Ethiopia in the past few decades has been striving to strengthen its relations with neighboring countries and beyond through various ways. It has carried out a wide range of promotional works through internationally recognized news channels, print media, television and other mediums to build its positive image in the eyes of the international communities.
In addition, efforts have been made to share information through various community groups and institutions based in the country. Successively, in the first Growth and Transformation Plan (GTP I) period, the country has managed to cement bilateral relations with neighboring countries and other African countries, permanent members of the United Nations Security Council, the European Union and EU member countries, Middle East, Asia and Oceania and elevate nation’s role in regional and international forum.
It has also enabled to stimulate trade and investment by attracting foreign direct investment. As many agreed, its economic diplomacy has contributed a lot to its successes- to attract local and anchor international investors, intensify investment and promote nation’s trade activities. Currently, the government is aggressively working to promote nation’s untapped investment opportunities and make the country a potential trade and investment destination.
In relation to this, stakeholders recommend that suitable trade and investment situations here at home, sustainable government to government, people to people and investor to investor relations pay off in the effort to tap the trade and investment sector.
Addis Ababa Chamber of Commerce and Sectoral Association President Mesenbet Shenkute said that institutional coordination among companies is fundamental for a sustainable trade and investment partnership. Likewise, clear investment friendly policy and strategy should be devised in a manner lessen the unnecessary ups and downs. To this effect and lead the sector appropriately, further measures are important, she indicated.
“Opening up the market, knowledge exchange, experience and culture sharing, market review as well as policy change and other measures contribute more in strengthening trade and investment relations among countries.”
For his part, Addis Ababa University College of Business and Economics Department Head and Economic Expert Atnafu Gebremeskel (PhD) said that inspiring and facilitating investors’ inflow is fundamental in harnessing the potential of the business sector. Diversifying economic activities that the investors could join motivates to utilize abundant resources in the area and introduce new market products with different quality and quantity.
As to him, Ethiopia’s reliable trade and investment partnership with different potential countries and companies has hugely promoted its Foreign Direct Investment (FDI) inflow. In most sectors the engagement of China dominates the country’s untapped trade and investment sector. Currently, the country reaps maximum trade relations with China.
The participation and contribution of European Union (EU) countries, USA and other countries is also growing from time to time following the favorable working environment and various investment incentives. New companies from Europe and US are joining the investment sector with maximum efforts and are creating competitive job opportunities for professionals and huge number of youths, he noted.
For him, the time [21st C] is tough time for doing business. Currently, best intellectual inventions and product qualities are the means to win and penetrate to global market. And best ideas and innovations are coming from all directions as part of globalization. Thus, upgrading national status in line with the current international trade and investment requirements would enhance businesses.
For a successful trade and investment agreements, the country needs to upgrade its human capital skills, technology utilization and promote multilingual capacities. Harmonizing market and tariff are also issues that cannot be ignored, he recommended.
Equally, greater attention should be given while selecting investors across the globe in terms of their abilities to creating jobs for citizens, transferring knowledge among others.
Ethiopia has untapped investment opportunities in various areas. Over the past two decades, it has been attracting investors from overseas. Especially big companies have taken part in country’s development plans. The trend is promising. However, in the future, greater attention should be given in selecting investors with high profile and registered reputation.
Currently, it is undertaking massive industrial parks expansion that gives impetus to attract competitive and brand investors to operate easily throughout the country. And the coming of potential investors, in turn, facilitates nation’s endeavors to industrialization.
The Ethiopian Herald March 6, 2019
BY TEWODROS KASSA
