In the ever-evolving economic landscape of Ethiopia, cultivating entrepreneurship is a key driving force in accelerating sustainable development and securing long-lasting growth . A collaborative effort between the UN Capital Development Fund (UNCDF) and Kifiya Technologies, a digital finance and payment services provider) serves as a source of optimism for emerging entrepreneurs in Ethiopia.

’Chegebeya’ translated as ’Che Market’ aims to revolutionize the financial ecosystem for Micro, Small, and medium enterprises (MSMEs) in Ethiopia by modernizing the supply chain of Fast-Moving Consumer Goods (FMCG). The goal of this initiative which is supported under Digital Finance for Resilience (DFS4Resilience) Programme, funded by the European Union (EU) and the Organisation of African, Carribean and Pacific States (OACPS) is to transform the financial ecosystem for micro, small, and medium enterprises (MSMEs) in Ethiopia by modernising the FMCG supply chain.

Addressing Key Challenges

MSMEs in Ethiopia face multifaceted challenges, including credit constraints and inefficient manual distribution systems. Formal financial institutions often struggle to meet the credit needs of these enterprises due to the lack of creditworthiness assessment models and collateral. Additionally, manual distribution methods hinder sales projections and increase operational costs. The ‘CheGebeya’ initiative aims to address these challenges by providing digital solutions for credit access, inventory management, and digital payments, thus streamlining operations and optimizing supply chains.

Utilizing a comprehensive platform-based supply chain finance (SCF) solution, the project is designed to optimize liquidity management in supply chain processes. The innovative solution is facilitated through access to Kifiya’s digital platform, offering capabilities in lending, inventory, order, delivery, and logistics management. This initiative helps to address barriers to financial inclusion and harnesses the potential of MSMEs.

Empowering MSMEs

Tinsae Ayele, a local merchant who runs a small retail shop in the bustling area of Semit Fiyel Bet, Addis Ababa, shares his positive experience with the CheGebeya platform. He highlights the ease and efficiency of using the app to manage his inventory and the swift delivery of orders saying, “I like how seamless the app is and how swiftly my orders get delivered. My inventory restock has been effortless ever since.” Approved for a supply chain credit of around US$260, Tinsae notes, “It’s possible to restock without hustle so I can focus on my sales without distraction. The loan has also been a great start into getting a larger scale of credit.” Looking to the future, Tinsae has high hopes for the continued expansion of the platform. He is particularly excited about “the prospect of having a broader variety of products to choose from”, which will further enhance his ability to meet customer demands efficiently. His story underscores how CheGebeya provides the tools and financial support needed for local merchants to thrive.

The project has successfully integrated MSMEs like Tinsae into Kifiya’s digital platform, with a plan of facilitating over roughly more than US$50,000 in transactions, and 30 percent attributed to inventory credit.

The partnership is expected to support the move into a fully digitized loan application integration and partnership with financial institutions, moving away from a manual management of credits for MSMEs. The business model is designed in a way to fits its purpose of serving last mile beneficiaries.

Major Achievements

The project initially trained and integrated 2 suppliers onto the CheGebeya platform, at the pilot stage which now boasts a vibrant marketplace with 13 suppliers out of which 8 are active suppliers. Starting from September 2023, CheGebeya has onboarded 11,258 MSMEs, including 2,469 women-owned and 4,053 youth-owned enterprises. Among these, 5,120 MSMEs actively engage with the platform’s services, showcasing its relevance and accessibility. The project has facilitated the distribution of 31 loans to MSMEs, amounting to over ETB 400,000 (roughly more than US$7,000), with sizable amount of the loan going to women and youth enterprises . This is expected to grow in the coming months when the project scales to meet its expected project deliverables and the market demand. Furthermore, to facilitate ease of inventory request and loan application approvals, Kifiya has already partnered with multiple financial institutions that will provide direct loans using Che-Gebeya platform.

Sustainability and Scalability

Looking ahead, CheGebeya aims for long-term sustainability and scalability. By leveraging Kifiya’s market insights and extensive experience, the project seeks to expand beyond Addis Ababa, reaching MSMEs in regional urban and peri-urban centers. Through innovative solutions, strategic partnerships, and a commitment to gender equality, CheGebeya is poised to unlock new opportunities and drive positive change in Ethiopia’s economic landscape. As MSMEs embrace digital solutions and grow their businesses, the ripple effects of CheGebeya will be felt far and wide, shaping a brighter future for Ethiopia’s entrepreneurs and communities.

Distributed by APO Group on behalf of United Nations Capital Development Fund (UNCDF).

The Deputy Speaker, Thomas Tayebwa has directed the Committee on Environment and Natural Resources to visit Zoka Forest Reserve in Adjumani District following reports of grave encroachment and depletion.

Tayebwa said he watched a television documentary which uncovered illegal lumbering and charcoal burning activities, which he said should be investigated.  “It is painful to see what is happening in Zoka that despite all the presidential directives banning charcoal burning, they were showing trailers going through roadblocks without any hindrance; trailers after trailers,” Tayebwa said while chairing the House on Thursday, 15 August 2024.

Tayebwa observed that these are allegations of grave environmental crimes happening with impunity.  He feared that the forest reserve will soon perish if no interventions are expeditiously considered and charged the committee to visit Zoka Forest and report within a month.

Adjumani District Woman MO, Hon. Jesca Ababiku said all encroachment on the forest happens with complicity of security personnel in the district. “Recently, three trucks were impounded and kept at Adjumani District headquarters but all of them have disappeared. We have been asking who allowed the trucks to move from the district,” stated Ababiku.

Hon. James Mamawi (NRM, Adjumani East County) said the complacency of the local security forces is responsible for the deplorable state of the forest. 

To Hon. Tom Alero Aza (NRM, West Moyo County), those destroying the forest are protected by highly placed officials, who he said should be exposed through the investigations. “There are god fathers seated somewhere commanding the cutting down of trees, but the whole area is about to be deforested. We wish that these people are investigated,” he said.

Distributed by APO Group on behalf of Parliament of the Republic of Uganda.

Government has offered to support sugarcane farmers’ value addition efforts as a protective measure against price fluctuations.

The Ministry of Trade, Industry and Cooperatives – together with that of Agriculture, Animal Industry and Fisheries, will support farmers through their cooperatives to embark on value addition.

Prime Minister Robinah Nabbanja said registration is the first step to organise the farmers and finance their value addition efforts. “Registration of these farmers will enable them to receive government support through the Parish Development Model, extension services from Ministry of Agriculture, joint marketing of cane and self-regulation,” said Nabbanja.

She added that the Ministry of Trade will, subsequently, support the cooperatives to produce ethanol, paper and fertilisers from sugarcanes for better income.  

According to the Prime Minister, the decline in sugarcane prices is attributable to farmers growing sugarcane without a prior arrangement with millers. Other causes, she said, is due to negative regional trade practices. “The imported sugar from global leading producers such as Brazil and India is much cheaper and renders Uganda’s sugar uncompetitive in the East African Community market. When there are external forces that distort the market, the prices drop,” said Nabbanja.

The Prime Minister spoke in response to a question by Hon. Kenneth Kiiza (Indep., Bujenje County) on low sugarcane prices across the country.

The sugar industry has been one of the fastest growing industries in Uganda’s economy, contributing over Shs300 billion in annual taxes and directly employing over 100,000 people.

The industry produces 600,000 metric tonnes of brown sugar and 75,000 metric tonnes of industrial refined sugar, and also produces over 150 megawatts of electricity from sugarcane pulp of which 70 megawatts are supplied to the national grid.

Distributed by APO Group on behalf of Parliament of the Republic of Uganda.

The World Health Organization (WHO), with funding support from the Irish Fund, has donated 12 motorcycles to the Government of Tanzania. This donation is set to boost the effectiveness of district surveillance officers in monitoring and mentoring health facilities, significantly improving adherence to integrated disease surveillance and response strategies.

Efficient disease surveillance is essential for early detection and control of public health threats. However, inadequate transportation infrastructure often hampers effective supervision and monitoring at the district and health facility levels. The new motorcycles will address these challenges, enabling more regular and efficient supervision, mentorship, and adherence to Event-Based Surveillance (EBS) protocols.

Dr. Charles Sagoe-Moses, WHO Country Representative, expressed gratitude to the Tanzanian government for its proactive measures to strengthen the health system. “These motorcycles will be instrumental in supporting the supervision and monitoring of EBS,” he said. “We extend our sincere thanks to the Irish Government and the Irish Embassy for their financial support and commitment to the ‘Health for All’ agenda. This collaboration exemplifies our shared dedication to building resilient health systems.”

Tanzania has faced numerous health emergencies, including cholera and Marburg virus outbreaks, highlighting the need for improved resilience at the sub-national level. This donation is part of the broader project, “Strengthening Health Systems Resilience for Enhanced Health Emergency Response at the Sub-national Level,” funded by the Irish Government. The project aims to bolster healthcare capacity to effectively respond to emergencies.

The Deputy Permanent Secretary TAMISEMI, Dr. Charles Wilson Mahera acknowledged the significant challenges related to transportation infrastructure that districts face, which affect surveillance operations. “The support from WHO is invaluable for our emergency response efforts,” he said. “It will greatly enhance our ability to monitor and manage health crises, aligning with our health for all goals.”

In addition to the motorcycles, the Irish-funded project supports several other key initiatives, including the development of the National Action Plan for Health Security (2024–2028), maintenance of influenza sentinel sites, and strengthening emergency response capacities.

The Head of Development Cooperation at the Irish Embassy, Ms. Margaret Gaynor, added, “This initiative underscores our joint commitment to enhancing the resilience of Tanzania’s healthcare system and ensuring a robust response to health emergencies.”

Distributed by APO Group on behalf of World Health Organization – United Republic of Tanzania.