Ethiopia attracted $700 Million in Foreign Direct Investment (FDI) during the first quarter of the fiscal year that started in July this year, the Ethiopian Investment Commission reported. The figure stands at 70 percent of the planned a billion-dollar target for the period.
The Commission, in its report to the House of People's Representatives' Trade and Industry Standing Committee, said investment came in from close to a hundred foreign companies operating in various sectors.
Abebe Abebayehu, Ethiopian Investment Commissioner, stated that the achievement has shown a 13 percent increase compared to the same period last year.
Mr. Abebe, acknowledging that Ethiopia is still not earning the expected foreign currency from its manufacturing products, mentioned lack of peace and stability, repeated power break, infrastructure inadequacy around the industrial parks as major challenges in investment. He emphasized the recent instability in the country as a significant hindrance for investment, declaring, "Ethiopia has lost 300 million USD due to the disruption in [various] parts of the country.”
Manufacturing has suffered the most in failing to meet the set target, according to the report, only securing $47 million in the sector for the quarter.
Noting that attracting the highly qualified investors has been a top priority of the nation, the commission has licensed the best global firms during the last three months unlike the past experience in this regard, the Commissioner underscored.
Upon hearing the report, the House's standing committee urged the commission to focus on export-oriented products, job creation, and technology transfer.