The Ethiopian Investment Commission (EIC) noted that COVID-19 is hamstringing countries’ effort to attract Foreign Direct Investment (FDI). It called for a coordinated effort parallel to stepping up competitiveness.
In an exclusive interview with EPA’s journalists, Deputy Commissioner of EIC, Temesgen Tilahun noted that apart from casting a shadow on public health across the globe and claiming a heavy death toll, the virus is creating a strain on the economy specially tightening its grip on investment. The spread of the virus is coercing investors, due to outlay budget on investment, to reconsider their decisions. As such, investors are exhibiting tardiness in engaging in new ventures.
The pandemic has ramped down global investment flow by 30 to 40% making the competition to attract FDI red hot, according to Temesgen. He added as the competition is growing fierce by the day emerging successful presupposes hard work. Unless Ethiopia gives a kiss of life to its competitiveness it chance of brushing shoulders with global rivals will be minimal. Expecting FDI magnetizing task would proceed in business as usual manner is nothing but fatuous, he said. He hinted that promotion works will be stepped up and works will be buttressed by digital technology. He indicated various countries have vouched for this approach. “Ethiopia is adopting this strategy in a streamlined manner.
Tapping digital technology, Ethiopia is striving to attract new investors and enthuse those already there. It is popularizing the government’s investment opportunities and salubriousness on websites. It as well is registering and giving them investment licenses online. Specially, starting from last year Ethiopia is trying hard to render the investment climate more friendly through giving incentives, The new investment act soon to be ratified will render the country’s investment more attractive and competitive. Moreover the government’s economic policy direction will bring to center stage the private sector and ensure muscles are beefed up to draw FDI.
The pillages and arsons perpetrated by a few who havocked destruction on the wake of the murder of the Oromo vocalist Hachalu Hundessa have dampened the mood of investor here from extending their wings and scaling up their engagements in the country. The tragic unfolding did scare away new ones too. After vehemently condemning the illegal act he calls away the mob from abstaining such unheard of illegal activities. Rather citizens should back up the historic and all-rounded change the nation embraced to up lift the country from economic morass.
The Ethiopian Herald August 2/2020
BY MEHARI BEYENE
