Due to Ethiopia’s initiatives facilitating foreign investment entry, Chen Hai, the Chinese Ambassador to the East African nation, recently characterized the country as Africa’s most dynamic market.
Ethiopia has been recognized by the Chinese Ambassador as Africa’s most dynamic market due to its initiatives to ease foreign investment and trade.China has enhanced trade cooperation with Ethiopia by offering zero tariff treatment and facilitating export of Ethiopian goods to China.These measures also lower market entry costs for Ethiopian small and medium enterprises and encourage more international investment.China is a leading contender in Ethiopia’s $12.5 billion Bishoftu International Airport project, with Chinese firms holding many shortlisted spots for construction contracts.
He made this assertion at the “Big Market for All: Export to China” Ethiopia session held in the country’s capital, Addis Ababa, on Wednesday.
“China has been continuously opening up its market to Ethiopia by extending zero tariff treatment and introducing a series of trade facilitation measures to transform its tax-related reduction arrangements for Ethiopia into tangible, accessible and beneficial outcomes,” the Chinese ambassador stated.
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Mr. Hai indicated that these regulations mitigate market access expenses for Ethiopian small and medium-sized enterprises, thereby facilitating the exportation of Ethiopian commodities to China.
He further stated that these measures incentivize Chinese and international investors to expand their capital commitments within Ethiopia’s key competitive sectors while fostering balanced bilateral trade growth.
Hai underscored that key priorities include enhancing the reputation and competitiveness of Ethiopian goods, enabling them to compete more effectively in global markets, and advancing Ethiopia’s industrialization and agricultural modernization objectives.
Furthermore, both countries, which are members of the BRICS group, maintain effective coordination and collaboration on international trade and economic matters, a joint effort to champion what he described as “true multilateralism,” as seen on ENA.
“Today’s Ethiopian session demonstrates China’s emphasis on the bilateral relationship, its confidence in the potential of Ethiopia’s economic growth and our bilateral economic and trade cooperation,” the ambassador said.
It was recently reported that China, which is Ethiopia’s largest trading partner and a major source of investment, is a major contender for major contracts at Ethiopia’s $12.5 billion Bishoftu International Airport.
An exterior view of Zaha Hadid Architects’ planned Ethiopian airport, designed to handle 110 million passengers and park 270 aircraft.
Ethiopian Airlines attracted businesses and joint ventures from China, Europe, the Middle East, Turkey, India, and Russia after completing prequalification for four significant building packages in April.
Out of ten groupings, 15 of the 33 spots on the shortlist were taken by Chinese companies, either on their own or through joint ventures.
Beijing Urban Construction Group, China Communications Construction Company, China Road and Bridge Corporation, and China Civil Engineering Construction Corporation are a few of them.
The primary terminal and airport buildings, airfield construction, auxiliary infrastructure, and off-site transportation connections are all included in the four packages.
The relationship between China and Ethiopia goes even further than trade and investments.
Last year, the East African country opened conversations with China on converting its debt from the US dollar to the Chinese Yuan.
The East African country is looking to convert some of the 5.38 billion it owes China into the East Asian country’s legal tender.
The idea was initiated by Eyob Tekalign, the governor of Ethiopia’s central bank, in September when he visited China.
