Ethiopia has been provided with a zero-tariff preferential treatment for 98 percent of its export products to China.
APA-Addis Ababa (Ethiopia)
The preferential treatment comes into effect on March 1 this year, the Ethiopian Ministry of Finance announced on Wednesday.
It comes after China and Ethiopia signed an MoU establishing a working group to boost investment and economic cooperation.
The new work group is tasked to “help both nations to accomplish their commitment to efficiently implement the development strategies of the ‘Nine Programs’of the eighth Ministerial Conference of Forum on China-Africa Cooperation (FOCAC) and the Belt and Road initiative.”
A news update from the Ministry of Finance cited Ahmed Shide as saying that ”the two countries’ long-standing relationship of more than half a century indicated China’s significant role in Ethiopia’s economy as its top trade and investment partner.
The minister added that Chinese enterprises have significantly invested in Ethiopia in diverse sectors, including industrial parks, processing, manufacturing, construction and so forth.”
According to information from the Ethiopian Ministry of Industry, Chinese investment in Ethiopia is worth over $4 billion dollars.
As many as 400 Chinese companies are operating in Ethiopia – mostly in the construction and manufacturing sectors.
MG/as/APA