Ethiopia Deepens Dialogue with Investors, Details Reforms to Unlock Untapped Potential at High-Level Business Forum

Addis Ababa, May 12, 2025 (ENA) --- Ethiopia is making significant strides in positioning itself as a premier destination for foreign investment, a message reinforced during the ongoing Invest in Ethiopia 2025 High-Level Business Forum kicked off on Monday in Addis Ababa.

The event, which has attracted participation from 59 countries, has seen over 1,600 applicants—including 1,203 local and 422 international—of whom nearly 1,000 have been approved to participate. This diverse gathering underscores global confidence in Ethiopia’s reform agenda and growth prospects.

Throughout the forum, high-level officials and representatives from key institutions engaged in in-depth discussions about Ethiopia’s strategic reforms and future prospects.

Among those participating in the first panel were  Eyob Tekalign, State Minister of Finance; Hanna Arayaselassie, Minister of Justice; Mamo Esmelealem Mihretu, Governor of the National Bank; Sherin Varkey from the World Bank; and Wen Yingzheng, CEO of China Communications Construction Company (CCCC).

A central theme of panels was the government’s broader strategy to diversify growth sources across sectors such as mining, tourism, ICT, and manufacturing. State Minister Eyob Tekalign highlighted that about 80percent of recent investments have come from domestic resources, with Ethiopia’s sovereign wealth fund now exceeding 40 billion USD.

The government’s thoughtful approach emphasizes private sector leadership and prudent public investments to ensure sustainable economic development.

NBE Governor  Mamo Esmelealem outlined Ethiopia’s bold reform agenda under Prime Minister Abiy Ahmed’s leadership, emphasizing efforts to stabilize currency, liberalize foreign exchange, and control inflation.

Since July 2024, these reforms have yielded impressive results: exports have doubled, central bank reserves tripled, and remittances increased by 25 percent. Notably, Ethiopia will operate without central bank financing for the first time in over a decade, signaling strong fiscal discipline, he added.

 

Legal and regulatory reforms also played a key role in the discussions. Minister of Justice Hanna Arayaselassie detailed the 2020 Investment Law, which opened nearly all sectors to foreign investors, reinforced protections against expropriation, and introduced mechanisms for dispute resolution.

The establishment of Special Economic Zones and an investor grievance system through the Ethiopian Investment Commission exemplify Ethiopia’s efforts to create a more investor-friendly environment. These reforms are complemented by ongoing legislative updates and reforms to streamline regulations and reduce operational complexities.

Support from development partners was emphasized as pivotal to Ethiopia’s reform journey. Sherin Varkey of the World Bank highlighted their role in providing policy advice, technical assistance, and risk mitigation tools—such as blended finance and public-private partnership frameworks—to help unlock private sector potential and build institutional capacity.

Looking ahead, discussions also covered Ethiopia’s flagship initiatives such as the Ethiopia Investment Holdings, Africa’s largest sovereign wealth fund, and its active engagement in the African Continental Free Trade Area (AfCFTA). These efforts aim to expand market access, bolster competitiveness, and attract investment across the continent.

State Minister Eyob Tekalign reaffirmed Ethiopia’s unwavering dedication to transforming its economy over the coming decades.

He emphasized that the country’s key strength lies in the collective commitment across all levels of society to realize a shared vision of prosperity. “We need partners for the long haul,” he said, inviting investors to join Ethiopia’s journey of development and reform.

As the forum continues, it remains a vital platform for fostering dialogue, addressing investor concerns, and reinforcing Ethiopia’s promising outlook as a country open for business and committed to shared growth.