The Monthly Publication of The Ethiopian Embassy in London
ETHIOPIAN NEWS
Volume 5 Number 1 May, June & July 2006 Bumper On-line version
Political parties agree new Parliamentary rules
Significant steps have been made in the democratisation process in Ethiopia with the endorsement of reforms to the parliamentary rules and procedures and the MPs Code of Conduct, following cross-party consensus after a series of meetings in June. After days of discussions between the ruling Ethiopian Peoples’ Revolutionary Democratic Front (EPRDF), the United Ethiopian Democratic Forces (UEDF), the Oromo Federalist Democratic Movement (OFDM) and the EDUP-Medhim and Coalition for Unity and Democracy parliamentary groups, agreement was reached on the draft Parliamentary Code of Ethics and Procedure Bill, which was then debated and approved by the House of People’s Representatives ahead of the close for recess on 7th July.
The basis for the draft Bill was a report submitted by consultants from the UK, India, Canada and Germany who, in 2005, were tasked with examining and reviewing the way parliament functions. The ensuing agreement further consolidates the foundation for a durable and sustainable democratic multi-party system, in accordance with the constitution of the Republic.
The reforms now ensure that MPs from any party can put themselves forward as candidates for the posts of Speaker in both houses of Parliament, with the successful candidate chosen on the basis of a majority vote, and that the parliamentary secretariat will be a neutral and professional body, with the post-holder responsible for the secretariat decided through consultation between the House speaker, and the whips of the ruling and opposition parties.
The parties also reached agreement on the preparation of the parliamentary agenda, drafting of laws and the allocated of time to discuss proposals submitted to parliament; the code of conduct that will be observed by those who speak in parliament; the appointment of a joint-party advisory committee to be composed according to the number of seats held by each party, that will apply the rules and regulations to resolve disagreements when they arise; and on the provision of sufficient opportunities for opposition parties to express their differences, with the introduction of an opposition day to allow party members to present their agenda. The agreement also provides for the creation of a parliamentary mechanism by which members of the executive respond weekly to MPs’ questions, the addition of an extra Prime Minister’s questions session with MPs, the re-organisation of parliamentary committees to proportionally reflect party representation and guidelines for the House to put forward a motion of no-confidence in the Council of Ministers if required. Considering the fundamental role the media plays in building democratic systems, the draft amendments to the media laws, again based on a report put together by consultants from the UK, India, Canada and Germany, will also be put forward for cross-party discussion and negotiation, when the House of Peoples Representatives returns from recess later this year.
______________________________________
Meles attends Africa Task Force
Prime Minister Meles Zenawi was among some of the world’s top development economists on the Africa Task Force that met at Manchester University’s Brooks World Poverty Institute on 3rd and 4th August 2006 to discuss and evaluate policy options for accelerating growth in Africa. In his address to the meeting, which was entitled “African Development: A Policy Makers Perspective”, the Prime Minister discussed “the paradigm of the establishment of the developmental state” which has been implemented by Ethiopia, as an alternative to the pre-dominant neo-liberal paradigm.
He described how the Ethiopian government embarked upon a programme of economic reform in the 1990s which focused on changing the command economy inherited from the past, and sought to establish a market economy. The programme evolved by the late 1990s into what he termed as “democratic developmentalism” which, in the last three years, has begun to bring significant results, with economic growth averaging over 9% per year and export growth at over 25% per year.
He spoke of how vital agriculture has been in transforming the political economy, not only through the liberalisation of the market in agricultural products, but also through ensuring tenure security for farmers to prevent large-scale purchasing of land and the displacement of the population. He reported how the role of primary education has been promoted, especially in rural areas, and how enrolment was increased from under 20% to over 80%, while investment in agricultural colleges is now heralding significant results in training. He also talked about the emphasis placed on building the rural infrastructure, particularly roads, to facilitate the commercialisation of agriculture.
The Prime Minister also touched on the subject of the relations with the private sector, with which the development state has to establish a very close relationship, yet ensure adequate autonomy for the individual sectors within such a partnership. The government has so far achieved this by establishing forums for dialogue within the private sector at which government and private sector representatives meet to ensure that the industrial sectors are supported and become competitive on the global market.
Prime Minister Meles also talked of the challenges the government faced, which included the need for a full scale discussion with a solid and stable majority of the population to ensure that sustained democratic and economic transformation could be achieved, as well as the adaptation and development of institutions and policy instruments to the specific circumstances of the country and the (limited) availability of foreign assistance, which is often tied to massive pressure to change the democratically and so far successful implemented development strategy.
The ground-breaking paper, the full version of which will be published in due course, offers radical analysis and alternatives to the accepted orthodoxy and can be found by visiting -
http://www0.gsb.columbia.edu/ipd/pub/Meles-Extracts2-AfTF2.pdf
The Prime Minister’s address to the meeting can be found in the Archive Section of the Embassy website.
______________________________________
Ethiopia hits $1 billion exports mark
Ethiopia’s revenues from exports have surpassed the US $1 billion threshold for the first time. The announcement was made on Friday 4th August at a special press conference organised by the State Minister of Trade and Industry, Ahmed Tussa, who noted that the country’s foreign currency earnings have, on average, been registering annual growth of 23% over the last three years. The year’s export revenue exceed that of the previous year by $189.6 million.
According to figures released for the recently-ended Ethiopian financial year, US $1,008,567,000 had been earned from the export of various products, which have not only been growing in volume and value, but also range, with producers diversifying into goods including coffee, cereals, oil seeds, spices, khat, leather and leather products, gold, meats and livestock and flowers to more than 100 countries.
Coffee made up the bulk of the exports, while the ten major export destinations were China, Germany, Japan, Switzerland, Djibouti, Italy, Saudi Arabia, USA, Somalia and the Netherlands. China alone bought more than $134.6 million worth of primary goods.
The news comes as investment in Ethiopia continues to expand. The Director General of the Ethiopian Investment Agency, Abi Woldemeskel, described the foreign investment climate as “healthy and growing”, when announcing on 24th May that Ethiopia had earned US $26.6 billion from 17,000 investors over the last 14 years. The majority of the investments have been in the industrial sector, although interest has soared in agriculture, construction, education, health and tourism in more recent years. More than 4,700 of the licensed projects have gone operational, creating around 700,000 jobs. Director General Abi noted that the investment levels had contributed significantly to the remarkable economic growth rate recorded in the country, which benefit from the Government’s encouraging pro-investment policies and improved services.
One of the most rapidly expanding industries to benefit Ethiopia is floriculture. According to the Ethiopian Horticulture Producers and Exporters Association, the country earns US $20 million annually from the export of flowers, compared to US $334 million from sales of coffee. However, the rate of growth in the industry has been incredible; more than 70 new farms have sprung up in the last 8 years and investors believe Ethiopia could be the second biggest exporter of flowers in the world within two or three years. Local and foreign investors from the Netherlands, Germany, India and Israel, have secured land for farms, assisted by the government’s package of incentives, which include an improved investment code, five-year tax holiday, duty-free import of machinery and the leasing of land at just $18 per hectare per year.
______________________________________
Ethiopian plant with green future
A plant grown only in Ethiopia whose seeds can produce oil that can be used in the production of an adhesive resin is to be commercially developed by British firm Vernique BioTech. Vernonia, a tall plant disliked up to now by Ethiopian farmers who considered it a weed, is grown in the valleys of eastern Ethiopia. When crushed, its shiny black seeds produce an oil that offers a source of epoxy compounds that, to date, have only been produced from petrochemicals.
The Ethiopian government signed an agreement in July with Vernique BioTech who will commercialise Vernonia oil as a “green” chemical. The oil will offer a green base for the manufacture of paints, plastics and adhesives. Furthermore the plant has a pharmaceutical potential, as the oil speeds up wound healing, sealing broken skin in a process similar to the action of epoxy glue and alleviates psoriasis.
The deal was agreed under the auspices of the UN Convention on Biological Diversity’s Access and Benefit Sharing Agreement, one of the few existing deals of its kind. Vernique will pay licence fees and royalties and a will give a share of profits to the Ethiopian government over the next 10 years in exchange for access to the plant. The deal will also benefit hundreds of local farmers who will be paid to grow Vernonia on land that is of too poor quality to produce good food crops, so it will not diminish Ethiopia’s expanding agricultural output. World-renowned environmentalist Dr Tewolde Berhan Gebre Egziabher, Director-General of Ethiopia's Environmental Protection Authority and the Ethiopian representative to the UN Convention, commented: "With petrochemical products becoming more and more expensive and environmentally less and less acceptable, I think benefits will indeed accrue to Ethiopia. For better or for worse, we are in this together - and I am confident it will be for the better."
“Vernonia has the potential to become the industrial soya bean of the 21st century” said Paul McClory. McClory believes that the plant oil does not give off the volatile organic compounds that cause pollution when extracted from petrochemicals. While adhesive resins can be made from rapeseed oil, the epoxidising process creates a lot of pollution; Vernonia oil is already naturally epoxidised. Vernique is also developing plans for Vernonia oil to be used as a base for paints and as a “slow release” drug delivery system, which could be adapted to carry drugs across the blood-brain barrier, for example in chemotherapy for brain tumours.
Vernonia will join roses and other flowers that are produced commercially in Ethiopia which have helped the country’s economy grow at an annual rate of 8% for almost four years. For more information you can visit www.verniquebiotech.com
______________________________________
Clinton visits Ethiopia
The former United States President Bill Clinton has visited Ethiopia where he has met with the Ethiopian Prime Minister Meles Zenawi and launched a new health programme to help children suffering from AIDS. Clinton was welcomed by Minister of Health Dr Tewodros Adhanom, Mayor of the Addis Ababa City Caretaker Administration Berhane Deresa and other government officials upon his arrival at Addis Ababa Bole International Airport, before going on to visit the various rural development, hospital management and HIV/AIDS and pediatrics programmes which are receiving assistance from the Clinton Foundation.
During his meeting with Prime Minister Meles on Sunday 16th July, Clinton said that his Foundation would further enhance its support to health development programmes in Ethiopia in the years ahead, while the Prime Minister assured Clinton that the government would do everything possible to help the Foundation realise its goals. The two also visited the ALERT (All African Leprosy and Rehabilitation Training Centre) Hospital, which provides healthcare services to children and AIDS orphans, and where Clinton laid a corner stone of the new Children Treatment Centre, which is being built with the assistance of the Foundation.
“My foundation will provide the clinic with necessary equipment and medical supplies in addition to train health officials and boost hospital management systems,” Clinton said as he laid the foundation stone.
The new partnership between the Clinton Foundation HIV/AIDS Initiative and the Christian Children’s Fund of Canada (CCFC) will significantly expand the successful HIV/AIDS clinic at ALERT Hospital. The partnership will position the hospital as the model family-focused pediatric AIDS treatment programme in Ethiopia, committing US $250,000 to the Ethiopian Government for the project, of which $100,000 is being directed to CCFC’s initiative at the ALERT Hospital for the construction of a pediatric AIDS wing, which will scale up the number of children being treated to a point where the hospital can become a regional training centre for health care teams. The new partnership initiative also involves the expertise of the Ethiopian North American Health Professionals Association (ENAHPA).
"We can make a difference in the fight against HIV/AIDS by matching good ideas with people who can implement them," said President Clinton. "We are pleased to support the work that CCFC is doing in collaboration with its partners to combat the devastating effects of HIV/AIDS around the world.
The Clinton HIV/AIDS Initiative, which has been assisting countries in implementing large-scale, integrated care, treatment and prevention programmes since 2002, has also recruited 23 Fellows, in association with the Yale University Ethiopian Hospital Management Initiative (EHMI,) to help improve the hospital management system in the country. The EHMI, which began at the request of Ethiopian Minister of Health, Tedros Adhanom Ghebeysus, as part of efforts to expand and improve treatment for people living with HIV/AIDS.
The 23 Fellows, selected from among 150 applicants from the United States and several other countries, will comprise part of the Yale-Clinton Foundation Fellowship in International Healthcare Management, and spend one year working side-by-side with the directors of twelve public hospitals and health bureaus in Ethiopia to identify systematic changes that can improve access and delivery of health care services. Before his departure, the former US President also delivered a speech at the African Union Hall to representatives from all sections of civil society, people living with HIV/AIDS and resident Ambassadors, in which he stressed the need to fight stigmatisation and discrimination against people living with the virus.
______________________________________
Prime Minister donates $200,000 to help education
Ethiopian Prime Minister Meles Zenawi has signed an agreement to donate the US $200,000 award he received from the Yara Foundation last year to the “Frae” Addis Women’s Fund, where it will be used to help expand educational opportunities for rural women. Prime Minister Meles, who was the first winner of the Yara Foundation Prize for his contribution to improving food security and human nutrition in environmental friendly ways, said he was pleased to be donating the money to the cause.
“Providing opportunities for education is crucial to the protection of women’s rights,” said Meles. “Women who completed their primary education are still facing problems progressing to secondary and higher level education.”
Minister of Youth and Sports, Aster Mamo, commended the Prime Minister’s decision to donate the money in support of financially impoverished female students, and said the fund would be used to support some 550 academically outstanding but economically challenged students over the next three years. Minister Aster also called on investors, governmental and non-governmental organisations to follow the Prime Minister’s footsteps in assisting impoverished students.
The Frae Addis Ethiopian Youth Fund was established earlier this year by leading Ethiopian women, who have volunteered time and resources to support women in all woredas to further their education. The Yara award, was created in 2005 by the Oslo based agricultural group Yara International ASA, in response to UN Secretary General Kofi Annan’s challenge that the private sector should help create a ‘green revolution’ in Africa.
______________________________________
Ethio-US relations strengthen
Relations between Ethiopia and the United States of America have continued to grow, with the signing of a new US $57.6 million grant agreement and a series of meetings between Prime Minister Meles Zenawi and a number of top US officials. The agreement, which was signed on Tuesday 8th August 2006 by State Minister of Finance and Economic Development, Mekonnen Manyazewal and USAID Mission Director, Glenn Anders, will provide money to be used for the development of the agriculture, healthcare and primary education sectors through the five-year development plan designed by the Ethiopian government.
Some $15.6 million of the grant will be used to fund existing and new programmes that promote market-led economic growth, particularly in the livestock and agricultural sectors, while a second grant amount of $32 million will be targeted at preventing the spread of infectious diseases such as tuberculosis, malaria and HIV/AIDS. The remaining $10 million will be used for education programmes, such as increasing the availability of school materials, strengthening parent’s involvement in school management and teacher capacity. USAID Mission Director Anders said the funding was the biggest provided by the US for sub-Saharan countries and that the agreement signified that Ethio-US bilteral relations were strengthening.
Recent meetings between Prime Minister Meles and US congressman Donald M. Payne, as well as US Assistant Secretary for African Affairs, Dr. Jendayi Frazer and Deputy Assistant Secretary of State for African Affairs Donald Yamamoto, all demonstrated that ties between the two countries were developing further. Congressman Payne described relations as being in “good shape” during his meeting with Meles on Tuesday 8th August, during which they discussed the African Growth and Opportunity Act and economic development, while Dr Frazer described her fruitful discussions with the Ethiopian Prime Minister on 23rd June, which centred on bilateral relations and international issues of common interest.
U.S. Deputy Assistant Secretary of State for African Affairs Donald Yamamoto described his “very positive” talks with Prime Minister Meles and the senior officials at the end of his two-day visit to Ethiopia on 29th May.
“We talked about bilateral relationships; the continuing issue of the Ethiopian-Eritrean border - on how to achieve permanent peace and secure safe and permanent demarcation of the border. The emphasis was peace,” said the diplomat. “We are still continuing to work with the government on political and economic reform issues...and the government was very receptive.”
______________________________________
Meles meets EU delegation
Members of the visiting parliamentary delegation from the European Union, who met with Prime Minister Meles Zenawi on 13th May, described Ethiopia’s gender equality work as encouraging. Delegation leader Hilda Votman, who spoke to journalists after the meeting with Premier Meles, praised the work carried out in various projects designed to increase women’s participation in education, HIV/AIDS prevention and politics and expressed her hope that they be intensified.
During their talks, the Prime Minister spoke of the work underway by the Ethiopian government to fundamentally address gender issues, not only through policies and legal framework, but through expanding access to education. A sizeable budget has been allocated to boost female education in rural areas which has resulted in considerable success so far, with more female students continuing in education to secondary and higher levels. He also described the crucial role women play, not only in the prevention and control of HIV/AIDS, but in challenging the stigma and discrimination that is often associated with the virus.
Meanwhile, the European Commission (EC), in collaboration with the Christian Relief and Development Association, organised a series of Civil Society Organisations Consultation workshops from 19th June to 18th July across Ethiopia in order to describe the aims of the EC Civil Society Fund and inform non-state actors about the calls for Proposals. The €10 million Fund, which is a flagship programme of the EC and the Federal Democratic Republic of Ethiopia, aims to strengthen Ethiopian civil society over the period 2006 to 2010, by financing projects through a series of grants. The objective of the fund is to promote better interaction between civil society organisations and other stakeholders, by improving advocacy skills and the ability to enter into dialogue with the government and others. Meetings were held in Addis Ababa, Amhara, Tigray, Oromia, Gambella, Benishangul-Gumuz and the Southern Nations, Nationalities and Peoples states.
______________________________________
Meles reports record economic growth
Prime Minister Meles Zenawi delivered his annual report to the House of Peoples Representatives’ on Tuesday 4th July 2006 and described how forecasts indicated that the country’s economic growth has increased in the financial year July 2005 to June 2006 to an impressive 8.55%, more than that necessary to achieve the Millennium Development Goals. Economic growth for the previous year was 7%, and an average Gross Domestic Product (GDP) growth of between 6 and 7% is necessary to achieve the Millennium Development Goals.
“On the basis of data collected in the past eleven months, the forecast of GDP growth in our economy stands at 8.55% growth,” the Prime Minister said. “Viewed from this perspective, the first year of implementation of the five-year plan adopted by the House of Peoples Representatives has indeed been successful!”
He went on to report that Ethiopia’s exports had registered a growth of 20% due to a boom in coffee prices and oil seeds, as well as the expanding flower industry. The country, which is Africa’s biggest coffee grower, exported 160,000 tonnes in the crop season ending June 2005, earning US $334 million, while making more than $100 million from oil seeds and $20 million from flowers.
However, while inflation forecasts for 2005/2006 had been under 10%, the rate had actually reached 12.4%, which was attributed to “price hikes of imports, particularly fuel, and increased demand of commodities stimulated by economic growth.”
The Prime Minister also expressed his Government’s commitment to achieving success in the on-going tasks of consolidating economic development, peace, democracy and good governance, and concluded his report with a call on all Ethiopians to rally behind the Government in the realisation of these objectives. The full English translation of the Prime Minister’s Report is available to read on the Embassy website in the Archive section.
______________________________________
Irish relations bolstered
Prime Minister Meles Zenawi met with the Chairman and members of the Irish Parliament Joint Committee on Foreign Affairs during their visit to Ethiopia in May, and with Irish Foreign Minister, Dermot Ahern TD, in July. The members of the Oireachtas Foreign Affairs Committee – Mr Pat Carey TD, Mr Tony Dempsey TD, Senator Brenden Ryan and Chairman Dr Michael Woods TD – were in Ethiopia from 2nd to 5th May 2006 to familiarise themselves developments in the country since their last visit in 2004, and to view the implementation of Ireland’s aid programme in Ethiopia.
Speaking to journalists after the meeting with the Prime Minister, Dr Woods said that Ireland would strengthen its development assistance to Ethiopia, adding that bilateral cooperation between the two countries was in ‘good shape’ and that the ongoing work of development programmes - such as the Social Safety Nets Fund which is supported by Ireland and provides five million people with cash or food in exchange for labour – was “well executed.”
Dr Woods noted the possibilities of further utilising the tourism opportunities in Ethiopia, and that Irish investors were showing an increasing interest in the country. In their meeting, the Prime Minister expressed Ethiopia’s appreciation for Ireland’s development assistance and their eagerness to learn lessons from the country’s economic development. During their three day visit to Ethiopia the delegation met with Ethiopian parliamentarians from both Government and opposition parties, representatives of civil society, as well as Irish Non-Governmental Organisations (NGOs) and missionaries working in the country.
Ethiopia and Ireland later pledged to step up theirdevelopment cooperation in a joint statement issued after talks between Ethiopian Foreign Minister Seyoum Mesfin and Irish counterpart Dermot Ahern T.D. on Thursday 6th July. Ahern also held a two hour meeting with Prime Minister, during which he said Ethiopia attached special attention to the significant endeavours achieved because of Ireland’s assistance. After the talks, Foreign Minister Ahern said Ireland was keen to strengthen cooperation with Ethiopia in trade and investment, and said that many Irish entrepreneurs wished to invest in the country.
"I had a very positive and substantial meeting with Prime Minister Meles. Ireland's development assistant programme now amounts to about €35 million per annum. This is approximately €8.50 from every Irish citizen," Ahern said.
During his stay, Ahern also officially launched the construction of a new four star hotel, the Emerald Addis Hotel, which has been designed by Ethiopian professionals and is being built with €20 million from Irish investors, in what is the first Irish private sector venture in Ethiopia. The Minister laid the cornerstone of the hotel, which is situated in front of the United Nations Conference Centre and is scheduled to be completed in two years. At the occasion, State Minister of trade and Industry, Tadesse Haile, said that the Ministry will continue to provide the necessary assistance to encourage future Irish investors.
On the final day of his visit, Ahern travelled to the Gurage and Silte regions in the Southern Nations, Nationalities and Peoples State (SNNPS), where he saw the work being done in development projects and Ireland would increase its assistance to activities focused on food security, the expansion of access to education and speeding of development works.
______________________________________
World Bank cancels debt and provides new grants
The International Development Association (IDA), an arm of the World Bank, has written off Ethiopian debts totalling US $3,616 million. The Multilateral Debt Relief Initiative (MDRI) has seen debts to the IDA cancelled to the tune of $2,337 million as of 1st July 2006, in addition to the $1,278 million cancelled under the Enhanced Heavily Indebted Poor Countries (HIPC) initiative last year. Ethiopia is among the 19 qualifying countries, which also include Cameroon, Ghana, Tanzania and Uganda. Under the MDRI, the IDA is expected to provide US $37 billion in debt relief over 40 years in addition to the US $17 billion already committed by the IDA under the HIPC.
Meanwhile, new loan and grant agreements totalling $289.7 million were signed by Ethiopia’s Ministry of Finance and Economic Development and the World Bank on 7th August, which will be used to finance four different development projects. The bulk of the assistance will be used to improve roads, strengthen agricultural services and expand access to electricity in rural communities. The Rural Electricity Access Expansion project will receive $133.4 million, the Road Sector Development Programme $87.3 million and the Rural Capacity Building project $54 million. A further $15 million will be used to support the financial sector capacity building project.
The new agreements, which were signed by State Minister of Finance and Economic Development, Mekonnen Manyazewal and Ethiopia Director of the World Bank for Ishaac Diwan, followed the visit in July by World Bank President Paul Wolfowitz, who praised the successes achieved in Ethiopia’s economic growth, saying it had made gains on several fronts and that it was “critical that the country sustained that momentum.”
“Ethiopia is a critical partner in this effort and it represents one of the bank's largest portfolios in sub-Saharan Africa,” he said. “Its stability and prosperity are crucial to the entire Horn of Africa.”
Wolfowitz said the Bank has supported Ethiopia's efforts to improve the livelihoods of its people through the approval and expansion of the Protection of Basic services project, which will make aid available to local government for basic services such as health, education, water and sanitation, with a renewed focus on quality, local empowerment and transparency.
During his stay he toured the Amhara region, where he visited schools and clinics to view the impact that foreign donors aid has had on local communities. At a school built by the local community, teachers told Wolfowitz of the need for more teaching materials, while local farmers showed him some of their methods, including giving him a plough drawn by oxen to try his hand at; “I think I will stick to my day job!” he declared after several tries. He also spoke to district councillors about local budget allocation and about what say local people had in decisions on where the money was spent. He was later briefed on a proposed new World Bank investment plan based around Lake Tana, the source of the Blue Nile, which would help to develop agricultural, tourism and hydropower projects.
In related news, Ethiopia was named by the World Bank as one of the countries making fast progress in the development of its ‘Education for All’ programme. In the Bank’s third annual edition of the Millennium Development Goals follow-up report, which was presented in Senegal on 2nd June, Ethiopia was listed as one of the countries that have attained improvement rates higher than those in today’s industrialised countries when at a similar stage of development.
______________________________________
Al-Amoudi helps tackle cement shortage
An agreement has been signed between the Ministry of Trade and MIDROC Derba which will help ease cement shortages in Ethiopia. The agreement, which was signed on Wednesday 28th June 2006 by Minister of Trade, Girma Buri, and MIDROC Ethiopia owner and chairman, Sheik Mohamed Hussein Al-Amoudi, will see the import of 100,000 metric tonnes of cement annually over the next two years. Demand for cement is at an all time high in Ethiopia, due to the high volume of construction work taking place. Ten companies, including MIDROC Derba, have been granted licences to produce cement locally, with five new factories to be built in the Oromia region at an aggregate capital of 2.6 billion birr.
“This agreement will ease constraints in construction brought about by shortage in the supply of cement and also save foreign exchange which would have otherwise been expended for imports of cement,” Minister Girma said.
Sheik Al-Almoudi said that while the imports will alleviate the short-term demands for cement, he expects his MIDROC Derba Cement Factory to provide a long-term solution when it is completed. The new state-of-the-art cement factory, which is costing 310 million birr to construct, will be built on 200 hectares of land in North Shoa, Oromia, and is expected to boost the country’s cement production ten fold.
“MIDROC Derba Cement Factory will have the capacity to produce around 2.1 million metric tonnes of cement annually. In the meantime, we are installing mobile cement factories in Dejen and Derba to facilitate that process,” Al-Amoudi said. Sheik Al-Amoudi is one of the leading investors in Ethiopia. Planned new projects, which include the construction of a five star hotel – at a cost of 1 billion birr – in the tourist region of Boku, near Debre Zeit, bring his total investment in Ethiopia to US $1.5 billion, over a wide range of sectors that include real estate, manufacturing, mining, engineering and gas distribution.
______________________________________
EA begins flights to Brussels
Ethiopia’s national carrier, Ethiopian Airlines (EA), which celebrated its 60th anniversary in April, has launched a thrice-weekly service from Addis Ababa to Brussels. The Belgium Ambassador to Ethiopia, Fredric Regard, was the guest of honour on the first flight on 5th June. EA plans to initially fly three times a week, departing Belgium on Mondays, Wednesdays and Fridays via Paris, in addition to its daily cargo flights, with return flights on Tuesdays, Wednesdays and Saturdays. Brussels is now the 7th European destination for EA and the 47th destination worldwide.
______________________________________
Addis Ababa industrial villages attract investors
Ethiopia will soon have 2 new industrial villages to promote investment, will plans to establish a further 6 such villages in the near future, according to the Addis Ababa City Investment Authority. The villages, which have already attracted the interest of almost 500 investors, will be ready by September 2006. Such ‘investment parks’, are used to attract investment through the leasing plots of land in areas that already have services such as roads, telecommunications and electricity installed. The previous Addis Ababa administration developed two villages that provided plots covering 687,000 m2. The plots were developed in Akaki Kaliti and Mekanisa Lebu and attracted 324 investors. The new plots are located in the Jamo Repi area in south-western Addis Ababa with others forming part of an expansion of the existing Akaki Kaliti industrial zone. Investors could lease between 1,000m2 and 10, 000m2 at the rate of 250 birr (about US $28) per m2.
In related news, the Addis Ababa City Land Administration and Development Authority has granted a 200,000 square metre plot of land for what Federal Government authorities hope will become Ethiopia's high-tech hub, much like Hyderabad or Bangalore in India. The land, located in the Bole Lemmi Industrial Village, was given to the Ethiopian Information and Communication Technologies Development Agency (EICTDA) which will relocate to the area once construction of its premises – due to begin within a year – is completed. The village will also host a number of IT investors, including software developers, and will serves as base for such international giants as Microsoft and Cisco.
______________________________________
Ambitious 5 year road plan launched
The Ethiopian Road Authority has designed an ambitious 5-year road development programme to be implemented between 2006 and 2010, at a cost of US $4.95 billion, 63% of which will be met by the Ethiopian government and the rest by the World Bank, European Union, African Development Bank and other international institutions. Works and Urban Development Minister Dr Kassu Ilalla announced the plan to build 20,000 km of road, at the opening of a day-long consultative workshop attended by contractors, consultants, suppliers and other stakeholders.
“As economic growth is crucial for the development of road sector, the development of road is also a basic necessity for the entire economic growth,” Dr. Kassu said. The programme will consist of the upgrading and reconstruction of 5,487km of existing highways and the construction of 2,775km of new highways.
______________________________________
Largest Africa ITC event in Addis
The first Pan-African eLearning Africa conference on information and communications technology for Development, Education and Training took place in May at the UNCC (United Nations Conference Centre) in Addis Ababa. Ethiopian Minister for Capacity Building Tefera Waluwa, who is also the patron of eLearning Africa 2006, opened the conference with representatives present from the Global Development Learning Network (GDLN), the World Health Organization (WHO), the German Development Agency GTZ, the African Development Bank, and the NEPAD e-Africa commission. With 832 participants from 80 countries in attendance, it was the largest educational technologies and development event to take place on the continent.
More than 230 international experts gave presentations, with examples of the deployment of eLearning in schools, administration and government on display, with universities from across the continent describing how they have adopted various technology solutions to support their educative programmes. Also under discussion were the use of digital educational materials to compensate for the shortage of traditional methods and eLearning in medicine, health and education services.
Support was also offered by India, another highly diverse country that faces similar challenges to those faced by African nations, with Minister of State for Human Resource Development, the Honourable Mohd Ali Ashraf Fatmi, detailing his country’s strategy for promoting technology in education through the rapid deployment of ICT infrastructure. He spoke about the ambitious Pan-African E-network project, a joint initiative between the Indian government and the African Union to develop ICT across the continent in an integrated satellite, fibre optics and wireless network for eLearning, eHealth and various other eServices, from which Ethiopia will be the first country to benefit. It will be the largest infrastructure project in Africa’s history and the e-education and e-medicine programmes are expected to extend ICT infrastructure to certain rural communities and under-served areas. The project is already at an advanced stage of implementation in Ethiopia.
______________________________________
Ethiopian coffee trademark
Efforts are underway by the Ethiopian Intellectual Property Office to register the names of coffee-growing areas as trademarks in 30 countries around the world. The aim is to identify and brand the flavours and aromas of those coffees produced in such areas as Kaffa, Harar, Yirgachefe and Sidama, in a series of trademarks that will protect the intellectual property value of the produce for Ethiopian farmers and suppliers in those countries that import and consume coffee.
______________________________________
Japan cancels Ethiopia’s debt
The Japanese government has cancelled 100% of Ethiopia’s outstanding debts, which amount to US $14.4 million, as part of the Enhanced Heavily Indebted Poor Countries (HIPC) and the Fourth Paris Club Agreement. Ethiopia will now be able to use the money saved through the debt relief to finance various projects as part of its poverty reduction programme. The debt cancellation agreement was signed today in Addis Ababa by the Minister of Finance and Economic Development, Sufian Ahmed and the Japanese Ambassador to Ethiopia, Kenjiro Izumi.
______________________________________
Dashen Bank rolls out cards
Ethiopia’s largest private bank, Dashen Bank has deployed VISA certified debit and credit cards in what was hailed at an industry first among east African countries. The deployment, first announced in May last year, went live on 25th May 2006, with a launch party held by Dashen Bank, ACI Worldwide (the international provider of enterprise e-payment solutions), VISA and HP, which was attended by Neway Kristos Gebreabe, Special Economic Advisor to the Prime Minister and Board Chairman of the National Bank of Ethiopia. The initial roll out of Point of Sales (POS) and ATMs will be supported by ACI software, including BASE24, Card Management System and Smart Chip Manager, which will be used by Dashen Bank to authorise, route and switch ATM and POS transactions across its network, to support all card types including chip and magnetic stripe with access to global card networks, to manage card and merchant accounts, the chip personalisation process and the lifecycle of applications on the chip. The software will allow Dashen Bank to evolve as the Ethiopian smart card market develops, to expand its customer offering to support new channels such as Internet and mobile for electronic payments, to enhance their cardholder services and provide greater convenience to customers.
Mr Lulseged Teferi, President of Dashen Bank said the rollout of smart cards for the first time ever in Ethiopia was “a major undertaking. ACI have provided a system which meets all our requirements and will provide robust and scaleable payments processing and card management.”
Steve Wright, Vice President of Sales & Marketing at ACI Worldwide EMEA said “we are confident that we have helped Dashen Bank deploy a truly world class card payment solution compliant with international card network standards and mandates and are proud in the part we have played in bringing smart cards to Ethiopia."
______________________________________
Chinese firm conducts seismic survey in east Ethiopia
Chinese oil firm Zhongyuan Petroleum Exploration Bureau (ZPEB) has started seismic surveys in east Ethiopia's Ogaden basin. ZPEB and Malaysian oil giant Petronas agreed on the details of the petroleum exploration project which launched in June. ZPEB is contracted by Petronas, which was awarded blocks in the Fer Fer, Warder and Genale regions of the Ogaden basin. The total area covers about 93,000 sq km. ZPEB has been active in Ethiopia for some years. In 1998 it was contracted by the Ethiopian government to make eight gas wells in Calub ready for production.
Geological data suggests that Ogaden and four other sedimentary basins in Ethiopia are endowed with oil and natural gas. In March the Ministry of Mines and Energy invited bidders to submit letters of interest in development of the Hilal and Calub gas fields in Ogaden. The reserve in Calub, 1200km east of Addis Ababa is estimated at 2.7 trillion cubic feet, while the reserve in Hilala, 75km east of Calub, is estimated at 1.7 trillion cubic feet, which amount to a combined total area of 285 square km. Interest was expressed by countries in the Middle East, China, Russia and India.
______________________________________
Hydropower agreement signed
The Ethiopian Government and Italian construction company Salini Constrottori have signed an agreement for the construction of a US $2 billion hydroelectric power project, which is thought to be the biggest in Africa. The Gibe III Hydroelectric Power Project agreement was signed on 21st July 2006 by Meheret Debebe, General Manager of the Ethiopian Electric and Power Corporation (EEPCO) and Claudio Lautixi, Salini International Division General Manager in the presence of high-ranking government officials, including Foreign Minister Seyoum Mesfin. The 1,870 Megawatt hydroelectric power project will produce ten times the power of the current Gilgel Gibe hydroelectric power station, the biggest in operation in Ethiopia so far. It is expected to be operational by 2011 and to create job opportunities for more than 5,000 Ethiopians. The new plant will be the third cascade on the Omo-Gibe river basin after the 184MW Gilgel Gibe 1 plant and the 420 MW Gilgel Gibe II which is currently under construction.
“As an investment, this major project will repay itself within five years of operation. The hydroelectric plant generates electricity with the water freely given by the Omo River and, after the investment is repaid, the plant will give some €300 million per year of revenues, at almost no cost...and the hydropower plant is a long lasting investment,” General Manager Meheret added.
Once finished, the project will aid Ethiopia’s energy exports to neighbouring countries, such as Sudan, Djibouti and Kenya. While discussing a number of feasibility studies into hydroelectric projects, the State Minister of Water Resources, Adunga Jebessa, recently said that the country has the potential to generate more than 30,000 MW of economically exploitable power.
______________________________________
Local Insecticide Nets fight Malaria
Two state owned companies are to produce long-lasting insecticide tested nets locally as part of efforts by the Ministry of Health to reduce the rate of malaria infection in Ethiopia. Adami Tulu Pesticides Processing S.C. and Ethio-Japan Nylon Textile Factory will begin production of three million nets in 2007.
“Every year, five to six million cases of malaria are registered and out of these, the total mortality rate is 28%," according to Afework Haile Mariam, from the Ministry of Health.
The cost of a net on the international market can reach US $5, excluding the cost of transport and distribution. Local production will see a reduction in production and distribution costs. Malaria nets were first introduced in Ethiopia in 1996, through a community based malaria control project in Tigray. Between 2002 and 2003, UNICEF donated more than 1.3 million nets in Ethiopia. In February 2006, the Canadian International Development Agency announced the provision of $26.5 million to UNICEF to support children in Ethiopia, $9 million of which will be put towards the provision and distribution of more than 1.2 million long lasting insecticide treated mosquito nets to prevent more than 10,000 child deaths over the next three years. The Ministry of Health aims to distribute nets to 75% of the country by 2010, and to have covered the whole country by 2012.
In related news, His Excellency Berhanu Kebede, the Ethiopian Ambassador to the UK, attended the launch of the UK Coalition Against Malaria at the House of Commons on Tuesday 6th June, which aims to press for increased commitment to fund effective drugs and prevention tools, new and improved financial mechanisms for sustained and steady funding and robust investment in delivery systems. Hosted by Stephen O’Brien MP, the Chairman of the All Party Parliamentary Group, the event was attended by academics, journalists, parliamentarians and representatives from NGOs and large pharmaceuticals. Channel 4 broadcaster and journalist, Jon Snow, endorsed the Coalition, stressing the critical need for partnerships between the public and private sector
______________________________________
Nationwide HIV Helpline Expanded
The Wegen AIDS Talkline HIV/AIDs helpline, which was launched nationwide in Ethiopia on March last year, is expanding its operating hours from 8:00am to 12 midnight, Monday to Saturday due to high demand. The service, which can be called free of charge from any landline telephone throughout the country, receives an average of 1,800 calls every day, with a peak of 5,381 calls received on 3rd April this year alone. Around 49% of callers are 15-19 year olds. The talkline provides a wide range of information on HIV/AIDS to callers, including voluntary counseling and testing, the prevention of mother-to-child transmission and possible treatments such as antiretroviral therapy and rapid referrals free of charge to callers across the country. Operated by Ethiopia’s AIDS Resource Center, the talkline is supported by President Bush’s Emergency Plan for AIDS Relief, the HIV/AIDS Prevention and Control Office and the Ethiopian Telecommunications Corporation.
ALSO IN THE NEWS
● Uranium has been found in Ethiopia for the first time. The discovery was made in the Bale province in Oromia by gem prospectors and verified by a team of geologists from the Ministry of Mines and Energy. The prospector have now been award a one year discovery certificate which will allow them to explore 900 km² of land around the site and approach companies with a view to developing their find further.
● Work has started on the Isiolo-Moyale road, linking Kenya with Ethiopia, through the Nairobi - Addis Ababa highway. Construction machinery and vehicles are already on site for two phase project, financed by the African Development Bank, will involve tarmacking a 139km stretch between Isiolo and Merille, and then the remaining 361km Merille-Moyale stretch.
● On Friday 30th June BBC Radio 4 broadcast Camel Train, which followed Matthew Parris, political commentator for The Times newspaper and former MP, as he joined traders and their camels along the ancient salt route from the Danakil Desert to the Ethiopia Highlands. The programme looked at the Danakil Depression in northern Ethiopia, one of the lowest, hottest places on the surface of the Earth, and the thousands of traders from the Ethiopian Highlands who make the arduous journey each year to cut blocks of salt from the ground and transport it back using methods unchanged for at least 2000 years.
● BBC Radio Three broadcast highlights from April’s London’s Nile Festival in the World Routes programme at 3pm on Saturday 13th May 2006. The headline act was Mahmoud Ahmed, described by the Sunday Telegragh newspaper as “Addis Ababa’s very own James Brown”! Mahmoud’s set was recorded at the Nile Festival, an annual event at the Hammersmith Palais in London.
● A group of scientists from the University of California have reported the discovery of the oldest craniums of homo sapiens in sediment near the village of Herto, some 139 miles from Addis Ababa. The bones, which were discovered three years ago, are thought to have belonged to two adults and a child and date back to between 154,000 and 160,000 years ago.
______________________________________
EWT launches website
Ethiopian Worldwide Television (EWT) has launched its website, which will broadcast both television and radio programmes, designed to appeal to all ages. Founded in 2004, the London based privately owned broadcasting company seeks to promote Ethiopia and enhance economic and social growth in the country, as well as keeping Ethiopians in the diaspora informed about current developments and local issues in their homeland via satellite, cable and new media journalism.
EWT has produced many documentaries covering political issues, travel and tourism, and Ethiopian arts, and has commissioned programmes on HIV/AIDS, immigration and places of historical interest. EWT is currently broadcasting twice a week, on Saturdays and Sundays, from 3.00-4.00pm, on the Sky Network. For more visit www.ethiopianworldwidetv.com/
_________________________________
Harar Jugol is new UN World Heritage Site
Ethiopia is one of the six African countries which have gained new World Heritage sites in the latest list published by the United Nations Educational, Scientific and Cultural Organisation, UNESCO. The historic town of Harar Jugol in Ethiopia was added to the new list by the World Heritage Committee on Wednesday 12th July 2006, along with Malawi’s Chongoni rock area, Tanazania’s Kondoa Rock Art Sites over-looking the Great Rift Valley, Aapravasi Ghat in Mauritius, and the Sine Ngayene, Wanar, Wassu and Kerbatch Sont Circles in Senegal and Gambia.
The fortified historic town of Harar is located in the eastern part of the country on a plateau with deep gorges surrounded by deserts and savannah. The walls surrounding this sacred Muslim city were built between the 13th and 16th centuries. Harar Jugol, said to be the fourth holiest city of Islam, numbers 82 mosques, three of which date from the 10th century, and 102 shrines.
Harar was established in its present urban form in the 16th century as an Islamic town characterised by a maze of narrow alleyways and forbidding facades. From 1520 to 1568 it was the capital of the Harari Kingdom. From the late 16th century to the 19th century, Harar was noted as a centre of trade and Islamic learning. In the 17th century it became an independent emirate. It was then occupied by Egypt for ten years and became part of Ethiopia in 1887.The impact of African and Islamic traditions on the development of the town’s specific building types and urban layout make for the particular character and even uniqueness of Harar.
______________________________________
Maitre Artiste Afewerk Tekle awarded the Legion of Honour
The Honourable Maitre Artiste Afewerk Tekle has been awarded the Legion of Honour by the American Biographical Institute (ABI). The famous Ethiopian artist was presented with the award by the ABI and the International Biographical Centre at the World Forum on Saturday 8th July 2006 at St Catherine’s College, Oxford University, in recognition for his world-renowned distinguished works. Maitre Artiste Afewerk was specially invited to attend the World Forum, which brought together more than 200 distinguished individuals from 55 different countries, as an Ambassador from Ethiopia. His creative art works and sculptures brought him to the attention of the ABI in the US, who have included his biography in a number of their international Who’s Who volumes, including Great Minds of the 21st Century. He was also awarded the World Medal of Freedom 2006 at the World Forum at Oxford University.
_________________________________
Mo and Me
A documentary celebrating the life of the photojournalist Mohammed Amin, who is best remembered for his coverage of the 1984 Ethiopian famine, made its world premiere on 17th May in Nairobi. The 95 minute feature, Mo and Me, has won the 2006 International Film Award for Best Documentary at the Film and Video festival held in Los Angeles, the Silver Screen Award at the 39th US International Film and Video Festival in California and the Grand Jury Prize for Best Documentary Feature at the 2006 New York International Independent Film and Video Festival. The Camerapix and Al-Jazeera International co-production is narrated by Mohammed’s son, Salim, and directed by Roger Mills, perhaps best known for Around the World in 80 Days. It was also shown at the BAFTA headquarters in London on 21st June, with plans for it to be shown in Addis Ababa in due course.
______________________________________
Axum Obelisk latest
Plans are in place to re-erect the 1,700 year-old Axum obelisk after the rainy season that ends in September, according to the United Nations Educational, Scientific and Cultural Organisation, UNESCO. “Everything needed to re-erect the obelisk including funding and technical experts is ready,” said UNESCO representative Awad Elhassan, who also confirmed that the restoration of the obelisk at its original site will not damage newly discovered underground funeral chambers and royal arcades which were used by several dynasties before the Christian era. The three pieces of the 24 metre obelisk are currently in metal shipping craddles near the monument site.
______________________________________
The Chains of Heaven in paperback
‘Ethiopia bred in me the conviction that if there is a wider purpose to our life, it is to understand the world, to seek out its diversity, to celebrate its heroes and its wonders – in short, to witness it.’ - Philip Marsden. The paper back version of Philip Marsden’s The Chains of Heaven: An Ethiopian Romance, an account of his journey through hundreds of miles of Ethiopian landscape, from cavernous gorges, tabletop mountains and semi-desert regions, will be published on 21st August. Marsden is the author of A Far Country: Travels in Ethiopia, and is the editor of The Spectator Book of Travel Writing and is a fellow of the Royal Society of Literature. His work has been translated into ten languages.
______________________________________
Six new FM stations for SNNPS
Broadcast Electronics has announced that studio and transmission equipment has been sent to Ethiopia as part of a project that will see six new FM radio stations operated by the Southern Nations, Nationalities and Peoples Regional State Media organisation. The equipment includes Broadcast Electronics AudioVault digital media systems, FM 1kW transmitters, as well as towers and generators. The project, which has been valued at US $1.5 million, will also provide full equipment installation and training.Broadcast Electronics local partner, Zami Public Connection, has recruited and trained the local staff who will work as technicians and journalists and administer the day to day running of the stations. The partnership previously built an FM station, Radio Voice of the South (Ravos), in Awassa.
“The project can surely be described as the first of its kind in the emerging media sector of Ethiopia. It is huge. It integrates the acquisition of state-of-the-art equipment currently in use in the broadcast industry and the build up of a local human resource base to operate as well as maintain the stations,” said Zerihun Teshome, Principal of Zami Public Connection.
“Broadcast Electronics and Zami have the honour of being entrusted with the responsibility of delivering such a significant project, impacting the lives of 13 million people of the Southern Regional State, because of a track record of proven commitment, professionalism and responsibility.”
The installation of the equipment for all six stations will begin in August.
______________________________________
SPORT
Berhane Adere wins BUPA Great Manchester Run
Ethiopian athlete Berhane Adere won the women’s race of the BUPA Great Manchester Run here in the UK on Sunday 21st May 2006. Berhane, the 2003 World 10,000 metres track champion and silver medalist at last summer’s Helsinki IAAF World Champsionships, first won the 10km Manchester race three years ago. This year she regained the title, setting an Ethiopian and meeting record of 31 minutes 7 seconds. Fellow countrywoman Gete Wami – the 1999 World 10,000 metres gold medalist – finished second, just six seconds later, also breaking the 31minutes 30 seconds record.
Meseret Defar breaks record
Ethiopian athlete Meseret Defar broke the women’s 5,000 metres world record on Saturday 3rd June, at the Reebok Grand Prix in New York’s Icahn Stadium. The Olympic champion improved on her personal best by more than four seconds to win in 14 minutes 24.53 seconds, surpassing the previous record of 14:24.68 set in 2004. Fellow Ethiopian, Workitu Ayanu, finished second in 14 minutes 50.51 seconds.
"I'm very happy with this year. I will try to break the record again. I know I can do it," said Meseret, who is also to compete in five more 3,000 metres or 5,000 metres races at Golden League meetings this season. Meseret’s victory came less than a week after her success at the FBK Games at Hengelo in the Netherlands, the Dutch stop on the IAAF World Athletics Tour, where she stormed to a world-leading time of 14 minutes 35.37 seconds on Sunday 28th May.
Berhanu Adane wins Bolder Boulder race
Berhanu Adane won the 28th Celestial Seasonings Bolder Boulder 10k run in Colorado, USA, on Monday 29th May, with a time of 29 minutes and 37 seconds. Berhanu also won the event in 1999.
IAAF World Rankings for April
Meanwhile, the International Association of Athletics Federations released in May it’s World Rankings for April, which made for pleasing reading as Ethiopia not only took both the men’s and women’s top performers’ titles, but did so by having two women share the best scores. Kenenisa Bekele, who has spent 147 weeks since 14/07/2003 as top performer, again took overall top performer, while Gelete Burika Bati and Tirunesh Dibaba shared the top female performer and best performance of the month. Meanwhile, Wude Ayalew Yimer, also of Ethiopia, ranked as top junior performer.■
Ethiopian News – Volume 5 Number 1 May, June and July 2006
Published by the Press Office, Ethiopian Embassy, 17 Princes Gate, London SW7 1PZ
Telephone: 020 7838 3883 Fax: 020 7838 3889
info@ethioembassy.org.uk www.ethioembassy.org.uk