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AAU’s Technology Institute to Management Coal Phosphate Fertilizer Complex Project
The state-owned Chemical Industry Corporation awarded management and administration consultancy service contract of the coal phosphate fertilizer complex project to Addis Ababa University’s Technology Institute, Ethiopian Press Agency reported.
Speaking at the agreement signing ceremony on Monday, at Addis Ababa Hilton, The Corporation’s Acting Director General Mekonnen Zergaw said, the execution of mega projects by indigenous contractors and consultants greatly contributes to building the nation’s technology capacity and development, particularly in areas such as citizens’ capacity building and promoting technology transfer.
Addis Ababa University’s Academic Vice-President Dr. Jyissu Omer on his part said, “ The AAU is ready to implement the new consultancy service contract agreement responsibly.”
In addition to conducting research and study, teaching-learning process and community service programs, the Institute has been engaged in provision of multifaceted professional support and consultancy services for various infrastructure and development projects.
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Modjo-Hawassa Highway Project to Launch Soon
Preparations are underway to launch the construction work on the 4-lane dual carriageway Modjo-Hawassa highway project, Walta Information Center reported citing the Ethiopian Roads Authority (ERA).
The 210-km highway project will be implemented in four phases.
The first phase consists of the construction of Modjo-Meki new asphalt road and the second phase includes the construction of asphalt road between Meki-Zeway, according to the Ethiopian Roads Authority.
The third and fourth phases of the project consist of the construction of new asphalt road between Zeway-Arsi Negele and Arsi Negele-Hawassa.
The construction of the 56-km Modjo-Meki new asphalt road will be financed by the African Development Bank (AfDB) and the government of Ethiopia.
Financing agreement in underway between the government of Ethiopia and the Korean Exim Bank for the construction of the 37-km Meki-Zeway road, the Authority’s Communication Director said.
The World Bank and the Chinese Exim Bank has also shown their interests to finance the construction of the 55-km Zeway-Arsi Negele and the 62–km Arsi Negele-Hawassa roads, he added.
http://www.2merkato.com/news/alerts/2789-ethiopia-modjo-hawassa-highway-project-to-launch-soon
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Nation Set to Increase Agricultural Productivity by 15%
The Ministry of Agriculture said activities are being carried out to increase agricultural productivity by 15 percent during the current production year, Ethiopian News Agency reported.
In a press conference held on last Wednesday, public relation head with the Ministry Tarekegn Tsige said the Ministry has set target to achieve the goal by increasing use of irrigation, utilization of fertilizers, compost and improved seed by farmers.
The Ministry envisaging to enable 70 percent of households to get access to water banks, a system which helps each household have a reservoir, according to Ethiopian News Agency.
Over 920,000 hectares land has so far has been covered with fruits, spices and root seed, Tarekegn said.
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Allanasons Ltd. to Build Meat Processing Plant in Ethiopia
Allanasons Ltd, India’s largest exporter of processed food products, signed an agreement with the Ministry of Industry establish a meat processing plant, Walta Information Center reported.
The agreement was signed in Addis Ababa on Wednesday, January 1, 2014 by Meberatu Melese, Industry State Minister, and Aman R. Kahan, representative of Allanasons Ltd.
Meberatu on the occasion said, the establishment of the plant would help to improve Ethiopia’s meat export.
It would also enable the pastoral community to benefit from its animal resources as well as the leather industry, he said.
In addition to promoting technology transfer, the plant to be built on 75 hectares of land around Zeway, Oromia Regional State at a cost of 371 million birr will create employment opportunities for residents of the locality, he added.
Allana chooses to build the plant in Ethiopia taking into consideration the country’s livestock potential and its favorable climate, Aman R. Kahan, representative of the group said.
http://www.2merkato.com/news/alerts/2787-allanasons-ltd-to-build-meat-processing-plant-in-ethiopia
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IDRB to Open Its Regional Office in Addis
State Minister Ambassador Berhane Gebre-Kristos met with Mr. Jeffrey Lee Pearson of International Development and Relief Board (IDRB) in his office (January 3, 2014). Ambassador Berhane during the meeting said that IDRB’s activities in Ethiopia have been helping a lot people. He hoped the organization will continue to contribute its respective share in Ethiopia’s ongoing development.
Mr. Pearson, Director of IDRB’s Horn of Africa Regional Office said his organization is grateful for the support provided by the Ministry of Foreign Affairs and that it is very keen on continuing its contribution in the areas of its engagement. He also said that IDRB is seeing a lot of progress in its activities in Afar, SNNRP, Tigray and other regions in areas ranging from veterinary assistance to provision of efficient fuel utilities.
The meeting between Ambassador Berhane and Mr. Pearson also saw a signing ceremony that would allow IDRB to open its regional office here in Addis Ababa. The regional office director said that he is pleased to see the progress Africa is making in recent years and that it was only logical to open the regional office here in Addis considering Ethiopia’s lead in Africa’s recent growth.
The state Minister reiterated that the Ministry will continue its support to IDRB’s work in Ethiopia and wished the Regional Office Director a pleasant stay and a productive working period in Addis.
http://allafrica.com/stories/201401031117.html
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Chinese Foreign Minister to Visit Ethiopia
Chinese Foreign Minister, Wang Yi will visit Ethiopia, as part of his tour to Sub-Saharan Africa.
According to the country’s Foreign Ministry spokesman, Qin Gang, choosing Africa as the destination of the foreign minister’s first visit in the New Year shows how China values Africa.
He added that it has been a tradition since 1991 for Chinese foreign ministers to first visit Africa every New Year.
“It is also the first visit paid by the Foreign Minister to sub-Saharan Africa since China’s new administration took office,” Qin said.
It is believed that the visit of Chinese Foreign Minister will deepen state-to-state friendship, mutual trust and cooperation, and boost Sino-African friendship of cooperation.
The Chinese Foreign Minister’s official trip to Africa will be held from 6 to 11 January and will also include a visit to Djibouti, Ghana and Senegal.
http://allafrica.com/stories/201401031081.html
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ERCA Fires 59 Employees in Relation to Corruption
Ethiopian Revenue and Customs Authority (ERCA) announced the expulsion of 59 of its workers in connection with corruption.
The Authority stated that the workers were fired because they have illegally acquired wealth against Article 37 of the Authority’s charter that strongly forbids workers from corruptive means of accumulating wealth.
It is also indicated that five stages of evaluation and assessment were conducted on the workers expelled that have been working from lower to branch office administrative posts.
Appropriate procedures are underway to recruit new workers to fill the gap created because of the expelled workers, the Authority said.
http://allafrica.com/stories/201401031082.html
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House Passes Landmark Decision On Constitutional Dispute
In a landmark decision, the House of Federation (HoF) deemed provisions granting Federal Supreme Court exclusive first instance jurisdiction over criminal cases involving government officials ‘unconstitutional’.
The issue was brought up to the attention of the house for constitutional clarity from the 15th criminal bench of the Federal High Court presiding over Melaku Fenta et al grand corruption case.
In an overwhelmingly majority, the house rendered Article 8 (1) of Proclamation No. 25/96 and a similar provision, Article 7 (1) of Proclamation No. 434/05, ‘null and void’.
Both provisions grant the Federal Supreme Court, the country’s highest and final judicial organ, first instance jurisdiction over criminal suits involving government officials.
The Council of Constitutional Inquiry, a professional body tasked to investigate and decide on constitutional disputes, found that the provisions ‘violate a defendant’s right to appeal’ as stated under Article 20 (6) of the FDRE constitution.
They also found the provisions contrary to the principle of equality before the law (Article 25 of the constitution).
Based on the decision submitted to the house by the Constitutional and Regional Affairs Standing Committee, the house held a half day deliberations which was chaired by speaker Kassa Teklebirhan.
When it was time to vote, 76 members voted in favor of the council’s decision with eight objections and two abstinences.
The decision means, the Federal High Court will retain jurisdiction over Melaku’s case.
The former director general of Ethiopian Revenues and Customs Authority (ERCA), had argued that as a government official with a ministerial rank he should be tried at the Federal Supreme Court.
The decision also means, subject to jurisdiction, government officials, including members of House of People’s Representatives, HoF, ministers and officials above the rank of ministers, judges of the Federal Supreme Court could be brought before any court.
http://allafrica.com/stories/201401031080.html
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Ethiopia aims to create new generation of entrepreneurs
By James Jeffrey, BBC
Damenech Zewudie decided it was time to strike out on her own after 33 years working in secretarial and administrative roles for various employers in Addis Ababa.
Now she is the proud owner of a two-month-old business selling injera, the large, thin pancake-like staple which is the base of almost every Ethiopian meal.
“I never used to think about owning a business,” Ms Damenech says. “Then I saw how no-one was selling injera where I live – so I took a chance.”
Ms Damenech, who is in her 50s, achieved her late start in entrepreneurship after taking part in a state-run training and support scheme called the Entrepreneurship Development Programme (EDP).
Launched in 2013 and co-funded by the United Nations, it is hoped that the $26m (£16m) initiative will help establish a new generation of entrepreneurs who will create jobs and boost economic growth.
The programme is provided for free, and will eventually be available throughout the whole country.
Although it doesn’t offer any financial support, so far it has provided training and advice to 1,000 people in four of Ethiopia’s 11 regions.
Its very ambitious goal is to have enabled 200,000 Ethiopians – particularly young adults and women – to acquire or improve entrepreneurial skills and knowledge by the end of 2015.
“We are working towards unleashing a transformational change through tapping into the creativity and ambition of existing and aspiring Ethiopian entrepreneurs,” says Etalem Engeda who leads the government agency looking after the EDP scheme.
Following the initial workshops, advisers visit the participants to conduct business health checks throughout the year. And at any point the entrepreneurs can reach out for advice and assistance.
People attending an Entrepreneurship Development Programme session
The Entrepreneurship Development Programme is going to be substantially expanded and extended across the whole of Ethiopia “If someone comes round and shows they are taking your business seriously it is very encouraging,” says Girum Tariku, who attended a workshop before opening a printing and consultancy business in November.
Intense start In May 2013 Ms Damenech attended a six-day workshop which is the cornerstone of the programme.
She practised writing a business plan, identifying potential products to sell, calculating risks, assessing markets, negotiating, and more.
By the programme’s end she felt exhausted after long days, and little sleep while preparing at home for the next day’s activities.
“But it was worth it,” Ms Damenech says, adding how most importantly the workshop motivated her to find an idea for a new business.
Last summer she raised 100,000 Ethiopian birr ($5,230; £3,225) by pooling her savings, with money borrowed from relatives, to build and equip a building where she could make and sell injera.
Ethiopian weavers at a special workshop set up by the Entrepreneurship Development Centre Ethiopia has a long history of entrepreneurship Her cleaning maid was about to leave for the Middle East in search of work until Ms Damenech suggested she join the nascent business. The former maid and another two employees now help Ms Damenech to make and deliver 500 injera pancakes each day.
Entrepreneurial tradition
Ethiopia has a long history of entrepreneurship that began when the Aksumite Kingdom was a trading hub more than 2,000 years ago.
But despite recent efforts to reinvigorate that tradition, today’s local entrepreneurs face myriad challenges.
Mr Girum says obtaining sufficient finance is difficult for entrepreneurs who need to raise more than 100,000 birr.
Also it needs to be much easier for an entrepreneur to register a company, as presently they need to visit six different offices.
Meanwhile, landline internet provision is grindingly slow and unreliable.
Yet at the same time, there are a number of positives for potential technology start-ups, such as the big rise in the number of mobile phone users in Ethiopia. Ethiopia currently has 22 million mobile phone subscribers, a figure expected to increase to 64 million by 2015.
And in addition to the assistance offered by EDP there are private support providers, such as IceAddis, a technology hub and co-working space in the capital.
Outside help or interference?
But what of the foreign entrepreneurs wishing to set up companies in Africa’s second most populous country?
It can appear that the Ethiopian government’s policy to encourage entrepreneurial vigour typically only extends as far as domestic talent.
Damenech Zewudie Ms Damenech is excited about the future of her business The government’s minimum capital requirement of $200,000 deposited in an Ethiopian bank account by a foreign business can be a disincentive, says an embassy trade official at the British Embassy in Addis Ababa.
Another frustration for potential overseas investors is that 25 potentially promising sectors – including telecoms, banking, media and retail – remain closed to foreign investment.
Yet Mr Girum is pleased at the government blocks, saying local businesses would have struggled otherwise.
That sentiment is echoed by Samuel Bwalya, UNDP’s country director in Ethiopia, who also notes how foreign businesses – particularly those in the retail sector – simply compete with locals.
It is unlikely Ms Damenech will encounter many non-Ethiopian entrepreneurs trying to hustle in on the injera trade any time soon.
So her focus is on growing the business. She hopes to hire more staff and increase production, perhaps reaching 5,000 injera a day in 2014. All the money she makes is ploughed back into her business to enable this.
“I do not have five birr in my pocket,” Ms Damenech says.
But judging by the enthused expression on her face, that isn’t a problem.
The EDP’s top targets
The Entrepreneurship Development Programme says it aims to teach the following skills:
Opportunity-seeking and initiative
Persistence
Commitment
Demand for efficiency and quality
Taking calculated risks
Goal-setting
Information-seeking
Systematic planning and monitoring
Persuasion and networking
http://sodere.com/profiles/blogs/ethiopia-aims-to-create-new-generation-of-entrepreneurs
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Kombolcha becomes industrial centre
Investment flow has been growing in Kombolcha since its selection as an industrial centre at national level
Kombolcha town, which is named as an industrial centre at national level, is becoming a hub of many industries. Various local industries and foreign companies from Israel and India are investing in the town.
Town resident Captain Mulugeta Se’id said Kombolcha is registering rapid growth particularly in the industrial sector. On the contrary, there are companies which failed to begin operation on time, he added.
He also expressed conviction that they will go operational soon and create jobs for citizens.
Town Administration Investment Attraction, Support and Industrial Development Work Process Coordinator Abey Dejene said that investment flow has been growing in Kombolcha since its selection as an industrial centre at national level.
Abey said there are six industries in the town. Eleven companies have received plots to engage in textile, manufacturing, dairy products, construction and marble work, among others.
The Federal Government has prepared 1,000 hectares of land in the town for Israeli companies while the town administration on its part 360- hectare investment site.
The coordinator also announced plan to prepare additional 100- hectare investment site this budget year.
Despite investment growth in the town, Tosa Metal Factory, Green Valley and SVP are some of the companies that have not yet gone operational even after receiving plots.
Infrastructural development such as electricity and water services are expected to be fulfilled by the federal government for Tosa Metal Factory. Though such services have been fulfilled for Green Valley and SVP companies, they are still lagging behind.
Town Deputy Mayor Se’id Kassaw on his part said over 200 investors are engaged in various activities in the town.
Se’id, who is also Technical and Vocational Enterprises Office Head , said discussion has been held with investors, who failed to begin their activities on time. Following the discussion, most of them have launched activities while the administration reclaimed 11.5 hectares from those who failed to do so.
Green Valley Company for its part told Addis Zemen Amharic daily that the company failed to begin activities on time for delay on the part of the development bank to respond to loan service request. Currently, the loan process is being finalized and the company will begin activities within a few weeks.
http://www.ethpress.gov.et/herald/index.php/herald/news/5447-kombolcha-becomes-industrial-centre
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Agency launches $63 million US project
The Micro and Small- scale Enterprise Development Agency has officially launched a 63 million USD project aimed at creating employment opportunity for women, increasing the number of women entrepreneurs and merchants who export their products. It has provided motor bikes and photocopiers to strengthen pilot projects in five states and two city administrations.
Agency Director General Gebre-Meskel Chala said during the handing over ceremony that the main objective of Women Entrepreneurship Development Project (WEDP) is to support and encourage women especially those participating in the manufacturing sector to enable them become competitive in the supply of quality products and also enhance productivity.
Gebre-Meskel also said that the project will be financed with 63 million USD World Bank loan. Some 46 million USD would be provided for women entrepreneurs in the form of loan through eight saving institutions working with the project. The remaining would be utilized to supply various equipment to 45 one stop shops and skill upgrading training for women entrepreneurs .
According to Women Entrepreneurs Development Project (WEDP), Coordinator Yohannes Solomon, nationally, women who are participating in micro and small enterprises are increasing in number. However, most of them have been focusing on MSE’s and shy of engaging in high and middle level investment sectors. Hence, the project would be instrumental in improving the participation of entrepreneurs in such investments through raising their revenue and job creation capacity.
Presently, the pilot project has been operational in five woredas of Adama and Bahir Dar towns through one stop shops and 20 woredas of Addis Ababa. Besides, the enterprise has been undertaking various activities to Dire Dawa, Hawassa and Makalle.
It also plans to replicate best practice throughout the country drawing lesson from the project. Some 20,000 women are expected to benefit from the pilot project.
http://www.ethpress.gov.et/herald/index.php/herald/news/5462-agency-launches-63-mln-usd-project
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See also:
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- (Updated) 01 January 2014 News Briefs
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