Tag Archives: Ethiopia

26 Jun

The Ethiopia rally bomb will test the prime minister’s reform agenda

At least two people died and 156 were wounded in a grenade attack at a political rally in Addis Ababa addressed by reformist Ethiopian prime minister Abiy Ahmed.

Abiy was a surprise guest on the day and, moments after sitting down once he’d made his speech, there was an explosion meters away. He was not hurt, but the rally’s organizers have claimed he was the main target.

Was this an unprecedented moment in Ethiopia’s history?

The attempted assassination on a national leader isn’t entirely new to Ethiopia. There was, at least, one such attempt in 1976 targeting Mengistu Hailemariam, a former leader who now lives in Zimbabwe as a fugitive. He survived with slight injuries.

That attack was interpreted by many as the incident that triggered horrendous political violence known as “Red Terror”, which left thousands of young people dead.

But the scale and the audacity of this attack is unprecedented. It appears that those who planned it couldn’t deliver on the scale they might have wanted. Had they succeeded, the human cost and its political implications would have been immense.

What is the current political context?

The ruling party, the Ethiopian People’s Revolutionary Democratic Front which has been in power for nearly 30 years, is decaying.

It lacks the political will to introduce fundamental reforms which would address issues like endemic corruption, the incarceration of journalists and political opponents and widespread economic marginalization.

These concerns precipitated protests from various segments of society and forced former Prime Minister Hailemariam Desalegn to resign.

Abiy emerged from within the ruling party amid this disarray. His message was markedly different. He spoke the language of the people and tapped into society’s aspirations and fears.

While it was expected that he’d be a safe pair of hands for ordinary people as well as the ruling elites, nobody expected him to be as direct and decisive as he has turned out to be in his reform efforts.

To read the full article, click here.

 

22 Jun

Ethiopia needs to end the persecution of a key ethnic group

The political upheaval that Ethiopians have become accustomed to seems to be a thing of the past—for now.

Many have praised the new prime minister Abiy Ahmed, who took office in April 2018, for restoring calm to much of the country. Some have even dubbed his reform agenda a massive turn around for Ethiopia.

There has been progress on his watch. Ahmed has overseen the release of political prisoners, as was promised by former premier Hailemariam Desalegn.

Most recently he lifted the state of emergency that was imposed after Desalegn unexpectedly resigned in February 2018 after five years in power.

Ahmed has also promised to privatize state owned enterprises, and declared his readiness to stabilize Ethiopia’s tumultuous relations with neighbor Eritrea.

But it hasn’t all been rosy—especially when it comes to the ongoing eviction of ethnic groups in various regions in the country.

The targeted eviction of ethnic Amharas in the regional states of Benishangul Gumuz and Oromia is especially worrying.

Thousands of Amharas have been evicted, killed and tortured. Although cases of evictions have recently increased, the problem started in 2012 when thousands of Amharas were evicted from the Southern Region.

The Amharas are one of Ethiopia’s two largest ethnic groups; the other is the Oromo. Together the groups account for about 60% of Ethiopia’s population.

Mistreatment of Amharas has drawn the attention of several human rights organizations, including Amnesty International which has called out the pattern of ethnically motivated attacks and displacement.

To end such ethnic attacks and unfortunate instances of targeted evictions, Ahmed’s new administration must consider institutional reforms.

My research shows that Ethiopia’s regional states and their constitutions have been designed in a way that bestows ownership of regions on certain ethnic groups. So, for Ahmed’s reform agenda to take full effect such laws need to be amended.

To read the full article, click here.

12 Jun

Ethiopia’s tech startups are confident change is coming

Word that Ethiopia’s prime minister Abiy Ahmed is looking to loosen his country’s tight grip on strategic assets like its fast-growing airline and its long-term telecom monopoly has sparked interest from international investors and regional corporations.

It’s easy to see why: Ethiopia, with a population of 100 million, has had one of the world’s fastest-growing economies for the past decade. It’s also had a successful top-down implementation of various infrastructure initiatives in transportation and construction.

Still, Ethiopia’s also been called a “sleeping giant” because of its closed markets. Decades after last socialist government, it still has a heavily regulated business environment. Things were changing even before Abiy’s appointment and as the country’s tense politics led to a state of emergency after ethnic-led protests and fatal clashes with security forces.

At the Afrobytes tech conference in Paris, an Ethiopian delegation of 12 local startups attended to show off some the not-often-seen initiatives. Zekarias Amsalu, founder of investment advisory firm Ibex Frontier, who led the startup group, says he coined the moniker “Sheba Valley” to describe one of Addis Ababa main startup hubs.

Amsalu has long been a champion for Ethiopia’s potential, saying it’s not about “emotion, but logic.” The accountant, who splits his time between London, Washington DC and Addis, explains: “We just want our story to be told.

We have 250,000 university graduates every year, about 70% of them are in STEM subjects, there’s so much potential.” Sheba Valley is now recognized as a leading hub for AI technology on the continent led by Icog Labs, the Addis research team.

“You have to be smarter than the machines than you’re using,” says Betelhem Dessie, who at 18 is already a project manager for Icog, while still a student at the University of Addis Ababa.

There are several other hubs, including Ice Addis and Bluemoon and more established tech-led ventures including Gebeya, an online marketplace for talent.

To read the full article, click here.

07 Jun

Ethiopia’s unexpected step towards peace with long-time enemy Eritrea

Ethiopia’s premier just made the surprise announcement that it’s going to make peace with its enemy Eritrea.

In a statement made last night (June 5), the ruling coalition declared that it will fully accept the terms of an agreement signed in 2000, which ended the war between the two nations over a disputed border.

Recognizing the deal is a huge step forward in bringing about a peaceful conclusion to the political fight that has rattled on for decades.

From 1962 to 1993, Eritrea was ruled as a province of Ethiopia, and the two nations amicably separated after a vote in 1993. But that decision left Ethiopia landlocked, which kick started a bitter rivalry and raised questions over national pride, and regional dominance.

The unrest helped catalyze a war in 1998, which erupted over the town of Badme, which both sides claimed as their own. The brutal battle killed around 70,000 people.

However, after the war ended, a boundary commission awarded the contested town to Eritrea, a decision Ethiopia refused to accept. Since then, diplomatic attempts to get both sides talking have faltered, leading to years of no-war, no-peace stalemate.

Seeking to reverse all this, Addis Ababa appealed to the cultural and historic ties between the two countries.

“The suffering on both sides is unspeakable because the peace process is deadlocked,” Fitsum Arega, chief of staff to prime minister Abiy’s office, said on Twitter. “This must change for the sake of our common good.”

The contention between the two nations hasn’t been helped by the authoritarian stance that both countries took over the last few years.

Eritrea, led by president Isaias Afwerki since independence, grew to be a reclusive state. The country’s human rights track record remained abysmal, as it regularly subjected citizens to arbitrary arrests and harsh treatment.

The one-party state also promoted a national conscription service that drafted citizens for an indefinite period of time, forcing them into “slave labor” conditions.

And because of the repression, many Eritreans fled to neighboring countries, Europe, and Israel, making them one of the top refugee contributing nations in the world.

To read the full article, click here.

29 May

Ethiopia’s 27th National Day: U.S. restates support for PM Abiy’s govt

On the occasion of Ethiopia’s National Day, the United States has restated its support for the current government led by Prime Minister Abiy Ahmed Ali.

Washington said it was committed to helping Addis Ababa in the area of sustainable development, democracy, human rights, peace and good governance.

In a statement released by Secretary of State Mike Pompeo, the Department of State stressed that Premier Abiy had their unalloyed support in his bid to ring governance changes promised by the ruling coalition.

Full text of U.S. Department of State press statement:

On behalf of President Trump and the people of the United States, I send my best wishes to all Ethiopians as they celebrate their National Day on May 28.

The United States and Ethiopia share a long and deep friendship based on our commitment to sustainable development, democracy, human rights, peace, and good governance, as well as on our important and influential population of Ethiopian-Americans, who contribute so much to our own country.

Congratulations to your new Prime Minister, Dr. Abiy Ahmed, who has our full support in his determination to bring greater political openness to Ethiopia and to continue the great economic gains made in recent years. I offer best wishes for a joyous and safe holiday, and I reaffirm the commitment of the United States to our enduring friendship.

Abiy’s Premiership and task of political reforms

Abiy was sworn into office on April 2 this year, taking over from Hailemariam Desalegn who resigned to allow political reforms to be undertaken after close to three years of deadly anti-government protests across the Oromia and Amhara regional states.

The ruling Ethiopia Peoples’ Revolutionary Democratic Front (EPRDF) announced reforms in January 2018. The coalition said the reforms were to help foster national unity and open up the democratic space.

Hundreds of people – including top opposition chiefs and journalists – have been released after the government dropped charges against them. Abiy is tasked with continuing with reforms as the country heads to its next polls in 2020.

To read the full article, click here. 

14 May

Journalists, bloggers weigh in on media freedom in Ethiopia

The new Ethiopia Prime Minister Abiy Ahmed is said to have increased transparency in governance since his assumption into office. His critics cite his outreach to opposition political parties, journalists and human rights activists as a good move.

Thousands of prisoners have been released since January. Prominent Ethiopian journalist and human rights activist, Eskinder Nega has not seen his wife and son, both settled in the United States, for 5 years. In total, he’s spent nearly 9 years behind bars.

“They wanted to break my spirit, they want to break the spirit of political prisoners. They want you to say, I finally give up, it’s too much for me, I’ve suffered enough. In this story, I’m happy to say that they didn’t break my spirit and that’s why I’m talking to you”, Nega said.

Eskinder is one of the founders of one of the first opposition newspapers. In 2011, he was sentenced to 18 years in prison on anti-terrorist law charges.

‘‘This is my work published on the internet after I was forbidden to publish on paper. We were forbidden to publish in newspapers after our release from prison in 2008”, he added.

His colleagues agree. Manaye studied journalism at the Addis Ababa University and worked in the state press for a year. He tells our correspondent, Nathalie Tissot that news covered are sometimes ‘buried’.

“I have found it difficult to work as a free journalist in a government media. I was sent to cover public meetings and press conferences of opposition parties. I covered them when I came back to the office and returned my article, I didn’t find it in the next day’s edition’‘, Belay Manaye said.

Today, he follows the trials of activists in the Federal High Court of Justice. Like Eskinder, this human rights activist welcomes the new Prime Minister.

To read the full article, click here.

30 Apr

Ethiopia Mulls Fertilizer Plant Tender as Army Deal Reviewed

Ethiopia’s government may cancel a contract for a fertilizer plant awarded to its military-industrial conglomerate and offer it to international tender, the Public Enterprises Ministry said.

The possible revision of the contract is the latest sign that Ethiopia’s new prime minister is fulfilling a pledge to purge “favoritism” toward the security forces.

The state awarded the Yayu project in Ethiopia’s restive Oromia region to state-owned Metals & Engineering Corp six years ago, but since then less than half the work on the complex has been completed, ministry spokesman Wondefrash Assefa said.

“It may be that we will cancel the agreement and we will continue with another contractor, but the decision is not reached at this time,” he said by phone Friday from the capital, Addis Ababa. “It may be that others will participate including foreign companies.”

Prime Minister Abiy Ahmed came to office April 2, succeeding Hailemariam Desalegn, who quit as prime minister in February after failing to end protests in the Amhara and Oromia regions that began in 2015 amid demands for greater economic inclusivity.

Abiy has vowed to ensure more even wealth distribution by reducing “favoritism” toward the security forces.

Office Cherifien des Phosphates, a Morocco-based fertilizer producer, may be among companies that could be considered to take over the project, Wondefrash said. OCP has an interest “to produce fertilizer but we’ve not reached a conclusion on this issue,” he said.

Craig Atherfold, a spokesman for OCP, said he passed a request for comment to a colleague.

Metec is run by the Ethiopian military, one of Africa’s largest armies, and has been involved in projects including the $6.4 billion Grand Ethiopian Renaissance Dam and a series of sugar developments.

Officers connected with the rebel movement that overthrew Ethiopia’s junta in 1991 have dominated senior government positions for the past quarter century.

To read the full article, click here.

02 Feb

Ethiopia could be sitting on one of world’s great untapped gold deposits

To the west of Ethiopia near the Sudanese border lies a place called the Asosa zone. This may be the location of the oldest gold mine in the world. Dating back some 6,000 years, it provided a key source of gold to the ancient Egyptian empire, whose great wealth was famous throughout the known world. It may even have supplied the Queen of Sheba with her lavish gifts of gold when she visited King Solomon of Israel almost 3,000 years ago.

The excitement in this part of the world is more about the future, however. Some local inhabitants already make a living from prospecting, and several mining companies have been active in the area in recent years, too.

But what comes next could be on a much bigger scale: I have just co-published with my colleague, Owen Morgan, new geological research that suggests that much more treasure might be buried under the surface of this east African country than was previously thought.

Treasure trail

The Asosa zone is made up of flatlands, rugged valleys, mountainous ridges, streams and rivers. It is densely vegetated by bamboo and incense trees, with remnants of tropical rainforests along the river valleys. The zone, which is part of Ethiopia’s Benishangul-Gumuz region, is spotted with archaeological sites containing clues to how people lived here thousands of years ago, together with ancient mining pits and trenches.

Local inhabitants have long taken advantage of these riches. They pan for gold in Asosa’s streams and also extract the precious metal directly from outcropping rocks.

More substantial exploitation of the region’s riches dates back to the Italian invasion of the 1930s. The Italians explored the Welega gold district in West Welega, south-east of Asosa.

Haile Selassie, emperor of Ethiopia from 1930 to 1974, believed the country had the potential to become a global leader in gold. But when the revolutionary Derg government deposed him and the country plunged into civil war, gold mining disappeared off the agenda for a decade and a half. It took until the early 2000s before the government started awarding exploration licences.

Several mines are up and running, neither of them in Asosa. One is at Lega Dembi slightly to the east, owned by Saudi interests. The other, at Tigray in the north of the country, is owned by American mining giant Newmont, and just started production late last year.

More is already on the way: the beneficiary of the Italian efforts from the 1930s in Welega is the Tulu Kapi gold prospect, containing 48 tonnes of gold. This was most recently acquired in 2013 by Cyprus-based mining group KEFI Minerals (market value: roughly US$2.3bn).

As for Asosa, the Egyptian company ASCOM made a significant gold discovery in the zone in 2016. It published a maiden resource statement that claimed the presence of – curiously the same number – 48 tonnes of gold. Yet this only looks like the beginning.

Read more here: How We Made it in Africa

 

30 Jan

Ethiopia Oil Refinery Planned as Blackstone Pipeline Shelved

Ethiopia’s fast-growing economy has Asian investors lining up to build a new $4 billion oil refinery, even as a Blackstone Group LP-backed fuel pipeline project is shelved.

The proposed 120,000 barrels-a-day plant has generated interest from Japanese, South Korean and Indian investors, said Zemedeneh Negatu, chairman of U.S.-based Fairfax Africa Fund. The refinery in Awash, east of the capital Addis Ababa, would import crude through neighbouring Djibouti and along a railway recently completed by Chinese state enterprises, he said.

The Asians are “very excited,” said Zemedeneh, declining to name the potential investors who have signed memorandums of understanding. “Some are big commodity trading houses.”

Half of the refinery’s output would be directed to the Ethiopian market, with the remainder exported to neighbouring countries in East Africa, according to Zemedeneh. Fairfax Africa has plans to eventually double the plant’s capacity amid industrial expansion and increased demand for motor vehicles.

Ethiopia recorded annual average economic growth of about 10 percent over the past decade, and the International Monetary Fund estimates expansion at 8.5 percent in the current fiscal year.

There has also been interest from a U.S. financial firm in a project in which the Ethiopian government would be the sole fuel distributor, Zemedeneh said.

Pipeline On Hold

In 2015, Ethiopia and Djibouti signed framework agreements for the construction of a 550-kilometer (340-mile) pipeline to transport diesel, gasoline and jet fuel to Awash from a port on the Gulf of Aden. The work on that $1.6 billion Blackstone-backed fuel pipeline was put on hold “early last year,” Black Rhino Chief Executive Officer Brian Herlihy said in an emailed response to questions.

Minister of Mines, Petroleum and Natural Gas Motuma Mekassa didn’t respond to requests for comment. The proposed Fairfax Africa refinery faces competition.

In Ethiopia, the Oromia region’s government has been planning a petroleum company to import oil via Djibouti and process it at a planned refinery linked to the new railway. The company is targeting a 21 percent share of Ethiopia’s fuel market within five years, according to a feasibility study.

Neighboring South Sudan expects operations to begin in 2020 on a 120,000-barrel-a-day refinery with more facilities to follow. To the south, Uganda is moving ahead with a 60,000 barrels-a-day plant that will be supplied with crude from fields being developed by Total SA, Tullow Oil Plc and China’s Cnooc Ltd.

Source: https://www.bloomberg.com/news/articles/2018-01-29/ethiopia-oil-refinery-proposed-as-blackstone-backed-line-shelved

19 Dec

African Roses Hitch Ride to U.S. as Ethiopian Growers Go Global

Ethiopia’s burgeoning flower-growing industry is setting its sights on the U.S. in a bid to break the dominance of Latin American producers in supplying roses and other blooms to the world’s largest economy.

State-owned Ethiopian Airlines Enterprise is evaluating freighter flights through Miami — the main entry point for U.S. flower imports — Los Angeles or New York, regional manager Girum Abebe said in an interview. The company currently transports stems there only in the bellies of passenger jets.

Ethiopia has become a major force in global floriculture in the past two decades, exploiting a tropical high-altitude climate that provides year-round natural light combined with hot days and cold nights perfect for bringing plants into bloom. The conditions mirror those found in the Andes, where growers in Ecuador and Colombia currently dominate flower exports to the U.S.

“Ten or 15 years ago Ethiopia was not exporting a single rose, but now we have earned our position in the world market,” Girum said. “North America has been the major importer of horticulture products from other parts of the world, so we want to have part of that.”

Ethiopian flower exports are currently focused on Europe, and have made the country Africa’s second-biggest producer after Kenya and fourth-equal worldwide, according to Rabobank research based on 2015 figures. About 80 percent of Ethiopian production is flown to the Netherlands, the center of the global flower trade, and re-exported from there.

‘Bigger Blooms’

“Most people don’t know it but the flower market is very much a global one,” Amsterdam-based Rabobank floriculture analyst Cindy van Rijswick said. “Ethiopia is doing so well because its labor costs are a bit cheaper than Kenya and if anything its climate is even better, producing bigger blooms.”

European flower sales have been flat in recent years, encouraging growers to look at opportunities for penetrating trans-Atlantic markets, she said.

To read the full article, click here.