Addis Ababa, May 26, 2022(Walta) – Ethiopia’s private sector has become a major employer and is supplementing the country’s rapid economic progress, the Ministry of Finance said adding that the government wants to boost the sector’s role in the manufacturing industry.
The Ethiopian Press Agency (EPA) has organized a panel discussion concerning industrial development in Dire Dawa city under the theme ‘About Ethiopia’ recently. Speaking at the occasion, Finance Minister Ahmed Shede expressed the government’s interest to enhance the role and contribution of local investors in the manufacturing sector.
Ahmed further highlighted that the manufacturing industry will grow mainly with the active participation of local investors which is being facilitated by the government’s provision of a favorable business climate as well as the availability of land and other amenities.
The government is also facilitating sizable finance for local businesses in the manufacturing sector and a substantial amount of loans is provided by the Development Bank of Ethiopia for this purpose. A significant portion of the loan is made available to the private sector. “The government is doing its level best to expand infrastructure, ensure the rule of law and increase foreign supply. Efforts are also being made to alleviate bureaucratic hurdles in the provision of public services.”
Noting support needs to be given to local investors to enhance competitiveness in the manufacturing industry, the minister emphasized that this does not mean the industry can only succeed at domestic capacity. “Indeed, local and foreign investors are vital parts of the economic growth, and coordinating the two has also brought significant success in various industrial parks. Our financial and technical capabilities are limited and we will continue to support both to work together.”
The integration of local and foreign investors will play an important role in Ethiopia’s economic progress and the government also encourages the participation of foreign companies which have the desired capital, technology, and expertise, Ahmed remarked.