Ethiopia is envisioned to be Africa’s industrial hub by 2025. A number of industrial parks have already been built in various states of the country. Some giant world-class manufacturers have begun to take space in these parks and others are also in the pipeline to export their Ethiopian-made products and goods to the world market.
When all the industrial parks are fully operational, they will create two million job opportunities and play a pivotal role in enhancing the nation’s export earnings. The ongoing process of new technology adoption and transformation will transform the present agricultural-led economy to an industrial-led one.
Two good examples of successful state involvement in the economy, are firstly, Ethiopia’s horticulture business. The government has supported the industry by providing various incentives to investors. As a result, the sector is now generating hundreds of millions of USD to the economy and created thousands of jobs.
Secondly, is government support for the country’s cement production capacity in the past, imports was needed to cope with the country’s building boom. Now there are a number of privately-owned cement factories along with the state-owned ones that are playing their role in the development of the nation. The industrial parks, already built or in the process of construction, will be world-class industrial parks and as all infrastructure is put in place in these parks, any investor could begin production within 90 days.
The government will also offer ten-year free income tax incentive for the most prominent global manufacturers to help make Ethiopia Africa’s industrial hub by 2025.
