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href="https://mfaethiopiablog.wordpress.com/category/business-economy/">Diaspora, Business & Economy</a></li> </ul></div> </nav> </header> <div id="main" class="site-main"> <div id="primary" class="content-area"> <div id="content" class="site-content" role="main"> <article id="post-4149" class="clear post-4149 post type-post status-publish format-standard hentry category-a-week-in-the-horn"> <div class="entry-wrap wrap clear"> <header class="entry-header"> <span class="categories-links"><a href="https://mfaethiopiablog.wordpress.com/category/a-week-in-the-horn/" rel="category tag">A Week in the Horn</a></span><h1 class="entry-title">A Week in the Horn 31.01.2025</h1> </header> <footer class="entry-meta"> <span class="entry-date"><a href="https://mfaethiopiablog.wordpress.com/2025/01/31/a-week-in-the-horn-31-01-2025/" title="3:52 pm" rel="bookmark"><time datetime="2025-01-31T15:52:06+03:00">January 31, 2025</time></a></span><span class="author vcard"><a class="url fn n" href="https://mfaethiopiablog.wordpress.com/author/mfaethiopiablog/" title="View all posts by The Ministry of Foreign Affairs of Ethiopia" rel="author">The Ministry of Foreign Affairs of Ethiopia</a></span> <span class="comments-link"><a href="https://mfaethiopiablog.wordpress.com/2025/01/31/a-week-in-the-horn-31-01-2025/#respond">Leave a comment</a></span> </footer> <div class="entry-content clear"> <p><strong><em><a href="#first-one">Prime Minister Abiy Visits Jimma to Review Development Projects and Outline Vision for Transformation</a></em></strong></p> <p><strong><em><a href="#second-one">Ethiopian Delegation Visits China to Strengthen Economic Cooperation</a></em></strong></p> <p><strong><em><a href="#third-one">Ethiopia-Japan Trade and Investment Symposium Strengthens Economic Ties </a></em></strong></p> <p><strong><em><a href="#fourth-one">Pakistani High-level Delegation Pays a Working Visit to Ethiopia</a></em></strong></p> <p><strong><em><a href="#fifth-one">Ethiopian Investment Holdings (EIH) and its Role in Ethiopia’s Economic Development</a></em></strong></p> <p><strong>NEWS IN BRIEF</strong></p> <p><strong>Ethiopia</strong></p> <p class="has-text-align-justify">President Taye Atske Selassie attended a High-Level Event on African Union (AU) Institutional Reforms in Kenya on Monday (January 27), where he emphasized the importance of achieving the AU’s reform goals. On the same day, he participated in the Mission 300 Africa Energy Summit in Dar es Salaam, Tanzania, focused on Africa’s energy access.</p> <p class="has-text-align-justify">Prime Minister Abiy Ahmed inaugurated a coal washing plant in Dawuro Zone, South West Ethiopia Region, on Saturday (January 25). He highlighted the facility’s role in boosting national coal production and creating local employment opportunities.</p> <p class="has-text-align-justify">On Friday (January 24), Prime Minister Abiy visited the historic city of Jimma, where he and his high-level delegation observed the progress of development projects under the “Dine for Generation” initiative, including the renovation of the Abba Jifar Palace and Progress of the corridor development initiatives. (<strong>See article</strong>)</p> <p class="has-text-align-justify">Minister of Foreign Affairs Gedion Timothewos met with South African Ambassador Nonceba Losi on Monday (January 27) to discuss bilateral and continental issues, including the upcoming 38th AU Summit. </p> <p class="has-text-align-justify">On Saturday (January 25), FM Gedion visited the Africa CDC in Addis Ababa, reaffirming Ethiopia’s commitment to strengthening Africa’s health sector.</p> <p class="has-text-align-justify">A high-level Ethiopian delegation, led by Finance Minister Ahmed Shide, visited China from January 20–25 to advance the strategic economic cooperation between the two nations. The primary objective of the visit was to strengthen the all-weather strategic partnership, with particular emphasis on infrastructure development, investment, trade, and tourism. (<strong>See article</strong>)</p> <p class="has-text-align-justify">The Ethiopia-Japan Trade and Investment Symposium was held from January 22-24 at the Skylight Hotel in Addis Ababa, reinforcing economic cooperation between the two countries. The event, organized by the Ministry of Foreign Affairs in collaboration with key government institutions, brought together representatives from over 30 Japanese companies and Ethiopian business leaders to explore investment opportunities and discuss economic reforms. (<strong>See article</strong>)</p> <p class="has-text-align-justify">Minister Ahmed met with World Bank officials on Wednesday (January 29) to discuss development cooperation in Ethiopia. Additionally, Ethiopia and Italy signed a 4.5 million Euro grant agreement on Monday (January 27) to support digital services in Ethiopia.</p> <p class="has-text-align-justify">A high-level delegation from Pakistan, led by Additional Foreign Secretary (Africa), Ambassador Hamid Asghar Khan, paid a working visit to Ethiopia from January 22–24. (<strong>See article</strong>)</p> <p class="has-text-align-justify">Speaking in Episode 6 to the Host of <em>Ethiopia in Focus, </em>the Press Secretariat of the Office of the Prime Minister, Billene Seyoum, the CEO of the Ethiopian Investment Holdings (EIH), and a member of the National Macroeconomic Committee, Brook Taye, shared his key insights on state-owned enterprises and their pivotal role in economic development. (<strong>See article</strong>)</p> <p class="has-text-align-justify">The Ministry of Foreign Affairs expressed deep sadness over the tragic plane crash in Washington, D.C., which claimed lives. “Our thoughts and prayers go out to the victims and their bereaved families during this difficult time,” the ministry said in a press statement on Thursday (January 30).</p> <p class="has-text-align-justify">On Friday (January 31), the Ministry also extended heartfelt condolences to the People and Government of South Sudan following the fatal plane crash in Unity State, Bentiu, which claimed 20 lives. Additionally, it expressed deep condolences to the Government and people of India after the tragic stampede at the Kumbh Mela festival in Prayagraj, which left at least 15 dead and many others injured. Ethiopia stands in solidarity with the people of South Sudan and India during this difficult time.</p> <p class="has-text-align-justify">Ambassador Nebiat Getachew, during an interview with an Ethiopian media outlet on Saturday (January 25), emphasized Ethiopia’s commitment to regional cooperation and shared prosperity, highlighting its diplomacy efforts in strengthening bilateral and multilateral ties. He also noted Ethiopia’s preparations for the 38th AU Summit in Addis Ababa, focusing on its responsibilities as the host and key agenda items.</p> <p><strong>Eritrea</strong></p> <p class="has-text-align-justify">President Isaias Afwerki recieved a delegation led by Moussa Faki Mahamat, the Chairperson of the African Union Commission (AUC), for a discussion on the continental organization’s plan and future on Thursday (January 30).</p> <p><strong>Djibouti</strong></p> <p class="has-text-align-justify">President Ismail Omar Guelleh attended the African Energy Summit in Dar es Salaam, Tanzania, from January 27 to 28.</p> <p><strong>Kenya</strong></p> <p class="has-text-align-justify">President William Ruto visited Egypt for a two-day state visit, meeting President Abdel-Fattah El-Sisi on Wednesday (January 29). On the same day, he chaired a virtual EAC Heads of State Summit on the Democratic Republic of Congo.</p> <p class="has-text-align-justify">On Tuesday (January 28), President Ruto attended the African Heads of State Energy Summit in Dar es Salaam, Tanzania. </p> <p class="has-text-align-justify">On Monday (January 27), President Ruto held a telephone conversation with U.S. Secretary of State Marco Rubio, discussing Kenya-U.S. trade relations, regional security, and the UN-led Multinational Security Support (MSS) mission in Haiti. He also spoke by phone with French President Emmanuel Macron on bilateral and regional matters. </p> <p class="has-text-align-justify">On Saturday (January 25), President Ruto hosted Guinea-Bissau President Umaro Sissoco Embaló for a state visit in Nairobi. The two leaders discussed strengthening diplomatic and trade ties between the two countries.</p> <p><strong>Somalia</strong></p> <p class="has-text-align-justify">President Hassan Sheikh Mohamud attended the Mission 300 Africa Energy Summit in Dar es Salaam, Tanzania, on Tuesday (January 28).</p> <p><strong>Africa and the African Union</strong></p> <p class="has-text-align-justify">Moussa Faki Mahamat, Chairperson of the AU Commission, participated in the High-Level Retreat on AU Institutional Reform in Nairobi, Kenya, from January 26 to 27.</p> <hr class="wp-block-separator has-alpha-channel-opacity" /> <p class="has-text-align-justify" id="first-one"><strong><em>Prime Minister Abiy Visits Jimma to Review Development Projects and Outline Vision for Transformation</em></strong></p> <p class="has-text-align-justify">On Friday (January 24), Prime Minister Abiy Ahmed visited the historic city of Jimma, where he and his high-level delegation observed the progress of development projects under the “Dine for Generation” initiative, including the renovation of the Abba Jifar Palace and the progress of the corridor development initiatives. </p> <p class="has-text-align-justify">During his visit, PM Abiy highlighted Ethiopia’s abundant natural resources and expressed pride in the city’s successful efforts to tap into its potential, thanks to the creativity, discipline, and support of local residents. He acknowledged the contributions of Jimma’s people to the city’s development and emphasized that the exemplary work being done could serve as a model for other regions.</p> <p class="has-text-align-justify">The Prime Minister also emphasized the city’s beauty, history, and peace, which have been further enhanced by the ongoing development efforts. He reiterated the importance of creating a lasting legacy for future generations. </p> <p class="has-text-align-justify">As part of the government’s plan to transform Jimma into an international city, PM Abiy outlined ten key areas of development, including increasing the production of high-quality coffee, introducing organic tea, improving the export of agricultural products, and developing competitive industries like spices, wood, and ceramics. He also highlighted the potential for Jimma to become a prominent tourism destination, leveraging its natural, religious, and cultural heritage.</p> <p class="has-text-align-justify">Following the success of the “Dine for Ethiopia” initiative in the Amhara, Oromia, and South West Ethiopia regions, the Prime Minister’s Office has introduced the “Dine for Generations” tourism projects in seven locations nationwide, including Tigray, Somalia, Afar, and the South Regions. Significant progress has been made in Jimma, particularly with the rehabilitation efforts at Boye Lake. </p> <p class="has-text-align-justify">It is to be recalled that the Prime Minister also reviewed ongoing projects, such as the renovation of Fasilides Castles and corridor development initiatives in Gondar. </p> <p class="has-text-align-justify">Jimma, once the capital of the Kingdom of Jimma, is a city rich in cultural heritage and is widely recognized for its contributions to Ethiopia’s coffee industry.</p> <hr class="wp-block-separator has-alpha-channel-opacity" /> <p id="second-one"><strong><em>Ethiopian Delegation Visits China to Strengthen Economic Cooperation </em></strong></p> <p class="has-text-align-justify">A high-level Ethiopian delegation, led by Finance Minister Ahmed Shide, visited China from January 20–25 to advance the strategic economic cooperation between the two nations. The primary objective of the visit was to strengthen the all-weather strategic partnership, with particular emphasis on infrastructure development, investment, trade, and tourism.</p> <p class="has-text-align-justify">During the visit, Minister Ahmed engaged in discussions with key Chinese officials, including his counterpart, Minister Lan Fa’on, Deputy Foreign Minister Chen Xiadong, and senior leaders from prominent Chinese financial institutions, such as the President of the Asian Infrastructure Investment Bank (AIIB).</p> <p class="has-text-align-justify">The discussions primarily focused on expanding cooperation in critical infrastructure projects and investments, consistent with the agreements established during the 2023/24 meetings between the two governments. Ahmed underscored Ethiopia’s pivotal role in facilitating China’s connectivity with Africa and the global market through active participation in the Belt and Road Initiative (BRI) and the Forum on China-Africa Cooperation (FOCAC).</p> <p class="has-text-align-justify">The Finance Minister commended Chinese financial institutions, particularly Exim Bank, for their significant contributions to funding key infrastructure projects in Ethiopia under the BRI and FOCAC initiatives. He also highlighted Ethiopia’s ongoing macroeconomic reforms, including the liberalization of certain state-owned enterprises, revisions to the foreign exchange policy, and measures to improve the business environment, all of which are expected to attract further foreign investment.</p> <p class="has-text-align-justify">The Chinese officials expressed their strong commitment to the bilateral relationship with Ethiopia, reaffirming their continued support for the country’s development efforts. Minister Lan Fa’on further briefed Minister Ahmed on China’s leadership role in the G20 Common Framework for debt treatments, emphasizing their coordinated efforts to provide financial support to developing countries. The Chinese side reiterated their willingness to collaborate with Ethiopia in addressing debt-related challenges and seizing emerging investment opportunities.</p> <p class="has-text-align-justify">In separate meetings with key Chinese financial institutions, including Exim Bank, Industrial and Commercial Bank of China (ICBC), China Development Bank (CDB), and others, Minister Ahmed discussed the completion of ongoing infrastructure projects and explored new investment opportunities. He reaffirmed that Chinese enterprises remain Ethiopia’s principal partners in infrastructure development, financing, and foreign direct investment.</p> <p class="has-text-align-justify">This visit marks a further consolidation of the longstanding bilateral ties between Ethiopia and China, which were elevated to an “All-Weather Strategic Partnership” following Prime Minister Abiy’s visit to China in 2023/24. The current visit by Minister Shide signifies a continued and deepening commitment to enhancing economic cooperation and fostering mutual development between the two nations.</p> <hr class="wp-block-separator has-alpha-channel-opacity" /> <p id="third-one"><strong><em>Ethiopia-Japan Trade and Investment Symposium Strengthens Economic Ties </em></strong></p> <p class="has-text-align-justify">The Ethiopia-Japan Trade and Investment Symposium was held from January 22-24 at the Skylight Hotel in Addis Ababa, reinforcing economic cooperation between the two countries. The event, organized by the Ministry of Foreign Affairs in collaboration with key government institutions, brought together representatives from over 30 Japanese companies and Ethiopian business leaders to explore investment opportunities and discuss economic reforms.  </p> <p class="has-text-align-justify">Senior Ethiopian government officials, including Minister of Trade and Regional Integration Kasahun Gofe, State Minister of Foreign Affairs Ambassador Mesganu Arga, State Minister of Finance Eyob Tekalign, and State Minister of Tourism Endegena Abebe, attended the symposium. Ethiopia’s Ambassador to Japan, Ambassador Daba Debele, and Japan’s Ambassador to Ethiopia, Ambassador Shibata Hironori, also participated, underscoring the strong diplomatic and economic ties between the two nations.  </p> <p class="has-text-align-justify">Minister of Trade and Regional Integration, Kassahun Gofe, said in his keynote speech that the Ethiopian government will work closely with Japanese investors to invest in Ethiopia under the conducive climate brought about by the homegrown macroeconomic reforms.</p> <p class="has-text-align-justify">During the opening ceremony, Ambassador Mesganu emphasized that the event marked another milestone in the deepening bilateral relationship between Ethiopia and Japan. He highlighted the complementarity between Ethiopia’s untapped market potential and Japan’s technological expertise and investment capital, creating unique opportunities for mutual growth. He also noted Japan’s longstanding role as one of Ethiopia’s most reliable partners, contributing to the country’s socioeconomic development through trade, technology transfer, and development cooperation.  </p> <p class="has-text-align-justify">Ambassador Shibata, for his part, reaffirmed Japan’s commitment to promoting trade and investment with Ethiopia. He highlighted 2025 as a pivotal year for economic cooperation, coinciding with the Tokyo International Conference on African Development (TICAD 9), which presents additional opportunities for engagement.  </p> <p class="has-text-align-justify">The symposium featured presentations by senior officials and experts from key government institutions, including the Ministry of Finance, the Ethiopian Investment Commission, and the National Bank of Ethiopia. Discussions covered investment policies, trade regulations, financial incentives, and Ethiopia’s newly launched Securities Exchange (ESX), which aims to attract foreign capital and enhance corporate transparency.  </p> <p class="has-text-align-justify">Following the discussions, the Japanese delegation visited the Ministry of Trade and Regional Integration’s Export Trade Exhibition Centre to explore Ethiopia’s industrial capabilities and export potential. Business-to-business meetings provided a platform for Ethiopian and Japanese enterprises to explore potential partnerships. The delegation also toured key sites, including the National Palace Museum and the Industrial Parks Development Corporation, where they learned about Ethiopia’s industrialization strategy and investment incentives. A visit to the Geda Special Economic Zone in Oromia showcased opportunities available for Japanese investors.  </p> <p class="has-text-align-justify">The symposium successfully fostered dialogue, knowledge-sharing, and business networking. By combining discussions with site visits, participants gained firsthand insights into Ethiopia’s economic landscape. </p> <hr class="wp-block-separator has-alpha-channel-opacity" /> <p id="fourth-one"><strong><em>Pakistani High-level Delegation Pays a Working Visit to Ethiopia</em></strong></p> <p class="has-text-align-justify">A high-level delegation from Pakistan, led by Additional Foreign Secretary (Africa), Ambassador Hamid Asghar Khan, paid a working visit to Ethiopia from January 22–24. </p> <p class="has-text-align-justify">During the visit, the delegation held extensive discussions with senior Ethiopian government officials, including Minister of Trade and Regional Integration, Kassahun Gofe; State Minister of Foreign Affairs, Ambassador Mesganu Arga; and Ethiopian Airlines Group Chief Commercial Officer (CCO), Lema Yadecha, among others. The delegation was also engaged with representatives from the House of People’s Representatives, the Ethiopian Foreign Affairs Institute, and senior officials of the African Union to further strengthen bilateral cooperation between Ethiopia and Pakistan.</p> <p class="has-text-align-justify">During the meeting at the Ministry of Foreign Affairs, the two sides held in-depth discussions on cooperation in various sectors, including agriculture, industry, investment, trade, tourism, aviation, science and technology, and education.</p> <p class="has-text-align-justify">State Minister of Foreign Affairs, Ambassador Mesganu Arga, provided a detailed briefing on Ethiopia’s peace and security situation and the country’s role in regional stability. He emphasized the long-standing relationship between Ethiopia and Pakistan and expressed hope for continued strengthening of bilateral and multilateral cooperation.</p> <p class="has-text-align-justify">Pakistani Additional Foreign Secretary (Africa), Ambassador Hamid Asghar Khan, visiting Ethiopia for the first time, commended Ethiopian Airlines for its extensive global connectivity and praised Addis Ababa as the political and economic hub of Africa. He highlighted the historical ties between Ethiopia and Pakistan and emphasized the mutual benefits of closer collaboration. He also noted the strategic importance of Ethiopian Airlines’ flights to Karachi and expressed Pakistan’s interest in expanding air routes to other cities.</p> <p class="has-text-align-justify">The Pakistani delegation also expressed a keen interest in expanding cooperation in pharmaceuticals, football and the establishment of a ‘Pakistani Economic Zone’ in Addis Ababa. Both sides agreed to enhance collaboration on multilateral platforms and strengthen ties in key areas such as defense, parliamentary relations and education.</p> <p class="has-text-align-justify">Following the bilateral meeting, Ambassador Hamid Asghar Khan and Ambassador Mesganu signed the Memorandum of Understanding (MoU) on Political Consultation. Both sides acknowledged that this agreement would serve as a foundation for deepening diplomatic dialogue and strengthening cooperation at the bilateral and multilateral levels.</p> <p class="has-text-align-justify">In the meeting with Minister of Trade and Regional Integration, Kassahun Gofe, the two sides explored opportunities for trade expansion. They emphasized the potential for mutual economic benefits, leveraging each country’s population size and production capacity.</p> <p class="has-text-align-justify">In a similar exhibition Pakistan organized in South Africa, Nigeria, Egypt and Kenya, he announced that Pakistan would organize a ‘Pakistan Single Country Exhibition’ in Addis Ababa in May 2025 at the Millennium Hall, with over 100 Pakistani companies expected to participate. The exhibition aims to boost business connections and increase trade and tourism between the two nations. Minister Kassahun Gofe pledged full support from his ministry to ensure the event’s success.</p> <p class="has-text-align-justify">The Pakistani delegation also met with Ethiopian Airlines Group executives, led by Deputy CEO Lema Yadecha. They acknowledged Ethiopian Airlines’ impressive global success and its critical role in strengthening connectivity between Africa and South Asia.</p> <p class="has-text-align-justify">While the launch of Ethiopian Airlines’ flights to Karachi was seen as a major step forward, the delegation emphasized the need for expanded passenger and cargo services to other regions of Pakistan. In response, Ethiopian Airlines officials confirmed ongoing efforts to enhance air transport access between the two countries.</p> <p class="has-text-align-justify">Finalizing the work visit, the delegation also met with members of Ethiopia’s House of People’s Representatives, the Ethiopian Institute of Foreign Affairs, and senior officials from the African Union to explore further avenues for collaboration.</p> <hr class="wp-block-separator has-alpha-channel-opacity" /> <p id="fifth-one"><strong><em>Ethiopian Investment Holdings (EIH) and its Role in Ethiopia’s Economic Development</em></strong></p> <p class="has-text-align-justify">Speaking in Episode 6 to the Host of <em>Ethiopia in Focus, </em>the Press Secretariat of the Office of the Prime Minister, Billene Seyoum, the CEO of the Ethiopian Investment Holdings (EIH) and a member of the National Macroeconomic Committee, Brook Taye, shared his key insights on state-owned enterprises and its pivotal role in economic development.</p> <p class="has-text-align-justify">In his exclusive appearance on the 10-part series on the state of Ethiopian economy, Brook stated that  Ethiopia is undergoing a significant economic transformation driven by its newly established Sovereign Wealth Fund, Ethiopian Investment Holdings (EIH). The formation of the EIH signifies Ethiopia’s strategic shift towards commercial management of state-owned enterprises (SOEs) and keen focus on strategic investments geared towards broader achievements in economic development, diversification and increasing inflows of foreign direct investment and capital, the CEO noted. </p> <p class="has-text-align-justify">The creation of the Ethiopian Securities Exchange (ESX) and support for the startup ecosystem in the country are also highlighted as key elements of this epochal transformation. He said the entities under EIH are driving industrialization, creating jobs, developing infrastructure, and attracting both domestic and foreign investments.</p> <p class="has-text-align-justify">Speaking of the rationale behind the formation of the EIH, the CEO revealed that there are two major reasons for its establishment. On the one hand, its establishment arose from the country’s interest to conduct proper portfolio management and optimization of SOEs. As demonstrated by the landmark achievements of Ethiopian Airlines and Ethiotelecom, Brook mentioned that SOEs, if properly managed, play a crucial role in the economy through this strategic investment arm of the government. </p> <p class="has-text-align-justify">On the other hand, the coming into being of EIH serves as the nerve center of the government’s anchor investments in SOEs as a minority shareholder or having a certain equity position in that company while moving away from the often-complicated PPP modality over the years, he added. “The first success for EIH, or the change in terms of the government view, is that these assets need to be managed commercially. They’re not a policy instrument,” Brook stated.</p> <p class="has-text-align-justify">In a nutshell, the EIH, as an agent of economic development, is tasked with transforming SOEs from policy instruments to commercial entities, strategically managing existing SOEs, and diversifying investments in these economic giants. Consequently, it plays an instrumental role in shifting the state’s conventional approach to SOEs as policy tools or remedies for market failures; they are now managed with a focus on profitability, transparency, and corporate governance.</p> <p class="has-text-align-justify">In addition, its role goes beyond merely managing existing SOEs. It actively makes investments that are seen as strategic for Ethiopia’s economic development. While doing so, EIH expects its SOEs to be key drivers of economic growth, leveraging their potential for profitability and revenue generation.</p> <p class="has-text-align-justify">In conclusion, the establishment of Ethiopian Investment Holdings (EIH) represents a significant step forward in Ethiopia’s economic development. By moving to a commercially focused approach to managing SOEs, strategically diversifying its investments, developing capital markets, and actively encouraging foreign investment, the Ethiopian government seeks to transform its economy, creating jobs and opportunities. 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