The flow of Foreign Direct Investment to Ethiopia has shown a notable increase in the last nine months according to the Ethiopian Investment Agency.

The increase in FDI is due to improvements within the financial sector, enhanced promotion and better licensing procedures said Getahun Negash, Director of the Agency Corporate Communications.

An estimated 61 billion birr making up 95% of the nations capital budget is covered from FDI explained Getahun.
The lead in FDI activities in Ethiopia has been taken by Indian and Chinese companies with companies from Europe, the Middle East and the USA also engaged in investment efforts he noted.

African investors from countries such as Egypt, Kenya, Nigeria and South Africa are also engaged in investment in Ethiopia in areas such as the manufacturing and agro-processing sectors according to Getahun.

Significant investment also comes from members of the Ethiopian Diaspora from Europe and the US who are engaged in a range of investment sectors he added.

The EIA issues licenses to foreign investment projects on the basis of the feasibility of the projects and the priorities set by the economic development agenda of the nations.

More than 123 companies with a combined investment capital of 11 billion birr have launched operations in Ethiopia since September 2011 creating more than 31,000 job opportunities noted Getahun.