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Ethiopia’s state-run Ethio Telecom plans to install a 4G network in the capital and other regions and to upgrade other network services, it said on Friday, as the government prepares to open up the sector to private foreign investment

In July, Ethiopia announced it would award two telecoms licences to multinational mobile companies, signalling a move toward opening up one of the world’s last major closed telecom markets.

Referring to the liberalisation drive, Ethio Telecom on Friday announced a three-year strategic plan to “reshape the company and lead with business orientation and a competitive mindset.”

Based on data traffic growth and demand, Ethio Telecom will roll out 4G network capacity in Addis Ababa and other regions, and improve network coverage and capacity, the company said.

The statement gave no budget or financing details for the expansion.

The company expects to increase total subscribers by 16% to 50.46 million in the year to July 2020. It plans to open 73 new retail shops over the same period, bringing the total to 438, it said.

Ethiopia, which has a population of more than 100 million people, has been among Africa’s fastest growing economies for more than a decade.

However, the vast majority of the population live in rural areas. Around a third of Ethiopians have a phone and about 70 percent have no electricity, a 2018 World Bank study found.

Ethio Telecom’s network quality is notoriously poor. An internet blackout in June cost the economy millions of dollars and crippled businesses.

The telecoms industry is considered the big prize in a push to liberalise the economy launched last year by Prime Minister Abiy Ahmed.

 

Ethiopia has reported 9.2 percent economic growth during Ethiopian fiscal year which will expire on July 7, 2019, Prime Minister Abiy Ahmed has said.

The premier was speaking while presenting the country’s annual report to the House of Peoples’ Representatives at the national parliament where he raised issues on sustaining peace and security, democracy, economic development and diplomacy issues. 

The premier said Supported by the recent reform policies introduced by the government, domestic demand and supply has been robust, he stated.

According to the Premier, some 1.4 million job opportunities were created in the preceding fiscal year.

In his report, the Prime Minister stated that efforts have been undertaken to widen up the political space, rehabilitate internally displaced communities and ensure the rule of law across the country.

He reported that there were 2.3 million IDPs in the country, of which about 1.1 million were displaced during the reform period and 400,000 by climate change, but over 2.1 have been repatriated and rehabilitated.

As a means of widening the democratic space, more than 10 exiled armed groups were welcomed home, over 45,000 benefited from amnesty, more than 100 thousand prisoners released from all regional states, above 260 media and web sites were allowed to function and rejoin the free market, the Prime Minister noted.

Regarding diplomacy, more than 15,000 citizens were released from prisons abroad and over 76,000 citizens with terminated contracts were repatriated.

According to Abiy, institutional reforms focusing among other institutions on defense forces, Supreme Court, National Electoral Board of Ethiopia (NEBE), Human Rights Commission, Information Network Security Agency (INSA), National Intelligence and Security Service (NISS), federal police and prison administration were reorganized in the spirit of the national reform.

About 17 proclamations and laws have been reportedly either under revision or revised.

He further said some 48 suspected of terrorism, 799 instigating ethnic conflict, 34 engaged in economic crime, 235 for trafficking in firearms, 63money laundering and 51 human traffickers were apprehended.

Prime Minister Abiy explained that his government will work focusing on sustaining peace and security, building democratic institutions, modernizing agriculture, environmental protection, and tourism development and encourage private sector engagement over the next fiscal year.

 

Source: http://apanews.net/en/news/ethiopia-reports-92-percent-economic-growth

 

Ethiopia’s Ministry of Agriculture announced that the Dire Dawa fertilizer plant in Eastern Ethiopia, which will soon go operational, will be instrumental in fulfilling Ethiopia’s increasing demand for fertilizers upon its completion in two years. The construction of the fertilizer plant went into full action in the year 2017 with a total expected cost of $3.7 billion.

Yosuf Omer Hassen, Minister of Agriculture, speaking to ENA, said Ethiopia is working in partnership with Moroccan fertilizer giant OCP Group to cap the high import spending.

The plant will produce about 5 million metric tons of chemical fertilizer per annum and will be amongst the principal suppliers of fertilizer to neighboring countries, he pointed out.

“We are intolerant of the growing fertilizer demand and its mounting expense for import. Our public organizations have started venture agreements with Morocco’s OCP and will be completed next year. Construction of the plant takes two years. More inputs will be supplied from the locality by local partners and some from abroad by OCP,” Mr. Yosuf said.

Seifu Assefa, Agricultural Inputs Marketing and Rural Finance Director at the Ministry of Agriculture, said Ethiopia’s ever-growing local demand for fertilizers stands at 1.2 to1.5 million metric tons. Consequently, the country will need $550 million every year, which comes as an added strain to the current chronic foreign currency shortage.

 “We need 1.3 million metric tons of fertilizer this year and some 1.2 million metric tons was purchased, 90 percent of it imported and being distributed. The country recently dispenses a total of about 20 billion birr for agriculture inputs,” Mr. Seifu noted.

 The construction of the fertilizer plant was originally started in 2011 with an initial investment of $400 million, which served to complete 46 percent of the project. 

Foreign Direct Investment (FDI) barriers.

Source: https://www.2merkato.com/news/alerts/5736-ethiopia-s-new-fertilizer-plant-to-help-fulfill-local-demands-ministry-of-agriculture

 

 

Ethiopia's Tigrai regional state disclosed plans to sell shares in three of the companies under the umbrella of the conglomerate, the Endowment Fund for the Rehabilitation of Tigray (EFFORT). The three companies whose shares will be offered for sale are Mesebo Cement factory, SUR Construction, and Trans Ethiopia, all private limited companies.

Abraham Tekeste (Ph.D.), head of the Tigray Urban Development, Trade and Industry bureau with the rank of Deputy Chief Administrator, said preparations have been finalized to sell the shares. Dr. Tekeste said the shares will be open to being sold at the International Tigray Diaspora festival, scheduled to take place this month. 

Dr. Abraham, calling members of the Diaspora community to take part in buying the shares, said further preparations have been made to attract more investment to the region.

Source: https://www.2merkato.com/news/alerts/5739-shares-of-three-ethiopia-s-effort-companies-to-be-sold

 

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