferda-Dima including Jimma-Bedele (direct to

740

Boma with further extension to South Sudan)

460 4

Ijaji-Nekemet.Assosa-Kumruk

Awash-Kombolcha-Mekele-Shire

757

Fenoteselam-Bahir Dar-Wereta-weldia-Semera-Elidar

734

Wereta-Azez-Metema

244

Adama-Indet-Gasera

248

Total

4,744

Source: Ethiopian Railway Corporation

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COMMUNICATION The growth and penetration of the sector is still at a low level compared to other countries in the region. The government understands the importance of telecommunications for the population and its role in positioning the country as an investment destination. Ethiopia is determined to develop the sector and has undertaken several network expansion projects.

Communication

H.E. DEBRETSION GEBRE-MICHAEL MINISTER OF COMMUNICATIONS & INFORMATION TECHNOLOGY

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ICT for research and development. In addition, the Ministry has responsibility in supervising two service companies: Ethio Telecom and Ethiopian Postal Enterprise. In this respect, the ministry has the authority to guide and regulate telecom and postal services of the nation.

The Ethiopian Government has made ICT (Information and communications technology) one of its strategic priority sectors. As a result, the Ethiopian government has established the Ministry of Communication and Information Technology (MCIT) to promote the national agenda on ICT. Since its inception, the ministry has played its role by way of developing policy instruments, designing various programs, mobilizing resources, guiding and monitoring implementation. The ministry will continue to vigorously promote the ICT sector and enhance its contribution in political, social and economic transformation, in order for development and progress. To this end, the ministryâ&#x20AC;&#x2122;s strategic focus centers on ICT infrastructure development, human resource development, ICTâ&#x20AC;&#x2122;s legal systems and security, ICT for governance /E-Government/; especially: ICT in the education sector, ICT for improved health, ICT for agricultural modernization; ICT industry and private sector development, and

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Facilitating and supporting domestic and foreign investment has been one of the top agendas of the Ministry as the private sector is the key driver of the ICT development of Ethiopia. In recognition of this fact, the Government has removed different bottlenecks and issued an incentive regime for the private sector. In this regard, the Ministry is establishing an ICT Park. The ICT Park will play its role in the development of the ICT sector by offering a world class business environment along with a conducive policy and regulatory system, and state-of-the-art infrastructure. This will be a destination for foreign direct investment and create employment opportunities. It will also be a good catalyst in developing indigenous ICT businesses entrepreneurs. While the ministry will continue to play its leadership role in developing ICT, without effective contribution of several key stakeholders the desired result cannot be achieved. Hence, the private sector and academia is expected to play its historic role in the sector development. To this end, the Ministry will do its utmost to transform the ICT sector to a higher level in partnership with all stakeholders.

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OVERVIEW The Ethiopian government established the Ministry of Communication and Information Technology (MCIT) in 2010 recognizing the critical role of information and communication technology (ICT) in the national development. The ministry is an apex institution, which spearheads the ICT development of the nation by way of developing policy instruments, designing various programs, mobilizing resources, guiding and monitoring implementation. The major responsibilities of the Ministry are: Implementing Communications and Information Technology policy by formulating short, medium

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and long-term Communications and Information programs. Monitoring and evaluate implementation of Communication and Information Technology projects and programs. Developing frameworks for the development of Communication and Information Technology in sectors such as Agriculture, Industry and Commerce, Education, Health, etc. Communications and Information Technology development with focus on strengthening ongoing initiatives in all sectors aimed at improved service delivery and enhancing good governance.

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Communication As the Ethiopian government has unleashed several programs to transform the livelihood of the citizens to the level of middle-income countries of the world, Information and Communication Technology (ICT) has been recognized as one of the strategic instruments in the realization of the vision. As a result, the Government has designed a strategic plan to accelerate the development of ICT in order to strengthen the on-going process of sustainable development and poverty reduction as well as good governance and democratic system. The main strategies in the GTP period are to upgrade the already-built ICT network to accommodate emerging latest information technologies; to improve the network quality and expansion of services; to ensure all inclusive telecommunication service delivery and ICT assisted development; to build the capacity of human resource in the sector; and to finalize ongoing network building projects to benefit from the latest information technologies with high quality integrated telecom services packages at a reasonable price. In 2010/11 fiscal year, the Ethiopian telecommunication corporation was re-organized and replaced by Ethio-Telecom. After the re-organization of the subsector, certain achievements were obtained. Accordingly the number of mobile subscribers and telecom density for mobile lines increased from 6.52 million and 8.7% in 2009/10 to 10.7 million and 12.85% respectively in 2010/11. Similarly, the coverage of wireless telephone services increased from 50% in 2009/10 to 90% in 2010/11, while the number of subscribers and telecom density for fixed line declined from 1.36% in 2009/10 to 1.03% in 2010/11, indicating an absolute decline in the number of fixed line subscribers. Ethio Telecom, which is state-owned, is the sole telecom service provider in the country. The enterprise provides national and international telecommunications services using satellite, microwave digital radio multi access system (DRMAS),

At present, the provision of SIM cards has been leased to private businesses in order to ease accessibility for subscribers. Similarly, internet subscription also grew by 118.6%. All regional cities and towns are connected by direct microwave links, and have automatic telephone and cellular phone services. International links are maintained via satellite earth stations and fiberoptics, providing telephone, telex, fax, Internet, television, digital data transmission, pre-and post-

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paid cellular phones and coin box services.

in a major transformation work including utilization of a wireless technology to benefit all rural kebeles (small and lowest administrative units); improvement of public phone services in both urban and rural areas; and establishment of a swift and reliable customer care and billing centre as well as a national network operation centre. Investors are also encouraged to invest in lucrative information and communication technology development (ITC) that can deliver great returns. Despite the efforts to improve quality of services, the investments and capacity developments are yet to bear significant improvements in this regard. Ethiopia is one of the last countries in Africa allowing its national telco, Ethio-Telecom (ETC) a monopoly on all telecom services including fixed, mobile, Internet and data communications. This monopolistic control has stifled innovation and retarded expansion. A management contract with performance and is seen as a first step towards privatisation and the introduction of competition, but the two companies are blaming each other for weaknesses in quality of service. With a population of almost 90 million, Ethiopia is Africaâ&#x20AC;&#x2122;s second most populous country. Its mobile market almost tripled in 2011, and yet market penetration is still less than half the African average, so enormous growth potential remains. The countryâ&#x20AC;&#x2122;s broadband market is also set for a boom following massive improvements in international bandwidth, national fibre backbone infrastructure and 3G mobile broadband services. After years of low uptake due to prohibitive pricing, retail prices are now comparable to other markets in the region that are already more developed. Ethiopia is also the latest low-cost location for mobile phone manufacturing. Three companies have started manufacturing in the country with a combined capacity of almost five million units per year and will soon start exporting to other African markets. The first locally manufactured smartphone is expected to hit the market in the second half of 2012. Another 20 companies have been licensed for local mobile phone manufacturing. The government is encouraging foreign investment in a broad range of industries by allowing up to 100% foreign equity ownership.

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Communication

Eng. Balcha Reba Director General Tegene Building, P.O. Box 9991, Addis Ababa Tel: +251 11 465 6011 Teguest Yilma Managing Director Sub-city: Bole, Kebele 05, H. N 577 Bole Medhanialem Church, P.O. Box: 95, Addis Ababa Tel: (+251) 11 618 3253 / 661 0976 teguest@capitalethiopia.com www.capitalethiopia.com Activity: Media Date of creation: 1998

With the motto “to promote free enterprise”, Capital weekly business newspaper was launched in December 1998. Since then, Capital has become one of the undeniable reference newspapers among the business community in the country thanks to its credibility and reputation. The newspaper is published and distributed by Crown Publishing Plc. Capital tries to boost the free press and information flow, while encouraging and nurturing the private sector with necessary information. The newspaper, which is published every Sunday morning with the latest news on business activities, promotes ideological changes and development among the civil society for the betterment of the country, whilst developing professional journalism. Capital’s timely reportage and analysis of the rapid-paced national development has become required reading for the business community, NGOs, international organizations, academics and others. Capital is the most widely read English newspaper in Ethiopia twice over. This is because receives on average 700,000 hits a month with readers accessing it continuously, making it one of the most popular sites originating from Ethiopia. Its managing director and also executive director, Ms. Teguest Yilma, was awarded with the National

dg@eta.gov.et www.eta.gov.et Activity: Regulator Date of creation: 1996 As the historical development process of telecommunication industry, the sector demanded the importance of the separation of the telecom regulation and the operation. Globally the number of independent regulators increased dramatically from 13 in 1990 to 132 in 2004. In response to this urgent demand, Ethiopia established the Ethiopian Telecommunication Agency (ETA) under the proclamation number 49/1996 to regulate the sector. This reform marked a milestone, and showed the importance that the government of Ethiopia attached to the development of Ethiopian Telecommunications sector. Starting its operation in 1999, the objective of the ETA is to promote the development of high quality, efficient, reliable and affordable telecommunication services in the Country. ETA’s vision is to be an efficient, transparent, and effective regulator that ensures customer protection and satisfaction through enforcing quality, affordability and fair distribution of telecom services throughout Ethiopia. The government established the ETA to issue license for telecommunication operators and control the quality of the services provided. The main duties of the Agency are: Ensuring the telecom services are operated in a manner that best serve and contribute to the country’s economic and social development. Ensuring that telecom services conform to the specified standards of quality. Authorizing and supervising the use of frequencies allotted to Ethiopia. Specifying technical standards and procedures for the provision of telecom services. Regulating tariffs related to basic telecom services. Regulating types of telecom equipment, which may be connected to a telecom system. services.

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Bruno Duthoit Chief Executive Officer P.O. Box 1047, Addis Ababa Tel: (+251) 11 500 0051 bruno.duthoit@ethiotelecom.et www.ethiotelecom.et Activity: Telecommunications Date of creation: 2010 Employees: 8,336

The Ethiopian government has decided to transform the telecommunication infrastructure and services to world class standard, considering them as a key lever to the development of the country. Ethio Telecom was born of this ambition in order to bring about a paradigm shift in the development of the telecom sector to support the steady growth of the country.

Ethiopian citizens through enhancing Information and Communications Technology and aligning its services to the needs of its customers. These efforts are being exerted through revising the companyâ&#x20AC;&#x2122;s overall service rendering and customer care packages that have taken root over a long period of time. Hence, in line with its vision of accessing the overall society with a world-class telecom service provision, Ethio Telecom has made some achievements. The implementation of new tariffs and product packages such as new mobile customized tariffs, price discount for broadband internet, launching of Business Mobile with Closed User Group (CUG) as option and compliance with clientsâ&#x20AC;&#x2122; expectations, price cut for Post-paid service, introduction of Machine to Machine Service, review of roaming tariffs, introduction of post-paid EVDO offer and launching of dedicated Enterprise offers are some of the remarkable achievements made by Ethio Telecom. Ethio Telecom has also enhanced its service provision to become a customer-centric company by developing new approaches such as customer segmentation

The newly born Ethio Telecom strives to connect

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Communication (creation of Enterprise Division), introduction of enterprise product catalogue, implementing of new distribution strategy and establishing a strong Key Account management team, launching of telecom business centre and segmented customer service in order to meet the needs of its customers through regularly revising and improving the overall services and service packages. Currently, the company has six zone offices in Addis Ababa and eight regional offices out of Addis Ababa with the total number of 8,336 employees (of whom 1,584 are females and 6,752 are males). The company has 173 shops across the country. The company has also been distributing SIM and voucher cards through 45 main distributors and 42,000 point of sales (retailers) across the country. With regards to its financial status, the company’s operating revenue (as of June 2012) is 12.4 billion birr and its expenditure is 2.7 billon birr. The company’s earnings before income tax, depreciation and amortization are 9.7billion birr (as of June 2012). The company has 824,616 fixed line telephone and 22.4 million mobile subscribers. The number of data and Internet subscribers has reached 4.38 million. The telephone density, including mobile service (per 100 subscribers) has reached 27.5%. Regarding international connectivity, the company has 410 roaming partners and a capacity of 8,357 international voice circuits. ‘People coming to Ethiopia can expect a welcoming environment, in a country with excellent natural conditions, with a population extremely well spread throughout the country; so there are massive opportunities, particularly in the agro-industry, and even in classical manufacturing, because we have quite high productivity.’ Bruno Duthoit, CEO of Ethio Telecom

EPSE has decided to automate its network of Post Offices and associated services in order to install a platform that will in time allow them to move into new areas of business. This development of new products is vital to the implementation of an automated platform. Domestic mail and counter automation is one of the core processes that handle all postal transactions with customer at counters and at back offices. With the growing opportunities in money transfer as well as express mail service, EPSE has decided to capitalize by implementing cutting edge technology solutions. After a gruelling partner-identification process that saw the participation and evaluation of several leading solution vendors, EPSE announced its decision to journey through the global technology-focused business transformation program, ably partnered by PostGlobal solution. A cohesive technology platform to support rapid product introduction, orchestrated operations, increased scalability and true flexibility across operations, driving down costs and governance hassles, was key to the EPSE’s transformation strategy and PostGlobal assured EPSE of all this and more. By 2015, the enterprise aspires to be known for excellence in the country and exemplary in the world.

Dr. Arega Yirdaw Chief Executive Officer Midroc Ethiopia Technology Group Corporate Center Mechare meda Campus, P.O. Box 2318 Addis Ababa Tel: +251 11 372 8234 contact@gold.midroc-ceo.com www.midroc-ceo.com Activity: Managing Services Date of creation: 2000

Activity: Post Services Date of creation: 1894

MIDROC Ethiopia, was established on 26th June 2000 to provide standardized, effective, efficient and modern management services for the multi-sectoral companies under the leadership of the CEO.

Ethiopian Postal Service Enterprise (EPSE) is a government enterprise. EPSE provides services like:

The well-known business tycoon, H.E. Sheik

Business. The corporation wholly owns the network of more than 500 post offices whilst 688 sub post offices are franchised.

established the MIDROC Investment Group in Ethiopia, consisting of over 60 companies. Starting in 2000, five of the companies were placed under

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Communication the leadership of the CEO. The number has since increased to 20.

Activity: Radio & Television Date of creation: 1995

These companies are being identified with the name “The MIDROC Ethiopia Technology Group”. The Group includes: MIDROC - CEO Management

Ethiopian Radio and Television Agency (ERTA) disseminate its news and programs nationwide and overseas via Radio, Television and Online. Ethiopian Radio launched its regular spot in 1935 while Ethiopian Television (ETV) was inaugurated in 1964. However, prior to its inauguration, ETV had transmitted the first and historic assembly of the Organization of African Unity held in 1963, in Addis Ababa. Ethiopian Radio and ETV were merged in 1995 forming the Ethiopian Radio and Television Agency (ERTA). ERTA is directly accountable to the House of People’s Representatives. Its main goal is to build image and national consensus through an interactive broadcast media that provides timely, informative, educative and entertaining programs utilizing state of the art media technology.

(SUMMIT).

Director General P.O. Box: Addis Ababa Ethiopia Tel: +251 11 552 7954 www.ertagov.com

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ERTA’s vision is to be a vibrant, competitive and reliable medium of information in Africa that promotes the development and democratic unity of Ethiopia. ERTA is undertaking a vast expansion project to boost its transmission coverage in the country. The National Radio’s current transmission coverage is 86% while Television is 55%. Upon completion of the expansion projects, the coverage would boost to 96% and 86.4%, respectively. Ethiopian Radio broadcasts daily in Amharic, Afan Oromo, Tigrigna, and Arabic.

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Photo: Antonio Fiorente

AGRICULTURE Historically Ethiopiaâ&#x20AC;&#x2122;s core economic driver thanks to its natural advantages in climate and soil, agriculture remains as important as ever despite Ethiopiaâ&#x20AC;&#x2122;s shift towards modernization. And thanks to a new transformation plan, investment opportunities abound, particularly in horticulture.

Agriculture

OVERVIEW Agriculture is the backbone of the Ethiopian economy. The sector contributes about 43% of the GDP and 86% of exports. Coffee and oil seeds dominate the export of Ethiopia and other principal export commodities are â&#x20AC;&#x153;chatâ&#x20AC;?, flowers, pulses and livestock. The Growth and Transformation Plan envisages that the agriculture sector will continue to be the major source of economic growth and that the sector will grow on average by at least 8.6% per annum. To realize this plan, specific targets were set with regard to increasing agricultural production and productivity, improving natural resource management and utilization, building the capacity for disaster prevention and preparation, improving the agricultural marketing system, promoting the participation of the private sector in agricultural investment and reducing the number of food insecure households. Ethiopia is endowed with abundant agricultural resources. With altitudes ranging from 148 meters below sea level to 4,620 meters above it, the country has 18 major and 49 sub agro-ecological zones, each with its own agricultural and biological potential.

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Thus the country possesses one of the largest and most diverse genetic resources in the world. Ethiopia has the soils and climate required for the production of a variety of food crops. The major food crops grown are cereals, pulses and oil seeds. A broad range of fruits and vegetables and cut flowers are fast-growing exports. Coffee, cotton, tobacco, sugarcane, tea and spices are the main commercial cash crops grown in Ethiopia.

INVESTMENT OPPORTUNITIES A number of supports have been provided to encourage the participation of the private sector in horticulture development. In 2010/11, support was given in particular to private investors involved in flower, vegetable and fruit as well as in greenhouse development. Accordingly, relatively better results were registered mainly in vegetable development. However, the participation of the private sector is not as expected for various reasons: it was learned that the support to the private sector should be strengthened in an effective and sustainable way.

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Agriculture

In terms of extensive commercial farming, it was planned to identify 3.2 million hectares of investment land and transfer 1.33 million hectares of investment land to the Federal Land Bank during the fiscal year 2011. In this regard 1.89 million hectares was transferred to the Federal Land Bank. Similarly, it was planned to transfer 1.5 million hectares of land to private investors for agricultural investment. But only 255,528 hectares of land (17%) was transferred to investors in a transparent and accountable manner during this fiscal year.

Tea Ethiopian tea is some of the best quality tea in the world. In fact, tea from Ethiopia has won acclaim for its taste and aroma. The total area covered by tea plantation in Ethiopia is 2,700 hectars. Ethiopia produces only black tea. But it has a potential to grow for all types of tea.

CROPS/GOODS

Currently, it has a capacity to produce 7,000 tons of black tea per annum. The annual tea consumption of the country is about 5,000 tons. The quality of tea mainly depends on climatic conditions, the type of soil upon, which the plant grows and the method of processing. In Ethiopia, tea is mostly grown in the dense highland forest regions.

Coffee

Maize

Ethiopia is one of Africa’s leading producers of Coffee Arabica. The word “coffee” is said to come from Kaffa, a region where coffee has long been a wild crop. The country produces some of the best Arabica coffee in the world. Coffee remains the most important export crop, utilizing over 600,000 hectares under cultivation. In 2010, the country produced 341,000 tons of coffee, which was 81.3% of the target. The largest of these areas lie in south and western highlands of the country. Ethiopia has more genetic diversity among its coffee varieties than any other country.

Maize is an important crop in Ethiopia. It is grown in the mid-highland areas of the country. There are huge tracts of land in all regions suitable for maize farming. Maize is mainly produced in SNNPR and Oromia regions where there are about 1.77 million hectares under cultivation.

In Ethiopia, coffee grows in almost all regions. The suitable climatic condition varies from the semisavanna climate of the Gambella plain (500 masl) to the continuously wet highland forest zone of the southwest (2200 masl). Coffee grows in the Ethiopian highlands ranging from 1,500 to 2,100 meters above sea level. The ideal soil for the crop is slightly acidic with a PH of 4.5-6.5. It requires annual rainfall ranging from 1,500-2,500 mm with balanced distribution.

Wheat & Barley Wheat and barley are mostly grown in the highlands and mid highland areas of the country, mainly in Oromia (Bale and Arsi Zones) and some parts of Amhara (North Gondar and North Shewa) Regions. Wheat and barley are the main cereal crops in the country with about 1,095,436 and 1,398,215 hectares under cultivation, respectively. Smallholder farmers own this land. The potential for the private sector in agro-processing and outgrowers’ scheme of development is significant. It offers excellent opportunities for production of wheat under irrigation in the Afar, Gambella, SNNPR and Somali regions.

Rice

Photo: Antonio Fiorente

Rice can suitably grow in many parts of the country. The predominant potential areas are:

The first coffee grains were discovered in the Kaffa region

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West central highlands of Amhara region (Fogera, Gonder, Zuria, Dembia, Takusa and Achefer). North west lowland areas of Amhara and Benshangul Regions (Jawi, Pawi, metema and Dangur). Gameblla regional state (Abobo and Etang Woredas). South and south-west lowlands of SNNPR (Beralee, Weyito, Omorate, Gura ferda and Menit). Somali Region (Gode).

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Southwestern highlands of Oromia Region (Illuababora, East and West Wellega and Jimma Zones).

Oil Seeds A variety of oil seeds are grown in Ethiopia. The oil seeds produced are supplied both for the local and international markets. Rapeseed, linseed, groundnut, sunflower, Niger seed and cottonseed serve as raw materials for the domestic edible oil industry. Some oil seeds, including peanuts and sesame, are important export crops. Favourable agro-ecological conditions exist for the production and processing of oil seeds in Humera, Metema, Jawi, Chewaqa and Mankush.

HORTICULTURE With diverse agro-climatic zones, the long growing season and the availability of water for irrigation, most fruits and vegetables can grow well in Ethiopia. The Ethiopian Government encourages companies with experience in agro-processing to invest in this sector.

Currently, fruits and vegetables cultivation is carried out on about 152,600 hectares. The country can only produce 12.8 million quintals. Among the major fruits: mango, banana, papaya, avocado, citrus, grape and pineapple are the most common tropical and sub-tropical types cultivated; while pear and plum are emerging temperate fruits in the country. Commercial floriculture is still a relatively new industry in Ethiopia but it has emerged as a major non-traditional export sector. The rose industry has undergone successful development over the period 1998â&#x20AC;&#x201C;2009. Ethiopia is now the second largest flower exporting country in Africa. It is also an ideal location for highland and lowland world-class flowers. The flower industry is one of the fastest growing sub-sectors in the country. Currently, a total of about 1,200 hectares of land in Ethiopia is covered by more than 80 flower growers who came from the Netherlands, India and Israel including local investors. Ethiopia exports its cut flower to the Netherlands, France, Germany, Italy, Canada, Norway, Sweden, UK, Middle East and other EU countries.

Spices The major spices cultivated in Ethiopia are ginger, hot pepper, fenugreek, turmeric, coriander, cummins, cardamoms, corianders and black pepper. Currently, there are nearly 122,700 hectars under spice farming. Spice production has reached 244,000 tons per year. The potential areas for the cultivation of spice are Amhara and Oromiya, SNNP and Gambella regions. The total potential for lowland spice farming is estimated to be 200,000 hectars.

Photo: Antonio Fiorente

Cotton Cotton is an important crop in Ethiopia. There is a huge potential for cotton cultivation in the country especially in Awash valley where large-scale cultivation under irrigation is found. Other potential areas for cotton cultivation are found in South Omo (Omorate), north-western part of the country (Humera, Metema, Quara, Belles Valley), Gambella, Tekezze valley, Dabus Valley and Wabeshebelle watershed area. Cotton production is well integrated into the rest of the economy with a large number of textile and garment factories relying on domestically produced cotton. Opportunities for the production and processing of cotton in Ethiopia are thus significant.

The country produces many different spices but be careful: there are very hot ones!

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Agriculture

Pulses

Sugarcane Plantation

Cultivation of pulses like beans, peas, chickpeas, lentils, soybeans, etc. is also common in Ethiopia. Cultivation is carried out in both the highland and lowland areas of the country mainly by peasant farmers. Currently, the country exports a large quantity of pulses to the international market. There are also a number of factories that process pulses in the country.

Sugar production in Ethiopia was started long ago by a Dutch Company developing sugarcane plantation in the upper reaches of the Awash basin, 100 km southeast of the capital, opening up the potential of the country. The climate and soil types in the country have both proven to be highly conducive for sugarcane growth and productivity.

Rubber & Palm Tree Plantation Ethiopia has the potential for the production of rubber and palm oil. Rubber is grown under large-scale commercial production in hot tropical and sub tropical humid climatic zones. Moderate acidic or acidic soil is suitable for growing rubber. Therefore, in the south-western part of Ethiopia these agro-climatic conditions exist for the production of rubber on a commercial scale. Palm tree is a perennial tree. It gives a higher yield of oil per unit area than any other oil seed crops. The plant can be grown in tropical and sub-tropical hot and humid climatic conditions. It can also grow in a wide range of tropical soils. But many of the soils used for the crop should have a PH of 4-6. Cultivation of palm tree can either be carried out under irrigation or using natural rainfall. Many areas in the south-western part of Ethiopia have both the required soil and climatic conditions to grow palm oil in large scale.

Various pre-feasibility and feasibility studies of sugar projects have indicated that many potential sites at the main river basins are suitable for sugarcane plantation. These include 303,500 hectares of already identified suitable net areas in 7 sites. However, the total area developed for the production of sugarcane in the country is only about 8% of the total identified suitable areas. Experiences of existing sugar factories show that because of the suitable soil, adequate water and conducive climate, an average sugar cane production per hectare per month of the land under irrigation is very high as compared to other countries (i.e. 9-11 tons against 6-8 tons). This makes Ethiopia a very attractive location for private investors to invest in the production and processing of sugarcane.

Other Agricultural Products A huge opportunity exists for the production of sugar, jatropha, castor bean for the domestic as well as the export market. The country also has huge potential for large-scale plantation to produce jatropha and castor bean in marginal soil.

Agriculture production No.

Type of farming

Area (ha)

Region

Rice

280,000

Maize

1,400,000

3 4 5 6

Horticulture Coffee Tea Cotton

763,300 426,000 150,000 3,000,810

Oil crops

1,601,323

8 9 10

Pulse Rubber Palm Oil

3,274,469 200,000 450,000

SNNP, Oromiya, Amhara, Benshangul Gumuz, and Somali SNNP, Oromiya, Amhara, Benshangul Gumuz, Gambella and Somali SNNP, Oromiya, Amhara and Dire Dawa SNNP, Oromiya, Amhara and Gambella SNNP, Oromiya, Amhara and Gambella Tigray, SNNP, Oromiya, Amhara, Benshangul Gumuz, Gambella, Afar and Somali Tigray, SNNP, Oromiya, Amhara, Benshangul Gumuz, Gambella, Afar and Somali Tigray, SNNP, Oromiya, Amhara and Benshangul Gumuz SNNP and Gambella SNNP, Oromiya and Gambella

Source: Ministry of Agriculture

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The estimated potential areas for the cultivation of the above mentioned agricultural products in all regional states of the country are presented in the following table.

MAIN ENTITIES AGRICULTURAL EQUIPMENT & TECHNICAL SERVICE SHARE CO.

LIVESTOCK FARMING, FISHERY & APICULTURE Considerable opportunities exist for investments in rearing, breeding and fattening of livestock as well as in fresh water fishery development and the production of honey and beeswax. The livestock population of Ethiopia is first in Africa and tenth in the world. The sub-sector has large resources, which include 50.88 million cattle, 25.98 million sheep, 21.80 million goats and 42.05 million poultry. Opportunities are also available in ostrich, civet cat and crocodile farming. Ethiopiaâ&#x20AC;&#x2122;s potential for fishery development is limited to its freshwaters of most of the lakes that are located close to urban areas. The total fish catch potential from these waters is estimated at 40,000 tonnes per year. However, there is also an opportunity for investment in the construction of aquaculture to produce fresh water fish for local and international markets. The current annual production of honey and beeswax of the country is estimated at 43,700 tons and 3,600 tons, respectively. This provides a high investment opportunity in all aspects of the development of this untapped sub-sector in the production, collection, processing and marketing of honey and beeswax. In relation to this, the demand for the bee queen is growing rapidly, providing an additional opportunity for investment.

FORESTRY & RELATED ACTIVITIES Potential activities for private investors in commercial forestry include the production and marketing of gum and incense, large-scale plantations for timber, the establishment of integrated forest-based industries such as pulp and paper and chipboard.

Teferi Belay Chief Executive Officer P.O. Box 5575, Addis Ababa Tel: +251 11 440 3610 / 3611 Fax: +251 11 442 3613 aetssco@lycos.com Activity: Agricultural Technology & Machinery Date of creation: 1993 The Agricultural Equipment & Technical Service Enterprise, currently reorganized as a share company, was established in 1978 G.C. with a view to providing Agricultural Mechanization Services for the development of large-scale farming. In 1993 the enterprise was re-established with the council of ministry of regulation number 153/1993 by merging the Heavy-duty Agricultural Machinery Services (which was mainly responsible for Coffee and Tea Plantation Development works) with AETSE at a capital of 149,786,000 birr. Though the name of the organization indicates that it is only rendering an agricultural service it is also involved in the construction business to a great degree. The company has a total compound area of 12 hectares in the capital city, Addis Ababa, which contain well equipped workshop centres that could be easily upgraded to Agricultural Machinery body assembly plant, a modern warehouse with a net area of 2,242 m2, plus a three-story office building. Since its establishment, the company has been able to render fully-fledged back-up services for the establishment and development of different largescale farms found in the country by procuring and distributing: 4,788 tractors of different types. 613 different types of combine harvesters. More than 8,200 different types of farm implements and a considerable amount of their corresponding spare parts. The Agricultural Equipment & Technical Service

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Enterprise thrives on being a centre for agricultural technology transformation in the country.

ETHIOPIAN AGRICULTURAL TRANSFORMATION AGENCY Khalid Bomba Chief Executive Officer Jomo Kenyatta Avenue Zequla Complex 7th floor, Addis Ababa Tel: +251 11 557 0685 Fax: +251 11 557 0668 info@ata.gov.et www.ata.gov.et Activity: Agricultural Development Date of creation: 2010 Ethiopia is a country of natural contrasts, with waterfalls and volcanic hot springs, dry desert lands and rich fertile soil. Agriculture is the foundation of the Ethiopian economy. It contributes approximately 46% to the national GDP and employs over 80% of the population. The past decade has been one of agro-optimism. In the last 5 years, the agriculture sector has grown at a high rate of 8% per year. The Government of Ethiopia has created the Agriculture Transformation Agency (ATA) to build on this progress and drive the transformation of the agriculture sector to realize the interconnected goals of food security, poverty reduction and human and economic development. The Government of Ethiopia established the Agricultural Transformation Agency by Federal Regulation in December 2010 as a catalyst for positive, transformational and sustainable change. The primary aim of the Agency is to promote the agricultural sector transformation by supporting existing structures of government, private sector and other non-governmental partners to address systemic bottlenecks in delivering on a priority national agenda for achieving growth and food security. The Agency’s formation results from two years of extensive diagnostic study across eight subsectors of Ethiopia’s agricultural system in a highly consultative, multi-stakeholder process led by the Ministry of Agriculture. It has been modelled on similar public-sector bodies in Asia (i.e. Taiwan, Korea, Malaysia, etc.) that played important roles in the growth of those national economies. The Agency’s structure and function is focused on

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nimble, innovative and results-oriented support to a range of partners in the agricultural sector. More specifically, the Agency has been created to respond to a core set of needs identified by the Ministry of Agriculture and its governing Transformation Council. Although it is a nationally oriented organization, in the initial stage of its work, ATA focused its efforts both programmatically and geographically. Programmatically, the Agency seeks to identify solutions in systemic bottlenecks in both key system areas and value chains of priority cropping systems. The initial areas of focus within the Systems Programs are the seed sector, soil health and fertility management, cooperatives, input/output markets and extension and research. The value chains that have been identified as the core areas of focus initially are teff, maize, wheat and pulses. In the near future, the Agency will expand its work to oil seeds and rice and will begin work in the livestock sector in the long-term future. Solution development in these program areas will also be informed by work done in the Agency’s Special Initiatives group. This cross-cutting group will ensure that the solutions developed within the other program areas are leveraging the most appropriate technologies for Ethiopia and do not have any unintended consequences. Key aspects of this Special Initiatives group include: Technology Access and Adoption, Gender Mainstreaming, Climate Change Adaptation/Environmental Sustainability and Monitoring, Learning and Evaluation. In each of its program areas, ATA expects to develop solutions that have applicability throughout the country. However, due consideration must be given to the fact that the Agency is a new organization with limited capacity in the early years. As such, in the initial stages the Agency aims to focus its direct support in implementing the solutions developed to key parts of the country identified by the Ministry of Agriculture within the Agriculture Growth Program. This does not imply that the Agency will not seek to support the implementation of solutions throughout the country but rather that direct engagement of implementation can only happen in some areas in the initial stages. The Agriculture Growth Program (AGP) is a broad-based program that attempts to improve the whole range of production, marketing and agro-processing of agricultural products through enhancing productivity, value addition and market and irrigation infrastructure. It includes 83 woredas

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in the Amhara, Oromia, Tigray and Southern Nations, Nationalities and Peoples (SNNP) regions of the country. The objective of the AGP for Ethiopia is to increase agricultural productivity and market access for key crop and livestock products in targeted woredas with increased participation of women and youth.

in project development, research, training and marketing vis-à-vis its regulating role.

SUGAR CORPORATION

The Government took the initiative to show the private sector, local and foreign, that the sugar industry is a good opportunity in Ethiopia. Sugar Corporation is taking the pioneer role and investing to show the viability and feasibility of this sector. The government is accelerating this sector, which will contribute in terms of foreign currency earnings, in terms of transforming different local areas that have remained undeveloped and of course contributing to the employment opportunities.

H.E. Abay Tsehaye Abay Director General Addis Ababa Tel: +251 115 15 10 15 Fax: +251 115 15 09 27 sugar_corp@ethionet.et www.etsugar.gov.et/corp Activity: Sugar Industry Date of creation: October 2011

The present Sugar Corporation with its vision of developing sugar development activities in a large scale and structure came into existence in October 2010, replacing the former Ethiopian Sugar Development Agency.

“Sugar Corporation was established to make Ethiopia one of the top ten major sugar exporters in the coming 10-15 years. With roughly $5 billion USD of capital investment in the first phase, the Corporation expects to actually start exporting by 2014.” H.E. Abay Tsehaye, Director General Sugar Corporation took the ownership of three exiting factories and two of them are under expansion projects:

It was in 1954 at Wonji that the modern sugar industry started in Ethiopia as a share company, established by foreign investors and Ethiopian government. This was followed by Metehara Sugar Factory in 1969 and Fincha in 1980. Five years later, following the change of government, all sugar factories came under the ownership of the government and started operating under the name of Ethiopian Sugar Corporation. Later, in 1992, after the dissolution of the corporation, all the factories were re-established as public enterprises. And, to render common support to the factories, Ethiopian Sugar Industry Support Center came into existence in 1998 as a share company of the Development Bank of Ethiopia, Ethiopian Insurance Corporation and the three sugar factories. In 2006, Tendaho Sugar development Project was established as a fourth sugar development project in the country. That same year, the Ethiopian Sugar development Agency was established replacing the support center to assist the sugar factories

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Fincha Sugar Factory: The average annual production capacity of Finchaa Sugar Factory has reached 110,000 tons of sugar while it has the capacity of producing 8 million litres of ethanol per year, being until December 2011 the only factory in the country that produces ethanol. The factory has carried out expansion projects both on its sugarcane plantation and sugar mill. Its agricultural expansion project is carried out around the areas known as East Bank & Neshie. The factory, through the agricultural expansion project, brought its total sugarcane plantation close to 21,000 hectares. By the expansion project, the 5,000 tcd plant is upgraded to 12,000 tcd together with the expansion of the ethanol plant. The factory will eventually be able to produce 270,000 tons of sugar and 20,000 m3 ethanol per year by the end of the GTP period. Methara Sugar Factory: The Methara Sugar Factory is a plant with a capacity of producing 130,000 tons of sugar per year and is also the more efficient one in terms of its production capacity

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compared to the other two. Through its expansion project, the factory has built an ethanol producing plant with a capacity of 12,500 m3 per year. This ethanol plant had begun its operation by mid 2011. Wonji/Shoa Sugar Factory: The current production capacity of Wonji/Shoa Sugar Factory, which is the oldest in the country, is 75,000 tons per year. Wonji/Shoa Sugar factory has carried out an expansion project on its sugarcane plantation and built a new sugar mill. Its agricultural expansion has been carried out around the areas known as Wakie Tiyo, Welenchiti and North Dodota areas. Thanks to this expansion, the factory will have 16,000 hectares of sugarcane plantation. With regard to the factory expansion project, various tasks have been accomplished to erect an automated and modern new sugar-crushing plant with a capacity of producing 173,000 tons of sugar per annum. By the end of the GTP period, the electric power that the factory will generate and contribute to the national grid will reach to 20-mega watts. But Sugar Corporation is working vigorously to raise the current production of sugar in the country from 300,000 tons, which is produced from the existing three sugar factories mentioned above, to 2.25 million tons per year within the 5 year Growth & Transformation Plan period. Furthermore, this effort of the corporation will also uplift the current 18 million litre ethanol production capacity of the country per year to 181,604 metres cubed and electric power produced through co-generation to 101 megawatt. “We will have 657,000 acres of sugarcane plantations as opposed to the 65,000 acres that we have right now.” H.E. Abay Tsehaye, Director General Sugar Corporation is also building the largest sugar mill in Ethiopia at Tendaho, in Afar state, at a cost of $571 million USD. The factory is expected to be completed by the end of 2013. Added to that, the Corporation is building ten new plants within the GTP period: Kuraz Sugar development Project will have five sugar factories out of which three have a capacity of 12,000 tcd and the other two have 24,000 tcd. Altogether this Project will have a total area of 175,000 hectares of sugarcane plantation. Welkaiyt Sugar development Project will have

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one sugar factory with a capacity of 24,000 tcd and 50,000 hectares of sugarcane plantation. Tana Beles Sugar development Project will have three sugar factories with a capacity of 12,000 tcd and with total area of 75,000 hectares of sugarcane plantation. It is expected that by 2015 the three factories will be fully operational. Finally, Kesem Sugar Development project will have one sugar factory with a capacity of 10,000 tcd and 20,000 hectares of plantation. This project will be finished in 2014. “Sugar Corporation offers investors a full package of support, helping them in handling local communities. There will be big, state, commercial farms. The peace and stability of the country gives us big confidence for the investors to come here and do business.” H.E. Abay Tsehaye, Director General of Sugar Corporation

ETHIOPIAN INSTITUTE OF AGRICULTURAL RESEARCH Solomon Assefa Director General P.O. Box 2003, Addis Ababa Ethiopia Tel: +251 11 646 2633 Fax: +251 11 646 1294 www.eiar.gov.et Ethiopian Institute of Agricultural Research (EIAR) is a state owned institute charged with the responsibility of providing the overall coordination of agricultural research countrywide and advising Government on agricultural research policy formulation. The mission statement of the Institute is to conduct research that will provide market competitive agricultural technologies that will contribute to increased agricultural productivity and nutrition quality, sustainable food security, economic development and conservation of the integrity of natural resources and the environment. Ethiopian Institute of Agricultural Research wants to see improved livelihood of all Ethiopians engaged in agriculture, agro-pastoralism and pastoralism through market competitive agricultural technologies.

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ADDIS EXPORTER Mamo Telila Founder and President P.O. Box 22357, Addis Ababa Tel: +251 11 156 1830 Fax: +251 11 155 1292 www.addisexporter.com Activity: Coffee Exporter Date of creation: 1972 Addis Exporter was founded in 1972 and today is one of the oldest and most respected privately held coffee export companies in Ethiopia. In four decades of business, the Company has earned a reputation as a trusted and reliable business partner committed to bringing their customers the highest quality coffee at competitive prices. The Company’s management team has more than 100 years of combined experience in exporting high quality Ethiopian coffee. Addis Exporter has entered into a strategic partnership with several international partners to distribute premium Ethiopian coffees. The Company’s unparalleled experience in the local market coupled with the extensive marketing and distribution channels of their international partners will ensure that Addis Exporter’s exceptional products make it to the broadest possible market. The key to this strategy is to only use the top quality Q arrival coffee to create a consistent flavour for each of our products, in order to ensure that our customers receive a quality and dependable product with every shipment. Addis Exporter also provides coffee processing services for local coffee exporters. The company utilize their modern coffee cleaning and processing machinery with pre-cleaner, huller, polisher, grader and handpicking belt in the preparation of their clients’ coffee. The entire process takes place under strict quality control guidelines, which ensures preparation of a reliable and consistent quality coffee.

Activity: Coffee Exporter Date of creation: 2005 Aleta Land Coffee P.L.C. is a local indigenous company that was established in 2005; predominantly engaging in Arabica coffee exporting activities to their clients in Europe, USA and Asia. It is also fully owned by family members who have ample experience as coffee farmers and local suppliers to the central market that is Ethiopian Commodity Exchange (ECX) and is managed by experienced professionals. The company’s working capital amount is more than $8 million US dollars and they had shipped 8,670 MT of coffee in 2010 for their customers. As a result of this and the owners’ strong business background, the company would be able to meet the demands of the overseas market effectively and efficiently. Since the coffee is traded at the Ethiopian Commodity Exchange Market (ECX), the company purchases all needed coffee from ECX according to the quality and quantity needed to fulfil their stock demand. The company’s selling price is also competitive and negotiable considering the daily price of ICI market with quality, adequate and timely delivery. Aleta Land Coffee P.L.C. own eight fledged-washed coffee industries in the southern part of the country, particularly in Sidamo highland areas. In addition to this, it has two sun-dried coffee cleaning industries with two warehouses and 500 hectares of coffee farms in southern Ethiopia, Kafa Zone; and it also has one large warehouse with well-equipped cleaning machines in Addis Ababa and another warehouse in Hawasa. Currently the company exports different varieties of Ethiopian coffee such as: washed coffee (Sidamo type, Yirga Chaffee, Limu); special blended coffee based on client request; and sun-dried coffee such as Sidamo, Djimmah, Lekempti, etc.

ALETA LAND COFFEE PLC Habtamu Silla General Manager Bole Sub city, Kebele 7, House N 1901 P.O. Box 121144, Addis Ababa Tel: +251 11 646 0742 Fax: +251 11 646 0687 info@aletalancoffee.com www.aletalandcoffee.com

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Under Aleta Land Coffee P.L.C. there are two warehouses in Hawasa on 7,000 m2 and three warehouses in Addis Ababa on 6,800 m2. The Company also have well-equipped and modern coffee cleaning plants with all needed facilities situated here in Addis Ababa. Aleta Land Coffee PLC has also provided warehouse facilities and bulk container packing services for other coffee export companies at reasonable prices.

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DAYE BENSA COFFEE EXPORT P.L.C.

ALPHA TRADING PARTNERS P.L.C.

Asefa Dukamo Korma General Manager Room 208, 2nd Flor, Ambasel Building P.O. Box 122830, Addis Ababa Ethiopia Tel: +251 11 466 0194 / 95 Fax: +251 11 466 0184 info@dayebensacoffee.org dbceplc@ethionet.et www.dayebensacoffee.org

Tewodros Yilma General Manager Kirkos Sub-City, Kebele 01, African Avenue 6th Floor P.O. Box 1533, Code 1250, Addis Ababa Ethiopia Tel: +251 11 515 1920 / 552 8084 Fax: +251 11 552 8085 contact@alphatrading-eth.com www.alphatrading-eth.com

Activity: Coffee Exporter Date of creation: 2006

Activity: Agricultural Trading Date of creation: 1994

Since the establishment of the company in 2006, it has grown in size and volume. In the last two years the Company exported more than 3,000 metric tons of washed and sundried coffee of various origins and of different high grades of various qualities to clients in Europe, USA and Asia. Daye Bensa Coffee Exporter P.L.C. is owned and run by family members and its headquarters are located in Addis Ababa.

Alpha Trading P.L.C. was founded in May of 1994 as a joint venture between two partners with the aim of marketing Ethiopian Agro products to the outside world. The company is legally registered by the Ministry of Trade as per Ethiopian Trade Law and a member of various associations.

The company is specialized in preparing washed coffee of variety grades and special blends particularly Sidamo & YirgaCheffe Coffee and also prepare sundried coffee from Sidamo, YirgaCheffe, Limu, Jimma and Lekempti based on their clients’ request. The company has achieved steady growth thanks to having confidence in its professionalism, efficiency, quality and timely contract executions. Daye Bensa Coffee Export P.L.C. started a plantation of organic coffee on a farm of 1,000 hectares in Kaffa region (birth place of coffee Arabica) of Southern Ethiopia of which 500 hectares are already cultivated. As Ethiopian Commodity Exchange (ECX) has started trading in specialty coffee, the company - a registered and founding member of ECX - is also trading with the specialty coffee of Yirgachefe & Sidamo. The Company has a sizable share in the market as they represent 30 companies who supply washed and sundried coffee to the central exchange market. Their coffee is known for its finest coffee origin, rich diversity and unique flavour that grows on highlands of Ethiopia.

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The main purpose of the company’s establishment is as an import-export and general trading company. They trade miscellaneous Ethiopian origin exportable agricultural products, such as oil seeds, pulses, spices and green coffee beans, etc. They are also dealing with agricultural materials cleaning machinery. Additionally, the company take part in government’s tenders by sourcing reliable suppliers for the products floated for procurement. The main tenders Alpha Trading takes part in are fertilizers (UREA 46N & DAP), chemicals, pharmaceuticals and white sugarcane, etc.

HORRA TRADING Kedir Adem Owner P.O. Box 26188, Code 1000, Addis Ababa Ethiopia Tel: +251 11 419 9668 / 9667 Fax: +251 11 419 9670 horratrade@ethionet.et www.horracoffee.com Activity: Coffee Producer & Exporter Date of creation: 2005 Horra Trading, established with an owner’s equity capital of 15 million birr in 2005, is one of the leading coffee export businesses in Ethiopia. In addition, Horra trading has been one of the major exporters of

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beeswax in Ethiopia for years. Currently, Horra Trading is one of the top 10 coffee exporters, ranked 9th in 2003 EC (2010/11) in Ethiopia. In that fiscal year, the company registered an even higher coffee export performance amounting to more than 6 million kgsand earned more than 400 million birr of revenue from the export of washed and unwashed coffee. The owner and general manager of this fastgrowing company, Mr. Kedir Adem, has 20 years of experience in running coffee and beeswax export business successfully and competitively. As a successful leader, he has a marvellous knowledge and good understanding about his products, market and completion in the industry he is operating.

keep in mind the quality needs of the international market. The processing plant employs over 300 casual labourers who are mostly engaged in the hand picking line. The company believes that its employees have valuable ideas and should be given the opportunity to voice those ideas and help implement better and more productive procedures and methods for better quality and efficient service. The empowerment of individual employees directly and significantly contributes to the company’s goal of achieving a high level of productivity, which in turn enables the company to effectively compete in global markets and provide employees with the highest possible degree of career security.

ROBERA COFFEE EXPORTERS P.L.C.

GUJI COFFEE EXPORT P.L.C.

Abraham Teressa General Manager Tel: +251 16 461 451/51/53 Fax: +251 16 461 454 robera@ethionet.et www.roberacoffe.com

Grima Edema Owner Addis Ababa Ethiopia Tel: +251 911 218 161 info@gujicoffee.com www.gujicoffee.com

Activity: Coffee Producer & Exporter Activity: Coffe Exporter Robera Private Ltd. has been successfully operating in the field of coffee business for 20 years locally and for the last seven years internationally. The rich experience accumulated and the calibre thus developed over the years in coffee export business is not just limited to the purchasing, processing and exporting of gourmet coffee. The company has also licenses for import and export of other commodities and equipment. Presently, however, Robera Coffee Exporters focuses on the export of Ethiopian coffee to different parts of the world. The company is now proud to claim the ownership and provision of efficient service at their modern building complex that houses both the processing plant and the headquarters of the company, ideally located close to the Bole International Airport in Addis Ababa, the capital. The company’s strength lies not only in its state-of-the-art-technology and richly experienced and professional leadership, but also in its organization and quality of manpower. Robera Coffee Exporters Plc ensures quality and continuity of supply through our procurement system. The company’s skilled and highly experienced coffee purchasers always

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Owned by one of the coffee growing farmers in Ethiopia and having been born in a farmer’s coffee garden, Guji Coffee Export is widely recognized for its supply of quality coffee for its customers all around the world. Our coffee’s quality is thanks to the fact that we are committed to work in a way our customers want. We supply pure and quality coffee from its origin: Sidama, Gedeo, Yirgaceffe, Limu, Nekemt, Jimma, Guji and Borena. The company practices strict quality control based on accepted international standards. The company deals with the best and highly reliable local suppliers of coffee and other commodities. It carefully selects red cherries and prepares washed coffee through its washing stations. It also purchases dry cherries and hulls it and carefully transports it to Addis Ababa auction centre. The company registers its coffee suppliers (growers) and hence tractability is easily managed. It uses a modern cleaning machine to prepare coffee for exports standard. Professional liquor producers ensure the cup quality to export coffee.

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ETHIOPIAN COMMODITY EXCHANGE Anteneh Assefa Chief Executive Officer Al-Sam Tower 2, 3rd Floor, Lideta P.O. Box 17341, Addis Ababa Ethiopia Tel: +251 11 554 7001 Fax: +251 11 554 7010 anteneh.assefa@ecx.com.et www.ecx.com.et Activity: Trading Date of creation: 2008

ECX assures all commodity market players the security they need in the market through providing a secure and reliable end-to-end system for handling, grading and storing commodities, matching offers and bids for commodity transactions and a risk-free payment and goods delivery system to settle transactions, while serving all fairly and efficiently. ECX creates trust and transparency through aggressive market data dissemination to all market actors, through clearly defined rules of

Photo: Antonio Fiorente

The Ethiopia Commodity Exchange (ECX) commenced trading operations in April 2008 and it is a new initiative for Ethiopia and the first of its kind in Africa. The vision of ECX is to revolutionize Ethiopiaâ&#x20AC;&#x2122;s tradition-bound agriculture through creating a new marketplace that serves all market actors, from farmers to traders to processors to

exporters to consumers. The ECX is a unique partnership of market actors, the Members of the Exchange and its main promoter, the Government of Ethiopia. ECX represents the future of Ethiopia, bringing integrity, security and efficiency to the market. ECX creates opportunities for unparalleled growth in the commodity sector and linked industries, such as transport and logistics, banking and financial services and others.

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trading, warehousing, payments and delivery and business conduct and through an internal dispute settlement mechanism. ECX provides market integrity at three important levels: the integrity of the product itself, the integrity of the transaction and the integrity of the market actors. Before ECX was established, agricultural markets in Ethiopia had been characterized by high costs and high risks of transacting, forcing much of Ethiopia into global isolation. With only one third of output reaching the market, commodity buyers and sellers tended to trade only with those they knew, to avoid the risk of being cheated or default. Trade is done on the basis of visual inspection. As there was no assurance of product quality or quantity, this drove up market costs, leading to high consumer prices. For their part, small-scale farmers, who produce 95% of Ethiopiaâ&#x20AC;&#x2122;s output, came to market with little information and were at the mercy of merchants in the nearest and only market they know, unable to negotiate better

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prices or reduce their market risk. The first of its kind in Ethiopia, ECX is a national multi-commodity exchange that provides lowcost, secure marketplace services to benefit all agricultural market stakeholders and invites industry professionals to seek membership enabling them to participate in trading. ECX promotes and enables the following market services: Market integrity, by guaranteeing the product grade and quantity and operating a system of daily clearing and settling of contracts. Market efficiency by operating a trading system where buyers and sellers can coordinate in a seamless way on the basis of standardized contracts. Market transparency by disseminating market information in real time to all market players. Risk management by offering contracts for future delivery, providing sellers and buyers a way to hedge against price risk.

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Photo: Antonio Fiorente

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TOURISM INDUSTRY Thanks to its coordinated exposure and selfpromotion to the West, Ethiopiaâ&#x20AC;&#x2122;s tourism sector is set to lead the way as the countryâ&#x20AC;&#x2122;s chief economic sector. With its historical fascination, conducive climate and cultural diversity spread across more than 80 different ethnic groups, there is so much to delight in for the visitor to Ethiopia.

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H.E. AMIN ABDULAKADIR

MINISTER OF CULTURE AND TOURISM In terms of history, Ethiopia is old; old beyond the imagination, dating back over 3,000 years. The Axumite Kingdom was one of the great civilizations of the ancient world and has left behind the mystery of the great Axum stele. In the late Middle Ages a great religious civilization

At the outset allow me to earnestly express my gratitude for your interest in visiting and investing in Ethiopia in the sector of culture and tourism. It is our hope that this guide book would meet your satisfactions and expectations. In Ethiopia, nature, culture and history merge to form a timeless appeal. Ethiopia, with its impressive tourism potential, is truly a land of contrasts and extremes, a land of remote and wild places and of spectacular alpine terrain including the Semien Mountains National Park with its 4,261 meters peak at Ras Dashen one of the nine UNESCO world heritage sites; and at the other end of the spectrum, the Danakil depression 121 meters below sea level is among the lowest places on earth with an extreme heat. The latter depicts a fascinating sulphur fumaroles and a lunar-like landscape. This was the cradle of humankind where celebrated ancestors - Lucy (3.4 million years old), Salam, (3.5.million years old) and Ardi (4.4. million years old) that are among Ethiopiaâ&#x20AC;&#x2122;s rich prehistoric and paleontological heritage. So Ethiopia is our common ancestral home on our beautiful planet. Be aware therefore that to walk in Ethiopia is to walk on the footprints of your ancestors.

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out of massive monolithic rock testify not only great faith but also great architectural skills. The 1,000-year old Walled City of Harar (Jugol) makes Ethiopia one of the four ancient Islamic cities in the world, the 17th Century castles found in Gondar speak of the same legacy. The Konso cultural landscapes are perhaps one of the few living testimonies of ancient agricultural terracing and environmental protection. Together with Tiya stele in the central part of Ethiopia, The lower Omo and the Middle Awash valleys of archeology, Ethiopia is home of 9 UNESCO World heritage sites and 12 world literary and manuscript heritages. In Addition, Ethiopia is a land of ethnic diversity. More than 80 nations and nationalities with their own unique languages, cultures and traditions live in peace together. Its beautiful and friendly people assure our dear visitors and investors a warm welcome and unparalleled hospitality. As for you, tour operators and travel organisers, the amazement and all the fascination that your clients are looking for and which other destinations can no longer meet. It is indeed a great honour and privilege, against this background, to cordially invite you, to visit and invest in the endless wealth of Ethiopiaâ&#x20AC;&#x2122;s culture and tourism, so that we can mutually greener nature at this part of the planet. Our ministry will go an extra mile to provide you with a set of support, incentive as well as a wide range of facilitations.

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Africa by developing its Cultural wealth and natural attractions. Those strategic issues include: 1. Developing the existing and new tourist destinations in Varity (Scale and quality). In this strategic issue, the focus is on providing appropriate protection and maintenance of the existing tourist destinations; developing other new nearby tourist attractions as tourist corridor; and identifying and developing new potential tourist attractions as niche products, new tourist routes and tour packages.

H.E. TADELECH DALECHO STATE MINISTER OF TOURISM

Top priorities & strategies of the Ministry First, let me mention a summary of some of the unique Selling points that Ethiopia has to offer among African countries regarding the tourism sector: Ethiopia is the only African country which has all the three attractions together: Natural, Historical and Cultural. Ethiopia is recognized as the cradle of Humankind: the remains of “Lucy” (Dinkinesh), a 3.2 million years hominid was found in Ethiopian Rift Valley. Ethiopia is the 4th largest biodiversity zone in the world with varieties of flora and fauna. Ethiopia is the land of unique natural phenomenon and strong scenic contrasts, with a landscape that varies from about 120 meters below sea level (Dallol depression) in the Afar region, to the alpine moor land peaks that rise to 4,620 meters at Ras Dashin in the rigged Semien Mountains national Park. Ethiopia is full of cultural mosaics, being the home for diverse nations and nationalities as well as diverse religions that coexist peacefully for centuries. Ethiopia has over 3,000 years of rich history and ancient civilizations, including its own alphabet and is the only country in Africa with its own calendar and numerals. Ethiopia has 9 UNESCO registered World Heritage sites. The Ministry of Culture and Tourism (MoCT) is aggressively working to bring change to the tourism sector by formulating a number of workable strategic issues so as to use the available resources for social and economic development and achieve the long-term vision of the Ministry; i.e making Ethiopia one of the top five tourist destinations in

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2. The expansion of infrastructures and tourist facilities in tourism destinations of the country. 3. Undertaking promotional work through the creation of strong market ties to become competitive on the international tourism market. We have identified three major target markets based on countries. Five primary tourist markets: United States, United Kingdom, Italy, France and Germany; secondary markets: Brazil, the Netherlands, India, Canada, Australia, Spain, Switzerland and Israel and emerging markets: China, Russia and Eastern Europe. 4. Strengthening the collaborative relationship among actors participating in Tourism Development. One of the policy issues to deal with in the realization of Ethiopia’s tourism development is the creation of conditions enabling inter-linkages between and coordination among the evidently fragmented activities of many entities participating in the development of the industry at all levels. 5. Overcoming the serious capacity limitations observed in the industry. Overcoming the numerous and clearly observable limitations in implementation capacity in the government organs leading the country’s tourism development and in the private sector, which is the engine of growth and the community in the locality of the tourist attractions is another issue of our priority. Having set the above mentioned priorities Ethiopia is one of the emergent tourist destinations In Africa with a rapidly increasing tourist flow growth rate. According to data over the last 10 years, average tourist flow to the country has increased by 12.8%, achieving 1 million visitors in 2012. These basic indicators point to a strong future for the tourism industry in Ethiopia, a sector that has the potential to become one of the economic drivers for the country´s social and economic development.

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Role of the Ministry regarding the crucial need for economic diversification MoCT has understood that linking tourism with heritage and culture can do more for local economies that promoting them separately. The idea is that safeguarding Ethiopian heritage and culture and sharing it with visitors ultimately reaps the economic benefits of a strong tourism industry. In this regard Ethiopian tourism is creating new jobs, providing new business opportunities and strengthening local economies. MoCT is playing a pivotal role to bring about the right path of development and preservation of Ethiopian heritage and culture by protecting the country’s natural and cultural treasures so as to improve the quality of life for residents and visitors alike. Thus the biggest benefit of the Ethiopian culture and tourism is that opportunities increase for diversified economies, ways to prosper economically while holding on to the characteristics that make the people unique.

development, institutional capacity building.

development

and

Prospects and incentives for investors looking for opportunities in Ethiopia’s rich culture and tourism sector. One of the key issues that MoCT has given prime attention is attracting investors in the areas of Ethiopia’s rich culture and tourism. Institutionally, the Ministry has established different departments to incite and enhance investment in culture and tourism. To achieve this, MoCT heeds three different targets areas, namely the domestic investors, the Diaspora community and the foreign investors. All of them have future promises and incentives so as to be involved in the sector. The three bodies benefit the incentives of MoCT. An example includes the introduction of tax-free buses and other types of cars to Ethiopia in order to work in the tourism sector.

Tourism National Plan

Main challenges facing the Ministry

The FDRE Ministry of Culture and Tourism (MoCT) is devotedly working to be one of the significant sectors for the realization of the Millennium Development Goals (MDGs) and the Growth and Transformation Plan (GTP) of the five year plan of the Ethiopian government. Acknowledging culture and tourism as effective tools for socio-economic development, the Ethiopian government has given due attention to let the sector move forward. A number of actions are taken to make the sector much better than the previous years. The MoCT is carrying out various duties in order to implement the tourism policy and strategy effectively. Among these duties, the Ministry is working on marketing and promotion activities.

In spite of the fact that a number of efforts are ongoing, MoCT faces several challenges in its attempt to capture a large share of the tourism market in the region and to transform cultural and natural resources into economically productive assets. The main challenges, which hinder the sector development, include the historically bad image of the country, shortage of investment funds for product development and balanced equity tourist service provision.

The Ministry is engaged in diverse promotional activities such as participating at International Trade Fairs, promoting our tourist destinations using printed and electronic medias, using sales promotion and public relations and informational promotional means. Finally, preparations have been finalized to establish a Tourism Board in order to strengthen the collaborative relationship among all the actors in the tourism development. Ethiopian Sustainable Tourism Project (ESTDP), backed by the World Bank, conducts one of the major duties. The main task of the ESTDP is mainly focusing on destination development, marketing

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As far as the image of the country is concerned, great efforts are underway by MoCT and other stakeholders including Ethiopian embassies and Ethiopian communities abroad, the private sectors (tour operators, hoteliers), Ethiopian Airlines and other ministries so as to erode the negative aspects of the country’s image in the international communities. Ethiopia was known as a country of famine, war, etc. However, these problems have become completely history. Currently, Ethiopia is one of the peaceful countries in the world and has shown very fast economic growth for the last 10 years. This current situation of the country needs to be known by the world community. Ethiopia has many untapped natural resources. Although quality service provision has been increasing every year, much needs to be done in attracting more and more investment in the area of hotels, lodges and other facilities.

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OVERVIEW Tourism is emerging as Ethiopia’s fastest growing sector and among the leading global economic drivers in the 21st century, being undertaken by increasing numbers of people travelling to more countries and regions of the world. Africa was identified at the World Investment Conference in Geneva (WAIPA, 2005) as one of the continents with a significant potential for developing tourism. With a population of approximately 76 million and a land area of 1.12 million square kilometers, Ethiopia’s resources base for tourism is phenomenal. The country’s tourism attractiveness lies in its diversity. Some of the features which make Ethiopia an attractive tourist proposition include: the famous historical sites and the archaeological and paleontological sites, varied and impressive natural scenery, unspoiled area, diverse and untouched culture and traditional lifestyles of the people; and a generally sunny and a favorable climate are just a few among many others.

Given the available great tourism potential, Ethiopia has still been unable to fully utilize the growing tourism industry especially due to the past effects of the prolonged civil war and recurrent drought and Photo: Antonio Fiorente famine, which until recently prevailed in the country. The projected negative image in relation with war and famine in the outside world has not yet fully changed and as a result has affected the growth of tourism in the country. Despite these impacts the Ethiopian tourism industry has shown faster growth rates in the recent years, emerging as one of the emergent tourist destinations. Tourism has been increasingly recognized by the government as a contributor to building the good image of the country; the development of sustainable tourism can contribute a lot to reducing the level of poverty, creation of job opportunities as well as contributing to the national economic growth. This section will highlight the tourism industry situation in Ethiopia.

The tourism industry could be the best alternative for social and economic development to Ethiopia. On account of the various paleontological and archeological discoveries the country is considered as the cradle of mankind. Ethiopia has nine famous heritage sites recognized and listed by UNESCO as the world heritage sites, which are the highest in number in Africa. As well as this, the capital city of Ethiopia Addis Ababa is the hub of political and economic affairs for Africa, which create additional opportunity for the development of conference tourism. In October 2012 Lonely Planet selected, Addis Ababa as “one of the best top ten cities in the world to be visited in 2013” in culture, food and value for money.

Due to the wide spectrum and multiple tourist attractions sites, along with a hospitable people, Ethiopia is in fact a country of great tourism potential. The industry started in the early 1960s. After an initial period of quick growth, the tourism industry of the country had declined and nearly died mainly due to the prevailing civil war and recurrent drought and famines which continued for 17 years during the years 1974-1991.

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During the last two decades, however, tourism has once again appeared as one of the economic growth industries owing to the prevailing peace and stability, relative tourist product diversification, infrastructure

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and tourist service provision; as well as the open economic policy of the government in the country. Of late the Ethiopia Government Ministry of Culture and Tourism (MoCT) has given strong attention for the tourism sector so as to increase the country’s share from the fast growing world’s tourism market. The MoCT has adopted tourism policies and strategies to cope with the emerging tourism trends which primarily consider extending tourism to the local communities so as to reduce poverty and to use tourism as a tool to refresh the good image of the country. Specific mechanisms identified for poverty reduction and image-building through tourism include employment policy favoring local people; improved local handicraft production, improving the quality of tourist service provisions (accommodation and catering), provision of training and licensing of local guides, enhancing private sector and community engagement in tourism services and ensuring participatory tourism product development with aggressive promotional activities, are among the core strategic objectives that have been given strong attention by the Ministry. The Ministry, to achieve its strategic objectives and long-term vision, i.e. propelling Ethiopia to the top five African tourist destinations in Africa by 2020; is aggressively working closely with the tourism business stakeholders and partners, including the private sectors, governmental and nongovernmental organizations and international agencies that are focusing on the tourism sector of Ethiopia. Looking at the tourism potential of the country, investing in the tourism industry is becoming very attractive with aggressive marketing and diversification of source markets. There are many investment opportunities in the different towns and in and around attraction-sites of the country, related with services-rendering facilities. Capable and potential investors are highly encouraged to be involved in the tourism development of the country through direct investments or joint ventures with Ethiopian entrepreneurs. Investment in the development of tourist accommodation in and around attraction sites of the country include hotels, restaurants, pension, lodges, eco-lodges, luxury tented camps and cottages. Moreover, there are enormous opportunities in the area of tourism training institutions, film production, recreation and entertainment as well as facilities in the area of conference tourism, cultural tourism, tour and travel, eco-tourism and agro-tourism. Different incentive mechanisms are in place to be offered to investors:

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Land for tourism investment is demarcated in all actual and potential tourist attraction sites and major tourist towns of the country. Land is exempted from rent and tax for up to three years depending on the regional states. Imported vehicle (pick up, bus) camping equipments, communication equipments and other related machineries and utilities are exempted from tax. Land rent is minimum 1 birr / m2 or $120 USD /ha annually.

INVESTMENT OPPORTUNITIES Ethiopia possesses a variety of tourist attractions and offers numerous sites for the development of tourism investment. The main objective of the economic policy of the country is geared towards attaining sustainable economic growth through the direct participation of the private sector. The northern tourist circuit known as the “historic route” comprises the most important sites such as Bahirdar, the Blue Nile fall, Tana and its island monasteries, Gondar, the Simen National Park, Axum, Yeha, Debredamo, Makalle, Lake Hayk, Lalibela, Dessie and Bati Market. These are very well known historic tourist routes. The Southern routes, which include the beautiful Great Rift Valley lakes, Abijat Shala National Park, Hawassa, Sinkile Swaine’s Hartebeests sanctuary, Sodo, ArbaMinch, Nech-Sar National Park, Dorze, Maze National Park, Konso, Key Afer , Jinka, Dimeka, Turmi, , Hana, Mago National Park, Tama Wildlife Reserve, Lower Omo Valley communities, Dila, Yabelo, Yabelo wildlife sanctuary. These sites are famous with many tourists and tour operators. The south western, western and north western parts of the country have huge cultural potential and natural attractions but are much less known and promoted. At present infrastructure like roads, electricity and telephone have been greatly expanded in the area but tourist service provisions like hotels and tour operations are still in their infancy. The areas includes Jimma (very well located city with a number of tourist standard hotels), CheberaChrchura National Park, Gambella and Gambella National Park, Bonga, Mizan Aman, Gura ferda, Maji and Omo national Park. The eastern and northeastern routes comprise: Nazareth, Awash National Park, Dredawa, Harer, Babile Elephant sanctuary, Mile, Hadar, Semera,

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Alalobad Hot spring, Assaita, Lake Abe, Artaeale, Dalol. Currently these sites are very well known (especially the Afar and Harer regions) and have become the interest of many foreign tourists. Infrastructure like roads, electricity and telephone has been greatly expanded in the area but there is still a shortage of tourist service facilities (tourist standard hotels from basic to high end tourist standard accommodations). Most of the tourist attractions (the North Historic, the North East Natural, the South Cultural and Natural and the Eastern Historic Routes are relatively known and promoted and many foreign tour operators have included them in their offers. The vision set in the strategic plan of MoCT is ambitious and achievable with great efforts designed in line with the growth and transformation plan of the country. Ethiopia currently ranks 20th in terms of tourist arrival in Africa and would have to increase to about five times the present visitor arrival to get into the five top destinations of African countries (Morocco, Republic of South Africa, Tunisia, Mozambique and Zimbabwe (2.4 million). What are the considerations taken into account for the set vision i.e. â&#x20AC;&#x153;making Ethiopia among the top five tourist destinations of Africaâ&#x20AC;? in the strategic plan? Ethiopian resources base for tourism development is enormous, be itS historical, cultural and natural assets together with the nine universally important UNESCO Registered world heritage sites and can compete with any African country. Ethiopia is one of the emerging tourist destinations in Africa and for that matter tourist flow to the country has shown a very fast growth rate. According to the last 10 years data average tourist flow to the country has increased by 12.8%. As the emergent tourist destination, having the highest tourist flow growth rate can be a very good opportunity. Ethiopia has shown very fast economic growth (double digit) for the last 10 consecutive years. This economic development by itself has its own contribution to build the good image of the country and to develop the tourism industry in the country. The prevailing peace and stability in the country. The Ministry has a very good tourism policy and strategic plan. It was possible to identify the various weaknesses during the preparation of the strategic plan: in the area of marketing and promotion, in the area of integration with the various tourism stakeholders (private sector, civic society, governmental organizations, etc.). A number of basic demand-driven strategic actions are underway by consultants (contractors). With the help of a project supported by the World Bank and different important projects are underway like tourism

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policy implementation framework, marketing and branding, service provision gaps in the country and tourism master plan of the south and eastern parts of the country. Also, together with marketing and branding packages, the contractors are working on the establishment of a tourism board of Ethiopia. All of these basic conditions indicate the future of the tourism industry in Ethiopia is promising and the industry can become one of the strong economic drivers for the countryâ&#x20AC;&#x2122;s social and economic development. Overall, there are many reasons to be confident to achieve the set vision in the strategic plan by 2020.

DOMESTIC TOURISM Domestic Ethiopian tourism is negligible, estimated at 250,000 guests per year, a low proportion of its huge population (World Bank).

INTERNATIONAL TOURISM Among the emergent tourist destinations, Ethiopia is among the countries that show the highest tourist arrival growth rate. It achieved a 9.4% growth in 2010 receiving a total of 468,305 foreign tourists. 16% and 18% growth are forecast for 2011 and 2012 receiving about 580,000 and 684,400 foreign tourists, respectively. This in turn projected the strategic plan for the subsequent years to increase by 1% - 2% yearly and to receive a total of 2,607,598 foreign tourists (which is about five times the current tourist arrival). As mentioned above, being one of the emergent tourist destinations with multiple actual and potential tourist attraction, as well as with proper resource management and integration with other competencies to create competitive advantage, it would be possible to maximize the market share and reach the five top destinations of African countries by 2020. Tourist arrivals into Ethiopia climbed by 19.8% in 2011 from 468,305 in 2010, driven mainly by visitors from Germany, France, Italy, UK and the American and African regions. The actual tourist arrival to Ethiopia and growth rate has shown increment year after year. The total tourist arrival in 2006 was 290,458 and five years later in 2011 the tourist arrival had increased to 583,790 tourists, showing above 50% growth in that five year period. Tourist flow to Ethiopia has increased by about 12.5% on average for the last five successive years.

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Tourism Industry

Tourists come to Ethiopia for various purposes such as leisure, business and conference and to ‘‘visit friends and relatives’’ (VFL). According to the last five years (2006-2011) tourists flow information by purpose of visits was as follows: business tourism increased by 40% (on average annual increases of 8%); leisure by 56.3% (on average annual increases of 11.3%); ‘‘visit friends and relatives’’ by 26.4% (on average annual increases of 5.3%); transit tourism by 55.6 % (on average annual increases of 11.2%); and conference tourism increased by 47.5% (on average annual increases of 2.1%). This result indicates leisure and transit tourism shows highest growth followed by business tourism. ‘‘Visit friend and relatives’’ does not show significant changes and conference tourism has no consistency, varying greatly from one year to the next (See chart: Tourism categories). Ethiopia’s wealth of varied attractions gives it great potential for cultural and educational tourism, photo safaris, hunting safaris, bird watching, water sports including river rafting, desert trekking, mountain climbing (trekking) and other forms of ecotourism. Health tourism, on account of the diverse climate (cool and hot) of the different regions of the country, numerous hot and cold springs in many areas, is an additional type of tourism with great potential. Conference tourism is another, triggered mainly by the presence of a number of international organizations in Addis Ababa including the headquarters of Africa Union (AU) and the Economic Commission for Africa

Tourism growth

Source: MoCT

(ECA). Addis Ababa has become more conducive for international conferencing as a consequence of the newly built-modern facilities of the ECA, AU and other flourishing private tourist standards basic to star ranked hotels in Addis Ababa. The tourist demand seems more or less seasonal with two peak seasons in Ethiopia. November, December and January are the highest tourist seasons, followed by July and August. Whilst the former correspond with the standard vacation periods in all regions of the world, in Ethiopia they correspond to the main festival seasons when the elaborate ceremonies of the Orthodox Church have great touristic appeal. Visitor numbers during these months are higher than the lower periods of the year.

Tourism categories

Source: MoCT

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Major Tourist Attractions of Ethiopia Ethiopia possesses numerous tourist attractions varied in type and appealing to a wide range of interests. The attractions include historical, cultural, archeological, anthropological, scenic climate, therapeutic and wildlife resources. UNESCO recognizes nine world heritage sites (the highest number in Africa) in the country. Axum’s obelisks in the ancient city of Axum. The monolithic churches of Lalibala in the medieval city of Lalibela (a holy city to Ethiopian Christian). Gondar’s castles (the 16th- 17th century capital city of the country). The Lower Omo Valley (where the earliest human hand tools were unearthed confirming the area to be the oldest human occupied landscape in the world). Lower Valley of the Awash (where the 3.2 million year-old skeleton of Lucy (Austrolopithecus afarensis) and the 4.4million year old of Homo ramides afarensis (Hominid ancestor) and Selam (Austrolopithecus afarensis, the three year old baby dating 3.4 million years) were discovered in this area . Tiya’s carved standing stones. The Semien Mountains National Park. The Walled City of Harer. The Konso Cultural landscape (where one can see living culture). There are also other universally identified important historic and cultural sites, such as the Ali Negash Mosque at Wukuro Tigray (the prophet Mohamed’s first followers’ cemetery), the Tana Lake and its islands and monasteries (Amhara Regional state), Sofumar Cave (the largest cave in Africa in Oromia regional state) and Gedeo Cultural Agro-forestry landscape and the South West organic coffee area

and cloud forest (in Southern Nation Nationalities and People regional State), are a few among others to mention. It is imperative to expose these resources for tourism markets to carve out market share in Africa and optimize the benefits obtainable from these assets. The physical features of the country are remarkable. They incorporate high plateau, long mountain ranges, lofty peaks, deep gorges, the lowest depression on Earth (Dallol), the Great Rift Valley and its beautiful lakes, savannah land, tropical rainforests, deserts, water bodies including the highland Lake Tana - the source of the Blue Nile, about seven cross boundary rivers, numerous spectacular waterfalls; and volcanic hot and cold springs are a few among others that potentially attract many tourists. The diverse climate and topographic features of the country have provided a range of natural environment supporting a wide range of biological diversity with some endemic, endangered and globally threatened flora and fauna. The existence of vast natural resources is a reflection of the country’s unique geological history, diverse physical and climatic conditions, abundant water, forest resources and vegetation cover. The wildlife resources are mainly restricted in Wildlife Protected Areas, namely: 22 National Parks (which are managed by the Regional and Federal Government), 13 Wildlife Reserves, 18 Controlled Hunting Areas and 34 Important Bird Areas as well as many more Community Based Wildlife Conservation Areas in existence in order to protect the wildlife and use it for sustainable tourism. So far 270 mammals (31

Averge Tourist arival by month (2006-2010)

Source: MoCT

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endemic) and 860 birds (16 endemic) have been recorded together with some other near endemic and globally threatened species. The distribution of wild animals is associated with the presence of diverse vegetation including savannah grassland, bush land, mountain forest, eco-tone and riverine association (along the course of rivers). Ethiopia is sometimes referred to as a mosaic of peoples and cultural diversity comprised of more than 80 nations, nationalities and peoples. Each of them has their own colorful culture, language, norms and lifestyles together with the diverse oral traditions, social practices, traditional crafts, arts, indigenous knowledge and other living expressions. Two of the worldâ&#x20AC;&#x2122;s major religions (Christianity and Islam) plus a number of known faiths and beliefs are followed, resulting in rich and varied cultures. Religious and other cultural festivals, with roots in the distant past, are very colorful and still continue to form an important part of communal life.

Tourist facilities and services The number of tourist standard hotels in the country has sharply increased in the major cities and towns as well as in and around tourist attraction sites over the past decade. Most tourist accommodations are improving, as well as new constructions taking place in accordance with a newly circulated classification and standardization system. Currently there are about 600 tourist standard hotels and lodges (i.e from basic to five stars) in the country. The major towns of the country, namely Addis Ababa, have above 120 tourist standard hotels, with the remaining distributed in the different regions, namely Hawasa, Adama, Debrezite, Bahirdar and Makall and provide very good tourist standard accommodations. Some tourist standard accommodation services have been developed around major attraction sites of the country including Axum, Semen National Park, Gondar, Lalibela, ArbaMinch, Semera, South Omo. Tour operation and travel agency shows a dramatic growth in the last decade. There are more than 1,100 tour and travel companies operating tourism business out of which 309 tours and travel agencies have obtained recognition from the MoCT based on their capacity to fulfill the required criteria set by the Ministry. The latter have incentive advantage including tax-free vehicles (for station wagon and bus), participation on the international trade fairs together with MoCT as well as getting different support from the Ministry.

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TOURISM BOARD (Ethiopian Ministry of Culture & Tourism) The Ethiopian Ministry of Culture and Tourism is responsible for Developing and Promoting the countryâ&#x20AC;&#x2122;s Tourist products both locally and internationally. In doing so the ministry closely works together with different National and International stakeholders. It publicizes the countryâ&#x20AC;&#x2122;s resources of tourist attractions and encourages the development of tourist facilities. It also licenses and supervises establishments of tourist facilities such as hotels and tour operators and sets the standards for them. Ethiopia is blessed with abundant natural tourist attractions, including 8 listed World Heritage sites, but the Ministry of Culture and Tourism still struggles to attract tourists in decent numbers owing to poor investment, security and does not have any cohesive tourism development or promotion strategy. As a result most tourists fly over Ethiopia to Kenya, Uganda, Tanzania, South Africa to name a few countries. Nevertheless the Ministry puts out regular press releases every year claiming 400,000+ tourist have visited Ethiopia every year.

MAIN ENTITIES RADISSON BLU HOTEL Christopher Pike General Manager Kazanchis Business District P.O. Box 21555, Addis Ababa Tel: +251 11 515 7600 Fax: +251 11 515 7601 info.addisababa@radissonblu.com www.radissonblu.com/hotel-addisababa Activity: Hotel Date of creation: 2012 The Radisson Blu, a subsidiary of Rezidor Hotel Group, features stylish, comfortable Addis Ababa accommodation designed to promote relaxation in the heart of the city. The hotel features 204 modern rooms, including 16 suites with upscale amenities including flat-screen televisions, free high speed, wireless Internet access, mini bar and separate shower and bathtub. Guests are made to feel even more at home in these Addis Ababa hotel rooms with

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coffee and tea-making facilities and the delicious Super Breakfast Buffet, served fresh each morning. Non-smoking rooms are available on request. This hotel, located in the Addis Ababa city centre and in the heart of the exclusive Kazanchis Business District, is convenient to the major commercial and administrative area of the city. Only eight kilometres from the airport and adjacent to the United Nations Conference Centre (UNCC), the hotel proves ideal for delegates and business professionals. Radisson Blu is decorated with Abraham Abebeâ&#x20AC;&#x2122;s paintings. The hotel has nine ballrooms that can seat over 300 guests named after Ethiopian kings and local trees. The smallest ballroom can hold 30. The hotel is fully non-smoking except for partial areas on the second and eighth floors. The Rezidor Hotel group is one of the fastest growing hotel companies in the world. The group features a portfolio of more than 400 hotels in operation and under development with 90,000 rooms in over 60 countries. The hotel group has five brands of luxury hotels worldwide.

JUPITER INTERNATIONAL HOTEL Benyam Bisrat Managing Director Tel: +251 11 552 7333 Fax: +251 11 552 6418 benyam@jupiterinternationalhotel.com www.jupiterinternationalhotel.com Activity: Hotel

These new constructions are mostly locally funded. Jupiter Hotels, as one of those locally funded hotel business groups, has only been running for 5 years. In that time, the company has boosted occupancy rates above 80% to match international brands in the market. And for those who find the prices of the bigger international brands too expensive, Jupiter International Hotels, run by young Ethiopian Benyam Bisrat, offers a quality local alternative.

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Until recently, schmoozing with businessmen of all stripes and African diplomats involved sitting by the bar in the Hilton or lingering around the Sheraton lounge area. During the last African Union meeting, the lobby of the Jupiter Hotel in Kazanchis jammed softly with local Ethiopian jazz crowded out by Africaâ&#x20AC;&#x2122;s numerous local languages and the usual assortment of Romance languages spoken on the continent. This type of growth is usually the result of growing demand and stalled supply. But the supply of hotel beds in Addis Ababa has tripled in the last three years to around 6,000 hotel beds. Competition in this market could potentially push the number to over 10,000 hotel beds in the next few years. Jupiter International Hotels will actively expand during this time to more than 1,000 hotel beds to capture approximately 10% of the market, says Mr. Bisrat, who is also vice president of the Hotel Association of Ethiopia. International brands, including the Marriot, will also help the local hotel industry to reach that number. Hotel groups are expanding in this capital because the amount of diplomats and corporate clients are growing. Annual tourism, at approximately 400,000+ tourists in Ethiopia, still has a way to go before it matches other emerging African economies. The Ministry of Culture and Tourism has stated its aspirations to make Ethiopia a top five-tourist destination in Africa by 2020. During this rapid growth phase, quality serviceoriented business will win out at the end of the day, says Mr. Bisrat, or customers will walk out. He believes Jupiter International Hotels is positioned as a top competitor in this space, especially as it plans to develop a value hotel chain. A hot shower, good mattress and strong Internet go a long way to making a quality value hotel. But Jupiter International Hotels plans to also add a yoga studio, art gallery and technological add-ons, including iPod docking stations and quality data and voice streaming capabilities in the rooms. Gone are filmmakers for aid videos on famine. Rather, conference facilities and lobbies bustle with the growing presence of investors and government officials. Hotel groups, says Mr. Bisrat, still have a long way to go to meet the needs of a growing business and diplomatic hub. As Ethiopian Airlines expands its routes to meet the geographically diversifying clientele of the Ethiopian market, expect the hotel industry to do the same.

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INTERCONTINENTAL ADDIS HOTEL Zenawi Mesfin General Manager P.O. Box 5907 Addis Ababa Tel: +251 11 5 180411 / 540086 gm@intercontinentaladdis.com www.intercontinentaladdis.com Activity: Hotel Date of creation: 2008 Intercontinental Addis Hotel is one of the best 5 star hotels in Addis Ababa Ethiopia, which is located in Kirkos district, Kazanchis area at Guinea Conakry Street. The hotel is ten minutes drive from Bole International Airport. With 10 floors, the hotel has 152 rooms, out of which one is the Presidential Suite, four VIP Suites, 28 Corner /Junior Suites, 30 Twin bedrooms and 89 King Deluxe rooms, of which some cater for physically challenged guests. Each of the rooms have flat screen TV sets with DSTV satellite, closet, private bathroom, safety deposit box, mini bar, fireproof doors and carpets, balcony and continental electronic door lock. The Presidential and VIP suites are fitted with Jacuzzis, TV and radio. The rooms have 27’ flat screen TV sets with DSTV satellite, closet, private bathroom, safety deposit box, mini bar, fireproof doors and carpets.

Activity: Hotel Date of creation: 2008 Opened in December 2008, Harmony Hotel represents an initial investment of over $10 million USD and brings it to the forefront of four star accommodation venues in this rapidly growing east African hub. Situated 1.5 kilometres from the Ring Road and 5 minutes from Bole International Airport, Harmony Hotel is conveniently located in the Bole Medhanialem area of the city and within short walking distance of shopping malls, multiplex cinema and an array of bars, restaurants and recreational facilities. On arrival at the Hotel you will be warmly welcomed by the hotel’s staff and find yourself in a spacious lobby where a private registration desk awaits you. The lobby also features the Buna Lounge and the Business Centre. Additional facilities include the Dashen Restaurant located on the 1st floor and Ras Bar on the 7th floor. For your meeting requirements the hotel has Tana Hall and Langano Suite. Harmony’s range of bedrooms comprises standard Single, Twin, Queen, King rooms and suites. Every room has: in-house satellite TV, broadband internet, minibar, electronic safe, hairdryer, one suite bathroom and international direct calls.

WASSAMAR HOTEL The restaurants offer the best multi-cuisine, Indian gourmet cuisine; banqueting and conference facilities can accommodate up to 20-120 people, plus smaller meeting rooms all with conference facilities. The hotel also offers a fully equipped business centre with access to Internet, health club with gym, steam bath and sauna; there is also a magnificent pool on the rooftop and a private health club. The quality of the hotel and its scenery from the rooftop will turn any business trip into a breathtaking visit to remember.

Teshome Fantu General Manager P.O. Box: 512, Addis Ababa Tel: +251 11 661 0055 / 11 895 0489 Fax: +251 11 661 0065 info@wassamarhotel.com www.wassamarhotel.com Activity: Hotel

HARMONY HOTEL Sileshi Debebe General Manager Near Edna Mall, Bole Medhanialem P.O. Box 16139, Addis Ababa Tel: +251 11 618 3100 / 2908 Fax: +251 11 618 2910 info@harmonyhotelethiopia.com gm@harmonyhotelethiopia.com www.harmonyhotelethiopia.com

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At the international gate of Addis Ababa the four stars Wassamar Hotel welcomes you with a nonsmoking lobby and bar under a dome bestowing natural light. A restaurant with a view of Africa Avenue and a stretched balcony comes with umbrellas for open-air smoking arrangement or

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simple relaxation. With prime location right in Bole/ African Avenue, 1.2 km from Bole International Airport, the mid town hotel offers on-site dining and comfortable guest rooms just steps away from a variety of city attractions.

view at a moderate price. The rooms are decorated with care and equipped with the needs of todayâ&#x20AC;&#x2122;s travellers in mind- TV with international channels, writing desk, broadband Internet connection and direct outgoing telephone line.

Enjoy a satisfying workout in the fitness centre equipped with sauna and steam room, just some of Wassamarâ&#x20AC;&#x2122;s facilities. For your unfinished business there is also a business centre equipped with PC workstations, printers and broadband Internet. For those with laptops, there is WIFI in the lobby area, as well as in the comfort of your room.

Facilities: Fully equipped fitness centre. Sauna and steam room. Business centre with PC workstations and printers. Broadband Internet and WIFI. Meeting rooms with capacity for up to 10 and 100 people. Restaurant with balcony. Lounge area with bar.

Hold your next exhibit, conference or meeting in another one of Wassamar Hotel facilities, the mini conference room, with a space for up to 10 people or the larger conference room with a space up to 100 people with a refreshment terrace and city view. Be it business or pleasure, or a bit of both, Wassamar provides an opportunity of prime location, excellent service and outstanding facility. 66 comfortable rooms including 6 suites, 5 twin and 55 Queen rooms, most with balcony and city

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Services: Complimentary breakfast. Photocopy and Fax services. Laundry Services. Restaurant with options for room service. Complimentary Shuttle to and from the airport. Wake-up service. Front desk and in-room safe deposit box. Cribs available for children. SHERATON ADDIS

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Jean Pierre Manigoff General Manager Taitu Street, P.O. Box 6002, Addis Ababa Tel: +251 11 517 1717 Fax: +251 11 517 2727 www.sheratonaddis.com Activity: Hotel Date of creation: 1998 The first African hotel to join The Luxury Collection, the Sheraton Addis is a portal into a world of exquisite sophistication and incomparable service. From the ornate lobby to the manicured gardens with a fountain of “dancing waters” pulsating to classic symphonies, the hotel offers a never-ending vision of luminous beauty. Surrounded by luxuriant, terraced grounds, it stays true to the city of Addis Ababa - meaning “new flower” in Amharic - with the delicate scent of Ethiopian roses permeating the entire premises. Set in mountainous countryside, 7,800 feet above sea level, the hotel was built by prominent Saudi Sheikh Mohammed Hussein Al-Amoudi, as a gift to Ethiopia. Designed by noted architect Kosek Ivo, the magnificent complex artfully combines the Ethiopian artistic culture with neo-classical style and is a source of pride and inspiration to all Africans and Ethiopians in particular. A first for Ethiopia, it was constructed to the highest efficiency standards and is constantly updated with the latest green technologies. Water, power and heat savings are made throughout the buildings and a thorough recycling program is being used. The Green Organisation, an independent environmental group, recognized the hotel’s environmental efforts with the coveted International Green Apple Awards for Architectural Heritage and the Built Environment. Around-the-clock service and fine amenities await in 293 rooms and suites designed to delight with exceptional comfort and personalized attention. For utmost privacy, secluded three-floor villas provide opulent retreats with personal outdoor pools. The Gaslight Night Club, located in the hotel is one of Addis Ababa’s greatest nightlife places. Since opening in February 1998, the Sheraton Addis has hosted countless high-profile events, including Pan-African and African Union summits, as well as New Year’s Eve celebrations with special performances by world-renowned artists such as Beyonce, Ludacris, The Black Eyed Peas, Rihanna and Akon, among other prestigious guests. HILTON ADDIS ABABA

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Vijay Shanker Director of Business Development Menelik II Avenue P.O. Box 1164, Addis Ababa Tel: +251 11 517 0000 Fax: +251 11 551 0064 reservations.addisababa@hilton.com www.hilton.com Activity: Hotel Date of creation: 1969 Blending traditional Ethiopian touches with contemporary style, Hilton Addis Ababa was designed to mirror the famous Lalibella Cross. The motif is recurrent throughout the hotel – from the design of the bedroom balconies to the crossshaped swimming pool. Emperor Haile Selassie inaugurated the Hotel in 1969. Offering the warmth of home in a central city location, Hilton Addis Ababa provides unrivalled service in one of Ethiopia’s most vibrant areas. Enjoy the combination of traditional Ethiopian culture and a contemporary hotel with bespoke touches – such as the Ethiopian Coffee Corner, serving locally sourced and roasted beans. Host briefings in a suite of four meeting rooms and use the 700 capacity ballroom for the grandest of functions. Appreciate the city views from the private balcony in each guest room. Upgrade to a suite for a large working desk, original artwork and exclusive access to the Executive Lounge, offering free breakfast, refreshments and WiFi. Benefit from a kitchenette and dining area when booking a Deluxe Suite. Swim as you enjoy the botanical surroundings at the geo-thermally heated outdoor pool. Play tennis on one of four courts and enjoy treatments and massage at the Health Club. Treat yourself to one of the internationally themed nights in Kaffa House restaurant. Choose from an extensive à la carte menu in the open air Gazebo Bar & Restaurant. Work-out in the fitness centre or go for a run around the extensive hotel grounds. Enjoy a fast-paced game of squash before visiting the local golf courses. Let the hotel arrange a trip to a local attraction, or browse for treats in the hotel’s many and varied souvenir shops. Relax over drinks in the Lobby Bar, or retreat to your room and choose a meal from the extensive room service menu. Hilton Hotels & Resorts stands as the stylish, forward thinking global leader of hospitality. With

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over 92 years of experience, Hilton continues to be synonymous with hotels thanks to their innovative approach to products, amenities and services.

PANORAMA HOTEL Roman Nani Kifle General Manager P.O.Box: 7560, Addis Ababa Tel: +251 11 661 6080 / 84 Fax: +251 11 661 6072 info@panoramaaddis.com www.panoramaaddis.com Activity: Hotel Panorama Hotel is conveniently located on Haile G/

Selassie Road, near Megenagna. 8 minutes is all it takes from the airport to the hotel lobby and your

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introduction to Panorama’s excellent Services. Panorama has been specially designed so that guest rooms are handicap accessible with wheelchair ramps. Our hotel has also been selected as one of the best disable-friendly hotels and has received a certificate of Recognition from the Ethiopian Centre for Disability and Development (ECDD). The restaurant at Panorama is run by a team trained by one of the few French chefs in Addis Ababa. The 20-table restaurant offers a menu featuring European cuisine. After your meal, enjoy drinks downstairs at the hotel’s cosy well-stocked bar. Don´t forget to visit: The 20 table Merkeb Restaurant at Panorama offers a menu featuring delicious European cuisine and accommodates more than 100 guests at a time. Varieties of drinks are served at the attractively designed Corner Bar. It is a perfect prelude or ending to a delicious dinner. A well stocked bar in the balcony with a stunning view of Yeka Mountain - reserved for residing guests only. With 65 comfortable rooms in four variations, you’ll

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find the perfect balance of comfort and luxury that you need – standard, twin or suite. If you want an extra touch of space, there’s the Executive suite. As a guest at Panorama you are entitled to the following facilities and services free of charge: breakfast, individual safety deposit box, WIFI high-speed Internet connection, gym & spa, business centre and airport shuttle. Panorama Hotel has partnership agreements with international brands such as ShebaMiles, AlJazeera, BBC or CNN. PARADISE LODGE ARBAMINCH Eyasu Wessen General Manager P.O. Box 41904, Addis Ababa Tel: +251 11 661 2191 / 11 661 2204 (Addis Ababa) +251 46 881 2914 / 46 881 3390 (Arbaminch) Fax: +251 11 661 2204 info@paradiselodgeethiopia.com www.paradiselodgeethiopia.com Activity: Lodge & Resort Date of creation: 2006 Paradise Lodge Arbaminch situated 505 km south of Addis, since its establishment positioned itself as southern Ethiopia’s top-drawer and an all-time favourite destination for people interested in nature’s beauty. Paradise Lodge Arbaminch quickly became a symbol of glamour, offering services and amenities specifically designed for you, whilst the delicate balance of luxury expectations and authentic local/ traditional experiences enhance your leisure time. That’s why the lodge was artistically designed and has been built by Konso people and more than 30 ethnic groups of the southern nation. Their aim is to provide sincere services and focusing all the jobs and works on to our customer satisfaction and dedication to create memories of a lifetime as well as commitement to providing customers with memorable and unique experiences that enrich their lives and broaden their outlook. Paradise Lodge Arbaminch has 50 rooms; all furnished with the necessary equipment: satellite TV, mini bar, refrigerator and telephone. Each room has its own veranda /balcony/ for an extensive green view. The lodge has Single, Double, Twin, Triple and VIP rooms to suit the range of needs. The Restaurant can accommodate up to 400 guests

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and visitors will have an opportunity to enjoy the magnificent View of Lake Abaya and Lake Chamo during their dining time due to the well-planned location of restaurants. The chefs are specialized in cooking and natural hospitality. Professional and delicious food services await customers in the restaurant for three meals with Ethiopian and foreign dishes. The restaurant also prepares excellent buffet services always during breakfast and for any events with special requests. TÉK TOURS Alazar Teklu General Manager Gedame Mariam Building Office 21, Haile Gebre Selassie Street In front of panorama Hotel, Addis Ababa Tel: +251 91 150 2882 / 011 662 4633 Cell: +251 91 261 5775t Fax: +251 11 662 6755 info@tekethiopiatours.com www.tekethiopiatours.com Activity: Tour Operator Date of creation: 2013 Ték Tours is a new venture by a company that is

well-established in the Ethiopian hospitality industry. We offer holidays to all parts of Ethiopia. We have experience in operating several hotels and can guarantee competitively priced bookings at hotels and lodges in different corners of the country. We are dedicated to ensuring that every guest has an enjoyable and rewarding experience at minimum cost. Ethiopia is a land of mystery, deep-rooted faiths, glorious ancient history, unique cultures, a myriad of colours, smells and sounds with exotic natural beauty. Choose one of our tours below and let us show you the real Ethiopia in safety and comfort, making every minute of your trip memorable. Besides providing these welldesigned high standard and flexible tour packages, we offer tailor-made tours according to our clients’ needs and interests. We also handle your personally designed itineraries with premium service to make your holiday to Ethiopia the experience of a Lifetime: Adventure. Sightseeing. Bird-watching.

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Sporting Leisure. Special Tour Packages.

ETHIOPIAN TOURIST TRADING ENTERPRISE Assefa Guya General Manager P.O. Box 5640, Addis Ababa Tel: +251 11 618 0641 Fax: +251 11 661 0511 ette@ethionet.et Activity: Duty free, Souvenirs Date of creation: 1957 The Ethiopian Tourist Trading Enterprise (ETTE) was established in 1957 (Ethiopian Calendar). It started its business operations with a small gift articles shop at Bole International Airport, being the first of its kind in Africa. The Company was not only the pioneer of duty free market in Africa. It also helped other African countries to establish duty free shops in their own countries. Nowadays, ETTE is engaged in promoting tourism in Ethiopia through availing products and services required by tourists, such as souvenirs and gift articles, publication of tourist information and duty free services. It mainly focused to meet customers demand while contributing a great deal to the national economy. Hence, since its establishment, the Enterprise had generated hundreds of millions in foreign currency to the government treasury year after year. Furthermore, The Ethiopian Tourist Trading Enterprise is a public enterprise engaged in trade and production activities in four trade sectors, which are: Duty Free Merchandise; Duty Paid Merchandise; Handicraft and Fine Arts; and Processed and semi-processed foodstuff preparation and distribution. The Enterprise presently conducts its trade activities at: nine duty free shops; five duty paid retail shops; eleven handcraft and gift shops; and two bread and foodstuff shops. The major strength of the Enterprise is as a super performance in developing new design and knowledge of the market. The enterprise has also participated in several exhibitions held in North America, Africa, Europe and Far Eastern countries to promote its hair crafts and artworks. Moreover, the Enterprise is engaged in introducing new products, continuous supply of branded goods, opening new shops and render efficient and timely services. ETTE has a vision to be one of the five models and successful tourist trading enterprises in the African continent. KURIFTU RESORT & SPA

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Tadiwos g. Belete Chief Executive Officer P.O. Box 32460, Addis Ababa Tel: +251 11 663 6557 tadiwosg@gmail.com www.kurifturesortspa.com Activity: Resort & Spa Kuriftu is an upscale Resort and Spa establishment in Ethiopia devoted to delivering an elevated guest experience. Key to Kuriftusâ&#x20AC;&#x2122; reputation is a commitment to refined service. Guests can expect impeccable hospitality, exceptional epicurean experiences, world class spas and an elegant yet welcoming ambiance guaranteed to create lasting and cherished memories. Pursuing this vision is a dedicated team of talented corporate and business unit managers with several years of experience in the art of hospitality. Knowledge and passion for exceptional personalized service are the foundation upon which Kuriftu is built and these desires are infused in each person and destination through continuous training. Our core values are unwavering commitment to quality and professional service. We endeavour to perform all functions to perfection from designing and construction to repair and maintenance. Our goal is to do the best job that can be done. While it is a team effort, each member of staff is well equipped and is employed to ensure that your service is performed in an efficient and professional manner. Our management philosophy is based on individual responsibility and empowerment manifested in a decentralized but distinctly coordinated corporate and business unit management structure.

ETHIOPIAN TOUR OPERATORS ASSOCIATION Fitsum Gezahegne President P.O. Box 27548 / 1000 Tel: +251 11 550 8444 / 8445 Fax: +251 11 550 8446 info@ethiopiantouristassociation.com www.ethiopiantouristassociation.com Activity: Association Date of creation: 2003 Ethiopian Tour Operators Association (which is referred as ETOA) is a professional Association representing the legally registered Tour Operators in the tourism industry of Ethiopia. Currently ETOA is composed of 152

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individual tour and travel agency companies. The ETOA was established in 2003 by the initiation of individual tour operators who are concerned with the development of tourism in the country and still actively working to attain its objectives. The association is legally licensed by the Ministry of Justice and its license should be renewed every two years per the fulfilment of criteria set by the concerned government body. The association is administered by Board members who are elected every two years on the presence of the general assembly. The board will have the president. Though all of the board members are there in a part time capacity, the association has a permanent General Manager with assisting staff and also a permanent working office. ETOA has proved itself to be a reliable association and is dedicated both to raising standards in the industry and ensuring that tourism plays a key role in economic development, poverty reduction and environmental production.

travelethiopia@ethionet.et www.travelethiopia.com Activity: Tour Operator Travel Ethiopia is a private eco-minded tour and safaris operator (est. 1994). It is uniquely experienced to introduce the traveller to the myriad facets of Ethiopia past and present. Travel Ethiopia’s concern for and attention to each client is personal and unmatched. While we cannot guarantee the whole seven years or any permanent effects, travelling with Travel Ethiopia and the combination of our special knowledge and skills and fascinating land will be a tonic for those who feel enriched in experiencing Ethiopia’s range of human and natural diversity. You will certainly feel younger at the end of your trip. Travel Ethiopia has been providing quality service for leisure-seeking tourists and Business visitors to Ethiopia for over fourteen years. Staffed with a high-qualified team, Travel Ethiopia specializes in coordinating tours for safaris, expeditions and birding throughout Ethiopia that are tailored to individuals or groups. KIBRAN TOURS

The Ethiopian Tour Operators Association has members engaged in tour operation and travel agency services in which talented employees of both women and men work with ingenuity. They have all mastered their tourism products and the art of providing comfort to their clients. Based on the variety of tourism commodities Ethiopia has, they apply their basic knowledge of the industry and through their vast experience and skills they offer a choice of programs and itineraries to visitors coming to Ethiopia for holiday, business, health; family and friend visit. ETOA’s motto is “Integrity in Tourism”; accordingly, the association has established some of the highest standards in the industry. Among these is the principle of ethical conduct, which requires members to conduct business according to a set of professional standards. Members must also demonstrate ethical and financial responsibility in their business conduct and instil confidence in their financial stability, reliability and integrity. TRAVEL ETHIOPIA Samrawit Moges Managing Director P.O. Box 9438, Addis Ababa Tel: +251 11 552 5478 / 551 0168 Fax: +251 11 551 0200 / 11 653 7067

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Assefa Azene General Manager P.O. Box 15475, Addis Ababa Tel: +251 11 662 6214 / 6215 Fax: +251 11 662 6216 kibran@ethionet.et www.kibrantours.com Activity: Tour Operator Date of creation: 1999 Kibran Tours is a private tour operator founded in 1999, with head office in the Ethiopian capital city Addis Ababa. We are one of the oldest and most experienced tour operators in Ethiopia, sharing an extensive knowledge of the country, its culture, its nature and its people. We are internationally known for our flexibility and reliability, our caring staff and our modern and wellmaintained vehicles and equipment. We always strive to provide the best possible service to each of our honoured clients, maintaining the utmost respect for the people, cultures and the environment of Ethiopia. If sightseeing, visiting villages and markets, attending festivals and special events, or simply enjoying the

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Tourism Industry

beautiful natural scenery, we always seek to offer authentic views and to create good relations with the very kind and hospitable people of Ethiopia. We try to establish a tourism which is based on mutual understanding and which gives chances of development for all Ethiopians. We feel this is our responsibility. To achieve these goals we promote, among other things, projects with the participation of the local inhabitants and provide support to local development and youth organizations. We are always grateful for advice and suggestions on how to further contribute to the development of an environmentally friendly and sustainable tourism. Kibran Tours is leader in providing services of high comfort and luxury travel, such as: study tours, cultural group travels and private safaris. They also offer: adventure trips, trekking, individual tours, bird-watching tours, excursion trips to neighbouring countries and special services for scientists and explorers. Of course we provide services like car-hire, providing equipment and personnel, information about Ethiopia, hotel and flight booking and any further service required. Most of the tours we create are tailor-made to fit best with our customers’ special requests and interest. GHION TRAVEL AND TOURS

GTT’s staff is a collection of professionals and multilingual guides and drivers that are very experienced in the tourist trade. The general manager, Mr. Yoseph Getnet, is a highly skilled Ethiopian professional who has been working for more than fifteen years in the tourist trade. He has efficient management skills and within the last eight years he has made his organization one of the best and successful tour operators in the country. GTT is geared to making friends. It has developed the art of receiving visitors and catering to their needs. The well-trained and highly experienced guides and drivers, detailed concern have been paid for the itinerary planning, the attention given for the provision of the best quality equipments, vehicles and camping gears and the unusual treatments presented to satisfy all the needs of our respected guests make our services the best and special here in the land of hospitality. GREEN LAND TOURS & HOTELS Dario Morello General Manager P.O. Box 19018, Addis Ababa Tel: +251 11 629 9252 / 9260 Fax: +251 11 629 9259 dario@greenlandethiopia.com www.greenlandtoursandhotels.com

Yoseph Getnet General Manager P.O. Box 25504, Code: 1000, Addis Ababa Tel: +251 11 550 5566 / 550 56567 Fax: +251 11 550 5656 info@ghiontour.com www.ghiontourandsafari.com

Activity: Tour Operator Date of creation: 1997

Activity: Tour Operator Date of creation: 1998

In 1997 Green Land Tours was established to provide utmost satisfaction to its customers. Due to its outstanding service, the company has twice (2001 and 2002) won the prestigious International Award for Tourism, Hotels and Catering Industry, a trophy presented for outstanding services by the Trade Leaders Club. In addition, in December 2004 Green Land Tours and Travel, along with its cooperating businesses, was awarded the Diamond Eye Award for Quality, Commitment and Excellence in Berlin (Germany). Moreover, for two years running (2004 and 2005) the Ethiopian Tourism Commission presented Certificates of Merit to Green Land Tours for the Most Outstanding Performance in Tour Operation for the years 2003 and 2004 respectively. The company’s goal is to make sure that their clients

Ghion is the majestic Abbay or commonly known as the Blue Nile with its thunderous and misty falls. The Nile is blue and grand. Blue is a sign of peace. Peace is the very fabric of Ghion Travel and Tours (GTT). GTT is a highly organized tour company in Ethiopia established in 1998.Its major goal is to develop different forms of tourism with a new and improved quality of service provisions. In the last eight years Ghion Travel and Tours registered remarkable progress is now amongst the most competent tour operators, demonstrating utmost responsibility in all of its trips.

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Green Land Tours (GLT) derives its name from the colour that Ethiopia wears as a result of the fusion of three seasons of rainfall and thirteen months of sunshine.

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Tourism Industry

enjoy the best of the services and return home with rapturous memories of fun and satisfaction. At GLT they believe the most important part of the business is you, the client. For this reason GLT does everything they can to satisfy and exceed their clients’ expectations. GLT is staffed with experienced tour operators, guides, driver-guides and cooks, etc. Their drivers/ tour guides have travelled widely throughout the country and beyond and are well acquainted with all areas. GLT is well equipped with vehicles suitable for Ethiopia’s climate and road conditions (terrain). Since their 4x4 Land Cruisers and 4WD buses are in excellent condition, tourists and other clients are unlikely to experience any discomfort during the tours both within and across Ethiopia’s boundaries. Additionally, GLT’s cooks are experienced professionals trained in certified colleges throughout the country. They are able to prepare delicious local and international meals. In addition to running a tour and travel company, GLT manages several resorts, hotels, eco-lodges and campsites in different parts of the country. These include Swaynes Hotel (Arba Minch), Evangadi Lodge (Turmi), Wenney Eco-lodge (Langano Lake) and Yemrha Hotel (Lalibela). Thus, the company’s cooperation with and investment in various quality hotels and lodges around the country will make your stay cozy and affordable. Furthermore, GLT affiliation and membership in several associations and clubs around the world, including the Eco-tourism Association of Ethiopia, Ethiopian Hotels Association and Ethiopian Tour Operators Association, help them to acquire privileged services, tickets, etc. for their customers. In addition to the regular tour itineraries, Green Land Tours and Travel offers custom-tailored tours and safaris to suit clients’ individual needs. Ethiopia has a lot to offer and GLT is prepared to show you all around this great country. GLT’s motto is “Excellence through Experience” and they definitely strive toward both. ABC CAR RENTAL Nebiat Yessuwork General Manager 50 m south of Edna Mall, in front of Harmony Hotel Tel: +251 11 661 0404 abcplc@ethionet.et www.abccarrent.com Activity: Car rental, Tour, Manpower supply, Fuel supply, Import & Export Date of Creation: April 2000

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ABC was established with various business ambitions. Intended ventures included areas like public transport, car rental, tour operations, employee supply, fuel supply, warehousing, cargo transport, general import and export, health services, education and training etc. It has achieved four of its targeted business objectives; car rental, tour operation, employee supply and fuel supply services. ABC’s predominant occupation at the moment is its car rental service. The rental operation started strong from the very beginning; with 150 latest model automobiles and VIP buses. ABC has brand new cars, which were brought in primarily for the millennium. The rental company is providing services with latest cars that provide luxury, speed and comfort. Their collection includes both luxury and economy cars that are bound to meet everyone’s needs. The company’s car rental service is rated excellent by many of their customers, both in substance and manner of delivery. To make the car rental service available at the airport and accessible to arriving passengers, the company has already rented a furnished office space located at a very ideal place to welcome arriving passengers. Furthermore, they have launched the first airport car rental counter in Bole International Airport. The size of their customers has been steadily increasing over the last years and it will likely become oversized for our fleet of cars. Hence the company is beginning to think of increasing our stock of cars to keep our service abreast of demand. Tour operation is another business area the company is planning to get into with full force. It is with this in mind that they ventured to own the National Tour Operation (NTO), a renowned enterprise in the industry. Currently, the Company is upgrading to furniture and facilities of NTO to meet ABC’s requirement for tourists. ABC also wants NTO to stretch out to as many places as possible of tourist attractions by stationing. Ethiopia is a country where standards are set for its customers. ABC Car Rental has purchased tour operations equipment and has begun recruiting tour operators. With few additional cars for tour operations and car rental service the company believes they can double their market share in the rental service and strategically position themselves for takeoff in the tour operations sector. Unlike its strong presence in the car rental service,

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Tourism Industry

ABC would be a newcomer in the tour operations field. As it starts from scratch, in terms of vehicles in particular, the size of investment cost would be very high. There are other expenses it is going to incur. However, ABC has competitive advantages, such as its presence in the sector in one form or the other and the size of its potential customers to maximize its return on investment. The companyâ&#x20AC;&#x2122;s main customers are: NGOs, governmental Institutions, foreign companies, local private companies, local and international corporate companies. ETHIOPIAN RIFT VALLEY SAFARIS Nassos Roussos General Manager P.O. Box 3658, Addis Ababa Tel: +251 11 155 1127 Fax: +251 11 155 0298 ervs@ethionet.et addisoffice@ervsafaris.com www.ethiopianriftvalleysafaris.com Activity: Tour operator Date of creation: 1982

In operation since 1982, Ethiopian Rift Valley Safaris (ERVS) offers a depth of knowledge & experience enhanced with a variety of services and special facilities that define it as the tour company most capable of putting all of Ethiopia at your disposal. We excel in providing complete and countrywide

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tours at competitive rates, travel facilitation, hotel booking & related hospitality services. For transportation, ERVS supplies a fleet of comfortable up-to-date ground vehicles and also makes convenient use of local air charter services. For many proud years Ethiopian Rift Valley Safaris has successfully met the challenge of developing private bush camps, thus providing an opportunity to share the wonders of Ethiopia in very special ways. To be a successful Guide in a country with such great diversity in travel, one must also be greatly diverse in knowledge. Each of our Guides is a graduate of intense professional training courses that take them from a 5th Century pagan temple outside Axum, to birds of the Rift Valley Lakes, to underground cave systems, to market days of remote ethnic groups, to the endemic wildlife of Ethiopiaâ&#x20AC;&#x2122;s plains & highlands. Understanding of tour planning and management is essential and there is no substitute for years of experience in bush travel when it comes to familiarity with the varying cultures, flora & fauna. Such are the qualities evident in ERVS Guides, as well as support staff. Having a sense of humour, good social skills & speaking English fluently are all mandatory. At Ethiopian Rift Valley Safaris we pride ourselves on suggesting attractions and events that will make your stay in Ethiopia a truly memorable one. The staff of ERVS will make every effort to customize an itinerary according to your choice and personal interest. Our programs are designed as a personalized experience where you, the individual traveller, are our main concern.

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ENTERTAINMENT In the cosmopolitan capital of Addis Ababa, one can

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Tourism is becoming an increasingly important foreign exchange earner and job provider for Ethiopia. In many parts of the tourist destinations regions, new tourist facilities such as hotels and lodges are being constructed and the existing ones are being upgraded. Massive infrastructural developments have been carried out over the last decades. Most of the tourist destinations are being connected through roads or by air transport. That makes tourism one of the fastest growing economic sectors of the country.

climbing faces, savannahs, waterfalls, volcanic hot springs and volcanoes. These are supplemented by a wealth of historic, cultural, religious, archaeological and anthropological sites, including the northern â&#x20AC;&#x153;historic routeâ&#x20AC;?, which incorporates the former

Nile falls and the numerous rock churches of Tigray

The country has an unequalled range of natural habitats, ranging from the extraordinary peaks

or even earlier.

Mountains at over 4,000 meters; to the Danakil Depression, 120 meters below sea level, one of the lowest points and hottest places on Earth. There are

125th year of its foundation by the Emperor Menelik top of the Entoto Hills 1,000 metres above the future site of Addis Ababa. His wife, the Empress Taitu, springs at the bottom of the hill and refused to return.

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Entertainment After waiting two years, Menelik had to relocate his palace as the only way to see his wife again. There is top of the Entoto hills, the original site of the imperial

crowns, ceremonial dresses of the Emperor Menelik and the Empress Taitu and the drums he used when marching to the battle of Adwa, where the Italians

The Addis Ababa Museum in the former palace of collection of photographs depicting the development of the city and the nearby Red Terror Museum

Addis Ababa University.

The National Museum of Ethiopia holds the earliest

jewellery, costumes, paintings and sculptures. The Ethnographic Museum of the Institute of Ethiopian

University. The Zoological Natural History Museum has displays of Ethiopia’s wealth of wildlife, including many examples of the country’s endemic species of rodents, bats, carnivores, primates, birds, snakes,

the towns express a complex system of marking the passing of generations of leaders.

facilities, the country has a huge potential to be one of

Photo: Antonio Fiorente

are a number of church museums in the city with fascinating wall paintings. The Ethiopian postal Museum has a collection of the country’s stamps.

highlands of Ethiopia. It is a spectacular example of a living cultural tradition stretching back 21 generations adapted to a largely dry and hostile environment. It features anthropomorphic wooden statues, grouped to represent respected members of their communities and heroic events, a testimony to funerary traditions

Facial ornaments and paintings are purely decorative

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Entertainment CULTURE

Ethiopian life. Nearly half the population belongs a large Muslim population, while a small minority practice an ancient form of Judaism.

religion of the imperial court and of the establishment

believe is the expected response rather than say something that might embarrass another, thereby saving face for both parties. Honour and dignity are crucial to Ethiopians and they will go out of their way to keep from doing something that could bring shame to another person. Therefore, it is important to treat your Ethiopian business colleagues with utmost professionalism and never do anything that would make them lose face, such as the more

Etiquette & Customs in Ethiopia

Islam also holds an important place in Ethiopian society, particularly in the business community.

Ethiopian greetings are courteous and somewhat formal.

The Family

The most common form of greeting is a handshake with direct eye contact.

The family is the absolute pillar of Ethiopian society, around which life revolves. The extended family remains the focus of the social system. It includes relatives on both sides of the family as well as close friends, often with three generations cohabiting within households. Quite often the husband’s parents will live with the nuclear family when they get older and can no longer care for themselves. Recognition and status is achieved and increased through a person’s extended family, as opposed to through social circles. Family needs are put before all other obligations, including business.

seen as a sign of strength, the Ethiopian handshake is generally much lighter and less important. established will people of the same sex sometimes kiss three times on the cheeks. Across genders, men should wait to see if a woman extends her hand. inquire about the person’s family, health, job, etc.

It is customary to bow when introduced to someone who is obviously older or has a more senior position.

Communication Style Ethiopian culture and can be a sensitive matter for its people. As Ethiopia had until very recently been a closed and insular sociery, its people are still foreigners, in terms of doing business and greetings.

Business Etiquette & Protocol Handshakes are somewhat prolonged but again, Making direct eye contact is a sign of trust and

that quality in others, speaking in soft tones. Domineering behaviour and voices are seen as too aggressive, often seen as a sign of poor manners Ethiopians pride themselves on their eloquent speaking style and expect others to speak clearly and use metaphor, allusion and witty innuendoes. They often use exaggerated phrases to emphasize a point.

There is generally no touching between the sexes; however, if a foreign businesswoman extends her hand, a cosmopolitan Ethiopian may accept it to avoid causing her offense. ine regards and never rushed as a formality. Enquire mon and appreciated. lency” without using their name.

Another generality of Ethiopians is that they tend

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Entertainment MUSIC & DANCE Ethiopia is a musically traditional country with

composition draws its fame both in its endurance and institutionalization of a tradition to mark the rhythm of life of the faithful.

is played, recorded and listened to, but most musicians also sing traditional songs and most audiences choose to listen to both popular and

Ethiopian musician scholar.

Aksum, he descended from a line of prominent choreographer and poet, who lived in Aksum almost 1,500 years ago. He created three main sacred Zema or musical compositions, which are who charted a modernist path of Ethiopiaâ&#x20AC;&#x2122;s sense of identify and culture. His musical invention, in particular, established a tradition of cultural dynamism and continuity. Zema, or the chant of Ethiopia, particularly the chants

foundation for common purpose and plurality among various ethnic, linguistic and regional groupings of the Ethiopian people. Elaborate visual representation of chants, the introduction of additional musical instruments, movements and performances by Ethiopian scholars have further enriched and secured the continuity and dynamism of the tradition to the present. Ethiopian people know and love their folk songs. accompanied by excited ululation, especially at weddings and other joyful occasions. No joyous occasion ever passes without the Ethiopians indulging in their unique form of dancing. There are many styles, according to the region, but they frequently focus on their shoulders, which seductively gyrate and undulate in a frenzied display of almost competitive energy.

for the last almost 1,500 years by the priests. Mulatu Astatke is internationally known It is indeed a classical tradition both musically and lot of people know him in his own country!

No people in the world move their shoulders like Ethiopians do

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ARTS & CRAFTS

Crosses

Ethiopian art comes in many forms, including religious and secular paintings, basketry, crosses, jewellery, icons, illuminated manuscripts, crowns and many other art forms. Its history goes back almost three thousand years to the kingdom of Dâ&#x20AC;&#x2122;mt. A unique feature of Ethiopian Art is its style of painting that is to be found in every church and in many other locations. This style seems to have remained almost unchanged for centuries.

made from wood and metal. They are often abstract in design, many with interlacing patterns. Fractal designs are common.

Painting Ethiopian art. Images are drawn into two dimensions, almost cartoon like in their direct and simplistic portrayal, with strong colours and clear lines. The majority of paintings are religious in nature, often decorating church walls and bibles. European medieval imagery is a clear comparison here. The almond shaped eyes are a particularly appealing

(angels in Ethiopian art are often represented as

also commonly painted with religious icons.

Basketry They have many uses, such as storing grains, seeds and food and being used as tables and bowls. The Muslim city of Harar is well known for its high quality basketry. Ethiopian baskets fall into the â&#x20AC;&#x153;coiledâ&#x20AC;? variety.

Maitre Artiste Afework Tekle has an international reputation as an artist of immense standing. His works, though clearly based in an Ethiopian tradition, have a new and creative dynamism that have universal appeal. His work has been displayed all over the world for decades. He has produced not only paintings, but also statues and stained glass. There are many young and dynamic artists in Ethiopia with international appeal and a variety of styles. In the capital and major towns of the country,

1,2,3. Different suggestions to get a genuine Ethiopian souvenir

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most of them display their works in art galleries, shopping malls and restaurants. In addition to that, exhibitions are organized in different places.

make tibs, which can be served normal or special.

grilled meat served “to pay particular compliment or

GASTRONOMY of the indigenous grain called t’ef, is the country staple. The injera is typically served either with meat or vegetable sauce. To eat it, you tear off a bit of injera and use it to pick up pieces of meat or to mop up the sauce.

but uses cubed, rather than ground beef and at last raw meat. These are very popular and unique to Ethiopians. A traditional Ethiopian meal involves a gathering of people, who eat together from one large circular plate. The guest will have the choice morsels of meat placed in front of them, which they wait to eat last

your hands ahead of time. Typically, a jug of water and a bar of soap are brought to you for that purpose. Along with the traditional Ethiopian meal, one would normally drink either t’ej, a type of honey wine, or a local beer called t’ella. Tej is a potent honey wine, similar to mead that is frequently served in traditional The injera has to be eaten with your hands, no forks or knives allowed.

the iron of wheat or barley. The calcium, potassium and other essential minerals are also many times what would be found in an equal amount of other complex carbohydrates. T’ef is the only grain to the grain, so no yeast is added in the preparation of injera.

“esete’’ stem and root.

food its characteristic taste, can be quite hot. A popular food called wot is a hot spicy pepper sauce, which is eaten with basic ingredients like vegetables, meat and chicken.

Meal

only. Tella is the most common beverage made and served in households during holidays. Ethiopia also

red. The best places to experience typical Ethiopian traditional meal serving with folklore music are the several cultural restaurants in Addis Ababa, like

Breakfast with spices or wat, is a common breakfast dish. Another popular breakfast food is fatira. It consists

and niter kibbeh, or spices and may be eaten with a spoon. A porridge, genfo is another common breakfast dish. It is usually served in a large bowl

The meat that Ethiopians eat is beef: either cooked, dry or raw. Mutton is eaten in the high altitudes, while camel and goat are eaten in the lower regions. Tibs, meat or vegetables are sautéed to

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Coffe

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Hanan Restaurant

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from Ethiopia, where it is a critical component of the economy and is a central part of Ethiopian beverages. The coffee ceremony is the traditional serving of coffee, usually after a big meal. It often involves the use of a jebena, a clay coffee pot in which the coffee is boiled. The preparer roasts the coffee beans right in front of guests, then walks around wafting the smoke throughout the room so participants may sample the scent of coffee. Then the preparer grinds the coffee beans in a traditional tool called a mokecha. The coffee is put in to the jebena, boiled with water and then served with small cups called served with salt in many parts of Ethiopia. In some parts of the country, nit kibbeh is added instead of sugar or salt.

Drinks Tej is a potent honey wine, similar to mead, that is frequently served in bars (in particular, in a tej bet local spirits that are very strong.

only. “Tella” is the most common beverage made and served in households during holidays.

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ETHIOPIAN RECIPES Doro wot Doro wot is a traditional Ethiopian stew of chicken, eggs and onions seasoned with a blend of ginger,

a spice mixture that includes chili peppers, ginger, coriander, fenugreek, cardamom, cinnamon and other spices. It serves as a key ingredient in the Ethiopian cuisine.

Ingredients 10 chicken drumsticks ¼ cup of ghee ginger ions 2 tablespoons berbere black pepper, cardamom

salt

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Nuria Restaurant: www.nuriarestauranteetiope.es

Heat the ghee in a large oven over a medium heat.

minutes to ensure they are cooked.

heat.

Transfer the chicken drumsticks to a serving plate, garnish with the egg slices and pour the spicy sauce on top.

Red Lentil /Misir Wot Ingredients

Add the berbere, cardamom and black pepper, then pour in the water. Introduce the drumsticks into the liquid and let the contents of the pot simmer on a low heat.

of berbera 2 garlic cloves turmeric salt Â˝ kg red lentils 1 tomato

ally, until the meat is tender and cooked through. In the meantime, make hard boil and peel 4 eggs.

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Entertainment Then, add more water and bring to the boil. for several minutes, until they begin to soften and become transparent.

Add the lentils and stir to combine all the ingredients.

Add the oil and cook for a few more minutes. Add the berbere and garlic and allow the ingredients to simmer for several minutes. It is important to add the water gradually in order for the ingredients to cook and blend well. The mixture will be rather thick, therefore it must be stirred constantly to avoid burning it. Add the diced tomato and stir.

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simmer, keeping a close eye on the lentils. If the liquid has been absorbed before the lentils have become soft, add more water as required and continue to cook on a low heat. Add the curcuma and salt, stir well and continue to simmer until the lentils are completely soft.

Entertainment Mild Beef (Alicha Wot) Ingredients

beef cubed 2 onions 2 tablespoons of ghee black pepper salt 1 tablespoon of cumin 1 tablespoon of turmeric 1 tablespoon of salt diced

coloured grain that flourishes in the highlands contains practically no gluten. A short period of fermentation gives it an airy, bubbly texture and also a slightly sour taste.

Ingredients water teff flour

In a large pot, brown the beef in 1 tablespoon of ghee. Add onions, garlic, green and red diced pepper. In another pot, add the remaining tablespoon of ghee along with the onions, garlic, ginger and black pepper, cooking until the onions are soft. Add cumin, longer, stirring occasionally. Transfer the meat into the second pot and pour in water.

bowl for one to three days, until it starts to bubble. The mixture should be slightly sour and have the consistency of crĂŞpe batter.

and cook slowly until air bubbles rise to the top. If youâ&#x20AC;&#x2122;ve ever cooked pancakes, making injera might seem familiar. In both cases, tiny bubbles on these bubbles is a great way to see how close the pancake or injera is to being ready without peeking underneath.

meat is very tender.

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Entertainment Important Events / Holidays

girls to sing and dance and for exchanging New

Religion plays an important part of life in Ethiopia. are unique and impressive; especially Timket and Meskel festivals, which provide colourful ceremonies and celebrations; people dress in traditional costumes and celebrate festivals across the country with colourful unique ceremonies

and thus fall at different times each year. The ninth month of the Muslim calendar is devoted to Ramadan, which is marked by fasting. The greatest Muslim feast is “Id Al Fatr”, which is celebrated at the end of Ramadan. The “Id al Adha” is the feast marking Abraham’s sacrifice.

Meskel (Finding of the True Cross): Meskel is celebrated by dancing, feasting and lighting

symbolizes the events carried out by Empress Helena. Timket (Epiphany): This is an extremely colourful

Ethiopians sacrifice animals and distribute part of the meat to the poor. Muslims also celebrate the prophet Mohammed’s birthday “Moulid” and mark the anniversaries of numerous martyrs.

mention just two, take place in the country every year:

taken to a tent, close to a consecrated pool or stream, accompanied by much ringing of bells, blowing of trumpets and the burning of incense. Irrecha: Irrecha means Thanksgiving Day to their

Enkutatash (New Year): Falls on Meskerm 1st

season. Meskerm 1st is also celebrated to mark Enkutatash is not only a religious holiday, but it is also a day for young boys and for the blessed transition from the rainy season

Timket (Epiphany), one of the traditional ceremonies celebrated across the country.

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Ethiopian green landscape makes beautiful pictures.

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Entertainment Shopping Ledet (Christmas):

Excellent value can be found in religious and historical souvenirs, as well as in local jewellery,

a spectacular procession, which begins at 6AM

The most typically Ethiopian items on offer are woodcarvings, wood and metal crosses, illuminated manuscripts and prayer scrolls, spears, drums and carpets.

Photo: Antonio Fiorente

people go home to break the fast with the meat of chicken, lamb or beef accompanied with

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where it’s culturally par for the course, though prices in conventional stores and malls are fixed.

in the cosmopolitan capital of Addis Ababa, the largest open air market in all of Africa.

WHAT TO SEE & DO

weather along with the incongruity of donkey herds strolling along the boulevards, Addis Ababa is a delightful place to explore. It is a city of surprises, characterised by remarkable diversity. From its inception, Addis Ababa was clustered

much activity that the capital grew and developed rapidly.

diplomatic capital of Africa, was chosen to be the headquarters of the United Nations Economic

CITIES & REGIONS Addis Ababa capital city of Ethiopia 126 years ago. The city was chosen the capital of the city of the country by Taitu, king’s wife, who had sampled the advantages of the natural hot spring “Filowoha” and discovered the beauty of the sourrandings. In ahmaric, Addis

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Today, the city hosts more than 100 embassies and consular representatives. Addis Ababa, which bears the imprints of many of these past developments, is a major metropolis

heart of Ethiopia and enjoys good connections with all of the country’s economic zones.

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Entertainment Places to visit in Addis Ababa

National Museum:

Mercato: and fossiled hominid sketelon. ware, pots, arts and crafts, etc. Piazza: The city’s second main shopping area provides a calm environment and in many cases better quality goods than the Merkato. Churchill Avenue: ised in Ethiopian handcrafts and other interesting tourist souvenirs. Lion House: Emperor travelled with this lions and used them as “royal signatures” by giving them as gifts.

St. George’s Cathedral and Museum: ful cathedral, traditional in form, full of history. The museum probably contains the best collection of ecclesiastic paraphernalia in the country.

The Tigray Regional State Tigray is among the few universally accepted historic sites in the world, frequently mentioned in civilization and cultural lists of humanity. The monuments of the whole continent. It is very well

Entoto Mountain:

est is a delight.

Photo: Antonio Fiorente

from the Temple in Jerusalem.

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Entertainment Moreover, the region has served as entrance of the is found in the state, is an interesting area for The Mosque of Negash is also another historical site. There are more than 120 rock hewn churches and caves that serve as monasteries scattered over the mountains of Tigray, containing gold and silver crosses, glittering crowns, manuscripts and

klipspringer and bushbuck are among the wild animals that are found in this state.

The Amhara Regional State

other cultural heritages are priceless assets of the country. world heritages of the country. The traditional mural painting and handcraft, the preserved corpse of the have left the region with dry and treeless plains, hills and plateaus. Nevertheless, an amazing landscape meters, cliffs, ledges and precipices are natural attractions of the region. Tekeze and Mereb are international of Tigray with their sources in the Amhara and Eritrean Mountains, respectively. There

two main parts, namely the highlands and lowlands. The highlands are 1,500 meters above sea level and comprise the largest part of the northern and eastern parts of the region. The highlands are also

peaks that are located in the highlands part of the region. The lowland part covers mainly the western

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Entertainment The Regional State of Afar meters above sea level fall within the “Dega” climatic

The Oromia Regional State

Afar is the origin of human species, where 4.4 million years old humanoids have been recently discovered. The capital city of the state of Afar is Aysaita. Afar is located in the eastern part of Ethiopia, with 2 . The population of Afar is an estimated 1.6 million, spread across

part of the country and at present comprises

km2

the working language of the state. Afar has many tourist attractions, with Awash natural

remaining 4.6% constitute other ethnic groups.

depression real expressions of Ethiopia’s desert beauty.

areas and agriculture has remained the source of livelihood for the overwhelming majority of the people.

The Regional State of Somali

endemic varieties of fauna and bird species. There

about 250,000 square kilometres.

water sports, sunbathing and bird watching can be enjoyed. Aside from nature, there is much

million, spread across the following ethnic groups:

Jimma being a major attraction.

Photo: Antonio Fiorente

the working language of the state.

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The Regional State of Southern Nation, Nationalities and Peoples

lowlands. The region also has an array of fauna that attract tourists: hot springs, mineral waters, waterfalls and densely natural forests.

The Regional State of Harari Harari is one of the most popular historical towns administrative zones or woredas. The capital city

2 , with an estimated population of 210,000. The ethnic

places to visit.

Harari has a very historical aspect to its tourism attractions. The origin of the walled city of Harar

The Regional State of Gambella

location made it an important centre of Islamic

administrative zones and eight woredas, with

Harar is considered to be the fourth most holy city of Islam.

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NINE WORLD HERITAGE SITES 1. Axum

Its hushed interior, resplendent with many beautiful murals and paintings, evokes a mood of contemplation in an atmosphere of antiquity.

The ruins of the ancient city of Aksum are found close to Ethiopiaâ&#x20AC;&#x2122;s northern border. They mark the location of the heart of ancient Ethiopia, when the

The massive ruins, dating from between the 1st and royal tombs and the ruins of ancient castles.

to hold them in place, lead down to a labyrinth of

Ethiopian emperors continued to be crowned in Axum.

Axum is renowned for the worldâ&#x20AC;&#x2122;s tallest monoliths

The extensive traces of noble buildings with large stone foundations are found here side by side with the ruins of even more impressive structures, temples, fortresses and rich palaces.

experts believe they were erected to mark the passing of some ancient royal personages; others say that they had an astronomical function. In ancient times seven of the tallest obelisks stood in what is today

bronze coins are sometimes exposed by heavy downpours of rain.

modern town square. The largest obelisk, measuring

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Entertainment 2. Fasil Ghebbi, Gondar served daily by Ethiopian airlines, with some good

Emperor Fasilidas. Many other fascinating historical

churches, monasteries and unique public and private buildings marked by Hindu and Arab

once the Ethiopian capital, was home to a number of emperors and warlords, courtiers and kings.

missionaries.

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atmosphere of antique charm mingled with an aura of mystery. The city was once a vigorous and vital centre dance and poetry, together with skilled instructions in these and many other disciplines, thrived for more than two hundred years. Fasilidas and his successors saw their elegant capital as a renaissance of Ethiopian culture and so patronized the arts.

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3. Harar Jugol,

on a plateau with deep gorges surrounded by desert and savannah. The walls surrounding this sacred centuries.

Entertainment For centuries, Harar has been a major commercial centre, linked by the trade routes with the rest of Ethiopia, the entire Horn of Africa, the Arabian

Harar Jugol, said to be the 4th holiest city of Islam, 10th century and 102 shrines, but the townhouses with their exceptional interior design constitute the most spectacular part of Hararâ&#x20AC;&#x2122;s cultural heritage. The impact of African and Islamic traditions on the development of the townâ&#x20AC;&#x2122;s building types and urban layout make for its particular character and uniqueness.

environment. The landscape demonstrates the shared values, social cohesion and engineering knowledge of its communities. The site also features anthropomorphic wooden statues, grouped to represent respected members of their communities and particularly heroic events, which are an exceptional living testimony to funerary traditions that are on the verge of disappearing. system of marking and passing of generations of leaders. The cultural properties including the traditional

4. Konso Cultural Landscape

arid sites list. All the necessary requirements have been

It constitutes a spectacular example of a living cultural tradition stretching back 21 generations

nomination document and management plan of the

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Entertainment 5. Lower Valley of the Awash The Awash valley contains one of the most important groupings of paleontological sites on the African continent. The remains found at the site, the oldest of which date back at least 4 million years, provide evidence of human evolution, humankind. The most spectacular discovery came

tools have been found and, in the higher levels,

stones used together in nets to throw at animals. Fossilized bones of hippopotamus, rhinoceros, elephant and various antelope have also been found here. If you walk upstream along the banks of the river,

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Just over the bridge, turn right to follow a dirt road to the archaeological site of Melka

seen, particularly in the dry washes. Remember, prohibited and local citizens help to enforce this restriction.

a compound here, set up to excavate this area at the entrance to the gorge where, two million years ago, the earliest ancestors of mankind had a home. They left behind tools, as well as traces of meals and shelters. In the lowest levels pebble

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6. Lower Valley of the Omo places on earth because of the wide variety of people and animals that inhabit it. It is located in

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its culture and diversity. The site is of immense importance for its hominid fossils, which have been of fundamental importance in the study of human evolution. These fossils include the remains of Homo gracilis and Australopithicines, as well as the earliest known bone fragments of Homo sapiens, dating from of other mammal fossils. The boundaries of the world heritage site are not clear from available documentation, but the km2 bank of the river, some 100 km north of the point

will impact the ecosystem, tribes and animals that live in the valley.

7. Rock - Hewn Churches, Lalibela The 11 medieval monolithic cave churches of this mountainous region in the heart of Ethiopia, near

still today a place of pilgrimage and devotion.

Francisco Alvarez, came to this holy city between 1521 and 1525, travelers have tried to put into words their experience, praising it as a â&#x20AC;&#x153;New

important resource and without it the tribes and are unable to believe that the rock churches are entirely made by man. They ascribe their creation

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Entertainment to one of the last kings of the Zagwe dynasty,

8. Tiya Tiya is among the most important of the roughly 160 archaeological sites discovered so far in the

even austere, mountainous landscape of the region stelae covered with symbols, most of which are hook plough. Their little huts hardly seem to offer

meadow, you will suddenly discover in a pit below

the visitor on top of a mountain as a glorious symbol

they rather hide themselves in the rock, surrounded by their deep trenches, only to be discovered by the visitor when standing very close on top of the rock and looking downwards.

intriguing and mysterious. Almost nothing is known about the monoliths carves or their purpose. Most of the stones are engraved with enigmatic symbols, notably swords. French excavations have revealed that the stelae mark mass graves the remains of an ancient Ethiopian culture whose age has not yet been precisely determined.

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freezing at night.

9. Simien Mountains National Park 2

of highland

highest peak, 4,620 m Ras Dashen, stands adjacent to the park. The scenery is spectacular. savannah and heather. Temperatures drop below

Ethiopia, in fact, has a recorded list of 242 land

with dense tree heather and thickets, intermixed with bogs and swamps with sedge grass and giant lobelias.

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heritage is in danger. Massive erosion over the years on the Ethiopian plateau has created one of the most spectacular landscapes in the world, with jagged mountain peaks, deep valleys and sharp precipices dropping some 1,500 m. The park is home to some extremely rare animals such as the

a goat found nowhere else in the world.

cut off to the north and west by an enormous single crag over 60 kilometers long. The tableland is divided by gorges.

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closest relative lives in the Andes Mountains of

Bird Watching

be seen in large numbers.

surrounded by arid lands has enabled the evolution of many birds in the region into unique forms and

Many of the endemic species present on western and southeastern highland plateau common and surprisingly easy to see, even in environs of a city. Endemic species include

The comical Rougets Rail is often seen in grass can usually be noted by their calls and typical fast

the are the the

Ibis with its raucous call and unsightly habit of

the quintessential Ethiopian habitat (for birds in of the endemics are to be found here, as well as a

and white wing patches.

richest areas are the small patches of natural forest on gorge edges, in inaccessible valley bottoms and churches.

Endemic Birds endemism, harbours over 60% of the species of birds found in the country. In total 161 birds species

Lakeside Bird life Ethiopiaâ&#x20AC;&#x2122;s lakes are famous for the sheer numbers

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the proximity to numerous aquatic and terrestrial numerous great white pelicans and greater and

ground for great white pelicans and a nesting spot

possible to walk on a porch a short distance into the lake, which gives a beautiful view from a closer distance.

Lake Babogaya This is on the outskirts of Debre Zeit. This lake has a wide lakeside area, which is busy with tourists on

The best season for bird watching is from the and boat recreation. November and February, migrant birds also raise the bird population and widen species diversity as well. Ethiopia is a bird watcherâ&#x20AC;&#x2122;s heaven.

Bishoftu

and beautiful tropical gardens on the other, the slice of paradise you are looking for lies only 45 kilometres or a short 40 minute drive away from the capital city of Addis Ababa.

Lake Tana level with moderate weather conditions.

become fully operational only recently. This resort is such a lovely place; you wonâ&#x20AC;&#x2122;t want to miss out on it.

Lake Hora just 10 km from the international airport of the surface area. This lake is the oldest developed resort in Debre Zeit. However, it has only recently become conveniently accessible from Ethiopian Air on the lakeside, which gives a clear view of the lake while enjoying the cuisines served. It is also

Lake Hora

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River leave its natural source and begin its journey feeding Egypt and ending up in the Mediterranean

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WHERE TO EAT

Grani di Pepe Adwa Roundabout Addis Ababa

Amsterdam

Kaldis Coffee Trough all the city Addis Ababa

Addis Ababa

Kuriftu Diplomatic Restaurant can Restaurant

Addis Ababa

Addis Ababa La Mandoline Avanti Restaurant

Addis Ababa

Addis Ababa Addis Ababa Blue Tops Restaurant Addis Ababa

Lucy Restaurant Addis Ababa

Castelli Restaurant MK’S Addis Ababa Addis Ababa China Bar & Restaurant Addis Ababa

Peacok Restaurant Addis Ababa

Club Juventus Addis Ababa

Rodeo Addis Addis Ababa

Cupcake Delights Bakery Addis Ababa

Enya’s Mediterranean Kitchen

Romina

Addis Ababa

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Entertainment Harmony Hotel Addis Ababa

Tivoli

Addis Ababa

www.harmonyhotelethiopia.com

Addis Ababa Jupiter International Hotel Top View Restaurant Megenagna Roundabout Addis Ababa

Yod Abyssinia Traditional Restaurant

Addis Ababa

www.jupiterinternationalhotel.com

Hilton Addis Ababa Addis Ababa

WHERE TO STAY *for further details, please refer to the tourism industry section.

ADDIS ABABA

www.hilton.com Nexus Hotel Addis Ababa

Dreamliner Addis Ababa

www.dreamlinerhotel.com Friendship International Hotel

www.nexusaddis.com

Panorama Hotel

Addis Ababa

Addis Ababa www.panoramaaddis.com www.friendshiphotel.com.et Intercontinental Addis Hotel Addis Ababa

www.interontinentalddis.com

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Radisson Blu Hotel Addis Ababa

Entertainment Sheraton Addis

LALIBELAountain View Hotel

Addis Ababa Ethiopia

www.luxurycollection.com/addis

www.mountainsviewhotel.com

Wassamar Hotel

NIGHTLIFE

Addis Ababa

Addis Ababa is earning a growing reputation for its burgeoning and buzzing nightlife, offering everything from relaxing cocktail bars, intimate restaurants and hopping discos.

Fax: +251 11 661 0065 www.wassamarhotel.com

ARBAMINCH Paradise Lodge Arbaminch

www.paradiselodgeethiopia.com

BALE MOUNTAINS Bale Mountain Lodge

www.balemountainlodge.com

GONDAR Ghion Goha Hotel

In terms of refreshments, the national drink tej is highly recommendable; an alcoholic drink similar to

ous tropical fruits, most commonly avocado, banana, mango, or papaya. It is served in a glass and eaten with a spoon, and this custom should be observed (as

There are of course many spots for visitors to get off the beaten track and sample some more authentically Ethiopian locales, i.e. where real Ethiopian music is played. The Habasha Restaurant on Forazmari ments, such as the single stringed violin, without

azmari bait, it’s possible to do an “azmari crawl”, going from one house to another. Nightlife in Addis Ababa gets moving around 11 pm, and goes on all night.

Gaslight at Sheraton Addis Addis Ababa

www.gohahotel.com

www.luxurycollection.com/addis

HAWASSAResort

Hilton Addis Ababa

Hawasssa

Addis Ababa

www.haileresort.com.et Lewi Hotel & Resort Hawassa Tel: +251 46 2201654 www.lewihotel.com

www.hilton.com Liquid Lounge Addis Abbaba

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Wassamar Hotel

Fantu supermarket

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Much of the information used within the book was gathered by our business journalists, who conducted research and interviews with prominent personalities Federal Democratic Republic of Ethiopia, along with many of its government ministries and National Authorities, also served as a wealth of information. For more information about the interviews conducted in Ethiopia, please visit www.ebizguides.com In addition to the information gathered in Ethiopia, the following sources were also used:

http://goafrica.about.com/od/ethiopia/Travel_Guide_to_Ethiopia_East_Africa.htm http://en.wikipedia.org/wiki/Ethiopia http://www.mfa.gov.et/ http://www.ethiopia.gov.et/home http://www.mysc.gov.et/ http://info.moe.gov.et/ates.shtml http://www.moh.gov.et/English/Pages/index.aspx http://www.mofed.gov.et/English/Pages/Home.aspx