ADDIS ABABA- The Government of Ethiopia will extend the necessary support for Saudi companies that want to invest in the country, Foreign Affairs Permanent Secretary for Economic Affairs Dawano Kedir said.
Opening the two-day Ethio- Saudi Business Forum here yesterday, the Permanent Secretary stated that Ethiopia will provide support for Saudi investors who engage in the priority agro-processing, tourism, mining, manufacturing, and ICT sectors.
Dawano pointed out that tax holiday, easy access to land, and custom free importation of capital goods are among the incentives the government will provide. Ethiopia’s large population, rapid economic growth and geographic proximity to the Middle East make the country an ideal place for Saudi investment.
Furthermore, Ethiopia is undertaking reform that has been widely commended locally, regionally and globally. “The high- level national committee chaired by Premier Abiy made progress in facilitating the business environment and in removing regulatory obstacles that hamper investments.”
According to Dawano, the reforms include improving licensing, registration and tax. On top of that, the Ethiopian investment proclamation has been revised and amended to make it more attractive for foreign investors. Mentioning that the two countries’ political and economic relation finds at high level, the Permanent Secretary noted that 229 Saudi owned projects with an aggregate capital of nearly 20 billion birr have been operational.
“One of the notable recent success stories is the agreement signed by Saudi company ACWA Power to develop solar energy with an investment of 300 million USD in partnership with the Ethiopian government.” The trade volume between the two countries have been steadily increasing and currently, Ethiopia’s average export to Saudi Arabia amounts close to 40 million USD and the import is 187 million USD.
Saudi Arabian Ambassador to Ethiopia, Sami Jamil Abdullah told reporters that the arrival of two Saudi-based business delegations within a week is a clear manifestation for the two countries’ evolving relations in trade and investment frontiers.
“The historic relation of the two countries has in recent years grown into comprehensive cooperation,” Ambassador Sami said, adding that his government has strong commitment to enhance the economic partnership and cooperation with Ethiopia and encourage investors to explore Ethiopia’s business potentials.
The Ethio-Saudi Business Forum is being hosted in collaboration with the Embassy of the Kingdom of Saudi Arabia and Addis Ababa Chamber of Commerce and Sectorial Association.
The Ethiopian Herald, December 19/2019
BY BILAL DERSO
