Blog – Page 2 – Ethiopian Business Review

Addis Ababa is set to host the 2025 edition of Big 5 Construct Ethiopia from 26–28 June at the Millennium Hall, alongside the inaugural East Africa Infrastructure & Water Expo. The dual events, officially endorsed by the Ministry of Urban and Infrastructure, are expected to serve as key platforms for business networking, knowledge sharing, and international collaboration within Ethiopia’s expanding construction and infrastructure sectors.

The upcoming Big 5 Construct Ethiopia and East Africa Infrastructure & Water Expo will feature over 230 local and international exhibitors showcasing construction and infrastructure solutions tailored to Ethiopia’s fast-growing market. Key industry players such as Jotun, NAFFCO, USG, and Emirates National Copper Factory will present high-quality products, while first-time exhibitors like Signify (Philips Lighting) highlight the sector’s expansion. Country pavilions from Germany, Türkiye, China, Italy, and India reflect strong global interest. The events align with Ethiopia’s major development projects—including the Grand Ethiopian Renaissance Dam, Mesob Tower, La Gare redevelopment, and Abusera International Airport—as the nation ramps up investment in transport, water, power, and ICT infrastructure.

According to Josine Heijmans, Senior Vice President – Construction at dmg events, “The launch of the East Africa Infrastructure & Water Expo alongside Big 5 Construct Ethiopia supports the government’s development vision by facilitating investment, knowledge exchange, and strategic partnerships.”

The event will also feature CPD-certified professional talks, including the Big 5 Talks, which will cover topics in architecture, project management, construction technology, and sustainable materials. New programmes, Infra360 and Water360, will explore actionable solutions for East Africa’s infrastructure and water challenges. An invite-only East Africa Infrastructure & Water Summit will convene policymakers, developers, and technical experts to discuss long-term infrastructure strategies.

East Africa Infrastructure & Water Summit, a premium, invite-only programme, will convene policymakers, project owners and technical experts to explore unique strategies and infrastructure development pathways for the region. “Urbanization across Ethiopia and the wider East African region is creating new business opportunities at an unprecedented pace. Big 5 Construct Ethiopia alongside the East Africa Infrastructure & Water Expo, will support and accelerate this growth,” concluded Heijmans.

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The Ministry of Agriculture has announced that Ethiopia’s agricultural exports have generated over USD 3 billion in revenue over the past ten months, with coffee exports alone contributing USD 2 billion. The announcement was made during a performance review meeting between the Standing Committee on Agricultural Affairs and senior officials from the Ministry and affiliated institutions.

The Minister of Agriculture, Dr. Girma Amente, attributed the performance to ongoing sectoral reforms and strategic investments. Over 400,000 tons of coffee were exported during the reporting period. In addition to coffee, other export items contributing to the total included horticultural products, spices, livestock, and animal products.

Dr. Girma also reported that more than 7 billion seedlings have been prepared under the Green Legacy Forestry Program, of which 500 million have already been planted. Notably, 3.5 billion seedlings are said to offer co-benefits such as economic value and ecological restoration.

Furthermore, he confirmed the procurement of 24 million tons of fertilizer for the upcoming farming season, with 12 million quintals already delivered to regional states. However, the Minister urged stakeholders to address existing distribution inefficiencies to ensure timely access for farmers.

Chairman of the Standing Committee on Agriculture, Hon. Solomon Lale, stated that 31 million hectares of land have been prepared for agricultural activity, with 7 million hectares of new land brought into production this year. He emphasized the importance of addressing soil acidity challenges affecting more than 7 million hectares nationwide and called for the accelerated implementation of recently ratified agricultural reforms.

The Committee also underscored the importance of resolving structural challenges—including logistical constraints, power supply interruptions, and governance issues—to maintain the current momentum in agricultural export performance.

The report further indicated that measures are underway to combat pest outbreaks, including pilot aerial spraying to mitigate the impact of coleoptera and other agricultural pests. In response to rising feed costs, the establishment of 28 animal feed processing plants is also in progress across various regions.

Moreover, strategies aimed at enhancing export performance in cotton, hides, and skins have been developed and are currently being implemented.

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The Ministry of Innovation and Technology has announced the official launch of the Ethiopian Technology Agency, now operational within the newly established Quality Village. The launch was marked by a high-profile ceremony attended by key government figures, including Dr. Belete Molla, Minister of Innovation and Technology, and Dr. Kassahun Gofe, Minister of Trade and Regional Integration. The event underscored the government’s commitment to institutionalizing quality and innovation as central pillars of economic competitiveness.

In his opening remark, Dr. Belete highlighted that creating a friendly and conducive environment is crucial to guaranteeing the effectiveness of technology regulation efforts in the country. He further emphasized that the agency has done several major initiatives, including the construction of laboratories, and upgrading a radioactive waste storage center. The minister described the “Quality Village” as a powerful symbol of Ethiopia’s technological advancement, underscoring its critical role in accelerating the nation’s progress in innovation and technology.

During the inauguration, Dr. Kassahun Gofe received formal recognition from authorities for his exemplary leadership in delivering the Quality Village project on schedule. Expressing his gratitude for the acknowledgment, Dr. Kassahun called for continued collaboration among stakeholders to enhance Ethiopia’s quality competitiveness on the global stage.

The Minister in his remark stated that building such an advanced village is a strategic move to foster a prosperous economy and has a sustainable benefit for the coming generation.

Operating under the jurisdiction of the Ministry of Trade and Regional Integration (MoTRI), the Quality Village brings together key national institutions, including the Ethiopian Standards Institute (ESI), Ethiopian Conformity Assessment Enterprise (ECAE), Ethiopian Metrology Institute (EMI), Ethiopian Accreditation Service (EAS), and the Ethiopian Technology Authority (ETA).

Spanning 7.2 hectares, the facility comprises 20 uniquely designed mega-buildings, four main gates, and over 150 state-of-the-art laboratories. Fully integrated with advanced technological systems, the Quality Village stands as a bold testament to Ethiopia’s ambition to lead in innovation, quality assurance, and global competitiveness.

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The Oromia Investment and Industry Bureau has announced that more than 1,000 high-net-worth individuals have collectively committed over ETB 28 billion in capital to coffee development projects across the Oromia Regional State.

According to the bureau, a total of 1,468 investors are currently engaged in the sector. These investments have led to the creation of over 16,000 permanent jobs and more than 69,000 temporary employment opportunities.

Mohammedsani Amin, Deputy Head of the Oromia Agriculture Bureau, stated that the projects are already generating positive outcomes in terms of productivity and operational efficiency. He noted that investors are employing improved coffee varieties and modern processing technologies—such as coffee harvesters and combines—to enhance both yield and quality.

A significant portion of the coffee produced under these initiatives is destined for the export market, contributing to the country’s much-needed foreign currency earnings. Meanwhile, the regional government is working to facilitate collaboration between investors and local communities through regulatory support and oversight mechanisms.

Holland Dairy has inaugurated a new cold storage facility and wastewater treatment plant in Bishoftu, built with an investment of over USD 4 million. The project is part of the company’s effort to support cleaner dairy production and tackle water use challenges in Ethiopia.

The new storage unit can hold about one million yogurt cups, or 400,000 liters of yogurt, giving the company the capacity to better handle demand while keeping products fresh.

Holland Dairy processes both milk and yogurt using between 2 and 2.5 liters of water per liter of product. As the company grows, it says wastewater levels are rising quickly. The new plant treats all used water, mostly drawn from underground sources before it’s returned to nature. Some of this water is reused to help safeguard the environment, nearby farms, and local lakes.

The company works closely with more than 4,000 dairy farmers and 15 to 20 cooperatives in areas like Chancho, Debre Birhan, Arsi, Bekoji, Fiche, and Mukturi. These farmers supply the fresh milk that feeds Holland Dairy’s production line.

“If we want to grow, they need to grow,” said Robin Veenstra, CEO of Holland Dairy. “That’s how we see it. We don’t just wait and hope things get better, we get involved and help improve quality and supply together.”

Looking beyond its current stronghold in Addis Ababa, Holland Dairy has expressed intentions to distribute Gouda cheese more widely across Ethiopia and launch new product flavors. The company is also eyeing regional markets in East Africa, including Tanzania, Kenya, and Uganda, as part of its long-term growth strategy.

Wegagen Capital Investment Bank S.C., a subsidiary of Wegagen Bank, officially launched operations, becoming the country’s first private investment bank under the newly established capital market framework.

The inaugural ceremony, held at Hilton Addis Ababa, drew a distinguished audience, including Dr. Tilahun Ismael, CEO of the Ethiopian Securities Exchange (ESX), as well as executives from financial institutions, regulators, and invited guests.

Speaking at the event, Dr. Aklilu Wubet, Chairperson of the Board of Wegagen Capital, emphasized that the bank was formed with a paid-up capital of ETB 385 million, contributed by visionary institutions and individuals who recognize the strategic importance of investment banking in driving national economic growth.

Dr. Aklilu noted that Wegagen Capital is the first private investment bank to be granted an operational license by the Ethiopian Capital Market Authority (ECMA), issued on March 21, 2025. The bank was also the first trading member registered with the Ethiopian Securities Exchange (ESX) on May 14, 2025.

“One of the biggest challenges during formation,” Dr. Aklilu added, “was the scarcity of trained professionals in investment banking. To address this, we invested in capacity building, brought in international expertise, and conducted rigorous profitability analysis—all made possible with strong backing from NBE, ECMA, and ESX.”

Brutawit Dawit Abdi, CEO of Wegagen Capital, highlighted the bank’s mission to set a new benchmark in the financial industry. “As Ethiopia’s pioneering private investment bank, Wegagen Capital carries the responsibility to lead with integrity, innovation, and impact,” she said. “Our formation stems from the pressing need to support capital market growth and fuel national development.”

She outlined the bank’s offerings, which include a full suite of investment banking services tailored to government institutions, public enterprises, corporations, and high-net-worth individuals. Services range from strategic advisory on mergers and acquisitions to capital raising through securities, IPO underwriting, trading and brokerage services, and intermediation between issuers and investors.

Dr. Tilahun Ismael reaffirmed the importance of institutions like Wegagen Capital in building Ethiopia’s capital market ecosystem. “Capital formation is everyone’s responsibility,” he stressed. “We must demystify the concept of capital markets for ordinary Ethiopians, foster a culture of saving, and build the trust necessary to attract foreign investment.”

Wegagen Capital operates independently from Wegagen Bank with its own corporate governance, management, and operational structure. This separation allows the firm to serve as a neutral investment partner for banks and institutions seeking capital market solutions.

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The African Development Bank Group and the Federal Government of Nigeria have signed a protocol agreement committing USD500 million over 15 years to extend the Nigeria Trust Fund (NTF), providing long-term business continuity and planning certainty through 2040.

This extension comes after multiple previous renewals, reflecting the enduring value and relevance of Nigeria’s partnership with the African Development Bank.

Dr Akinwunmi Adesina, President of the African Development Bank Group said that the commitment will allow the Bank’s ability to expand hybrid capital instruments, increase securitization, and scale up private sector operations. This move is expected to mobilize more private capital for low-income countries. “Nigeria’s decision today proves that Nigeria is always on the right side. The NTF is the largest we have at the African Development Bank, which is part of the Bank. It helps to co-finance operations in many countries, as well as feasibility studies for some other countries.” he added

The agreement also enables deployment of resources from the fund in innovative treasury, structuring, and other transactions, including balance sheet optimization, structured finance, and catalytic risk-sharing solutions.

The Bank and Nigerian authorities are working on new financial products, updating approval processes, and developing a communications strategy to raise visibility for Nigeria’s contributions.

The Nigeria Trust Fund serves as a fully-fledged financial window of the AfDB. Since its creation, the NTF has financed 92 projects in 33 countries. The Fund has played a crucial role in filling financing gaps in high-impact sectors, particularly in the continent’s least developed countries.

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The Trade and Development Bank Group (TDB Group) has been named Africa’s Bank of the Year at the 2025 African Banker Awards, held during the Annual Meetings of the African Development Bank. The honor recognizes TDB’s continued commitment to inclusive finance, service innovation, and its contribution to Africa’s sustainable economic growth.

TDB’s strength lies in its ability to adapt and lead through reform. Despite a rapidly changing financial landscape, the Bank has maintained its development impact by innovating its capital structure—most notably with the introduction of hybrid capital in 2024—and attracting institutional investors aligned with long-term development goals.

The Bank continues to deliver impactful project and trade financing, while also addressing upstream challenges through concessional finance, technical assistance, and development programs. Its work supports critical priorities such as women’s empowerment, youth employment, and responsible investment across African economies.

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Ethiopia has secured over 5.1 billion USD in remittances within the first nine months of the 2024/2025 fiscal year, surpassing the total 4.4 billion USD received in the entire previous fiscal year, according to Ambassador Fetsum Arega, Director General of the Ethiopian Diaspora Service.

This remarkable inflow underscores growing trust and engagement from the global Ethiopian diaspora, not only in supporting families but also in exploring emerging investment avenues.

Ambassador Fetsum noted that diaspora interest is expanding beyond traditional remittance channels. Many are now leveraging liberalized investment policies and previously restricted sectors, entering joint ventures with foreign investors and injecting capital directly into the Ethiopian market.

Two major companies have already been established through this model—one facilitated by the UK-based diaspora and another by diaspora members in France. These developments reflect a broader trend of diaspora-fueled partnerships that blend emotional connection with economic ambition.

Source: Ethiopia News Agency

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President Donald Trump has openly dismissed the idea of reviving America’s textile industry, despite the recent tariff policies that shook global trade.

“I’m not looking to make T-shirts, to be honest. I’m not looking to make socks… We are looking to do chips and computers and lots of other things, and tanks and ships,” Trump told reporters on May 25 before boarding Air Force One, as quoted by USA Today.

The remarks, paired with his agreement that the U.S. doesn’t need a “booming textile industry,” were met with sharp criticism from domestic producers. But they have also caught the attention of international observers who see a strategic opening for emerging manufacturing hubs.

Ethiopian-American economist Zemedeneh Nigatu framed Trump’s comments as a potential advantage for Ethiopia, where textile and apparel manufacturing remains a core part of the country’s industrial growth strategy.

“Emerging economies like Ethiopia, which have competitive and comparative advantages, can produce labor-intensive products like clothing at very competitive prices and still deliver high quality to American consumers,” he shared on social media.

With Ethiopia’s industrial growth accelerating from 4.8% in 2022 to 8.4% in 2024, and projections pointing to 12% by the end of the fiscal year, the country is positioning itself as a low-cost, high-capacity producer. Programs like Made in Ethiopia are aligning policy and investment to replace imports and boost exports.

Zemedeneh also called on U.S. entities—including private equity firms and development institutions like USDFC—to co-invest in African manufacturing, a move that could build resilient supply chains and offer American consumers alternatives to Asian production.

Local economists are also calling for structural reforms in Ethiopia’s textile value chain, especially in the use of abundant domestic raw materials like cotton. However, they stress that peace and political stability remain non-negotiable, forming the heartbeat of investment, industrial productivity, and uninterrupted supply chains.

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Big 5 Construct Ethiopia 2025 Returns with Major Global Players

Ethiopia’s Agricultural Exports Surpass USD 3 Billion as Coffee Drives Record Earnings

The Quality Village Welcomes Key Technology Agency

Oromia’s Coffee Industry Secures ETB 28B in Investor Capital

Holland Dairy Unveils USD4 Million Cold Storage and Wastewater Facility

Ethiopia Welcomes Its First Private Investment Bank as Wegagen Capital Launches

AfDB Secures USD500 Million from Nigeria to Expand Development Fund Until 2040

TDB Group Named Africa’s Bank of the Year

Ethiopia Attracts Over USD5 Billion in Remittances in First Nine Months of Fiscal Year

Trump Shrugs Off U.S.Textile Industry: Opening a Lane for Ethiopia?