ADDIS ABABA – Ethiopia holds strategic significance for South Korea’s broader African vision, particularly in trade and investment, according to Ethiopian Ambassador to South Korea, Dessie Dalkie.
Speaking to The Korea Herald, Ambassador Dessie emphasized Ethiopia’s geopolitical position, infrastructure, large population, economic potential, and stability as key factors making it a vital economic and diplomatic partner for South Korea’s engagement with Africa.
Dessie highlighted that Ethiopia’s stability and longstanding diplomatic ties with South Korea are instrumental in fostering trade and investment. The flourishing bilateral relationship has encouraged South Korean businesses to enter the Ethiopian market. As a key ally since the Korean War, Ethiopia remains South Korea’s top development partner in Africa.
“Ethiopia is situated in the Horn of Africa, serving as a gateway between Africa and the Middle East,” he noted, underlining the country’s proximity to major shipping routes such as the Red Sea and the Suez Canal. This strategic location positions Ethiopia as a crucial commercial and logistical hub, further reinforced by deep cultural and economic links among Horn of Africa (HoA) nations.
According to the ambassador, South Korean companies recognize Ethiopia’s potential in textiles, manufacturing, and construction. However, investment levels remain below expectations due to a lack of awareness and certain perceived risks.
To bridge this gap, he suggested enhancing information dissemination through trade shows and investment guides. Currently, South Korea primarily exports machinery, electronics, and vehicles to Ethiopia, while Ethiopia exports agricultural products such as coffee, cut flowers, and sesame seeds to South Korea.
Beyond trade, South Korea actively supports Ethiopia’s development in education, health, energy, and technology transfers. “Korea’s expertise in ICT, agriculture, and renewable energy presents great collaboration opportunities,” Dessie added. To attract investors, Ethiopia offers duty-free imports, tax rebates, and investment guarantees.
Dessie pointed out that Ethiopia has been recording an annual GDP growth rate of nearly 10% and serves as a strategic gateway to Africa, providing access to a 1.3 billion-person market through the African Continental Free Trade Area (AfCFTA). The AfCFTA encompasses 54 African Union (AU) member states with a combined GDP of $3.4 trillion. Ethiopia is also focusing on green energy initiatives, including the Grand Ethiopian Renaissance Dam (GERD).
As of 2023, Ethiopia has a population of 126 million, making it Africa’s second-most populous country. According to United Nations projections, Africa’s population will reach nearly 2.5 billion by 2050, accounting for over 25% of the world’s population. This demographic shift presents a significant opportunity for Korean companies looking to expand into the African market.
Furthermore, Ethiopia’s establishment of industrial parks and special economic zones aligns with South Korea’s strengths in construction, technology, and manufacturing. The Ethiopian government has made significant investments in infrastructure to further attract foreign investors.
The deep-rooted relationship between Ethiopia and South Korea dates back to the Korean War when Ethiopia sent over 6,000 troops to defend South Korea. This historical bond continues to shape the strong diplomatic and economic partnership between the two nations.
BY MESERET BEHAILU
THE ETHIOPIAN HERALD SATURDAY 15 MARCH 2025
