Ethiopia, which is liberalizing its economy, is in the final stages of opening its logistics sector to foreign investment. This follows earlier reforms that allowed foreign investors to participate in the nation’s banking and finance sectors.

In an announcement on October 8, 2024, the Ministry of Finance revealed policy amendments aimed at encouraging greater foreign participation in the logistics industry. Finance Minister Ahmed Shide highlighted the importance of these reforms during an event recognizing the contributions of key players in the logistics sector.

"Strengthening our logistics capabilities is essential for our country’s future," Ahmed Shide said, emphasizing the role of infrastructure development, particularly road construction, which has received significant budget allocations. He also noted the government's ongoing plans for a new airport to enhance the nation's cargo capacity.

Ethiopia’s efforts to boost its competitiveness in the international market were underscored, including improved logistics ties with Djibouti and efforts to address port access challenges. The Finance Minister also acknowledged the World Bank's support in advancing Ethiopia’s road construction projects, which are nearing completion.

Transport and Logistics Minister Alemu Sime (PhD) echoed these sentiments, noting that Ethiopia's Logistics Performance Index had risen from 2.53 to 2.94, reflecting improved efficiency in the sector. A comprehensive policy for the logistics industry is being implemented to attract further trade and investment.

In 2027, Ethiopia will host the prestigious International Logistics Conference, marking the country's emergence as a growing player in global logistics. The conference, expected to draw 1,500 to 2,000 attendees, will provide a unique opportunity for Ethiopian companies to collaborate with international logistics firms.

Source: The Ethiopian Herald

Additional source: Sheger FM 102.1