President Dr. Mulatu Teshome said despite various economic, social and political challenges, country's structural transformation is at promising pace.
Speaking at the opening of the third year and the fifth tenure joint session of the House of Peoples' Representatives and House of Federation yesterday, the president noted that the nation has begun experiencing structural transformation. "10.9 percent is the last fiscal year economic growth rate of the country, when we see the contribution of each sector to the economy, agriculture and industry account 36.3 and 25.6 percent respectively while manufacturing industry has grown by 6.4 percent. The share of service to GDP has reached 39.3 percent."
According to him, using modern irrigation and natural conservation, the agriculture sector needs to be advanced with a view to overcoming recurrent drought and related challenges.
Moreover, a lot is expected from the country to grow the share of the industry through developing Small and Medium Enterprises (SMEs), he stressed.
President Dr. Mulatu also indicated that apart from transforming smallholder farmers' activities, literate youth and investors would be encouraged to join the agriculture sector in this fiscal year.
He as well underlined the need for growing the manufacturing industry by seven percent at the end of this fiscal year.
As to maintaining the rapid economic growth, the president said the nation has planned to register 11.1 percent GDP growth this budget year. "Agriculture has to grow by eight percent in a bid to ensure fair wealth distribution in the country," he added.
Regarding tax reform, Dr. Mulatu pointed out that on the top of paying attention to large tax payers, the government would take measures on those investors who have abused tax holiday particularly in construction and industry businesses.
In same vein, he said the government would take legal actions against those individuals who have been engaged in tax envision and fraud.
To boost the export earnings, the president noted that the nation would work harder on raising the quality and quantity of coffee , sesame , cereals , spices , livestock and horticulture in parallel with expanding the mining business.
The president also mentioned that the government has been aggressively engaged in the expansion of industrial parks to enhance the industry especially the manufacturing ones thereby boosting export revenue.