Ethiopian government is planning to establish Construction Industry Council to regulate the construction sector. A draft regulation prepared by the Ministry of Urban Development and Construction for the past two years is set to be tabled to the Council of Ministers in a month time.

The regulation is drafted drawing on the experiences of countries such as, the U.S, China, India and Korea.

The council aims to regulate the booming and corruption prone construction sector according to Seifu Gebremichael, Construction Law Preparation and Enforcement Head at the MoUDC.

"out of the total budget of the country spent for procurement, the construction sector takes up 70 percent. However, 20 to 30 percent will be lost" said Mekuria Hile, Minister of the MoUDC at a meeting organized by the Federal Ethics and Anti Corruption Commission to discuss problems in the construction sector on May 30, 2013 at Ghion Hotel.

The draft regulation establishing the council is expected to be approved by the Parliament in the next Ethiopian Fiscal Year.

Source: Fortune