Food fortification – the process of adding additional nutrients to certain food products to increase their health benefit – has been common in developed countries for decades. This practice, however, is relatively new to Ethiopia – and the government is taking measures to ensure that their food fortification programme succeeds. The country hopes to fortify key food items like flour, milk and edible oils. Advocates of fortification say that it has great potential for combatting malnutrition– a condition that affects nearly 3 million people throughout the country. Others, however, note that Ethiopia has a long way to go in terms of developing the necessary infrastructure to manage the lofty goals it has set for itself. EBR’s Fasika Tadesse spoke with industry insiders to learn more about the nuances of food fortification and the government’s plans to help bring its vision to fruition.

Tourism in Ethiopia is on the rise. Last fiscal year alone, nearly one million tourists visited the country – and the government plans to have that figure increase to 2.5 million by 2020. This growth, however, may not necessarily prove beneficial for Ethiopia’s hotel industry, as an increasing number of tourists prefer to stay in guest houses as opposed to hotels. According to one study, Ethiopia’s hotels average a 60Pct occupancy rate, despite the growth in the number of tourists each year. Many travellers note that their preference for guest houses is rooted in the fact that they offer a cheaper, more intimate alternative to star-rated hotels. Hoteliers in the country charge that these businesses need to be better regulated and managed. Consultants, however, say hotels need to reduce their costs if they don’t want to continually lose customers. EBR’s Fasika Tadesse spoke with tourists, government officials, hoteliers and guest house owners to learn more about the nuances of the debate.

Is the high cost of hotel rooms in Addis Justifiable?

According to a recently released report, Addis Ababa is the most expensive African city in which to book a stay in a quality hotel. This finding has generated a debate among hoteliers in the city – about the supply and demand for quality hotels. Some say that the country’s hotel industry is still growing and that its best years are yet to come. Others, however, say that more needs to be done to improve the quality and standards of promising hotels in the country. EBR’s Fasika Tadesse spoke with industry insiders to learn more about the on-going debate.

Struggle to Penetrate the Burgeoning Liquor Market

Liquor consumption is on the rise in Ethiopia. According to data obtained from the Central Statistical Agency (CSA), imports of hard liquors reached 4.2 million kilograms in 2014 – that figure is way up from 1.6 million kilograms in 2010. In an attempt to capitalise on this growth and seize the buying power of consumers, local liquor manufacturers are becoming common in the country. However, many manufacturers complain that they are facing difficulties in getting the attention of local consumers. Customers, meanwhile, argue that some local liquor brands are often more expensive than imported brands. EBR’s Fasika Tadesse explored the issue further and offers this report.

A city unlocking its tourism potential

Tourism in Bahir Dar is on the rise. This is, in part, due to the natural beauty of the city and its cultural and historical treasures. As a result, the tourist flow and revenue generated has been increasing. In the past five years alone, the number of tourists has risen more than fourfold – from 37,166 in the 2009/10 fiscal year to 149,266 in the 2014/15 fiscal year. The jump has been good for the city, as it collected ETB332.8 million in tourism revenue in the just-ended fiscal year. Five years ago, the sector generated only ETB55.85million. The growing trend both in the number of tourists and revenue also means that businesses are flocking to Bahir Dar, to seize the city’s burgeoning reputation as a site of national sporting events and international conferences. EBR’s Fasika Tadesse visited Bahir Dar to learn more about the ascent of its tourism industry and about the hurdles the city has to overcome before it realises its full potential.

More than four billion birr was not disbursed in nine months

Five years ago, the Development Bank of Ethiopia (DBE) announced that it planned to give out a large amount of loans to the manufacturing sector, which faced a lack of finances for years. Despite these stated efforts, many local investors argue that they’ve had difficulty in accessing finances. They say that the Bank is plagued by bureaucratic inefficiencies and that it tends to favour foreign investors. In fact, a closer look at the nine-month report of the Bank from the just-ended fiscal year shows that DBE had disbursed only 54Pct of what it planned. They claim that unsettled land issues of loan applicants, and their limited capacities to upfront 30Pct of the equity they need to get 70Pct financing were the major reasons for the Bank’s weak loan disbursement. DBE leaders say policy hurdles that the Bank faces, i.e., the limitation it not accept requests from Small and Micro Enterprises, have contributed to the reasons why a large sum of money has been idle this fiscal year. EBR’s Fasika Tadesse spoke with Bank officials and local investors to write why more than four billion birr was not disbursed to those who need it.