Foreign Investors Praise Ethiopia's SEZs and Free Trade Zones for Enhanced Business Opportunities

Addis Ababa, March 23, 2026 (ENA) — Foreign investors operating in Ethiopia’s Special Economic Zones (SEZs) and the Dire Dawa Free Trade Zone have commended the country’s improving investment climate, citing streamlined services, incentives and growing opportunities.

The government has intensified efforts to attract quality investment from across the world by offering a range of incentives and building conducive business environments.

SEZ and the Dire Dawa Free Trade Zone are emerging as key hubs drawing both foreign and domestic investors.

Currently, more than 290 local and international investors are engaged in diverse business activities across 14 SEZs established in different parts of the country.

The Industrial Parks Development Corporation (IPDC), established in December 2014, manages 11 SEZs and three industrial parks, providing integrated infrastructure to support industrialization.

These zones are strategically located along major economic corridors, taking advantage of transport connectivity and proximity to resource hubs.

In an exclusive interview with ENA, Nalini Ranjan Nayak, Director of Indian Glocare Pharma Manufacturing PLC operating in Addis Ababa Kilinto Industrial Park, affirmed the company has been active in Ethiopia for over three years, supplying pharmaceuticals to the domestic market with plans to expand exports.

“With respect to the business facilities, we are offered a lot of opportunities inside the industrial park, including duty free privileges and advantages in importing raw materials and packaging materials,” he said, adding, “We are also in a tax holiday period, which helps us manage our finances during the early stage of investment.”

He further highlighted the efficiency of integrated services within the zones.

“Almost all government institutions have established a system inside the SEZs, providing one window services. We get everything in one place, all documentation and formalities are completed in a single office inside the park,” he added.

According to him, support from the Prime Minister’s Office, Ministry of Industry and IPDC is enormous and encouraging.

“Definitely there is a very good scope. The way government regulations are opening up presents a strong opportunity for future direct foreign investment into SEZs,” he added.

kapil Singhvi, owner of MOHAN PLC, which began operations in the Dire Dawa Free Trade Zone in January 2025, also expressed satisfaction with the business environment and institutional support.

“We are very happy with IPDC, they always supported us,” he said, noting the assistance received from key institutions including IPDC, the Ethiopian Investment Commission and the National Bank of Ethiopia.

He further explained that the company is engaged in merchandise trading, sourcing raw materials and supplying them to the local market while preparing to enter export markets.

“We are very optimistic. With the growth Ethiopia is registering, business will boom. There is a big opportunity for startups and more investors will come,” he said.