Federal Gov't Enacts Tax Exemptions


Federal Gov't Enacts Tax Exemptions

The federal government has lifted taxes on consumer goods including wheat, edible oil, sugar, rice, pasta, and eggs. The decision comes at a time when inflationary pressure is at its highest in a decade. Headline inflation hit 30.4pc last month, while food inflation registered at 37.6pc, according to the Central Statistics Agency(CSA). The measure lifts duties and value-added tax for imported or locally-produced edible oil, sugar, Pasta, Macaroni and rice while imported wheat is only subject to duty tax exemption. Eggs have been exempted from value-added tax only. The decision came into effect last week and will remain applicable indefinitely. The franco-valuta privilege that was given to importers of such consumer goods six months ago has also been extended for an additional six months. "We may lose revenues because of the exemptions but it would be instrumental to reducing the rising cost of living," said Eyob Tekalign (PhD), state minister for Finance, during a press briefing held last week. Admitting that tax exemption will not be sufficient to ease inflation, the State Minister disclosed the government would be engaging in regulating supply-side activities as well.


Radar

Abyssinia Bank Strategic Moves Pay Off, Driving Profit Growth

The Bank of Abyssinia (BoA) enjoyed another profitable year, amassing 4.23 billion Br net profits, an increase of 10.5pc from last year. The Bank announced total assets of 222.3 billion Br, surging by 17.3pc. Total deposits mobilised through the year climbed by 33.97 billion Br to 192.51 billion Br, while loans and advances reached 167.7 billion Br. However, the bank exhibited a nominal decline in its foreign currency earnings totalling 424 million dollars. Earnings per share also showed a ma...


Radar

$100m Project Mulls Public Transportation Make-Over

A 100-million-dollar project aims to manufacture over 5,000 diesel-powered and electric public transport vehicles for the capital. The proposed project was launched hoping to replace the ageing vehicles and improve safety, efficiency and quality across the city's urban transport system. Last week saw an MoU inked between executives of Multiverse Enterprise Plc and Addis Abeba Minibus Associations and was held at Vamdas Entertainment near Megenagna. The agreement includes plans to replace 15,000...


Radar

Safaricom Soars with 6.1 million Customers

Safaricom Ethiopia reported significant commercial growth in the first six months of the 2025 fiscal year (April to September 2024), with notable increases in both mobile (GSM) and M-PESA services. The company's network and services reached a population coverage of 46pc, growing from 30pc in the previous year. This expansion was supported by the addition of over 1,000 network sites, bringing the total to more than 3,000 across the country. Safaricom Ethiopia saw a surge in its customer base,...


Back
WhatsApp
Telegram
Email