Addis Ababa, August 25, 2018 – The Council of Ministers, in its today’s regular session, approved the $175 million credit from the World Bank to help Ethiopia create more jobs and improve competitiveness.
The Bank approved the fund last June in support of Ethiopia’s effort to create more jobs by attracting investments and improving competitiveness of enterprises in industrial parks.
According to the Bank, Ethiopia has been successful in attracting foreign direct investments in light manufacturing in garment and textile, leather, and agro-processing sectors, by leveraging its relatively low labor costs, competitive energy costs, and preferential market access to the EU and US.
The Competitiveness and Jobs Creation project is of strategic importance for Ethiopia as it is supporting the government’s industrialization agenda and improving the legal, policy, and institutional framework of industrial parks.
It also provides quality industrial infrastructure for manufacturing in key sectors and facilitate stronger economic ties between the industrial parks and the local economy.