Ethiopia earns $318m from Horticulture Exports

Aug 31 , 2019


Ethiopia has earned 318 million dollars from the export of flowers and other horticulture products in the just concluded fiscal year. The nation generated 261 million dollars form the export of flowers, while the remaining 57 million dollars was secured from vegetables, fruit and herbs exporst, according to Ethiopian Investment Commission. Netherlands, Saudi Arabia, UK, USA, Japan, Norway, Germany, UAE, Belgium and Italy were the main export destinations of Ethiopian horticulture products. A year and a half ago the government made some policy changes to support the growers. It lowered the equity contribution of local horticulture investors to 15pc from 25pc to get a loan from the Development Bank of Ethiopia and extended tax holiday periods and duty-free privileges for both local and international investors. The horticulture sector, which includes, fruits, vegetables, flowers and herbs, employs around 200,000 people across the country, a fifth of whom belong to the flower industry.


Radar

Electricity Bills Get the VAT Jolt

The new Value Added Tax (VAT) has begun implementation on electricity consumption and various service fees affecting customers who use more than 200 kilowatt hours of electricity per month. Based on a directive from the Ministry of Finance, the tax will be applied to the excess amount of electricity consumption above 200 kilowatt hours. The Ethiopian Electric Utility (EEU) began implementing the VAT on bills starting from November though both prepaid and postpaid customers will have to pay V...


Radar

Gadaa Bank Expands Reach, Faces Lending Constraints

Gadaa Bank closed its first full fiscal year of operations with a net profit of 90.2 million Br. The 18-month-old Bank held its annual general assembly at Millenium Hall on Africa Avenue last week where the board announced that during the year, the Bank opened 15 branches and now has 85 operational branches. “Due to recently enacted policy measures on credit by NBE and unmet resource mobilization during the fiscal year, the Bank was unable to make loan disbursements,” stated Wolde...


Radar

Oromia Bank's Branch Expansion Weighs on Profits

Oromia Bank reported a 47pc decline in net profit to take in 840.9 million Br for the past fiscal year. Interest income grew by 21pc to reach 7.19 billion Br while personnel expense grew by 36pc to hit 3.16 billion Br. The opening of 72 new branches, bringing the total to 575, led to a four percent growth of deposits to 56.4 billion Br. The profits are “unsatisfactory against our ambitious moves,” said Assefa Seme (PhD), board chairperson. “The deviation is primarily attributed to our aggr...