@EthiopiaInvestment – Ethiopian Business Review

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Oromia Regional State is gearing up to host a high-profile investment forum on May 31, 2025, in Addis Ababa, according to the Ethiopian Press Agency. Organized by the Oromia Investment and Industry Bureau, the event is expected to draw a diverse array of participants — including senior federal and regional officials, prominent business leaders, and development partners — with the aim of unlocking the region’s vast economic potential.

The forum is part of Oromia’s broader strategy to position itself as a premier investment destination within Ethiopia. The state government is offering an attractive portfolio of incentives, such as multi-year income tax exemptions, duty-free privileges on imported capital goods, and facilitated land access. Coupled with a favorable climate and a growing infrastructure base, Oromia is signaling its readiness for large-scale private sector engagement.

According to the EPA report, key sectors prioritized for investment include agriculture, agro-processing, manufacturing, and services — all areas where Oromia boasts strategic advantages, from fertile land and abundant raw materials to a sizable labor force and strong market linkages.

More than just a promotional event, the forum is envisioned as a critical platform for dialogue and collaboration. Investors, government officials, and industry players will have the opportunity to network, share ideas, and initiate partnerships that align with Ethiopia’s broader economic reform agenda.

Addis Ababa is set to host a landmark event from May 15-17, 2025, as the 5th Pakistan-Africa Trade Development Conference (PATDC) and the Made-in-Pakistan Exhibition take center stage at Millennium Hall. This major event, organized by the Government of Pakistan, the Trade Development Authority of Pakistan (TDAP), and the Embassy of Pakistan in Addis Ababa, promises to create a dynamic platform for strengthening economic and trade partnerships between Pakistan and East African nations.

Atif Sharif Mian, Ambassador of Pakistan to Ethiopia, emphasized the importance of this gathering for both Pakistan and East Africa. “With a population of 250 million, Pakistan represents a vast market for African exports, including commodities, agriculture, and goods. Ethiopia, strategically located, serves as the gateway to East Africa and beyond, including Central Asia, Afghanistan, and Western China,” he said. He further highlighted that improved air connectivity, such as Ethiopian Airlines’ flights to Karachi, and the planned shipping line to Djibouti, will enhance regional trade opportunities.

Dr. Jemal Beker, Ethiopia’s Ambassador to Pakistan, echoed these sentiments, pointing to the immense potential for collaboration. “We have already held forums in Pakistan to showcase Ethiopia’s investment opportunities. As the gap between parallel and official foreign exchange markets has narrowed, we see increasing interest from Pakistani investors in Ethiopia,” Dr. Beker noted. He stressed that the event would promote Ethiopia as a business-friendly hub, offering robust investment prospects.

The 5th PATDC will feature over 130 exhibitors from Pakistan, displaying a wide array of products in sectors such as textiles, pharmaceuticals, engineering, food, agro-products, leather goods, and cosmetics. The exhibition aims to foster B2B interactions, with each Pakistani exhibitor set to engage in 9 to 10 meetings with African buyers, laying the groundwork for strong commercial partnerships.

The event will kick off on May 15, 2025, with a high-level conference that brings together government officials, business leaders, and diplomats from Pakistan and East Africa. Discussions will center on strategies for enhancing trade ties, addressing barriers to business, and advancing regional economic integration. The conference will offer a chance for African nations—including Kenya, Uganda, Tanzania, Rwanda, South Sudan, Djibouti, and Somalia—to explore collaborative trade opportunities with Pakistani counterparts.

The exhibition will also offer ample networking opportunities for delegates and exhibitors, facilitating partnerships that could lead to long-term economic growth. To celebrate the strong cultural and commercial ties between the regions, a gala dinner and cultural night will be held, reinforcing the spirit of mutual cooperation.

Dashen Bank has made history by becoming the first private bank in Ethiopia to secure a Trade Finance Guarantee Facility Agreement worth USD 40 million from the African Development Bank (AfDB). The agreement was officially signed this morning at Dashen Bank’s headquarters, marking a major milestone for both the bank and Ethiopia’s financial sector.

The signing ceremony was attended by key representatives from Dashen Bank and AfDB. Asfaw Alemu, CEO of Dashen Bank, expressed pride in securing this facility, noting that it is the first of its kind to be extended to a private bank in Ethiopia. He emphasized that Dashen Bank is honored to serve as a bridge to bring this significant opportunity to life. Asfaw further highlighted that the agreement symbolizes strategic alignment that helps unlock Africa’s full potential. He attributed the successful securing of this facility to Dashen Bank’s rigorous due diligence, operational soundness, and progress in governance, underscoring the bank’s strong strategic direction.

Dr. Leandre Bassole, Deputy Director General of East Africa at the AfDB, expressed the agreement’s importance, calling it a pivotal milestone in strengthening the partnership between the AfDB and Ethiopia’s financial industry. Bassole noted that the agreement will play a significant role in advancing inclusive, private sector-led growth in Ethiopia, emphasizing that it marks the first direct trade finance guarantee facility the AfDB has provided in the country.

This facility will enable Dashen Bank to facilitate import and export trade finance requirements, thereby enhancing the bank’s capacity to support critical sectors of the Ethiopian economy. It is expected to significantly bolster trade finance by providing guarantees to confirming banks for non-payment risks arising from trade finance instruments such as letters of credit issued by Dashen Bank. This initiative responds to the challenges faced by Ethiopian banks, which have been constrained by inadequate credit lines from international confirming banks, limiting their ability to support clients effectively.

The facility is also expected to promote intra-Africa trade, aligning with the African Continental Free Trade Area (AfCFTA) agenda. It will help address the financing gaps in critical sectors and support the import of essential goods such as fertilizers, pharmaceuticals, solar energy panels, and agricultural machinery, all crucial for Ethiopia’s development.

Ethiopia has secured significant interest from Indian investors to expand its pharmaceutical sector, aiming to transition from import reliance to a key continental producer. This outcome was achieved at the Ethio-India Trade and Business Forum, held at the Skylight Hotel, where Zeleke Temesgen Boru (Ph.D.), Commissioner of the Ethiopian Investment Commission (EIC), outlined the country’s commitment to fostering self-sufficiency and boosting exports as part of its 10-year national development strategy.

The Kilinto Special Economic Zone has played a pivotal role in this transformation, offering tax incentives and exemptions to attract investment in local pharmaceutical production. Dr. Zeleke has invited Indian investors to explore opportunities in pharmaceutical manufacturing, medical equipment production, health infrastructure, and digital health—sectors identified as having substantial growth potential.

India’s Ambassador to Ethiopia, Anil Khmer Rai, has commended Ethiopia’s recent business-friendly policy reforms and urged Indian companies to leverage the favorable investment environment.

The forum has attracted over 80 Indian companies in the pharmaceuticals and medical materials manufacturing sectors, offering a platform for deeper collaboration and investment in Ethiopia’s pharmaceutical market.

Oromia to Host High-Level Investment Forum to Attract Global Capital

Ethiopia to Host the 5th Pakistan-Africa Trade Development Conference

Dashen Bank Becomes First Private Bank in Ethiopia to Secure Trade Finance Guarantee from AfDB

Indian Investors Eye Ethiopia’s Booming Pharmaceutical Sector