Ethiopia: Global reform underway to establish manufacturing center in Ethiopia

Addis Ababa – The ongoing economic and political structural reform will have a significant impact on the achievement of the country's manufacturing targets, according to the Investment Commission.

Ethiopia, which plans to become the manufacturing hub in Africa by 2025, prioritizes economic structural reform as part of its second Growth and Transformation Plan (GTP).

Investment Commissioner Fitsum Arega told ENA that Ethiopia has the potential to become a light manufacturing industry in Africa.

The textile, leather and leather goods industries, energy, pharmaceuticals and food complexes are among the sectors that can create mbadive jobs, he added.

Fitsum, stating that there are about 100,000 new graduates each year, "therefore, Ethiopia's demographic advantage of 70 young workers and the abundance of agricultural products for Supply industries have a positive contribution. "

According to the Commissioner, previous setbacks were related to democracy and the rule of law, which are being addressed in the context of the ongoing reform, and there is an enabling environment to facilitate the process of industrialization.

Power grid and other infrastructure facilities were taken into account with industrialization and investment, he said.

"We understood that infrastructure should be built in the corridors where the probability of developing industrial parks is great," Fitsum said.

The lack of residences around industrial parks such as the Hawbada Industrial Park has significantly reduced employment opportunities, said the Commissioner, adding: "we are preparing to resolutely avoid the problem and accelerate industrialization" .

The government is taking a comprehensive approach to addressing the challenges of policies and the work environment.

He stressed that the next task was to ensure rapid growth through the development of the manufacturing industry, supported by a skilled workforce and a small area.