Ethiopia aims for more Chinese investment
The Ethiopian Prime Minister Meles Zenawi has said he foresees continued investment in the country from China, particularly in infrastructure and manufacturing.
China is already a major investor in Ethiopia, Mr Zenawi said, but there is still huge room for growth, particularly as the country has launched its second five-year plan, set to end in 2015, known as the Growth and Transformation Plan (GTP).
At the core of the GTP, Ethiopia plans to give priority to industrialisation, by focusing on the development of its manufacturing and infrastructure sectors.
“We are closely working with Chinese companies in two areas; one is infrastructure and the other is manufacturing. Chinese companies can play a vital role in implementing infrastructure projects,” said Mr Zenawi.
China is currently constructing an industrial zone in Ethiopia, one of several similar zones it’s building on the African continent. The zone aims to attract more Chinese investment in leather, textiles, garments and chemicals.
“Improving infrastructure, the establishment of industrial zones, the training of skilled manpower for the manufacturing sector – all of these are part of our plan to attract Chinese investment to Ethiopia,” he said.
He Mingliang, chairman of China-Africa Leather Co, said: “We have a long-term strategy [in Ethiopia], thanks to the low cost of labour, rich raw materials and huge market potential.”
His company has invested $24.5 million to manufacture 1.5 million square metres of finished leather and 1 million pairs of leather gloves annually, mainly for export to China and the European Union.
