June 15-21, 2025
Export revenues surpass target; EIB tweaks foreign investment directive; Parliament shields impunity; ACSO suspends EHPA; M-Pox in Addis; IDP protest in Tigray; Guess Africa's most expensive country?
Business & Finance
An amended EIB directive regulating the entry of foreign investors into the import/export, wholesale & retail sectors has slashed capital requirements by 50% & removed other requirements regarding export amounts & the establishment of supermarkets. Effective June 12, foreign investors will only need $2.5 million in capital to receive a license.
Unilever has become the 1st foreign company licensed to directly import finished goods, with its vaseline & lotions soon to arrive in the local market.
China’s DGCrane successfully delivered 2 overhead cranes with capacities of 5 & 15 tons to a workshop in Ethiopia.
Alfarag Duty Free inaugurated its new store at Bole Airport on June 19.
IATA emphasized that African governments should implement policies that foster a unified aviation market to overcome challenges like high operating costs.
Ethiopian Airlines (ETH) won the SKYTRAX Best Airline in Africa award for the 8th consecutive year, & ETH CEO Mesfin Tasew won the Ato Girma Wake Lifetime Achievement Award.
ETH launched thrice-weekly flights to Hyderabad, India & ordered new aircraft to boost remote connectivity.
The Ethio Djibouti Railway (EDR) & the Djibouti Ports & Free Zones Authority have resolved their dispute regarding EDR’s request for a forwarding license.
The Ethiopian Plastic & Rubber Manufacturers Association called for a 5-year grace period before the implementation of a bill banning the production & use of plastic bags.
Economy & Development
The Ministry of Trade & Regional Integration (MOTRI) reported earning $7.21 billion in export revenues in the last 11 months, surpassing its target of $4.59 billion by 57%.
A National Bank of Ethiopia (NBE) audit revealed soaring money supply & growing fiscal pressures. In other news, learn more about the proposed 2018 E federal budget here.
Numbeo’s 2025 Cost of Living Index has ranked Ethiopia as the most expensive country in Africa & the 53rd most expensive globally, ranking 3rd from last on the housing affordability index after Syria & Cuba amidst rising living costs.
The Confederation of Trade Unions (CETU) proposed a revised income tax framework, calling for salaries below ETB 8,320 to be tax-exempt & proposing that the highest 35% tax rate be reserved for monthly salaries exceeding ETB 150,108. The current minimum taxable monthly income stands at ETB 2,000.
GERD has reportedly generated 6800 MW of electricity over the last 9 months, with 5 of its 11 turbines currently operational.
Society & Human Rights
The Authority for CSOs (ACSO) suspended the Ethiopian Health Professionals Association (EHPA) on June 12 for failing to “hold a General Assembly” & “submit financial documents”. EHPA dismissed the charges, saying the suspension was due to its support for the nationwide strike called by health professionals.
IDPs in Mekelle, Tigray region held peaceful rallies from July 18-21, calling for their safe & immediate return to their homes in disputed areas of Western Tigray, currently under the control of Amhara forces.
A man was convicted of "participating in a terrorist mission” with the intent to “incite armed rebellion & undermine the constitutional order” & sentenced to 7 years in prison for posting TikToks expressing support for the Fano militia.
The Donkey Sanctuary & Addis Ababa University (AAU) launched a 5-year strategy to improve the welfare of millions of Ethiopia’s donkeys.
Governance & Corruption
Parliament approved a new bill to combat terrorism funding & money laundering despite significant criticism over its chilling implications for human rights. The bill grants undercover investigators immunity from prosecution for all crimes committed during their investigations, except for murder.
A draft bill tabled to Parliament mandates private employment agencies to have ETB 5-20 million in capital & deposit a $50,000-250,000 guarantee to the Ministry of Labor & Skills (MOLS) in order to obtain a license.
The Audit Stakeholders Forum identified ETB 14 billion in uncollected funds across federal agencies over the last 3 years.
A new bill by the Environmental Protection Authority (EPA) introduces a usage-based payment system for water drawn from natural reservoirs such as Lake Ziway.
1,227 private schools in Addis Ababa received approval to adjust their school fees for the upcoming school year, with one unnamed school allowed to increase fees by 65%. Meanwhile, 276 new private schools will begin operations next year.
Humanitarian Needs
The International Medical Corps (IMC) reported 18 active M-pox cases across 7 Ethiopian regions, including Addis Ababa, as of June 10, resulting in 1 death.
Africa CDC reported a decline in the number of daily cholera cases in the Amhara region, attributing it to a “coordinated joint response” between EPHI & APHI.
A survey by the Tigray Youth Bureau in 56 districts found that over 56,000 young people have fled the Tigray region in the last 2 years.
Politics
PM Abiy invited opposition parties to a June 18 consultation on national affairs. OLF & OFC declined to attend while EPRP walked out mid-meeting after they were prevented from asking questions.
Tigray Interim Administration (TIA) President Tadesse Werede urged the Tigray Genocide Commission to document atrocities committed during the 2020-22 war & “collaborate with international organizations to ensure accountability.
The TIA Deputy President accused the federal government of “exploiting” the Pretoria Peace Agreement (PPA) to “fragment Tigray” & “change its demographic composition” in the closing speech of a June 18-20 demonstration by IDPs.
Opposition parties Arena Tigray, Salsay Weyane & TIP issued a joint statement calling for action to address the growing political & humanitarian crisis in Tigray.
Conflict & Security
The National Rehabilitation Commission (NRC) reported the demobilization & reintegration of over 56,000 former combatants, 45,000 of them from Tigray.
Families of government officials in the Amhara region reported intensified targeted attacks by the Fano militia, including abductions for ransom & the burning of homes. Learn more about attacks on local officials here.
The IEP Global Peace Index 2025 identified DRC, Ethiopia, Sudan, & South Sudan as among the world’s top conflict escalation hotspots.
Geopolitics
The Ministerial Meeting of Coordinators on the Implementation of the Follow-up Actions of FOCAC was held from June 10–12, attended by representatives from China, 53 African countries & the AU.
US AFRICOM’s Head called for “burden sharing” in African security initiatives, emphasizing a renewed focus on “protecting the US homeland”. Learn more here.
The US AFRICOM Head met with authorities in Somaliland to discuss “security, defense & trade cooperation” on June 19, & met with PM Abiy to discuss “bilateral & regional issues of mutual interest” on June 20th.
ENDF’s Chief of Staff revealed the deployment of an unspecified number of troops to Somalia on a bilateral arrangement outside of ATMIS over the last 9 months & warned that Egyptian troops in Somalia are a threat to national security.
Ethiopian Investment Holdings (EIH) is set to pursue international port investments & emphasized the need for stronger collaboration with the Ministry of Foreign Affairs (MOFA) to navigate political & diplomatic complexities.
Eritrea’s Minister of Information criticized Prosperity Party (PP) officials & supporters for their views on Eritrea’s maritime assets. Learn more about the tensions over sea access in this interview.
Eritrea submitted a draft resolution to the UN Human Rights Council calling for the termination of the mandate of the UN Special Rapporteur on human rights in Eritrea. Learn more here.
Ethiopia & Morocco signed a June 17 military cooperation agreement to consolidate defense ties through joint training, exercises, scientific research, & military health programs.
The EU launched a 6 million EUR project geared towards kickstarting Ethiopia’s belated participation in the African Continental Free Trade Agreement (AfCFTA).
ETH has temporarily suspended its regular flights between Addis Ababa & Tel Aviv due to operational considerations amidst the ongoing Iran-Israel conflict.