Invest in Oromia?
Oromia has fertile soil, and is centrally located within Ethiopia allowing for a diverse agro-ecology that makes it ideal for all investment sectors. Oromia is home to most of resources found in Ethiopia. This includes coffee, poultry, beehives and livestocks.
Finfinne (Addis Ababa) is the capital city of Ethiopia and also that of Oromia Region State. The city is an important regional and international transport hub. The road network radiates from Finfinne to all Regions linking it with important cities, towns, and other economically active centers of the country. International highways also link Finfinne and other cities, towns and other regional states with neighboring countries such as Kenya, Djibouti, Eritrea, Somalia, South Sudan and Sudan.
Enablers to Invest in Oromia
- Macroeconomic stability and rapidly growing economy
- Excellent climate and fertile soils
- Private sector friendly government
- Abundant and trainable labor force
- Competitive incentive packages
- Peace and Security
- No tolerance to corruption
- Simple and transparent investment approval procedures
- Ample investment opportunities due to endowment of natural resource
- Topographical diversity suitable for different investment activities
- Proximity to Bole International Airport for export
- Availability of human capital and infrastructural facilities
- Strategic location of the region to international Market in the country
- The availability of dry port in Modjo and Gelan towns for freight accommodation
- The welcoming and embracing culture of the region.
The country has large hydropower generation potential of 45,000MW while the geothermal power generation capacity is estimated at 50,000MW. The country is also endowed with other sources of generating electricity such as wind, solar etc. The government is investing to develop these potentials and as a result, the Grand Ethiopian Renaissance Dam (GERD), with an electricity generation capacity of 6,500MW, is under construction. Currently, various urban centers and many villages in rural areas are being electrified so that they could serve all economic activities including business entities established by private investors. Mega dams supplying up to 2,000 megawatts each set up on several main rivers and tributaries including the Omo and the Nile are part of the plan.
In addition, the country has national and international telecommunication services by using satellite, Micro-wave Digital Radio Multi Access (DRMAS), VSAT, UHF, VHF and HF Radio. International links are maintained via satellite earth stations and fiber optics providing telephone, telex, fax, internet, digital data transmission, pre and post cellular phones, and coin box services.
Ethio Telecom, which is state-owned, has been the sole telecom service provider in the country. The government has recently started undertaking the reform process of partial privatization and opening of the sector for competition.
The main road network that radiates from Addis Ababa City is located in the center of Oromia Regional State. This has a great advantage for investors who want to use the important regional and international transport hub. The international highways also pass through the Oromia Region, connecting neighboring countries like Kenya, Djibouti and Sudan.
Usual road service is 13,033.53km long, Asphalt road service is 2653.88km, and gravel roads are at 8503.7km with various small/ dry weather roads available throughout the region.
There are more than 63 destinations to cities such as Brussels, Frankfurt, London, Paris, Rome, Stockholm, Washington DC, Hong Kong, Bahrain, Bangkok, Beijing, Beirut, Dubai, Guangzhou, Jeddah, Kuwait, Mumbai, Delhi, Sana’a, Johannesburg, Nairobi, Lagos, Lusaka, Accra, Dakar and many other large cities.
Ethiopian Airlines provides a large advantage for the Oromia Regional State since from the flights depart from Bole International Airport located in the heart of the regional state. The Cargo destinations also spread across Africa, Europe, Asia and Middle East via its hub in Addis Ababa.
Additionally, the dry ports in Modjo have a great advantage for investors to ensure efficient, cost effective and reliable import and export movement of cargo to and from the ports of neighboring countries like Djibouti.
Oromia has high water resource potential. There is huge run-off and underground water. Moreover; there are eight major rivers which can be utilized for hydroelectric power and irrigation generation in the Regional State of Oromia. Regarding their surface coverage of the big river basins, Genale Basin covers about one third of the total area of the Region followed by WabiShebele and Abay Basins.