Trade Rep Cautions Conflict could Harm AGOA Eligibility

Aug 28 , 2021


Ethiopia's access to trade benefits under the African Growth & Opportunity Act (AGOA) is at stake as the United States threaten to review the eligibility of the country if the ongoing conflict in Tigray Regional State remains unaddressed. During a virtual meeting last week with Mamo Mihretu, senior policy advisor and chief trade negotiator at the Office of the Prime Minister, United States Trade Representative Katherine Tai indicated that, if unaddressed, the ongoing conflict in Ethiopia could affect the country's future AGOA eligibility. AGOA is an initiative established by the US in 2000 to grant special access to beneficiaries in Sub-Saharan Africa. It was originally expected to end in 2008, but the initiative is now to run until 2025 after a few postponements. It provides non-reciprocal duty-free access to countries, including Ethiopia, to export approximately 6,500 products to the US market. "In the last three years, the government has been undertaking a host of groundbreaking economic and political reforms, ushering in a new era of openness for Ethiopia. These reforms can only strengthen Ethiopia's eligibility for AGOA, not otherwise," wrote Mamo after the meeting.


Radar

Tech Ministry Falters as Audits Expose Mismanagement, Unmet Ambitions

The Ministry of Innovation & Technology is under scrutiny after an audit revealed lapses in project management and financial oversight. This raised questions about governance standards within a Ministry central to the country's tech-driven growth ambitions. According to the Federal Auditor General, the Ministry has completed only 11pc of its planned projects with its overall financial administration standing at 37.4pc for a year-long project that commenced in 2022. Budget mismanagement an...


Radar

Central Bank Keeps Lending Lid Tight as Inflation Squeezes Economy

The Central Bank has reaffirmed its decision to maintain an 18pc cap on credit growth, reinforcing a commitment to tighter monetary policy during persistent inflation and economic uncertainty. The National Bank of Ethiopia's (NBE) monetary policy committee cited ongoing concerns over inflation, which stood at 19.9pc year-on-year (YoY), and liquidity imbalances as reasons to uphold the restriction on lending. Bankers and analysts interpret this move as evidence of regulators' determination to...


Radar

Ethio Telecom Expands Services with DStv Streaming

Ethio telecom enters the entertainment pool with bundled DStv streaming services through high-speed broadband internet and mobile data packages. The partnership with MultiChoice Ethiopia aspires to merge the telecom's fiber broadband and mobile network with DStv's content. Subscribers can access DStv channels through mobile data or fiber broadband bundles, with discounts of up to 35pc through Telebirr or My Ethiotel (*999#) and up to 26.5pc at sales centers for fiber broadband bundles. Acc...