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The first of many for Djibouti’s Chamber

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The Chamber of Commerce of Djibouti (CCD), which is celebrating its 110th anniversary has hosted the first ever international trade fair and regional integration forum at Palais du Peuple from December 3 to 10. The fair attracted participants from all over the world. The side meetings discussed ways to realize the regional integration in the Horn of Africa. Capital’s Muluken Yewondwossen, who attended the entire event, interviewed Youssouf Moussa Dawaleh, President of CCD, about the preparation, the trade fair and its outcome. Excerpts;  

 

Capital: What does it like to prepare for a new event like this?

Youssouf Moussa Dawaleh: We were getting ready for over a year to host this event. It was very tough since it is the first time we have organized this kind of exhibition. We were really wondering how things would move along but thanks to God it was something that we would not expect in terms of organization. It was perfect. I am a businessman that wants everything perfect and the organization to be carefully planned. We use architects, engineers, and specialists on electricity, water and sewerage because this venue was not dedicated for this kind of event, it was a conference room and we obtained a 5,800 square meter plot inside the compound for free from the government to undertake these events.

The hardest days were the last three months because we expected to receive all the equipment that we ordered, and expected to receive the confirmation of the exhibitors, journalists, other participants from all over the world. It was a successful event from all sides including the visitors, experts and other aspects.youssouf-moussa-dawaleh-2

Capital: What external consultants did you bring in?

Youssouf Moussa Dawaleh: We engaged with a UK consultancy firm, who identified experts for the forum. We also used our close relationship to invite prominent experts like Carlos Lopes, Yussur A. F. Abrar and people from other countries.

Capital: How much did it cost you and who covered it?

Youssouf Moussa Dawaleh: Eighty five percent of the total cost is covered by the Djibouti private sector and the balance was filled by the French Development Agency (AFD). It cost almost USD 1.5 million. We bought equipment like, air conditioning, carpets, cables, infrastructure equipment and even tents for the exhibition from China. There were also advertisement boards outside the exhibition compound that cover the advertising costs of companies in Djibouti who paid USD 15,000 each.

Capital: How many members does the Chamber have?

Youssouf Moussa Dawaleh: We have 4,800 members but we have well organized businesses because we have the value added laws. It means if you want to make a business you must take a license and you must pay 7 percent of your income to the chamber. By obligation you are member of the chamber because you paid seven percent.

Capital: How many exhibitors attended the event and how many visits were there?

Youssouf Moussa Dawaleh: As of the morning of Thursday December 7, 7,800 visitors attend the exhibition and it is expected to reach more than 20,000 by the weekend. We have a waiting list of 47 companies as exhibitors that are now looking to pay from five to ten thousand dollars for just one day. On the initial price tag a booth is USD 1,500 for a day. We didn’t get a chance to rest in November but we are proud not only of organizing this but in terms of capacity and attracting people.

At the forum we were expecting 150 for exhibitors. We had 120 booths reserved for foreigners, and 500 people came. I have been informed that a company from Ethiopia also came days after the event started and it was looking at least a half day session to show its product at the exhibition. Japanese have 46 but that was not expected. My expectation was up to 4 but the actual number is very high. I really want to thank God and friends for their help. Ahmed Shide, Minister of Transport of Ethiopia, told us, as a brother that if you make it every year it would be very successful and create a good reputation for Djibouti.

Capital: What kind of issues were discussed during the forum?

Youssouf Moussa Dawaleh: There are many examples of Djibouti and Ethiopian  integration. The two countries are connected by water, railway, electricity, port activities, roads and other infrastructures and this was done by the leaders of the two countries. The private sector has to follow this integration. We will sign a MoU in Addis with the Ethiopian Chamber of Commerce and Sectoral Association.

The MoU will have seven points and will facilitate the integration of the private sector in Ethiopia and Djibouti. The other issue that we agree with Ethiopian chamber is to make a joint capacity building for our young entrepreneurs. As a Djibouti Chamber we have a gift of 11 million euro from the European Union to construct a training facility.

The MoU also includes organizing the bi-national business community forum, dedicating two individuals each from both chambers to undertake a feasibility study of how we can merge in this region. In terms of finance I told my counterparts in Ethiopia that we received 7 million euro from AFD. The remaining part is the articulation of action.

Capital: How do you evaluate the outcome of the fair and forum?

Youssouf Moussa Dawaleh: In my opinion it was very positive. Everybody, who participated in the forum and exhibition, was satisfied and most of them told us they will come back. If they come back here they will also go to Ethiopia because it is a one hour flight.

We also connected Ethiopian and Djiboutian tour operators, who don’t know each other, for the first time. It is a big thing. My concern is I must approach the Ethiopian and Djibouti private sector in collaboration with leaders of the Ethiopian chamber to find better sustainability for the business community.

Besides the national chamber leaders from Ethiopia Somalia and Afar chambers have attended the event in Djibouti. We need the business community to do the same thing in the future. We also need the support of media to make it real. Prominent media organizations from different countries attended the forum and exhibition as well as bloggers.

Capital: Do you think you have got more trust for the coming events?

Youssouf Moussa Dawaleh: I said every time that we must be humble and very careful. We want to make something amazing with the help of Allah and our president and the government. Some companies from Turkey and China that were not here last time will come.

I would like to stress that we cannot make an exhibition without the presence of Ethiopia.

Capital: What caused the low number participants of Ethiopian companies?

Youssouf Moussa Dawaleh: I want to remember that this event is for the first time I informed them five months before the event. Since it is for the first time they were afraid it would not be successful. I can imagine I would do the same but I am sure that they will be there in the coming year.

Capital: What have you learned from hosting this event? And how are you planning to host the next one?

Youssouf Moussa Dawaleh: There were not enough booths so next year we will have 100 more for a total of 350. We will also improve the parking. We will also split the event into two. The exhibition will be every year at this time and the forum will take place every February, three months after the exhibition.

The place is also very small but next year’s event will be held there. But by 2020 we must have a very nice hall with hotel like everywhere in the world.

I think the Islamic financial firms, who are the major financer for such kind of investments in other world, shall provide finance for us.

I know such kind of projects take more than 2 and half years so we can say that in 2020 we will have our own venue.

Finally, I would like thank the traditional music group of the National Theater of Ethiopia, and Ahmed Shide, who was part of one of the session at the forum and Ethiopian Ambassador Shamebo Fitamo for their support. I would like to thank the business community who attended from Ethiopia.

Miky Tsehay

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Name: Miky Tsehay

Education: BSC in computer Science

Company name: Micky Mobile

Title: Owner and manager

Founded in: 2003

What it does: Mobile maintenance

HQ: Bole Medhanyalem

Number of employees: 10

Startup Capital: 4,000 birr

Current capital: 15 million birr

Reasons for starting the business: Interested in electronics

Biggest perks of Ownership: Self management

Biggest strength: Customer treatment

Biggest challenge: Shortage of spare parts

Plan: To open a mobile assembly plant

First career: This my first job

Most interested in meeting: Chris Brown

Most admired person: Jack ma

Stress reducer: Listening music

Favorite past-time: Working

Favorite book: Fiker Eske Mekaber by Hadiss Alemayehu

Favorite destination: Addis Ababa

Favorite automobile: Mercedes Benz

Networking made real

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Linking the Ethiopian alumni with the Dutch private sector in Ethiopia

On Friday 8 December 2017, I attended the Holland Alumni Reception, organized by the Embassy of the Kingdom of The Netherlands (EKN), the Holland Alumni Network in Ethiopia (HANET) and the Ethiopian-Netherlands Business Association (ENLBA). The purpose of this reception was to link Ethiopian alumni with the Dutch businesses and Dutch development organizations active in Ethiopia. This has gotten great support from the Dutch Embassy since a large number of Ethiopians have studied in The Netherlands through NUFFIC.
Below, Meskerem Ritmeester, the organizer of the event, tells more about this initiative.
The reception was a huge success with about a hundred people attending. The Ambassador opened the Reception and several people were given the opportunity to provide a pitch to promote themselves or their products/services, to inform about job opportunities, and to ask for collaboration. This immediately led to effective networking conversations and enthusiastic feedback. The Ambassador himself stressed in his speech that Ethiopian Holland Alumni are potential valuable assets for Dutch businesses and Dutch development organizations/projects, because they have more knowledge about the Dutch (hard working) culture, their sometimes too direct and blunt behavior and even speak a bit of the Dutch language. In addition to knowing both cultural context, Ethiopian Holland Alumni are highly professional and experienced in their respective fields as they have been granted a scholarship to study in The Netherlands based on their outstanding academic performances.
The Holland Alumni Network in Ethiopia (HANET) consists of both Ethiopian, Dutch and international alumni that have studied their BSc, MSc, PhD and/or have done a short course in one of the Universities in The Netherlands. These are all alumni that have used their educational background to contribute in a variety of ways to the development of Ethiopia. HANET strives to connect these alumni to EKN and Dutch public, private and civil society actors working in Ethiopia to strengthen the relationship and increase knowledge and intercultural exchange between Ethiopia and The Netherlands. For example, over 60% of the Ethiopian Holland Alumni studied at The Wageningen University and Research Center (WUR) which is a well-known University and Research Center focused on the agro food sector. Due to the strong link between WUR and Ethiopia, there are currently over 25 WUR-funded projects ongoing in Ethiopia (outside the many WUR MSc and PhD research projects in Ethiopia). In addition, WUR has a country office in Addis Ababa in the form of a partnership between 4 multi-annual programmes called “BENEFIT Partnership” with the aim to improve sustainable food, income and trade among rural households in Ethiopia.
Another way of linking Ethiopian Holland Alumni to the Dutch businesses and organizations in Ethiopia was raised by Abel Desta, the coordinator of the ENLBA. He argued that, “a closed LinkedIn Group should be established in order to also stay in touch in between the networking events and update one another on calls for applications, job opportunities, short-term and long-term consultancy assignments and to provide a space to promote one’s products/services and/or put up requests”. This LinkedIn Group will be established before the start of 2018 (G.C.).
In the meantime the Holland Alumni Network in Ethiopia (HANET) will continue to organize these types of networking events, reach out to sponsors (of which Heineken is already one) and ultimately hopes to provide Ethiopians who studied in Holland a large professional network with ample career development opportunities once they return back to their homes.

By Meskerem Ritmeester and Ton Haverkort

Are you an Ethiopian Holland Alumni, a Dutch business or Dutch development actor and interested in the Holland Alumni Network and our LinkedIn group, you can always contact us by sending an e-mail to meskerem90@gmail.com

A visa-free Africa still faces hurdles

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Despite fears of increase in crimes, some countries are liberalizing visas to attract investors
Would an Africa in which Africans require no visas to travel boost prospects for intracontinental trade?
The African Union (AU) and many of the continent’s economic organisations think so and want it to be a reality by 2020. It is not an entirely original concept (the European Union already has a visa-free policy for its citizens), and many experts laud the AU’s position, at least in principle.
The idea of an African passport dates back a quarter of a century but has failed to catch on with countries that fear an increase in smuggling, illegal immigration, terrorism, and the spread of disease as well as a negative impact on local job markets. With migration, legal and illegal, blamed for recent outbreaks of xenophobia in South Africa, some of these fears seem credible.
Visa-free travel for Africans in Africa could be a logistical nightmare given that some citizens do not have travel documents and others lead nomadic lives. Individual countries may need to enact legislation to adopt the African passport. Few African nations use the biometric data that an African passport requires.
Last year the AU launched an African passport, a signature project of former chairperson Nkosazana Dlamini-Zuma. However, the passport is currently available only to senior diplomats and top officials of AU’s 55 member states.
Of those member states, only Seychelles offers visa-free access to all African countries. “The large and fast-growing economies aren’t following suit because the visa regime itself has created a bureaucratic habit,” notes Daniel Silke, director of the South Africa–based Political Futures Consultancy.
“Old habits are hard to break, although there is justification for hesitation in terms of the legitimate layer of security that visas provide.”
Mr. Silke adds that growing and large economies worry about the impact that increased population movements might have on labour markets and cities. Some of Africa’s fast-growing economies are Côte d’Ivoire, Ethiopia, Guinea, Senegal and Tanzania. Out of desperation, thousands of immigrants travel to South Africa, the continent’s largest economy, to find work.
“With urban cities expanding rapidly across Africa, government institutions are strained, and cities that offer opportunities for trade, health care, a booming labour market, infrastructure, among others, will be under increased pressure,” notes Mr. Silke.
He suggests a focus on efficient and affordable visa procurement processes, advising regional communities to enact and implement policies that make it easier for their citizens to move from one member state to another.
In November 2017, after 15 years of negotiations, the Central African Economic and Monetary Community (CEMAC), comprising of Cameroon, Central African Republic, Chad, Equatorial Guinea, Gabon and the Republic of Congo, ratified the visa-free movement of its citizens.
Under the policy, member states will adopt biometric technology, ensure police and security services’ coordination, and respect for different labour regulations.
The next best thing to a visa-free system is visa on arrival, which may include authorization to stay for up to 90 days. Rwanda adopted this protocol in 2013 and has witnessed an increase in African visitors and investors, noted Mr. Anaclet Kalibata, the country’s director general of immigration and emigration.
Mr. Kalibata told Africa Renewal that between 2013 and 2016, the number of Africans receiving visas on arrival at Rwandan entry points increased by more than 100%. “We have also hosted many more conferences as a result of the removal of travel restrictions,” he said.
He maintained that crime rates in the country did not increase because of visa on arrival, contrary to fears initially expressed by skeptics.
“Most of the people entering our country do so for good reasons,” said Mr. Kalibata. He pointed out that Rwanda has “laws governing criminality associated with the movement of people. We also believe in competitiveness in terms of skills.… So, opening our borders has attracted new talent and investment.”
Like Rwanda, Ghana now offers visa-free access to a third of AU member states and visas on arrival to the other two-thirds. In so doing, the country has made the most progress of all African states toward a visa-free Africa for Africans, according to the Africa Visa Openness Report 2017 by the African Development Bank (AfDB).
Senegal is offering visa-free access to 42 African countries in a bid to reenergize its tourism sector.
At his swearing in as Kenya’s president last November, Uhuru Kenyatta announced that all Africans will henceforth receive visa on arrival.
An alternative to adopting visa-free access or visas on arrival is for countries to enter into reciprocal arrangements with other nations. Namibian authorities are making efforts to finalise such arrangements, meaning that citizens of countries allowing Namibians visas on arrival will receive reciprocal service at Namibian ports of entry.
Although Rwanda already offers Africans visa on arrival, it is also receptive to reciprocal arrangements with other countries, explained Mr. Kalibata. “We’ve proven just how effective unrestricted regional travel can be through the issue of a unified national identity card and border pass for citizens of Uganda, Kenya and Rwanda.
“Another border pass agreement between Rwanda, the DRC, Burundi, Tanzania and Uganda has fostered regional social cohesion, and we’ve seen cross-border trade in our countries now contributing 42% to GDP, which is very significant,” he added.
Rwanda’s experience, however, is not enough to change the perception of the negative impacts of liberalizing entry visas. Jean-Guy Afrika, AfDB’s principal policy expert and a contributor to the Africa Visa Openness Report 2017, notes, “The 2016 analysis of Africa’s visa policy regimes demonstrated that on average Africans needed visas at departure to travel to 54% of other African countries (from 55% in 2015); could get visas on arrival in only 24% (from 25% in 2015); and do not need visas to travel to just 22% (from 20% in 2015).”
The reasons African countries remain closed to each other, says Mr. Afrika, vary significantly. “The key reasons advanced by policy makers generally relate to fears of job losses and security concerns. But there could also be issues of culture and trust. The answer probably lies somewhere in the nexus between politics, culture, history and economics.”
Mr. Afrika confirms that at the regional level, East and West Africa lead in visa openness. “In the 2017 rankings of the Africa Visa Openness Index, 75% of countries in the top 20 are in these two regions. Only one is in the North and none in Central Africa.”
The AfDB, the AU and the World Economic Forum Global Agenda Council on Africa collaborated on the Africa Visa Openness Report 2017, the second of its kind. Researchers gathered data from the International Air Transport Association and from responses to questionnaires administered to national focal points.
“Overall the trend is positive, given that just four years ago only five countries offered liberal, arrival or no visa, access to citizens of all African countries. Today that number stands at 14, but we want that number to keep moving up,” Mr. Afrika says.
Visa liberalization is not a magic bullet, he cautions, even if it can foster Africa’s integration. He recommends other reforms and massive investments in connectivity to complement visa liberalization, citing Rwanda as an example of a country benefiting from coordinated investments and policy reforms, including in business and air transport infrastructure.
“Visa openness may only be one piece of the interconnected African states puzzle, but it is nonetheless a very important one,” concludes Mr. Afrika.

BY KERRY DIMMER

Africa Renewal