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Ambassador of People’s Republic of China bids farewell to Economic Community of West African States (ECOWAS)

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In his farewell address, Ambassador JIANCHUN expressed deep gratitude to ECOWAS for the bilateral cooperation extended to his office and country over the past three years. He emphasized the importance of the relationship between China and ECOWAS Member States in terms of infrastructure, economy, and security, assuring President TOURAY of continued support to ECOWAS.

He also highlighted the commitment to delivering a world-class ECOWAS Headquarters in Abuja by 2025. The Ambassadors said he is leaving behind a capable team to work with ECOWAS on this project. Ambassador JIANCHUN concluded by extending an invitation to ECOWAS to the upcoming Forum of China-Africa Cooperation (FOCAC) later in the year.

In response, President TOURAY expressed gratitude to the Ambassador for the excellent cooperation and support extended to ECOWAS and for finding time to personally came to bid ECOWAS farewell. He underscored the significant role China has played in the development of West Africa, particularly in the areas of education, infrastructure, and investments. The President of the Commission expressed the readiness to participate in the next FOCAC scheduled for September 2024, where he hopes ECOWAS will showcase many projects to investors including the Lagos-Abidjan and Abidjan – Praia highways which bears the largest chunck of intra- ECOWAS trade.

Distributed by APO Group on behalf of Economic Community of West African States (ECOWAS).

Combating corruption?

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Once upon a time, we prided ourselves on our perceived moral superiority, casting judgment on the corruption plaguing other African nations. However, the harsh truth has emerged: Ethiopia, once hailed as a bastion of integrity, now stands as one of the most corrupt countries on the continent, particularly concerning foreign investments. This realization is a bitter pill to swallow, highlighting a disturbing trend where corruption has infiltrated the highest echelons of power, turning promises of progress into hollow echoes of disappointment.

Foreign investors, initially drawn by Ethiopia’s potential, are now disillusioned and disheartened by the pervasive culture of bribery and extortion orchestrated by regional officials. Many are contemplating abandoning their investments and fleeing the country, while others have already packed their bags after being coerced into paying exorbitant sums. As these vital investments flee, Ethiopia’s economic prospects dim, leaving its already fragile economy teetering on the edge of collapse.

The repercussions of this exodus are dire. With each departing investment, job opportunities vanish, exacerbating the plight of ordinary Ethiopians struggling to make ends meet. The economy, already weakened by years of mismanagement and war, faces further turmoil, threatening the stability of the entire nation.

In the face of this mounting crisis, the government’s response has been sorely inadequate. Despite lofty pledges to tackle corruption head-on, tangible progress remains elusive. Corruption continues to flourish, unchecked and unpunished, while those in power turn a blind eye to the suffering of their own people.

The pervasive nature of corruption in Ethiopia takes various insidious forms, from clientelism and kleptocracy to the outright capture of state institutions. Despite the existence of anti-corruption laws, their enforcement is woefully lacking, thanks to the executive’s undue influence over the judiciary and legislature. This tight grip on power creates a climate of impunity where corrupt officials operate with impunity, shielded from accountability by their political connections.

Moreover, corruption in Ethiopia is not just a matter of financial malfeasance; it is intrinsically linked to widespread human rights abuses. The normalization of bribery and other corrupt practices has corroded the integrity of public services, rendering them inaccessible to ordinary citizens without greasing the palms of corrupt officials. This toxic environment perpetuates inequality and erodes public trust in the government’s ability to serve the interests of the people.

While the government pays lip service to anti-corruption efforts, the lack of tangible progress speaks volumes. Merely pledging to combat corruption is not enough; what is needed is concrete action backed by genuine political will. This requires investing in robust institutions tasked with fighting corruption, ensuring their independence from political interference, and providing them with the resources they need to carry out their mandate effectively.

The time for empty promises and half-hearted measures is over. If Ethiopia is to have any hope of salvaging its economy and restoring faith in its institutions, decisive action must be taken to root out corruption at its core. This means holding corrupt officials accountable, strengthening institutions tasked with fighting corruption, and fostering a culture of transparency and integrity.

Furthermore, combating corruption necessitates a holistic approach that tackles the root causes of corruption, including societal norms and attitudes. It is not enough to pass laws and establish anti-corruption agencies; there must also be a concerted effort to cultivate a culture of integrity and ethical behavior at all levels of society. This requires leadership by example, with government officials held to the highest standards of transparency and accountability.

The road ahead in the fight against corruption may be fraught with challenges, but it is a battle that Ethiopia cannot afford to lose. The future of the country and the well-being of its citizens depend on rooting out corruption and building a more just and equitable society. This requires unwavering commitment, transparency, and accountability from both the government and the people. Only through collective action can Ethiopia hope to overcome the scourge of corruption and pave the way for a brighter future for all its citizens.

Ethiopia explores fertilizer imports via Kenya’s Lamu Port

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Ethiopia intends to import fertilizer via Kenya’s Lamu Port in the near future. A week ago, delegations tasked with assessing the situation were in Kenya. Ethiopia has indicated a strong desire to expand its port destinations beyond Djibouti, which already handles nearly all of its cargo. Even though the idea to use Lamu was proposed years ago, it has not been used up to this point. A portion of import exports has gone to the Mombasa port due to the security situation in the Red Sea and Aden Gulf since November of last year. However, compared to Djibouti, using Kenya’s largest port is more expensive because of its destination.

The team has seen the situation in Mombasa in addition to Lamu, based on the information Capital received from the Ministry of Transport and Logistics (MoTL). State Minister of MoTL Denge Boru stated, “The delegation has visited the port and road conditions up to Moyale, whether or not it is suitable for the operation.” The group will deliver their findings to the logistics committee, he continued. According to the proposal, part of the fertilizer cargo is to be transported through Lamu by the government. The State Minister informed Capital, “We will be using the port very soon.”

According to sources, top ESL officials who were part of the group declined to comment, but the mission, which included logistics specialists from several public agencies, including Ethiopian Shipping and Logistics (ESL), observed the situation there. He informed Capital, “We will disclose when we start the operation.” In addition to managing the majority of import and export cargo, the fertilizer fleet is managed by the state-owned logistics business, ESL. According to the proposal, the government intends to use Berbera Port in Somaliland as a substitute for cargo imports, primarily for the country’s east and southeast. To date, Ethiopia’s closest and most established port location that is also connected to an electric train is Djibouti.



In order to ensure a seamless operation, various paperwork and agreements between the two countries will need to be completed before the service is launched via Lamu.

Due to security concerns in the Red Sea, Ethiopian cargo is now handled through Mombasa despite the obstacles that separate it from Djibouti.

The catalyst for this shift stems from delays experienced by inbound and outgoing cargo at ports in Djibouti, attributed to vessel operators reducing their operations along the Red Sea route. With vessels navigating the Red Sea and Gulf of Aden facing security risks, including attacks by Houthi militants in Yemen, shipping corporations have been compelled to seek alternative routes to ensure the timely and safe delivery of goods.

Despite its higher operational costs compared to Djibouti, Mombasa has emerged as a preferred option for Ethiopian freight due to its relative stability and efficiency.

The Mombasa route has particularly benefited industrial hubs such as Hawassa, Bole Lemi, Debre Berhan, and Adama, where manufacturers rely heavily on timely imports of raw materials and exports of finished goods. By circumventing the delays and security risks associated with the Red Sea route, businesses operating in these industrial parks have been able to maintain steady production levels, contributing to Ethiopia’s economic growth.

Djibouti prohibits NVOCCs as Multimodal Operators

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Djibouti’s regulatory body announced that non-vessel operating common carriers (NVOCCs) are not permitted to serve as multimodal operators in Djibouti, even though the Ethiopian government only approved the entry of three more participants a week ago.

For almost 13 years as a VOCC, Ethiopian Shipping and Logistics (ESL), a state-owned operator of deep sea vessels on the continent, has been the only multimodal. Recall that the Ethiopian government has authorized the participation of three more NVOCC operators in the scheme, in addition to the already established ESL.

However, according to a notice released on Sunday, March 17 by the Djibouti Ports and Free Zones Authority (DPFZA), the port authority that owns and oversees the logistics activity in Djibouti, a bill of lading (BL) issued by NVOCCs is not acknowledged within Djibouti Ports and Corridors due to their legal status.

Furthermore, the notification, which is signed by Aboubaker Omar Hadi, Chairman of DPFZA, states that NVOCCs may not guarantee the complete payment of logistics chain costs along the corridor, posting concerns regarding security, traceability, and accountability.

“In adherence to our regulations and policies, BLs issued by multimodal transport operators, specifically by shipping lines, are the only legally recognized documentation for cargo transport operations within Djibouti ports, free zones, and corridors,” the notice continued.

It emphasized the need for anyone working in the logistics industry to follow the rules.

The letter made it clear that “observing these guidelines is imperative for all entities involved in maritime transport and logistics activities to avoid any operational disruptions within Djibouti ports, free zones, and corridors.”

Experts predicted that the newly chosen multimodal transport companies would find it difficult to start their operations in light of the new notice.

Sources in Djibouti, however, voiced worry that it would have an impact on ESL activities, in addition to the three multimodal operators that were just chosen.

“ESL transports approximately 90 percent of its containerized cargo through slots operated by other vessel operators, so even though it is a VOCC, it also functions as an NVOCC,” they stated.

According to Capital sources, the Ethiopian Embassy in Djibouti has already notified the Ministry of Transport and Regional Integration of the issue by letter.

The ministry should form a technical committee to handle the issue with the Djiboutian side, as advised by the diplomatic mission.

The Djiboutian side did not send any formal letter to ESL, a senior official at the company said, adding, “as a result, we would not have any comment on the issue.”

Yared Shiferaw, a former head of ESL’s legal department and industry expert, said that ESL would not be concerned about the matter. Even if the majority of containers are moved by slot arrangement, it will not be a problem for ESL. “The two parties have an agreement,” he stated.

Yared noted that ESL was seen as multimodal operators during the 2006 negotiations with the Djibouti government.

He told Capital, “In the same token, it will be the Ethiopian government’s responsibility to solve the issue through their bilateral channel regarding the new players’ concern.”

The international marine lawyer said that since it is guaranteed by the Ethiopian government in a manner comparable to that which was provided to the ESL, the Djiboutian side would not be concerned. The industry experts stated, “The government granted these companies a license in accordance with the thorough assessment and based on their capability and extensive experience.”

“They express concern that cargo passing through the system unchecked poses health and security risks,” experts explained about the Djiboutian authorities’ concern.

According to the industry’s worldwide standard, if they have any suspicions, they can look into regular cargoes that arrive during normal business modalities, they added.

Panafric Global, Tikur Abay Transport, and Cosmos Multimodal Operation are the recently selected companies to operate under the multimodal scheme.

Tikur Abay operates by Amhara region administration, while Cosmos is formed by renowned logistics provider Tradepath International and Oromia region’s enterprise, Geda Transport.

One of the logistic firms in existence, Panafric has formed a partnership with a company of a prominent businessman.

According to industry analysts, the most recent action represents a significant turning point for the logistics sector.