Business in Ethiopia

EENI- School of International Business

Subject Subject (Course): International Trade and Doing Business in Ethiopia. Addis Ababa.


  1. Introduction to the Federal Democratic Republic of Ethiopia (East Africa).
  2. Ethiopian Economy.
  3. International Trade of Ethiopia.
  4. Doing Business in Addis Ababa.
  5. Case Study:
    - Ethiopian Telecommunications Corp
    - ZTE (China)
    - Sheikh Mohammed Hussein Ali Al-Amoudi
    - Mimi Alemayehou
  6. Business Opportunities:
    - Coffee
    - Cotton
    - Textile
    - Leather
    - Horticulture
    - Mining
    - Tourism
  7. Foreign Direct Investment (FDI) in Ethiopia.
  8. Access to the Ethiopian Market
  9. Business Plan for Ethiopia

Objectives of the subject “Foreign Trade and Doing Business in the Federal Democratic Republic of Ethiopia”:

  1. To analyse the Ethiopian economy and foreign trade
  2. To evaluate business opportunities in the Federal Democratic Republic of Ethiopia
  3. To explore Ethiopia's trade relations with the student's country
  4. To know Ethiopia's Free Trade Agreements (FTAs)
  5. To examine the profile of Ethiopian businesspeople and companies
  6. To develop a business plan for the Ethiopian Market


Subject “Doing Business in Ethiopia” is studied...
  1. Doctorate in Business in Africa
  2. Masters (e-learning): Africa, Frontier Markets, and International Business
  3. Course: East Africa

Recommendations for Ethiopian students.

Course learning materials in English or French Ethiopie Portuguese Etiopia Spanish Etiopia

  1. Credits of the subject “Foreign Trade and Doing Business in Ethiopia”: 3 ECTS Credits / 1.5 AC Credits
  2. Duration: three weeks

Sample of the subject - Foreign Trade and Doing Business in Ethiopia:
Sheikh Mohammed Al-Amoudi Ethiopian Businessman

We Trust in Africa

Description Subject Description (Doing Business in Ethiopia).

Mimi Alemayehou Ethiopian Businesswoman

Ethiopia: headquarters of the African Union and the Economic Commission for Africa.

African frontier market. Landlocked country.

  1. The Federal Democratic Republic of Ethiopia is advantageously situated in the Horn of Africa.
  2. Ethiopia is one of the oldest nations in the World.
  3. Kingdom of Aksum (Ethiopia and Eritrea) was one of the first Christian countries in the World, having officially adopted Christianity as the state religion in the 4th century.
  4. The Federal Democratic Republic of Ethiopia is one of the biggest regional markets in Africa with 94 millions of people (84% of the population lives in rural areas).
  5. The main ethnic groups: Oromo and Amhara.
  6. Amharic is the official working language.
  7. Borders of Ethiopia: Djibouti, Somalia, Kenya, Eritrea, South Sudan, and Sudan.
  8. Abolition of slavery in Ethiopia: 1924

Religions of the Federal Democratic Republic of Ethiopia:

  1. Orthodox Christian (63% of the population)
  2. Sunni Islam (34%).
  3. Islamic courts have jurisdiction in cases of marriage, divorce, guardianship of minor (only if both parties are Muslims).

Ethiopia belongs to the East African Economic Area of the African Civilisation.

Case Study: Ethiopian Airlines

Ethiopian economy:

  1. Ethiopia is a frontier market.
  2. The Federal Democratic Republic of Ethiopia is richly gifted with immense human resources, arable land, and natural resources (gold, platinum, marble, tantalite, copper, potash, soda ash, zinc, nickel, iron, and natural gas; much of it yet to be exploited)
  3. Ethiopia is a fast growing market with a yearly increase in purchasing power of consumers -GDP growth: 9.7% (2012/13)-, which made Ethiopia as one of the leading African economies.
  4. Ethiopian economy remains firmly dependent on agriculture (50% of the gross domestic product).
  5. Coffee exports account for 65% of foreign exchange earnings (processed hides and skins are the second).
  6. The main economic activities in Addis Ababa: steel products; leather products, textiles, cement, tires, blankets, food, and beverages.

Foreign direct investment.

  1. The Federal Democratic Republic of Ethiopia has untapped resources and a friendly foreign direct investment code.
  2. The main opportunities for investment: cut flower, garment, and meat processing
  3. The Ethiopian Investment Agency is the governmental body responsible for promoting foreign direct investment (FDI) in Ethiopia.

Ethiopia's Preferential Access and Trade Agreements:

  1. Ethiopia is a member of the Common Market for Eastern and Southern Africa (COMESA) and the Intergovernmental Authority on Development (IGAD)
  2. Under the African Growth and Opportunity Act (AGOA), Ethiopia has preferential access to the United States market.
  3. Ethiopia is a beneficiary of the Generalised System of Preferences (European Union)/Cotonou Agreement
  4. COMESA-EAC-SADC Tripartite Agreement

African Highways Networks:

  1. Cairo-Gaborone Corridor
  2. N’Djamena-Djibouti Corridor

The nearest ports:

  1. Port of Djibouti: the main foreign trade port of Ethiopia. Rail and road links.
  2. Port of Mombasa
  3. Port Sudan

Port of Djibouti

COMESA Custom Union

Ethiopia is a member of:

  1. African Union and the United Nations Economic Commission for Africa are in Addis Ababa
  2. Nile Basin Initiative
  3. African Development Bank
  4. New Partnership for Africa's Development (NEPAD)
  5. Forum Africa (Ethiopia) China
  6. Forum Africa (Ethiopia) India
  7. Africa (Ethiopia) - South America Summit

Samples - Business in Ethiopia

COMESA Certificate Origin

Doing Business in Ethiopia

Cairo-Gaborone Corridor (Trans-African Highway)

COMESA-EAC-SADC Tripartite Agreement

N’Djamena-Djibouti Trans-African Highway

The Ethiopian Telecommunications corporation provides world-class telecommunications services including basic telephony, mobile and the Internet. The company is the sole telecommunication service provider in the Federal Democratic Republic of Ethiopia.

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