Friday, November 14, 2025
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High debt, inflation, governance challenges threaten economic stability, new report warns

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Ethiopia’s economy is grappling with significant challenges including soaring public debt, persistent inflation, and weakening governance, according to the latest comprehensive report by the Ethiopian Economic Association (EEA).The “Report on the Ethiopia Economy 2025,” released on 22 May, offers a detailed analysis of economic trends from 2001 to 2023, highlighting the urgent need for policy reforms to address structural weaknesses and fiscal imbalances.The report reveals that despite Ethiopia’s public income growing by over 200% annually between 2002 and 2022, inflation has severely eroded the real value of government budgets. This, coupled with a widening budget deficit relative to East African and Sub-Saharan peers, signals growing risks to financial sustainability.Ethiopia’s public debt remains high and increasingly unsustainable. According to the Ministry of Finance’s Public Sector Debt Portfolio Analysis (June 2024), total public debt stood at nearly US$69 billion, about 32.9% of GDP, up from US$63 billion (38.8% of GDP) in June 2023. The EEA report notes weaknesses in debt management frameworks and declining debt policy performance since 2020, falling below the sub-Saharan Africa average.Persistent inflation has deteriorated living standards and contributed to widening macroeconomic inequality. The report highlights a decline in gross fixed investment and government spending since 2016, which has weakened economic activity and limited Ethiopia’s capacity to sustain social progress.Professor Mengistu Ketema, one of the report’s lead authors, emphasized that Ethiopia’s abundant natural resources and private sector remain underutilized. The growing gap between supply and demand is the primary driver of inflation, underscoring the urgent need for a robust return to economic growth.The agricultural sector, historically a backbone of Ethiopia’s economy, now accounts for only about one-third of GDP, down significantly since 2004/05. This shift is largely due to the expanding dominance of the service sector.While fertilizer use has improved, Ethiopia’s application rate remains below the global average, reflecting ongoing challenges in agricultural productivity. Access to finance for agriculture is critically low, with the sector receiving just 7.8% of total loans over the past two decades and less than 5% of new loans in 2021/22.The report documents a decline in consumer spending for most households between 2018/19 and 2021/22, with the poorest experiencing the steepest drop in living standards. Domestic conflict and political instability are identified as key factors undermining production potential, fueling inflation, and exacerbating poverty.The EEA calls for urgent, coordinated reforms including inflation-adjusted budget allocations, tax base expansion, improved revenue collection, balanced expenditures, export growth, and strengthened debt management institutions.The association urges the government to develop targeted poverty alleviation strategies, especially in regions where poverty has worsened. The 2025 report, spanning over 400 pages, builds on previous editions and provides a two-decade assessment of Ethiopia’s economic trajectory.

Pamph-let’s Get Marketing: Affordable Tactics Startups Need

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Launching a startup is an exciting journey filled with ambition, creativity, and the promise of growth, but one of the most significant hurdles new businesses face is getting noticed in a crowded marketplace, with a very limited budget. Many startups, filled with ambition and vigour, can often view marketing as something that’s a completely different language and can only be achieved with an almost infinite budget. It’s easy to see why these days, with so much focus on why the right colours, wording, and tactics should all add up to almost infinite growth.

The problem is that it leaves those who have very little in the way of a budget intimidated and scared to attempt anything, in case they get swallowed by the larger, shark-like contemporaries. However, marketing tactics have nothing to do with bar charts, budget, and bullishness. Marketing is something that’s as old as time itself, it’s about recognising that, in fact marketing is very simply about getting the message out there, but in the most appropriate ways that stimulates that need from the desired target market. That’s why affordable approaches, ideal for startups, can make more of a difference than you realise to lay a strong foundation for sustainable growth:

Social Media

Worth its weight in gold because it’s revolutionised the way businesses connect with their audiences. For startups, it’s an invaluable tool that builds brand awareness, stimulates communication with customers, and fosters a sense of community, all at little to no cost.

The best place to begin is by identifying the platforms that align with your target audience. Instagram and TikTok are perfect for visually driven brands that target younger demographics, but if you look to connect with professionals and industry leaders, you’re better off looking at LinkedIn. But we also need to remember it’s not just about posting ad hoc, it’s very similar to any health or fitness plan: consistency, consistency, consistency!

Develop a content calendar to ensure regular posting, and then when you combine this with free design tools like Canva, you can create eye-catching graphics that help you engage with your followers.

While we’re on the topic of engaging, start those conversations! Respond to comments, participate in relevant discussions, and share user-generated content. You can also partner up with micro-influencers or even other small businesses to amplify your reach. Social media is a relationship builder, and this is the key to mammoth marketing.

Local Impact

It could be very easy to think about digital-only strategies, believing that this is the cheapest way; however, you need to remember that your business has to go where your audience is. If you are targeting local markets or specific communities, you cannot neglect traditional tactics like flyer printing.

Flyer printing allows you to create tangible, eye-catching materials that can be distributed at events, high-traffic areas, or through direct mail campaigns. It could be very cost-effective, but more importantly, it offers a personal touch that digital channels can often lack. Flyers are particularly useful for promoting grand openings, special events, limited-time offers or new product launches.

In the world of digital noise, amazingly, something as low-tech as a flyer cuts through the noise. The physical nature of a flyer is something that can absolutely tap into a buyer’s mentality. Its tangibility means it can be placed on notice boards, handed out at community gatherings or left in local cafés and libraries where your target audience is likely to see them. When printing flyers, always be aware of the following golden rule:

  • Use bold headlines, clear messaging, and compelling visuals.
  • Ensure your call to action stands out as well, whether it’s a website link, discount code, or an event invitation.
  • Choose cost-effective materials, as standard paper sizes and finishes are often more affordable, and if you’re printing in bulk, ask about volume discounts.
  • When distributing, be strategic and focus on locations and events where your ideal customers are likely to congregate.
  • And of course, while we’ve talked about the importance of offline marketing here, you can encourage people to connect with your brand digitally through QR codes or social media handles.

It can be a powerful addition to your marketing toolkit if you execute it thoughtfully.

Build Strategic Partnerships and Network

Building relationships with other businesses and organisations can significantly extend your marketing reach without a major financial investment. Strategic partnership should be something we focus on, as it provides us with an exercise in building partnerships and fine-tuning our relationship-building skills. This is something that many younger entrepreneurs may not have in the same way as those in their 40s or 50s.

It’s worth mentioning this because there is a big gap between people who have grown up online and those who haven’t. Communication skills from Generation Z are thought to be severely lacking, and therefore, that practice in networking is very much a use-it-or-lose-it skill. What you can do is look for complementary businesses whose products or services align with yours, but are not direct competitors.

Collaborations can benefit both parties because you’re introducing each other to a wider audience. And networking through conferences, industry events, and local business meetups ensures you can connect with potential partners, customers, and even business mentors. We should never underestimate the impact of an amazing mentor, as it can be the doorway to valuable relationships throughout our working lives. And let’s not forget, word of mouth and personal recommendations are often the most effective forms of marketing.

Run Contests and Giveaways

A simple but incredibly fun way to generate buzz, increase engagement and grow your audience, because you are encouraging people to interact with your brand through liking, sharing, tagging, or signing up for your newsletter.

The great thing about this is that it could be very low cost because you don’t have to give away expensive prizes. Instead, think about free samples, exclusive experiences, or branded merchandise. The key is about making participation simple. You could do this through your website, email newsletters, and social media. The great thing about contests is that they boost visibility but can help you to collect valuable data like email addresses and customer preferences, which you could use for your future marketing, particularly when you scale up and invest in a customer relationship management (CRM) platform.

Use Email Marketing Effectively

Email marketing remains one of the best strategies out there for your ROI. An email list means you can communicate directly with loyal customers and prospects alike. There’s plenty of affordable email marketing platforms to help you create segmented lists and send personalised campaigns.

When you use your email marketing panache to offer incentives like discounts, early access to products, and exclusive content in exchange for email signups, this keeps your audience informed and engaged, which can increase the likelihood of repeat business.

What we have to remember is that each email has to deliver value. We’ve all grown weary of an email from one company coming at the same time every single day, but what is it that keeps us subscribed? It’s about real, useful information. And remember, always include a clear call to action! This means easy access from them to you.

Do Not Forget to Test

Often when it comes to marketing for free, we can use an almost set-it-and-forget-it approach. Because it’s free, we may not necessarily think of it as valuable, but marketing is marketing, and effective marketing is an ongoing process of testing, measuring, and refining. There are many free analytics platforms, as well as social media insights and email marketing reports, to ensure that you’re tracking the effectiveness of your campaign. Key metrics include:

  • Website traffic.
  • Engagement rates.
  • Conversion rates.
  • Customer acquisition costs.

Identify which tactics deliver the best ROI and then double down on these, but also don’t be afraid to experiment with new ideas or platforms. When you regularly review your marketing efforts, you’ll stay agile and adapt to changes in the market.

A Few Other Things to Consider

  • Take advantage of free online resources, tutorials, and templates to create your own marketing materials. DIY-ing where possible can be amazing!
  • If you have a skill or a product that other businesses need, you have the upper hand, so consider negotiating in exchange for exposure or marketing support.
  • Reach out to local bloggers, podcasters, or media outlets with your startup story, because a compelling narrative can often secure free coverage.
  • Don’t forget online communities related to your industry, particularly on LinkedIn. Don’t just scan for advice – give it!

Affordable marketing is about being resourceful and strategic, as well as more than a dash of creativity! Every marketing effort is going to contribute to your business and its long-term success. Rather than thinking of cheap marketing as being inferior, marketing is marketing! Stay consistent, monitor your results, and keep experimenting with new ideas. Perhaps that 80/20 rule can be a great tool here, where 80% of your efforts are working, and that 20% is where you get creative! Don’t forget, your startup needs time to evolve and come into its own, and with dedication, smart marketing, and above all else, consistency, you will see the difference.

VFS Global acquires majority stake in CiX Citizen Experience to create a centre of excellence and promote Brazilian knowhow in Public Service abroad

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  • Supercharged Growth: VFS Global’s partnership will accelerate CiX’s expansion across key makets in Africa
  • Global Powerhouse: With VFS Global’s capital, technology, talent and scale, CiX Citizen Experience will bring new products and technology to the global marketplace.
  • Quality of Life Commitment: Both companies are dedicated to innovative solutions, including the use of AI, that improve citizens’ quality of life

. Local Impact with Wider Reach: Collaboration to modernise services for citizens of Brazil by creating a centre of excellence that stands as a global example.

VFS Global, the global leader in trusted technology services, empowering secure global mobility for governments and citizens, has completed the acquisition of a majority stake in CiX Citizen Experience, a leading provider of digital and physical citizen services based in Brazil. This strategic acquisition marks a pivotal step in VFS Global’s expansion journeyas it continues to broaden its capabilities and deepen its impact in the public service delivery space.

With nearly two decades of pioneering innovation in citizen services, CiX has established a strong presence in Brazil. This success will be further scaled across other global markets including Africa, leveraging VFS Global’s international reach and operational excellence.

This acquisition is centred on driving transformation through advanced digital technologies, including AI and data-driven platforms. By uniting CiX’s cutting-edge digital capabilities with VFS Global’s extensive global infrastructure and expertise in managing complex service ecosystems, we are positioned to deliver next-generation, integrated solutions to public and private sector clients around the world.

For both companies’ client governments and partners, this will lead to enhanced, tailored solutions that improve citizen engagement, access, and satisfaction.

Sergio Rodrigues, CEO of CiX Citizen Services, said, “Partnering with VFS Global will supercharge our growth. With access to their capital, technology, talent, and global reach, we can rapidly expand across Latin America, and beyond. This collaboration is about scaling CiX Citizen Experience, delivering even more intuitive, efficient, and accessible government services. Our goal is to simplify citizens’ lives with a combination of physical and digital solutions that also bring agility, and savings for governments worldwide.”

Zubin Karkaria, Founder & Chief Executive Officer, VFS Global, added, “We are very pleased to have concluded this strategically important acquisition which will be value accretive for both companies – for CiX Citizen Experience and for VFS Global. VFS Global operates in 158 countries, serves 69 client governments and has a workforce of nearly 13,000 people from 153 nationalities. Access to all of this, and our technological capabilities, will provide the launchpad for CiX Citizen Experience in its next phase of growth to become a global powerhouse. Our collaboration will transform citizen services world-wide, driving efficiency and inclusivity. It highlights VFS Global’s commitment to innovative solutions that enhance citizens’ quality of life and build renewed trust in governments.”

Since its founding in 2008, CiX Citizen Experience has established itself as a pioneer in public services, managing over 250 service centres across Brazil. The company offers more than 200 types of services to states and municipalities, significantly enhancing the efficiency and accessibility of government services. Over the years, CiX Citizen Experience has served over 150 million citizens, issuing more than 30 million identity cards and 20 million driver’s licenses. With operations in key regions such as São Paulo, Rio de Janeiro, Minas Gerais, and Ceará, CiX Citizen Experience continues to lead the way in digital and physical public service solutions, driving innovation and improving the quality of life for millions of citizens.

VFS Global, the global leader in trusted technology services, empowering secure global mobility for governments and citizens, has significantly expanded its global footprint. With over 3,600 Application Centres in 158 countries, VFS Global has processed more than 311 million applications since its inception in 2001. In 2023, the company secured seven major global contracts, including a landmark agreement with the UK government as the exclusive overseas provider to manage visa and citizenship services across 142 countries. Additionally, VFS Global won contracts with the governments of Australia, Norway, Sweden, Latvia, Iceland, and Austria, further solidifying its position as a trusted partner in delivering secure, efficient, and innovative solutions for visa and consular services worldwide.

Request for Expression of Interest for KING NEJASHI ISLAMIC CENTER Project (KNIC) – ICB

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Ethiopian Islamic affair supreme council

Addis Ababa, Ethiopia

Date:    May, 2025

Project Name: KING NEJASHI ISLAMIC CENTER Project: Phase One

Project Procurement Reference No: EIASC/KNIC/08/2025.

Ethiopian Islamic affair supreme council (hereinafter called the “Employer”),  invites eligible companies to indicate their interest to participate in the development of king nejashi Islamic Centre Project using Design – Construction Services and / or Works (DB) Delivery Approach.

The Employer has 30,000 m2 land located near to Africa Union whose Title Deeds, Topographic Map and Planning Consents are as included herein with (Annex 1: Title Deeds, Topographic Map and Planning Consents). The Employer is desirous to develop Islamic Center whose components are:

  1. 2B + 1 SB + G + 2 Mosque Building
  2. Public Plazas
  3. Medresa/school  and associated facilities

The Employer acquired sufficient funds for construction for the proposed Islamic Center Phase One Project is attached in Annex 3 herewith.

Bidders shall provide Design- Construction Services & / or Works defined in detail in the Employer Requirement.

International Bidders with Local Counterparts may be given Three Points Preference Margin. Local bidders who meet all the requirements of the Request for Expression of Interest (EOI) are eligible to participate.

Interested companies must provide the requested information within 30 Calendar Days from the Date of Advertisement indicating that they are responsive to perform the project as per the Must Meet requirements defined below:

  1. Presentation of the Firm
    1. Company profile
    1. Fields of Specialization and Organization in the Construction Industry (Those who were involved in Islamic Center related projects or their components before may be given up to 5 points preference margin)
    1. Legal Status
    1. Credentials (To be Authenticated when necessary) proving Responsiveness towards the must meet requirements forms provided in Item 2 below
    1. All of the above from each partner when any form of partnership is used and commitment for being jointly and severally liable
  • Responsiveness or Must Meet Criteria
    • Eligibility (Use Table 1 for the Requirement and Form MMC1 for Submission)
FactorsTable 1: Eligibility Criteria
  RequirementsBidder(s)  Document Required
  IndividualPartnership
All CombinedEach PartnerAt least One
NationalityEligibilityMust MeetMust MeetMust MeetNAForm MMC 1
Conflict of InterestNo COIMust MeetMust MeetMust MeetNAForm MMC 1
  • History of Contracts Non-performing (Last Five Years: Use Table 2 for the Requirement and Form MMC 2 for Submission)
    FactorsTable 2: Historical Contract Non-Performance (Last Five Years)
  RequirementsBidder(s)  Document Required
  IndividualPartnership
All CombinedEach PartnerAt least One
  Substantial DelayBeyond Liquidated Damages Limit  Must Meet  NA  Must Meet  NA  Form MMC2
  TerminationAfter Final Dispute ResolutionMust Meet  NA  Must Meet  NA  Form MMC2
Pending LitigationsMore than 10% of Net WorthMust Meet  NA  Must Meet  NA  Form MMC2
Failure to Conclude ContractBid Security ForfeitedMust Meet  NA  Must Meet  NA  Form MMC2
BarredRelevant InstitutionsMust MeetNAMust MeetNAForm MMC2
  • General and Particular DB and / or Islamic Center related Projects Experience (Forms MMC 3 & MMC 4 for Submissions including Credentials Attachments)

General Experience:

  1. Single or All Partners having been actively engaged for at least for eight (8) years.
    1. At least One Construction Design Services and Works (DB) Project in the Last Five Years
    1. Minimum USD 20 million Peak Annual Turnover for the Construction Design Services and / or Works Projects

Particular Experience:

  1. Involved in at least 70 % completed One (1) Neighborhood / Compound Design Services, One Building Project not less than not Five Floors in the Last Five Years
  2. Involved in at Least USD 42 Million Projects
  3. Nature, Complexity and Similarity of Projects shall be Office Buildings, or Islamic Center Related Projects
    1. Financial Capabilities (Form MMC 4 for Submissions)
  1. At Least USD 9 Million Net Worth or Equity Amount of the Last Five Year
  2. At Least USD 10 Million Annual Turnover of the Last Five Years
  3. At Least USD 1 Million Average Profit Before Tax of the Last Five Years
  4. At Least USD 600,000 Liquid Asset and / or Credit Facilities

NB: Audited Report is Mandatory

  • Personnel Capabilities (As part of the Company Profile and CVs)
  1. Organization Chart of the Head Office of Single bidder and Each Partner when applicable
    1. Organization Chart of a Similar Project undertaken within the Last Five Years
    1. Project Manager of the Project whose General Experience is 15 Years and Specific Experience 6 Years plus participating at least in 1DB and 1 Five Floors Building project
    1. Design Coordinator whose General Experience is 12 Years and Specific Experience 6 Years plus participating at least in 1DB and 1 Five Floors Building project
    1. Construction Works Project Manager (For DB Delivery Approach only) whose General Experience is 12 Years and Specific Experience 6 Years plus participating at least in 1DB and 1 Five Floors Building project
    1. Contract Administration Expert whose General Experience is 12 Years and Specific Experience 6 Years plus participating at least in 1DB and 1 Five Floors Building project
    1. Urban Planner whose General Experience is 12 Years and Specific Experience 6 Years plus participating at least in 1 Neighborhood design services project
  • Machinery Capabilities

A. Construction Works Machineries used for a similar project undertaken within the Last Five Years

  • Experience in East Africa over the last 5 years is preferable and may be taken into consideration in the future Qualification Evaluation
  • Any other information that certifies your Responsiveness to perform the Project indicated above.
  • Companies may be invited to give a presentation on their firm’s Responsiveness and Capability to perform the above Projects.

The Employer shall select the best responsive and most experienced companies on the basis of the Expressions of Interest (EOI) submitted and request the submission of an eligibility, qualification and financial proposal in respect of the forth coming detailed assignment.

The Employer shall reserve any opportunity including negotiations during the next phases of Tendering and Contract Formulation on the basis of Bidders’ detailed Qualification and financial offer.

  • The Applicant may send its application document (PDF) by email. Soft copies documents shall be sent to the email:  eiascknicbid@gmail.com

Expressions of Interest must be delivered to the address below to Ethiopian Islamic affair supreme council head office.

Forms to be used for participating in this Expression of Interest are attached in Annex 2,

Annex A and Annex B documents can be obtained from Ethiopian Islamic affair supreme council head office. Whose address is Addis Ababa, kolfe kernyo Sub City Tel: +251-113 725 965, +251-113 725 966,

Interested companies may obtain further information at the address above during office hours from

9.00am to 4.00pm.

For clarification and quiries please contact us on our email address eiascknicbid@gmail.com

Sincerely

NB: Forms to be used for Submissions can be collected from the address mentioned above