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IBM is launching plans to increase its market share in Ethiopia with increasing demand for its products. The increased demand from local partners has been quite significant according to an IBM recruitment event held at the Addis Ababa Hilton Hotel this week.  The event was attended by representatives from various governmental and private institutions.

Ethiopia is one of the fastest growing economies in the world with ever increasing opportunities said Gordon Lehman, Market Development Advisor for IBM.

IBM is seeking to invest in Ethiopia for these reasons and the stable macro-economy, investment protection, stable government, transparent legal framework and streamlined procedures according to Lehman.

Zemen Bank, Ethiopia declared 123 million birr in gross profits in the 2011-12 financial year, netting 86 million birr. The revenue earned by the bank is 2 million birr more than what the bank had declared in the previous financial year according to the statement by the bank. Zemen was able to deliver 58% in earnings per share to its shareholders it reported.

The rate of growth for the bank was slower as compared to the performance it had registered in the previous year said Ermias Eshetu, Vice President of Marketing and Corporate Services with Zemen.

The investment and capital of the bank has been tied up in provisional investment costs for the construction of the future headquarters of the bank and in the purchase of National Bank bonds as per requirement he explained.

Wegagen Bank, Ethiopia announced that it has earned 458.3 million birr in gross profit in the past financial year. The bank earned 251.7 million birr after tax showing an estimated 126 thousand birr in profit as compared to the previous financial year and the Earning per Share distributed to shareholders was 70 birr lower than the year before falling from 448 birr to 378 birr.

The bank’s earnings in general were stagnant in comparison to the previous year when the bank’s net profit and legal reserve had shown a growth of 9.3 million birr.

The bank needs to develop its deposit mobilization with total deposits for the last fiscal year 305 million birr less than the 5.73 billion birr in the previous fiscal year according to industry experts.

Artisan Gold Miners in Ethiopia supplied an estimated 2,552 kilograms of gold worth more than 132.7 million US dollars to the National Bank in the first quarter of the current financial year according to the Ministry of Mines.

The gold was obtained from miners in the Benishangul, Oromia, Tigray, Gambella and Southern Regional States said Bacha Fuji, Director of the Public Relations and Communications Directorate of the Ministry of Mines.

The amount of gold supplied by artisan miners in the past quarter was 488 kilograms more than what was acquired in the previous financial he said. The increase in amount translates to an increase of 23.2 million US dollars in revenue according to Bacha.

Ethiopian Airlines has put in a bid to acquire shares in Air Malawi in response from a recent request for expressions of interest for partial acquisition put out by the Government of Malawi.

Companies interested in the offer were to submit their proposals to the Malawi Privatization Authority had explained Patrick E. Chilambe, CEO of Air Malawi speaking at  44th General Assembly of the African Airlines Association, held in Johannesburg last week.

The government of Malawi expects to establish a consortium with the new parties acquiring a 49 percent stake while it retains a 51 percent interest.

The Ethiopian Ministries of Industry and Transport requested that the Ethiopian Shipping and Logistics Enterprise and the National Bank allow 164 businesses to use desired mode of transport following challenges faced in the newly established multimodal transportation system according to sources.

The Ministry of Transport requested the National Bank of Ethiopia to exempt significant industries from the application of the multimodal system and to allow them to choose their own alternative transport according to a letter sent to the bank by Diriba Kuma, Minister of Transport.

The ministry of industry sent a similar correspondence to the CEO of the ELSE, Ahmed Tusa requesting 13 manufacturing industries to be exempt from the system.

The Ethiopian and Kenyan governments signed a Special Status Agreement to facilitate trade between the two neighbors.
Ethiopia is committed to enhanced trade and investment between the two countries according to Hailemariam Desalegn, Ethiopian Prime Minister speaking at the time.

Trade between the two countries should particularly focus on textiles, food complexes, agriculture, raw materials and well as value addition noted Hailemariam.

It is time for East Africa to invest in import substitution by taking steps to produce industrial goods at home he added. External investment will require infrastructural development and appropriate incentive packages for investors said Hailemariam.

The Ethiopian government has drafted a new labor agreement to protect the rights of Ethiopians working in the United Arab Emirates as domestic workers.

The agreement includes minimum wage, mandatory insurance as well as ensuring the protection of elements of worker’s rights and is to be handed to the UAE embassy in Addis Ababa according to sources.

The agreement if implemented could end the ban placed on Ethiopian traveling to the UAE for work.

Ethiopia is to host the second International Conference on Pulses, Oilseeds and Spices, in Addis Ababa from the 28th to the 29th of November according to sources.

The conference will be held under the theme: ‘Agri-Commodity Trade: Challenges & Opportunities’. It is expected that more than 150 domestic exporters and over 100 notable international buyers will attend the conference.

The conference will be organized through the collaborative efforts of the Ethiopian Pulses, Oilseeds and Spices Processors-Exporters Association and the Ethiopian Ministry of trade. It is aimed that the conference will offer participants to identify trade opportunities, to network and to make deals towards developing the sector further.

The Ethiopian Shipping and Logistics Enterprise is planning to implement a restructure to split is services into four divisions following its recent amalgamation according to sources.

The restructure is in the process of implementation in the dry port, transport and shipping sectors said sources within the enterprise.

The four divisions that the new structure will implement will include logistics, shipping, terminal and supportive in a bid to speed up the services offered by the enterprise. It is expected that management for the logistics and terminal divisions will be externally appointed while the other two divisions, shipping and supportive will be handled by existing staff said sources.