Ethiopia: Diaspora Trust Fund for Common Good

Prime Minister Abiy Ahmed.

trust fund is a fund comprised a variety of assets intended to provide benefits to an individual or organization. It is established by a grantor to provide financial security to an individual, most often a child or grandchild - or organizations, such as a charity or other non-profit organization.

While trust funds, or trusts, may seem the province of the wealthy, there are actually many benefits to creating them, even if we are not a multimillionaire. Trusts can help_all in managing our property and assets; make sure they are distributed after our death according to our wishes, and save our family money, time and paperwork.

Cognizant of the blessing of trust fund Prime Minister Dr. Abiy Ahmed in his a parliamentary speech, was offering a call to be part of Diaspora Trust Fund (DTF) for all Diaspora community who resides in various corners of the globe. The Premiere call on Ethiopians abroad to spend a dollar day to finance development projects. Following the call many have hoped, the contribution by the Diaspora could help ease the forex crunch facing the country.

The efforts could also open a venue for giving back opportunities; many who are residing aboard have attended school by the poor communities' revenues.

This writer has approached residents of Addis Ababa and Dsssie town to learn their position on the subject. Eyasu Teshome, a resident from Addis Ababa who is engaged in food security, stated that the Diaspora community has got the real blessing opportunity if respond to the call and should turn out to make it practical.

"In my view, Ethiopia is found at defining moment that new leadership has created optimism among all walks of life. To strengthen further the Diaspora should be part of the ongoing changes."

The major deficit in the African economy in general and in the Ethiopian economy in particular is the lack of labor intensive industries which are meant for reducing urban unemployment and transferring subsistence farmers into factory workers.

The people in the diaspora, instead of sending money directly to their dependents back home for immediate consumption, both the national economy and their loved ones will benefit if the money is spent on building industries in a form of joint ventures or share markets. Then, their loved ones can collect the proceeds from the profits of the industries in the form of dividends. This arrangement could be considered as killing two birds with one stone. Instead of directly consuming the money, the money will be invested in the production sector and those families could benefit from the profits.

Alemu Assefa who is a resident of Dessie town opined that the effort is commendable because the Ethiopian economy has not in recent years been battered with as severe shortage of foreign currencies as now. The situation has exasperated to the point where factories have been forced to operate under capacity, crucial medicines are disappearing from pharmacies and many goods are not found on shelves of supermarkets. The amount of international reserve has dwindled. It only covers 1.8 months of imports by the end of the last fiscal year.

There are many indicators that the scale of the problem has reached a critical stage, where the government is forced to take every measure that could reduce foreign currencies' usage. To heal the shortage let and opening venue for Diaspora community to participate is special opportunity.

Finally, trust funds are a great way to build wealth for future generations; the Diaspora community should join the call for the common good and bright future.

According to the Office of the Prime Minster, the bank account for the Ethiopian Diaspora has been opened at the Commercial Bank of Ethiopia. The account opened in the name of "Ethiopian Diaspora Trust Fund." is 1000255726725.

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