Ethiopian Investment Holdings (EIH), the state-owned sovereign wealth fund overseeing 40 enterprises, has ended its partnership with Japan’s Dodai Group Inc. to deploy battery-swapping stations for electric motorcycles. The decision, announced on March 22, 2025, marks a strategic pivot toward a broader venture capital (VC) fund to support Ethiopia’s sustainable transport sector.

The terminated Memorandum of Understanding (MoU), signed on October 21, 2024, aimed to establish 100 battery-swapping stations in Addis Ababa within a year and expand to 300 stations nationwide over three years. The initiative sought to promote clean energy transport and reduce reliance on fossil fuels.

EIH cited the need for a dedicated VC fund to manage such investments, emphasizing better risk mitigation, targeted returns, and operational support for startups. “Pursuing the battery-swapping initiative directly through EIH is not feasible at this stage,” the organization stated. The fund, currently under development, will prioritize structured investments in early-stage ventures rather than single partnerships.

Dodai Group, meanwhile, attributed the termination to a shift toward “alternative strategic opportunities” in global markets. The company plans to leverage its technology and resources in evolving sustainable mobility ecosystems.

The partnership’s collapse follows EIH’s broader reforms to modernize state-owned enterprises (SOEs) and align with global competitiveness. At least five SOEs under EIH are slated to list shares on Ethiopia’s nascent securities exchange.

While the battery-swapping project will not proceed, EIH acknowledged Dodai’s contributions to sustainable transport innovation. Dodai founder and CEO Yuma Sasaki told Capital that the termination was mutual but declined to elaborate further.

Analysts note that the decision reflects Ethiopia’s cautious approach to foreign-led infrastructure projects. Critics argue that reliance on imported batteries and foreign investors could undermine local sustainability goals. Others view the VC fund as a pragmatic step to diversify investments and attract multiple players.

Tamesol Communication has once again secured the rights to host the Ethiopian New Year’s Eve Expo, solidifying its role as the event organizer for the second consecutive year.

The high-profile gathering will be held at the Addis Ababa Exhibition Center, located in the capital’s vibrant core, following a competitive tender process managed by the Exhibition Center and Market Development Enterprise.

Out of seven contenders who acquired bidding documents, only four entities submitted formal proposals by the March 25 deadline.

Tamesol led the competition with a winning bid of 92.8 million birr, surpassing its closest competitor by a significant 6.9 million birr.

This achievement enhances the company’s reputation, building on its successful execution of the 2017 Ethiopian New Year’s Eve Expo, its first event, which was carried out under a commitment of 62 million birr.

At the same time, Tamesol is also managing the ongoing Easter Expo, which began yesterday after the firm secured hosting rights through a 60 million birr investment.

Established industry leader Century Promotion was the runner-up with an 85.8 million birr proposal, while Polar Plus and Commercial Nominees submitted bids of 82 million and 73.5 million birr, respectively.

Notably, Tamesol’s successful bid represents a remarkable 50% increase compared to its winning offer from the previous year. This milestone marks the company’s third significant project since entering the sector just months ago, although Tamesol has extensive experience in media and event management.

In an interview with Capital, Tamesol’s founder Solomon Kebere shared ambitious plans to transform both the Easter and New Year festivities with innovative programming aimed at engaging attendees and participants.

“We have reimagined the New Year’s Eve celebration as a dynamic expo, blending vibrant marketplaces, live entertainment, and cutting-edge exhibitions,” he explained. “Our vision is to turn this occasion into a premier retail destination for shoppers.”

Solomon also revealed that Tamesol is forming strategic partnerships with suppliers to ensure access to essential commodities, particularly back-to-school items, at affordable prices during the New Year’s Expo.

“As families prepare for the academic year following summer break and anticipate upcoming holidays, we are collaborating with key companies to offer stationery and household goods at exceptionally competitive prices,” he stated.

Ethiopia celebrates its New Year annually on September 11.

In celebration of International Women’s Month, the Canadian Embassy in Ethiopia hosted a landmark event to promote women’s participation in trade and strengthen economic ties between the two nations. The forum brought together policymakers, entrepreneurs, and gender advocates from Ethiopia and Canada to share experiences, foster collaboration, and explore new opportunities for women in business.

Canada’s Ambassador to Ethiopia, Joshua Tabah, emphasized the country’s commitment to gender equality through its Feminist International Assistance Policy. “As women succeed in business, entire societies and economies thrive,” Ambassador Tabah stated, encouraging participants to think big and connect across borders. He highlighted ongoing collaborative projects aimed at improving access to finance and creating an enabling environment for Ethiopian women entrepreneurs.

Dr. Ergoge Tesfaye, Ethiopia’s Minister of Women and Social Affairs, expressed gratitude to Canada for its support in empowering women entrepreneurs. She noted that while women make up 30% of small and medium-sized enterprises (SMEs) in Ethiopia, they still face significant barriers to financial resources, market access, and networking opportunities. “Investing in women is investing in growth,” she said, outlining government initiatives such as the 10-year development plan and the Women’s Entrepreneurship Development Project supported by the World Bank.

The event featured a panel discussion titled “Canadian-Ethiopian Women in Trade,” where prominent business leaders from both countries shared insights on overcoming challenges as female entrepreneurs. Canadian participants included Andrée-Lise Méthot, founder of Cycle Capital, and Dominique Anglade, co-founder of KANPE, while Ethiopian panelists included Dr. Teguest Gurema of LeDeG Midwifery College and Thitina Mulushewa Legesse of Waryt Furniture Manufacturing.

The forum also explored the potential of the African Continental Free Trade Area (AfCFTA) to open new markets for women traders. Both Ambassador Tabah and Minister Ergoge stressed the importance of cross-border partnerships in driving innovation, improving market access, and creating mentorship opportunities for women entrepreneurs.

Discussions highlighted persistent challenges such as gender-based discrimination and limited institutional support for women-led businesses. Participants called for targeted interventions like specialized financial instruments, capacity-building programs, and policy reforms to close these gaps.

The event concluded with a networking session that encouraged participants to establish connections and exchange ideas for advancing gender equality in trade.

This collaboration between Ethiopia and Canada reflects a shared vision for empowering women as drivers of economic growth. By fostering partnerships and addressing systemic barriers, both nations aim to create a more inclusive environment where women entrepreneurs can thrive locally and globally.

Green Motion, a leading UK-based car rental company, has officially launched its operations in Ethiopia, marking a significant milestone in the country’s tourism and economic development. This expansion into Ethiopia, Green Motion’s 80th destination, follows a two-year negotiation process to align the company’s international standards with local regulations.

The journey to establish Green Motion in Ethiopia was not without challenges. Differences between international business practices and Ethiopia’s legal framework required extensive negotiations. Bizuayehu Tadesse, General Manager of Green Motion Ethiopia, noted that aligning payment structures and fees with local policies was a major hurdle. The company’s global software platform includes loyalty, system, and booking fees, which needed explanation and adaptation to comply with Ethiopian tax regulations.

After three months of discussions, an agreement was reached, allowing Green Motion to charge a 1% service fee for bookings in Ethiopia, a figure accepted by the government. This resolution paved the way for the company’s official launch in the country.

Richard Lowden, CEO of Green Motion, highlighted Ethiopia’s strategic significance due to its rich cultural heritage, strategic location, and rapidly growing economy. Addis Ababa, with its potential to become a major tourist hub, offers significant opportunities for growth in emerging economies. Green Motion’s operations will initially focus on Bole International Airport, with plans to expand services to other destinations across the country.

Green Motion’s suite of technologies, including XML-based software integrated with major booking platforms like Expedia and Booking.com, will enhance the car rental experience for visitors. The company has partnered with local firm Excellence Car Rental to supply vehicles, ensuring a seamless service for both domestic and international travelers.

The launch of Green Motion in Ethiopia is expected to generate foreign exchange and boost the local economy by providing reliable, world-class car rental services. This partnership also underscores Ethiopia’s growing engagement with the global economy, as the country continues to open up key sectors to foreign investment and modernize its infrastructure.

Green Motion is committed to sustainability, offering low CO2 vehicles as part of its fleet. While Ethiopia’s electric vehicle infrastructure is still developing, the company plans to support its growth, drawing from its experience in the UK where it launched its first EV ten years ago. Hybrid vehicles will serve as a bridge to full electrification, ensuring a practical and sustainable solution for the country’s evolving transportation needs.