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Ministry Kicks off Ethiopia-Asseb Road

Jan 23 , 2021

The 71.7Km Melodoni-Manda-Bure road project that will connect Ethiopia to Eritrea's Asseb Port was kicked off late last week. Having a total cost of two billion Birr that will be covered by the Ethiopian government, the road will be built by Chinese firm Shandong Liquino Group. The project is hoped to boost trade and strengthen ties between Ethiopia and Eritrea. During the ceremony of setting the foundation stone attended by Dagmawit Moges, minister of Transport, and Awol Arba, president of Afar Regional State, the project was highlighted as being in alignment with the Ministry's 10-year plan for the transportation sector. The plan gives special attention to interconnecting commercial destinations, urban and rural development centres, areas that are sources of industrial raw materials, industrial zones and centres, tourist destinations and social service providers

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...

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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...

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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...

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