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Private-Sector Confidence Grows as Foreign Investment Climbs

Aug 23 , 2025


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Ethiopia attracted four billion dollars in foreign direct investment during the 2024/25 fiscal year, up 2.2 percent from the previous year. The investment authority credited policy reforms, digitised services, and broader access to strategic sectors for the growth. Authorities issued 544 new and expansion permits, with foreign investors taking the largest share. The import-export trade sector, recently opened to foreign participation, secured 61 licenses. Fourteen industrial parks were upgraded to Special Economic Zones, generating 123 million dollars in export earnings. Local industries substituted imports worth one billion dollars. The "Invest in the Country" forum drew 1.6 billion dollars in commitments from 700 investors. Officials said legal reforms and public-private dialogues are boosting confidence in private-sector-led growth.


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Federal Prosecutors Accuse Public Officials, Contractors of Corruption, Alleged Illicit Fund Transfers

Federal prosecutors have filed corruption and money laundering charges against 11 defendants, including Nigstu Bogale, Coordinator of the Development Project for Response to the Impact of Refugees in the Horn of Africa at the Ministry of Agriculture, Biniyam Fantaye and Taye Habte, senior irrigation engineers involved in the Development Response to Displacement Impacts Project (DRDIP-II), as well as private individuals and construction company representatives. The case alleges losses and illicit...


Radar

EIH Transitions to New Headquarters as It Oversees Major State-Owned Enterprises

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Radar

Import Substitution Push Lifts Domestic Manufacturing, Industrial Recovery

A push for import substitution and industrial expansion has prioritised 96 strategic products for local manufacturing. The “Ethiopia Tamirt” initiative reports 4.85 billion dollars in savings, supported by trade fairs linking local producers to domestic and international markets. On average, 700 new projects enter the market annually, contributing to more than 2,800 investments over four years. At the grassroots level, 18,000 SMEs have been established, while 993 dormant factories have...