Addis Ababa — The ongoing economic and political structural reform will have significant impact to realize the country's manufacturing goals, according to Investment Commission.
Ethiopia, which envisages becoming Africa's manufacturing hub by 2025, is aggressively prioritizing in economic structural reform under its second Growth and Transformation Plan (GTP).
Investment Commissioner Fitsum Arega told ENA that Ethiopia has the potential of becoming Africa's light manufacturing.
Textile, leather and leather products, energy, pharmaceuticals and food complex factories are among the areas that can create massive jobs, he added.
Stating that there are about 100,000 new graduates yearly, Fitsum "therefore, Ethiopia's demographic advantage of 70 youth working force and abundance agricultural products to supply industries have positive contributions."
According to the Commissioner, the previous setbacks related to democracy, and the rule of law is being addressed within the ongoing reform and there is conducive environment to facilitate the industrialization process.
Power grid installations and other infrastructures were with the consideration of industrialization and investment, he pointed out.
"We have taken the lesson that infrastructures should be built in the corridors where there is the high probability of developing industrial parks," Fitsum stated.
Lack of residency around industrial parks like Hawassa Industrial Park has significantly reduced the job opportunities, the Commissioner said, and added "we are preparing to steadfastly avert the problem and accelerate the industrialization."
The government is comprehensively working to address the challenges that are related with policies and working environment.
He stressed that ensuring rapid growth through expansion of manufacturing industry backed up by skilled man power and small area is the next task.