Private Firms Enter Ethiopia's Logistics Sector

Mar 16 , 2024


Cosmos Multi-Modal, Tikur Abay and Panafric Global have etched their names in history as the inaugural recipients of certificates for multimodal operations, marking the private sector's participation in the logistics sector. The ceremony, held at Sheraton Addis on Taitu St, saw the presence of Alemu Sime (PhD), minister of Transport & Logistics, and Abduber Shemsu, director general of the Ethiopian Maritime Authority. Alemu emphasised the pivotal role of increased private sector involvement in driving Ethiopia's logistics strategy forward over the next decade. "Our logistics performance needs to be competitive," he said, "at least within Africa if not globally." Historically, Ethiopian Shipping & Logistics (ESL) has held a virtual monopoly over the country's logistics sector, facilitating nearly 90pc of all operations. The state-owned enterprise reported a substantial revenue of 23.7 billion Br in the first six months of the year, underscoring its dominant position in the market. However, the Maritime Authority opened the doors to private sector participation last year where 13 local companies, including notable entities such as the Ethiopian Railways Corporation, Maccfa Freight Logistics, Panafric Global, and National Transport Plc, expressed interest. This strategic move comes as Ethiopia charts a new course in its trade routes, exemplified by its inaugural shipment of fertiliser through the Lamu port. It aims to reduce reliance on traditional ports in Djibouti and diversify trade pathways.


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