Homegrown Economic Reform Boosting Foreign Investment Inflow: Commissioner

Addis Ababa, March 16, 2026 (ENA) — Ethiopia’s Homegrown Economic Reform program is significantly enhancing the country’s attractiveness to investors and increasing foreign investment inflows, Commissioner of the Ethiopian Investment Commission, Zeleke Temesgen said.

A panel discussion themed “Ethiopia – The New Investment Destination” is currently underway, organized by the Ethiopian News Agency in collaboration with the Ethiopian Investment Commission in Addis Ababa.

In his presentation Commissioner Zeleke highlighted the comprehensive macroeconomic reforms initiated by the government have created a favorable environment for foreign investors to explore and engage in Ethiopia’s vast investment opportunities.

According to him, the reform program has generated significant momentum in five key sectors prioritized for Foreign Direct Investment (FDI) — agriculture, mining, manufacturing, tourism, and information and communication technology (ICT).

In addition to these sectors, he noted that energy and housing development are also emerging as promising areas attracting growing interest from international investors.

Zeleke stated that investors entering Ethiopia following the reforms are actively engaging in various development sectors, contributing significantly to job creation and technology transfer.

He added that the government has introduced 116 new legal frameworks aimed at improving the country’s business environment and strengthening investor confidence.

The commissioner also noted that the reforms have begun producing tangible results. After the business sector was opened to foreign investors, more than 126 companies have obtained business licenses, while over 162 investment projects have been undertaken by foreign investors, demonstrating that the reform measures are receiving a positive response from the international investment community.

These legal reforms have also opened previously restricted sectors to investors. In particular, the real estate and housing development sector, which had earlier been closed to foreign investors, has recently been opened for broader participation.

Zeleke further indicated that the commission’s coordinated investment promotion activities in selected sectors have produced encouraging results.

According to him, Ethiopia attracted 18.6 billion USD in Foreign Direct Investment over the past five years.

He also pointed out that Ethiopia currently ranks second in Africa in attracting foreign direct investment, noting that ongoing efforts are aimed at further improving the country’s position.

The commissioner highlighted that the establishment of free trade zones in the country has also created a conducive ecosystem for foreign investors.

The forum brought together key stakeholders including Kassahun Gofe, Minister of Trade and Regional Integration; Yohannes Mesfin, Deputy Chairperson of the Trade and Tourism Affairs Standing Committee of the House of Peoples' Representatives of Ethiopia; Commissioner Zeleke Temesgen; and State Minister of Health Frehiwot Abebe, along with representatives from federal and regional investment development institutions.