Ethiopia to Review VAT, TOT and Excise Tax
Ministry of Finance and Economic Cooperation will conduct a study in collaboration with Ethiopian Revenue and Customs Authority (ERCA) to amend the Turn Over Tax (ToT), Value Added Tax (VAT) and Excise Tax.
Ethiopia to Revise Petroleum Profit Margin
Ministry of Trade (MoT) and Ministry of Mines, Petroleum and Natural Gas (MoMPNG) are undertaking a study together to adjust the profit margin for petroleum companies operating in Ethiopia. Currently the profit margin of a company engaged in fuel distribution is 8 cents per liter while fuel station owners make 7 cents.
The law makes Ethiopian Petroleum Supply Enterprise the sole importers and provider of benzene, diesel and kerosene in the Ethiopian market.
Ethiopia to Revise Regulations to Boost Foreign Direct Investment
The Ethiopian Investment Commission (EIC) is to revise regulations that slow down the flow of foreign direct investment (FDI) to the country and implement them soon, Walta Information Center reported.
Ethiopia to See 8% GDP Growth, Says UN Report
Ethiopia’s economy could see an 8% growth rate in Gross Domestic Product in 2012 and 2013 according to the United Nations Report on Global Economic Situation and Prospects 2012. The Ethiopian Government expects 11% growth rate during the same period.
African countries, including Ethiopia, will see growth in the face of a faltering world economy said Adam Elhirka the United Nations Chief of Macro Economic Analysis.
Economic growth in Ethiopia will be seen in infrastructure development and in the energy sector in particular he said. It is expected that economic growth will make up for the adverse effects wrought by drought on agricultural output in some areas according to Elhirka.
Ethiopia to Set Up Chemical Industry Corporation
The Ethiopian Council of Ministers has ratified the directive proposing to establish a Chemical Industry Corporation. The corporation is intended to oversee chemical industrial development under the administration of the Ministry of Industry.
The Ethiopian government has allocated more than 21.7 billion birr for the establishment of the corporation said Melaku Taye, Director of the Corporate Communications Directorate. An estimated 5.4 billion birr has already been used in the process of establishing the new corporation according to Melaku.
The Chemical Industry Corporation will be in charge of setting up factories to produce products from the rubber tree as well as fertilizers, cements and a range of chemical products for the domestic market and for export.
