BY BACHA ZEWDIE
Earlier to the formation of Sidama as a State in 2021, its people have passed through outrageous political struggle that included armed struggle in some times for the past fifty plus years to secure freedom and realize self governance. Once assured the freedom with blood and sweet, the struggle continued in different dimension more of peaceful with idea focusing on attitude changing of the people aiming to materialize economic development, Ararso Geremew (PhD), Sidama State Finance Bureau Head said.
In an exclusive interview with the Ethiopian press agency, the bureau head discussed myriads of issues concerning the multifaceted progress the newly emerged region scored since its establishment. The long lasted political struggle diverted the mind of the people to self rule independently that hindered the basic economic issue for a while that became burden to the new cabinet of the State.
Up on its assuming the power as a regional state, as to Ararso, the State’s cabinet took as a primary agenda of discussion identifying the basic needs of the people and realized that the people need mostly provision of infrastructure such as roads, power supply, and potable water among others. Since Sidama is well known for its coffee produce and other fruits, the cabinet was amazed and appreciated that how the people is conscious when asking road infrastructure that is the blood vein for economy which helps them provide their products to the market.
Taking in to account the need for road and its significance to economic growth, the cabinet of the region allocated majority of its initial budget around half a billion Birr to road construction. Other infrastructures also were given equal attention, the bureau head said.
As it had gone through structural transformation from zonal administration to Regional State, it had no more income. So, addressing the public questions became challenging because of financial deficit. With the motive of lighting a candle is better instead of staring at the darkness, the cabinet reached on consensus to transform the financial process getting rid of spoiled system via circumventing messy process and avoiding corruption thereby utilizing the limited budget wisely and eying the ways to earn more income.
As to the bureau head, Sidama’s becoming a new state is instrumental in taking outlandish measure in the financial sphere whilst poverty reduction is an utmost priority. As a manifestation of the commitment to ensure financial transparency, Sidama is employing Electronic Government Procurement next only to the federal government.
The provision of training and other capacity building programs has played a vital role in equipping the personnel’s personality and helping them to shun corruption and other malpractices and discharge responsibilities ethically.
As a result, the region scored amazing progress in revenue collection of which the increment has become more than triple in the first half of this fiscal year. To make clearer, earlier to the structural change or the state formation in 2020, Sidama Zone’s internal income was 2.3 billion Birr. The structural change accompanied with not additional budget. Thus, the cabinet is shouldered the responsibility of filling the gap. With commitment, so that, the internal income of the State could reach 6 billion Birr in 2022 and 10.9 billion Birr this year’s first half. This efficiency comes true with the application of legal frameworks to cutting some impeding processes in the course of income collection.
For becoming successful in income collection is not the only target of the State, the bureau head said that they have invested the money on the projects that the people need most like construction of new roads and amendment of the existing ones and potable water provision. The primary focus of the region was poverty reduction sectors.
Besides, social services like education and healthcare could draw attention of the cabinet and they moved towards the sector to address the public needs. As a result, they performed well in expanding number of hospitals and fulfilling with necessary inputs of human resource and materials.
As far as any development is strictly related to financial capacity and following strengthened financially with internal income, the region geared its attention towards poverty reduction programs of which job creation is among the primary issues. Consequently, remarkable amount of the youth could engage in various developmental activities like realizing green legacy and wheat production schemes.
Ararso further said that all the successes registered to date and on the way have come true not without challenges. For instance, on top of shortage of roads and substandard of the existing ones, the industrial parks built in the region could not be operational as the set target. Companies those could create jobs didn’t come to the parks in time due to lack of effort from the government side that coerced the State pay unnecessary sacrifice.
On the other hand, Sidama cannot develop alone without integration with neighboring states of Oromia and South. Working on security issues with these regions has been the key for developing the regions and gaining the benefit desired. In order to ensure peace among the peoples of the regions, integrating them with economic development will help more and promising outcomes have been observed so far, the bureau head noted.
Leading the financial sector with transparency necessitates radical change to mould the personnel in a new personality that have a strong aversion to theft. To this end, series of trainings had been provided and the result is promising. People began to see the financial sector is transformed liberating itself from traditional process that was exposed to corruption.
Those who became rigid in accepting the new process which prioritizes supremacy of the law and remained stuck to the previous messy process were made accountable and received corrective legal measures. This trend is replicated in others sectors as well because transparency in the financial sector alone cannot bring remarkable change in the region’s development.
The bureau head further highlighted that Sidama’s immense investment opportunities coupled with the meticulous promotional activities are the reasons for the growing desire of local and foreign investors to do business in the area. Yirgalem Agroindustry is a good example in this regard for its world-class facilities including the uninterrupted provision of electricity, water, healthcare, banking and other essential services.
Yirgalem Agroindustry is inaugurated last year by Prime Minister Abiy Ahmed (PhD). It is built on 294 ha of land; it can accommodate 152 factories or shades and adorned with greenery. Currently, however, only five companies are functional in the park. With the meticulous promotion made by the Status’s cabinet, many investors have shown interest to engage in this attractive industrial park. Following the promotion, 97 investors get registered in only one day and 11 of them made agreement so far.
Factories engaged in any field in the industrial park, with no doubt, will be beneficial. “For instance, a factory engaged in avocado production earned 5.7 million USD exporting only 2/3 times last year. This indicates the state’s potential for investment and we are inviting more investors to come and reap the fruit of their effort thereby contributing a share to Ethiopia’s economic progress. Investors, local or foreign, who respond positively to the invitation will also create thousands of jobs to local youth,” he illustrated.
“If the industrial park is fully operational,” the bureau head said, “it will provide job for 300,000 to 400,000 youth of the region.” Budget allocation of sidama state, as to the bureau head, is transparent from the regional level to woreda level so that the public can cross check the performances on the ground with the budget allocated. In case they observe any mismatch between the budget allocated for a given project and its performance, they feel free to ask and go up to making accountable the concerned body.
All in all, in order to benefit the public more, Sidama state is working on encouraging the private sector to take the lion’s share in investment surpassing the government’s part. Thus, there is a green light for investors of any background, from any region in the country and foreigners to come to the region and invest on their respective interest, the bureau head underlined.
The Ethiopian Herald January 26/2023
