The battle for the preferred investment hub in East Africa is on with the title contenders Rwanda, looking shaky. The country ruled by African Union (AU) President Paul Kagame has made headlines for foreign investors who have expressed their willingness to invest in the country.
However, it seems to be a different narrative altogether when the Rwandans thought they had it all. Investors are eyeing the ripe Ethiopia market which has been considered to have similarities with China, dubbed the ‘China of Africa.’ The speculations if the country can replicate the success of China is not a far-fetched idea with the nation still ‘under construction.’
Turkish investors earlier this year had forecast the business structure and environment to be a pivotal game changer in East Africa as Ethiopia seems to be a force to be reckoned with as per business parameters. The country drove the traffic of Turkish investors to the country seeking to widen its economy’s growth.
Agriculture sector in Ethiopia proves competitive to Rwanda having a huge government support. Rwanda has castigated its government in the amount of money allocated for the sector, criticizing the government for its abandoned responsibilities to the country’s main backbone. Ethiopia on the other hand seems not to be too shaken by the attention given by the government.
Just like Rwanda giving investors a number of incentives to drive investors to the country, Ethiopia is doing the same with some additional cutting edge. Access to wide acreage of land, tax holidays among others have tempted investors to seek greener pastures in Ethiopia. The country can give much more with promising growth and expansion having already shown signs of picking up well.
Trade fairs and exhibitions hosted by the nation has attracted a number of participants that have been impressed with the opportunities available in the country. Plans have been made on taking advantage of the opportunities to grow the economy of the state. The business climate has been the game changer to distinguish the two, with its ease to do business in Ethiopia.
The large population gives a ready market to their products. It offers a wide base of human resource as labor for their companies. It could be a tough battle to be considered with other countries making changes to fit the dynamism of time.