No Widgets found in the Sidebar
Ethiopia Turns to Property Ownership Incentives to Attract Foreign Investors

As part of his broader economic reform agenda, Ethiopian Prime Minister Abiy Ahmed has announced a significant shift in foreign property ownership. This policy, which is intended to liberalize key sectors of the country’s economy, is expected to bring much-needed foreign investment and tax revenue.

Local property developer Solomon Assefa has expressed optimism about the potential benefits of this policy, stating that it could bring much-needed foreign exchange into the economy. However, he recognizes that Ethiopia may not be as attractive to foreigners seeking property compared to other destinations like Dubai. The country’s appeal to foreign investors lies in its low labor costs and subsidized electricity offered by the state.

To support foreign investment, the government has allocated prime city-center plots for the construction of luxury apartments in Addis Ababa. Over the past year, property developers have been granted access to land throughout the capital, with agreements requiring them to reserve 30% of new housing units for public-private partnerships with the state.

In January, the finance ministry announced plans to construct over 78,000 affordable housing units in Addis Ababa through international tenders. The government aims to raise funds through auctions, leading to widespread demolitions in the capital to make way for these developments. However, this may come at a cost to Ethiopians who are evicted from their homes to accommodate the new properties.

By Samantha Jones

As a dedicated content writer at newsaca.com, I bring a unique blend of creativity and precision to my work. With a passion for storytelling and a keen eye for detail, I strive to craft engaging and informative articles that captivate our readers. From breaking news to thought-provoking features, I am committed to delivering content that resonates with our audience and keeps them coming back for more. Join me on this exciting journey as we explore the ever-evolving world of news and information together.

Leave a Reply