Capital

Government plans to pardon over 13,000 prisoners

By Andualem Sisay

Investors cry out for land
Around 152 mln birr underutilized

By Tedla Desta

Addis to 'solve' the mendicant problem

By Andualem Sisay

Nile Petroleum, Addis Caretaker Administration at loggerheads
Will the dispute sour Ethio-Sudanese relations?

By Andualem Sisay

Court introduces e-Litigation

By Tedla Desta

MIDROC bids for Addis Bottle Factory

By Tedla Desta

Global communication expertise joins Ethiopia’s young ad sector

By Andualem Sisay

ACSI to open 10 Micro Banks

By Tedla Desta

AMCE delivers to EEPCo 57 mln birr trucks
Confident to get another 20 mln birr bid

ETC mobile: Not at your service

By Kirubel Tadesse

Last minute off-loading upsets passengers

By Kirubel Tadesse

ACTIS eyes manufacturing industries in Ethiopia

By Tedla Desta

Authority okays 3,248 duty-free vehicles
Customs earnings increase by 26 %

By Andualem Sisay

From begging to working
Certifiers advise QSAE to consider more incentives for professionals

By Andualem Sisay

Court photographer to exhibit nineteen years archive

By Kirubel Tadesse

MORE
Bail appeal denied

By Kirubel Tadesse

Government plans to pardon over 13,000 prisoners

By Andualem Sisay

In the spirit of the ongoing national reconciliation on the approach of the Ethiopian third Millennium, the government of Ethiopia plans to pardon more than 13,000 prisoners, Capital learnt.
According to the information obtained from our sources, who requested to remain anonymous, administrators of various prisons along with local civic organization representatives have conducted discussions this week at the National Palace on the implementation of the pardon.
The pardon is believed to include prisoners who have displayed good conduct during their prison stay. The prisoners are expected to be freed upon the eve of the Ethiopian new third Millennium.
According to this year’s nine month report of the Federal Prison Houses presented to parliament, 3,642 prisoners were released on probation and parole and rejoined society, equipped with various vocational skills. In the nine months, 1,970 prisoners have also had voluntary HIV/AIDS testing after receiving awareness training about the epidemic, the report adds.
The number of prisons in the country is around 120. Most of these correctional centers have vocational training centers, from where prisoners will come out with various skills that make them productive when they rejoin society.
It is to be recalled that Capital recently featured a story on ex-convict Alemayehu Wuchamo who has now begun exporting clothes with the traditional cloth making skills he got in the two years he was in Sidama Zone prison in Awassa.

Investors cry out for land
Around 152 mln birr underutilized

By Tedla Desta

Over 2000 investors registered by the Addis Ababa Investment Authority (AAIA) to invest in the industrial zones haven’t obtained land, Capital learnt.
The Addis Ababa Investment Authority claims to provide land with the necessary infrastructure and utilities in industrial zones within seven days of application submission; however, investors registered since 2004 have not been given land.
Before 2004 the City Administration allocated 527,539 hectares of land to 333 developers in the Akaki-Kaliti and Mekanisa Lebu industrial zones where land had been set aside for distribution. These 333 entrepreneurs were expected to invest a total of 1.18 billion birr and create 11 thousand job opportunities. Of these investors, most have started their projects. However, the source says since 2004 the number of foreign investors has been increasing tremendously with available land not meeting the demand.
Eight areas are assigned as industrial zones in the city’s master plan: 15.7, 82, 96.4 and 129.1 heactres in Nefas Silk Lafto Sub-City; 174.6, 229.8 and 838 hectares in Akaki Kaliti Sub-city, and 424.5 hectares in Bole Sub-City.
According to sources, the city had reserved 1,777 hectares to be developed as industrial zones. “All these zones require infrastructural development and need to be given to investors as soon as they require them. With the coming of the new millennium which is expected to attract many investors, it would be wise to facilitate the services,” the sources added.
An investor who gets land in the industrial zones pays 10% of the land price up front with over 26 years for paying the remaining.
In a related development, 152 million birr earmarked by the Addis Ababa Provisional City Administration for the development of the industry zones hasn’t been utilized.
The source added that the allocated funding was returned unused for unknown reasons.
There are a number of investors who complain of not being offered land to develop their investment while the allocated money is being returned unused.
“Nonetheless, some entrepreneurs who received land from these industrial zones had complained that the lack of infrastructure in the zones has not yet been fully solved,” the source said.
Although the City Administration had promised that land would cease being referred to as one of the problems affecting the pace of investment in general and industry in particular, it remains a critical issue.
Correspondingly, the Addis Ababa City Investment Authority, established in 2003, has conducted several investment promotion and licensing works in the just ended fiscal year.
“The Authority has approved a total of 1502 projects this year with planned aggregate capital of 18 billion birr that could give job opportunities to around 169,645 people,” Abrham Fantahun, Investment Promotion and Dissemination Advertising Group Head told Capital.
Some 608 of the licensed projects in the year were manufacturing industries. 253 others were involved in construction leasing while 250 are contractors. The year also saw 771 foreign investors licensed.
Major manufacturing opportunities offering attractive potential benefits to investors exist in the food and beverage, leather and electronics, building materials and non-metallic mineral and metallic industrial sub-sectors in the capital.
In addition to this the authority has made an investment project study and 400 project ideas were selected, Abrham said. The study identifies potentially profitable areas for investors. The Authority promotes investment and service rendering to private entrepreneurs in the city as a one-stop-shop. It also issues investment licenses and business permits, undertakes registration, renewal of documents, land allocation for manufacturing industries, in addition to consultations and information provision.

Addis to 'solve' the mendicant problem

By Andualem Sisay

Ten years ago, Yemane Woldemariam was begging for three months just for the sake of research. His research resulted in the re-integration of some 24,000 beggars from Tigray back to their community. Now as an the active executive board member of Elshadai Relief and Development Association (ERDA), he believes that if there is a strong commitment from all sides, Addis Ababa will be cleared of beggars within one month.
For about three years, his association along with its partner the Ministry of Labor and Social Affairs (MoLSA), has been conducting research and preparing an action plan to replicate the good practice of ERDA in Tigray across the nation. They plan to launch a national program with a month-long campaign of clearing Addis from beggars before the Millennium.
Creating awareness about the negative impact of begging among all citizens of the country, denouncing the practice of begging and acting for sustainable solutions are among the major goals of the campaign.
It will begin with identifying and separating beggars who have no other way of making a living from those who can help themselves and the country by being productive citizens.
The plan of eradicating begging is based on the fact that Ethiopia’s economic growth is affected negatively as the country is continuously losing its productive potential due to the ever increasing practice of begging.
The tentative action plan presented on Thursday evening, August 2, 2007 at a Hilton Addis meeting began with rounding up all the beggars in Addis Ababa and discussing on the ways in which they could be productive citizens of the country and setting timetables for their return to their places of origin.
Based on the agreement reached between the campaign organizers, beggars with potential and capable of involvemeat in productive activities will be re-integrated in their former areas.
The national committee will provide these unfortunate people with transport and assistance that will enable them to sustain their life for a six month transition period. There will be temporary centers in various sub-cities of Addis Ababa from where the beggars will be transported to their various destinations.
The national committee will conduct fund raising activities to implement its programs of re-integrating beggars to their origins. The national committee will also plan to introduce a social security system so that those who are unable to work due to various reasons can obtain their daily needs.
Most of the beggars observed in the city come from other regions of the country, are mostly in good health and own land and property in the rural areas.
Currently, the number of people in the country engaged in begging is believed to exceed 180,000, according to a study presented on the meeting. Amazingly, about 95% of these are capable of being engaged in jobs to earn a living.
All the participants of the meeting that included ministers, religious leaders, regional government representatives and prominent figures agreed of the need to form one all-inclusive national committee that will organize, plan and execute a nationwide campaign of abolishing what they called a shameful practice (begging) from Ethiopia.
On Thursday’s roundtable discussion organized by ERDA and the Ministry of Labor and Social Affairs (MoLSA), both are assigned to present one national document, detailed action plan and nominees of the national committee members for the meeting scheduled this evening at MoLSA here in Addis Ababa.

Nile Petroleum, Addis Caretaker Administration at loggerheads
Will the dispute sour Ethio-Sudanese relations?

By Andualem Sisay

Nile Petroleum, a Sudanese state company, says the Land Development and Administration Authority of the Addis Ababa City Caretaker Provisional Administration is endangering the relationship between Ethiopia and Sudan, by showing negligence for nine months over the company’s request of land for the construction of four service stations.
According to the General Manager of Nile Petroleum, Ethiopia Branch, Sharaf Eldin Babkir, after the company deposited the requested amount of money in a closed bank account and (gave the letter) to the city administration nine months ago, the company did not get the plots of land.
The four sites requested by the company for building Nile Petroleum gas stations are located in Arada, Addis Ketema, Gullelle and Bole sub cities. According to the Ethiopian Petroleum Enterprise (EPE), a company has to have a minimum of two gas stations in order to be engaged in the petroleum retail business.
Although the company has finalized the construction of one gas station and a depot at a cost of 5 mln USD in Sululta (Oromia region), the company has not been able to start service as none of the four sites in Addis Ababa have been secured for no apparent reason, according to Mr. Sharaf Eldin.
“Even though we fulfilled all the necessary requirements and applied for the plots in November, we don’t know why we haven’t secured the land,” he says. “We have written more than ten letters to the city administration and even our Ambassador has talked with the mayor of Addis Ababa. However we have seen nothing except promises.”
“We don’t know what the future of our company is right now. As per their request we have put up in a blocked account nearly 3 mln birr for the past almost one year for nothing,” says Sharaf frustrated. “As our company is a fully Sudanese government company that came to Ethiopia to strengthen the economic ties between the two neighboring countries, such reluctance of the Addis Ababa City administration will affect negatively on the relationship between Ethiopia and Sudan,” he adds.
According to Mr. Sharaf Eldin, the order given to Nile Petroleum to deposit a blocked account nine months ago, indicates final approval of the projects by the city administration. “If it wasn’t the intention of the administration to give us these plots for the gas stations, why would they tell us to block the money for such a long time in the first place?” he asks.
The Land Development and Administration Authority (LDAA) of the city on its part told Capital that blocking money doesn’t guarantee getting the requested plot; it is just a requirement that will enable the city administration to evaluate whether the applicant can actually implement the proposed project or not.
In a letter dated July 24, 2007, the LDAA states, “The Land Development and Administration Board has decided that Nile Petroleum can get land for constructing service stations by participating in the auctions that will be announced by the administration.” Whether the city administration is planning to announce auction for the plots selected by Nile Petroleum or when it will do so is not indicated in the letter.
However, Mr. Sharaf Eldin said that he had never received this letter, and that he was informed of it this Friday when he talked to the Mayor. “I told the mayor that it is not appropriate and we don’t accept such an excuse after they have spent our time, energy and money for almost ten months,” Sharaf Eldin told Capital. “As the situation seems to be moving beyond my capacity, I am thinking to pass it on to our government so that the bilateral authorities can find a solution to.”
According to the information obtained from the administration, the decision taken by the board is based on the fact that service stations are not on the priority list of land provision through negotiation. Industry, hotel and health are among the priority areas that the city administration provides land to investors through negotiation.
Of late, Sudan has become a leading oil producing country. As a result of Sudan‘s proximity to Ethiopia, road access linking Kartoum to an Ethiopian town Metema and Sudan government’s subsidy to oil market, the price of oil in Ethiopia has shown a decline in the past few years.
Ethiopia’s fuel imports from the Sudan has now reached about 8,000 cubic meters per month. Currently, an official of Ethiopian Petroleum Enterprise with his legal advisor are in Sudan to sign a new agreement for oil imports.
Nile Petroleum has imported for the first round, 10,000 cylinders of LPG. As a result of a subsidy by the Sudanese government, Nile petroleum is selling each LPG Cylinder for 70 birr, while the cost in the local market is as high as 300 birr,” Sharaf Eldin says.

Court introduces e-Litigation

By Tedla Desta

The Federal Supreme Court of Ethiopia has introduced e-Litigation, a new technology which is practiced only in some courts of the world.
This system, which allows users to litigate by using the internet, enables clients to sue online by sending their files, receive plaintiff's files and orders and decisions rendered by the courts.
It was also learnt that this service will be available only in private internet café's and courts that the Supreme Court permits. It would gradually be available in various towns namely: Mekele, Bahir- Dar, Jimma, Awasa, Harar, Dire -Dawa and Asosa.
"They conduct their litigation in an electronic environment from where they live without the need to go to court," Bluye Haddis, General Manager of MSS, which performed the automation work told Capital.
The two other new technologies that the court introduced are called: Interactive Voice Messaging System (IVMS) and making information based in databases internet accessible. IVMS refers to an automated telephoning technique that allows the call recipient to listen to the recorded message and interact with the system by pressing keys on the phone keypad. The system can detect which key is pressed and be programmed to perform various tasks and play recorded messages accordingly. As a result, the caller dials a five digit number to hear the details of the case. The service is given 24 hours a day.
"The Federal Court envisions to be more efficient, effective, fair, independent, accessible and an accountable court up on which public trust and confidence is vested," Kemal Bedri, President of the Supreme Court said. Kemal said various strategies have been devised in order to resolve the problems witnessed in courts, one of them being the use of ICT. He also said the newly introduced systems would help save time and create transparency in the country's justice system.
"We develop ICT not to beautify our courts" the President said. He explained that the development of ICT is to achieve major goals and basic visions. The establishment of computer technology with network, internet and electronic mailing capabilities in courts provides an outstanding opportunity to organize internal procedures with a secure environment creating an efficient, flexible system that reduces time constraints and is vastly more cost effective. The Electronic Filing System as well provides the registries of the Supreme Court with an electronic registry and workflow system; along with an electronic case file.
The automation work was made possible at a cost of 350,000 birr, Bluye told Capital.
“This is beneficial to government and businesses as well. It will boost the market of the private internet cafeterias bringing more interest on their business,” he said. Bluye also said that Ethiopian courts will be the first in Africa in implementing these up to date systems.

MIDROC bids for Addis Bottle Factory

By Tedla Desta

Daylight Applied Technologies Pvt. Ltd. Co. (DAT), a member of the MIDROC Ethiopia Group, which introduced the first bulb factory in Ethiopia, is working towards expansion of its production capacity. The factory plans to start manufacturing various kinds of bottle products before January 2008, as to our sources.
“When the production of bottles is fully launched, the company will improve the much constrained bottle supply in the country,” the source added.
In line with this plans, it seems, MIDROC took part in a bid to buy the Addis Ababa Bottles Factory S.C. which is up for privatization.
According to our sources, DAT is making the expansion works with an outlay of over 70 mln birr to produce the bottles. “Packing companies suffer severe shortage of bottles. There are some which are even on the verge of terminating their package materials production due to persistent lack of bottles,” said the source. The existing bottle factory only produces bottles for breweries.
DAT has an expansion plan to manufacture and assemble televisions, radios, cell phones and related wares; as well as other products such as refrigerators, water heaters, cookers, photocopy machines, typewriters, printers, scanners, air conditioners and related electrical items.
The Mission of the Unit is to deliver end-to-end Information and Communication Technology (ICT) solutions to MIDROC Technology-Group Companies in the short term and to the general market in the long-term.
DAT’s glassware products are ‘dishwasher and micro oven safe’. The value dimensions and weights of the company’s glass products verify with set glassware and tableware rule.
The Glass Factory has a capacity to produce 20 tons of molten glass per day. The plant can also manufacture 24 million glass bulb shells and 12 million pieces of glass tubes as semi-finished inputs to its Incandescent and Fluorescent Lamp Factory. In the future, it will be able to manufacture 4 million pieces of different kinds of tumblers and supplementary glassware annually when operating in three work shifts.
The bulb factory which used to produce Sara light bulbs ceased production some years ago and is concentrating on other expansion areas.
DAYLIGHT was established in 2003 and is engaged in the production of glass related products, electrical equipment, computers, as well as in the design and installation of network systems.

Global communication expertise joins Ethiopia’s young ad sector

By Andualem Sisay

Tewaney Studio, a local company that revolutionized the way design and printing was done in Ethiopia by introducing Macintosh computers and color separation nine years ago, has transformed itself to Astar Advertising to take the industry again to a new level.
Astar, with its highly trained and experienced staff from Europe, Asia and Africa, plans to become the first original African network agency by providing holistic communication solutions to local, regional and international clients.
“While the name Astar is a blast from the past, Astar Advertising is a company of the future,” says Geta Mekonnen, Managing director of the company. “To fulfill its vision of becoming an indigenous multi-national company, Astar will have offices in all major African countries, thereby breaking the oligopoly of international network agencies,” he says.
Speaking from his several years of observation while working in Ethiopia as a consultant on USAID projects, Sid Swarup, Executive Director of Astar Advertising says “…there was a wide gap in terms of an agency that can provide holistic communication service that can think strategically, handle a large volume of work and yet deliver on time.”
According to Mr. Swarup, a ten year advertising and communication veteran who worked across brands such as Pepsi, Nestle and Toyota, one third of the world’s wealth is occupied by the top 100 global brands. This mostly, is the result of the rational and emotional attachment people developed through time to these brands, not the quality of the products.
“Realizing the significance of branding, South Korea for instance, has been able to include its ten national companies like Samsung and Daewoo into the list of the top 100 world brands,” he says.
Most developed countries get great advantage in international markets because of powerful branding of their exports. “Unfortunately, companies in countries like Ethiopia fail to take advantage of the power of brands. Sometimes, the negative image associated with a country can damage the value of its exports,” according to Blandine Clerin, who has worked seven years in advertising agencies in France.
“Ethiopian exports have a great potential. However, the Made in Ethiopia tag is not a big seller in Europe and the United States,” she says. She mentions Ethiopian coffee as a good example that strengthens her argument and she recommends a dual approach to solve the problem.
According to Mrs. Clerin, branding Ethiopia (country branding) on one hand and branding separately the export products of the country is the solution to come up with good results. “This dual approach will help in complementing the strengths of each brand without letting the negatives associated with either affect the other,” she says.
Astar plans to bring about significant contribution to all sectors of the country’s economy by implementing its international experience. Business and industry, media, tourism, international trade and human capital are the major priority areas that, the company believes, will automatically benefit from its holistic advertising business.

ACSI to open 10 Micro Banks

By Tedla Desta

Addis Credit and Savings Institute (ACSI) is to open micro banks in 10 sub-cities in Addis Ababa, Sisaye Workneh, Public Relations Head of the Institution told Capital.
Ato Sisaye said the 10 micro banks are to be opened in the coming year following the remarkable achievements of the already established Micro Bank in Arada Sub-city.
The micro banks offer short term loans especially for house renovation and building.
“We are now undertaking studies to open three additional micro banks in the three neighboring sub-cities,” he added.
Sisaye further noted that ACSI is preparing to build a five storey building for its Headquarters on Churchill Road in Arada sub-city. The construction is expected to start this budget year.
He also said that over 98 mln birr in loans has been disbursed to individuals engaged in micro and small-scale enterprises in the metropolis in the just-ended budget year.
The institute has distributed loans to 18,302 individuals engaged in various development works, through 10 branch offices in the capital. People engaged in metal as well as woodworks and garments, food preparation and small businesses among others, were beneficiaries of the loans. 58 percent of the recipients of the loan service are women.
The amount of loans given out this year exceeds by 92 per cent that of the same period last year while the number of beneficiaries increased by 68 per cent.
The beneficiaries have also been able to save some 20.6 million birr in the reported period, it was learnt.
Established in January 2000, Addis Credit and Savings Institute has 10 branch offices and 88 service-rendering centers at kebele level.
ACSI gives loan to individuals, cooperatives and community-based organizations, with a maximum loan term of 24 months and a minimum of 7 months. It targets unemployed youth, women and legally registered cooperatives, community-based organizations such as ‘Iddirs’ that select the poorest among its members, new business start-ups such as fresh high school, college or even university graduates make up clients for loans.

AMCE delivers to EEPCo 57 mln birr trucks
Confident to get another 20 mln birr bid

The Automotive Manufacturing Company of Ethiopia S.C. (AMCE) is confident to win another tender amounting to over 20 million birr from the Ethiopian Electric Power Corporation (EEPCo), General Manager of AMCE and Area Manager of IVECO, Marco Torta told Capital.
Mr. Torta said this during the delivery of 21 units of 6x4 Trakker Tractor trucks, AT720T38TH, equipped with crane and semi trailer to EEPCo.
He said that they are confident of winning the tender that was issued by the Corporation last June. Torta delivered the keys of the 21 units with the capacity of carrying 250 quintals each to Shiferaw Telila, the Deputy General Manager of EEPCo. These 21 units are the first consignment of an order of 42 units.
“A further supply of 21 units of Trakker AT380T38H with cargo body made by AMCE and rear crane will be delivered to EEPCo in September,” he said. Some 12 units are already in Djibouti port.
This is a special occasion not only for AMCE and EEPCo but also for the whole country,” Torta said. “EEPCo has an ambitious program to develop a network all over the country and AMCE/IVECO is proud to contribute support to EEPCo on this event.”
It was learned that the total cost of the supply amounts to around 57 mln birr.
The units are to be used for the Universal Electrification Access Project (UEAP) of EEPCo. The objective of the UEAP is to increase electricity coverage from the current 15% level to 50%, with a view to connecting virtually all towns and villages to the grid in a 10-year horizon.
The units that were purchased by the Corporation are believed to be substantially useful in speeding up the project’s activities, a participant from EEPCo said.

ETC mobile: Not at your service

By Kirubel Tadesse

Subscribers of the mobile service of ETC (Ethiopian Telecommunications Corporation) said that the service is getting worse, especially in the last few weeks and that making phone calls from mobile to mobile is becoming almost impossible.
Mobile service user, Gedion Tadele said, “I have to make four or five calls to finish what I want to say, that is, if I get through in the first place. For example last Monday, I could not even make one phone call the whole day.”
Tele center owners are also upset that they say the current poor mobile network is harming their business. Tesfaye Desta, Tele Center owner around Haya Hulet Mazoreya told to Capital, “When calls end in seconds because of the network failure, our customers are not willing to pay. That can happen again and again in the middle of phone calls so I always tell everyone that if the call ends in the middle, they will pay. This upsets the customer, especially when it happens more than once. The problem existed all along but it has been getting worse in the last few weeks.”
It is not the first time when ETC, the only internet, mobile and almost all type of communication services provider in Ethiopia, receives complaints from its customers. A few months back, after missing for months, the bill of many customers was calculated on averaged amount basis, which resulted in many complaints of inflated bills from customers.
On the corporation’s official website, the information available shows that mobile customers were only 57, 816 until September 2003. Even if there is no updated information available, it is believed that the service in the last four years has reached to hundred thousands subscribers and covers a substantial part of the regions. The corporation had allowed private investors to sell pre paid cards to customers, followed by the sale of the corporation’s simcards at private shops.
Some say that next to the daily increase in the demand for mobile service, the involvement of the company’s top managers in alleged corruption is affecting the performance of the corporation. A few weeks back, the corporation general manager and other top managers were charged of corruption. The corporation’s official web-site still listsTesfaye Birru, one of the accused, as managing director.
The efforts we made to get the corporation’s comments failed as we did not get any response to our query from the public relations manager.

Last minute off-loading upsets passengers

By Kirubel Tadesse

Passengers with confirmed booking to travel to Washington D.C on August 1, 2007 with Ethiopian Airlines complained of being offloaded by reason of overbooking.
Passenger Yirgalem Hadera said “After we were done with all the procedures and received our boarding passes, Tsegaye and Mohammed, who were the officers in charge of coordinating the flight, informed us that we can not fly due to unexpected VIPs, purportedly the Prime Minister’s children were traveling. I was with two children and had already said goodbye to my family.” She also told Capital that she missed a connection flight which was to take her from Washington D.C to Atlanta and because of the delay her job is now in jeopardy. Her brother Esayas Hadera, said that he picked her up from the airport hours later together with another passenger who could not go home because her family had already gone, believing that she was safely on her way to the US.
He said, “The normal off load criteria of the airline is to postpone the itinerary of passengers who don’t have children traveling with them and who don’t have connection flights. In all cases however, the airline should have notified the passengers sooner, not after their luggage is sent and they have gone through all airport procedures. Their bags with the kids’ clothes and traditional food are already on the plane and we don’t know if we will ever get them, but most importantly, we are frustrated about her job.”
Explaining that his sister was here visiting for two months, Esayas asserted that the airline refused to give an explanatory note for her office. “We asked the airline to give us a letter explaining the situation for her office but they would not even do that.”
According to Wogayehu Terefe, acting Manager of Public Relations and Publications of the airline, the complaint is baseless. She said that last Tuesday’s flight was over- booked and on such instances, any airline serves on early booking basis. Those booked last will be scheduled for the next flight, and that is what happened. She added that in any event, the VIPs were accommodated in business class. The passengers who complained were off-loaded from economy class. Therefore it had nothing to do with the VIPs.
Esayas told Capital that his sister finally flew to Washington DC on Thursday and the airline apologized for the inconveniences and paid her 300 USD in compensation.

ACTIS eyes manufacturing industries in Ethiopia

By Tedla Desta

ACTIS, a private equity fund which provides venture capital for businesses, has expressed interest in investing in Ethiopia’s manufacturing industries. “We are financiers of businesses and working towards investing in manufacturing industries, real estate and infrastructure,” said Paul Kavuma, Investment Principal of ACTIS at a press conference the company held in relation to the appointment of Teshome Kebede to the ACTIS East African Advisory Panel.
ACTIS East African Advisory Panel, which was launched recently, comprises of four eminent advisors from Kenya, Uganda, Tanzania and Ethiopia. Teshome Kebede will be representing Ethiopia in the Panel and will be engaged in strengthening ACTIS’s network and introducing investment opportunities in Ethiopia.
ACTIS is a venture capital firm which assists businesses in raising capital for expansion. It was leant that the firm can inject from $10 million up to $100 million and appoint directors to sit on the board of businesses, offering financial advice.
ACTIS was established three years ago to manage CDC’s investments and other business deals during that period. With an investment portfolio of over USD1 billion in Africa, and with approximately USD 200 million invested in Eastern Africa, ACTIS remains to be an active investor in the region. The firm has been making significant investments in agribusiness, mining, power and financial services, and is actively pursing new investments in other sectors including; telecommunications, consumer goods, manufacturing, oil and gas, infrastructure and property.
The Firm has made various investments in East Africa and targets leading, dynamic entrepreneurs seeking expansion capital such as Homegrown, Kenya’s leading floriculture exporter (via Flamingo Holdings, UK). Other investments include; Rwanda’s BRC Bank where it owns 80 per cent and Uganda’s DFCU bank, where it owns 60 per cent and Songas and Tatepa in Tanzania.
ACTIS also has the capacity to acquire significant number of shares from companies, such as the pending USD 1.1 billion acquisition of the Pan African operations of Alexander Forbes, and multinationals or conglomerates that may be disposing of non-core businesses, such as EI Rashidi a leading Egyptian consumer goods business acquired from Unilever. In addition, ACTIS has been an active participant in the privatization process across the East African region, through which it acquired BCR Bank of Rwanda.
Kavuma also stated that ACTIS strives to emulate in Eastern Africa, the success that private equity investing has achieved globally, by stimulating rapid growth and expansion of businesses and generating innovative financing techniques for shareholders and entrepreneurial managers.

Authority okays 3,248 duty-free vehicles
Customs earnings increase by 26 %

By Andualem Sisay

The Ethiopian Customs Authority (ECA) collected 166 mln birr this year from 3,248 duty free cars that had been transferred illegally to third parties.
Currently, 108 other duty-free cars are being processed for taxation, while 254 are impounded by the authority. More than 30 vehicles have been sequestered to government organizations.
In addition, the authority has collected 92.4 mln birr in fines and payments arising from various trade frauds attempted by business persons. At its customs control posts and from products found circulating illegally in the country, the authority has also impounded goods worth 58.9 mln birr.
In a related development, meeting its target by 103 %, ECA’s earnings this year increased by 25.7 % compared to last year.
According to the information obtained from the authority, the total amount of revenue collected by the authority this Ethiopian fiscal year (1999) is about 8.3 bln birr. When compared to last year, the authority has collected an additional income of 1.7 bln birr.
This year, With the intention of encouraging and supporting investment activities in the country, Ethiopia has forfeited some 4.9 bln birr by allowing importing of machinery and equipment free from customs, excise and value added taxes.
However, some argue that such exemptions might also be abused by some group of people and lose their purpose, if ample attention on implementation processes is not given by the government. These people site the duty-free car import privileges abuse as a major instance.

From begging to working
Certifiers advise QSAE to consider more incentives for professionals

By Andualem Sisay

The calibration laboratory for mass and temperature measurements of the Quality and Standards Authority of Ethiopia (QSAE) received an international accreditation certificate from the German National Metrology Institute (PTB).
At the handing over ceremony held at the head office of QSAE on Thursday August 2, 2007, Mesai Girma, Director General of QSAE, indicated that the certificate enables the authority to be recognized internationally.
“In the current age of globalization, the only means to penetrate into the strong market competition and get acceptance internationally is through satisfying customers in both quality and standards and products of services,” he said.
The laboratory helps identify sub-standard products that impede the growth of the national economy, according to Mesai.
After handing over the certificate, Mr. Stefan Wallerath on his part stressed that ensuring quality and standard is a fundamental issue for promoting the country’s export and participation in international trade relations.
“A sustained achievement of such accreditations, which would help the country promote its industrial products, should be given due attention by the government,” he said.
The authority runs its mass and temperature measurement service with five professionals trained in Germany. Mr. Wallerath also advised the authority to continuously consider increasing salary and other incentives to these professionals so as to keep them on their positions for a long time and save the activity from turbulence.

Court photographer to exhibit nineteen years archive

By Kirubel Tadesse

Court photographer, Shemelis Desta, is scheduled to present a selection of images from his substantial photographic archive from September 13 to November 11, 2007 at the photographer’s gallery in London.
Shemelis’s pictures are both in color and traditional black & white. They document Ethiopian political history that includes both the past rule of Emperor Haile Selassie I (1923-1974) and the military-led government of Mengistu Haile Mariam (1974-1991). As it is Desta’s first major exhibition in a gallery, the organizers believe that the archive will offer a unique insight into a secretive and tumultuous period in recent Ethiopian political history.
Shemelis Desta discovered photography as a teenager and embarked on a 40-year career. Largely self-taught, he gleaned tips from visiting Western photographers and learnt how to process film from American missionaries. At the start of his career, he worked for the Ministry of Information until the 1960s when he was taken on as the official court photographer for Emperor Haile Selassie I. Following the infamous 1974 military coup and subsequent deposition of the Emperor, Desta continued to record government activity under the rule of the military dictator, Mengistu Haile Mariam.
For both professional and personal work Desta was awarded prizes and presented many exhibitions, notably during 1977 in Europe (Moscow, Rome and Madrid) and again in London, Birmingham, Wolverhampton and Sheffield between 1985 and 1991. During his time as official photographer, for eight years during the military rule, he hid his negatives of previous and current work. Escaping to the UK in 1982, he ensured his unique historical archive of approximately 7,000 images was spared destruction and sent to him, through a special arrangement, after his own safe arrival in the UK.

Bail appeal denied

By Kirubel Tadesse

The Federal Supreme Court denied appeals for bail lodged by five defendants charged with abuse of power and corruption. All the defendants are charged in relation to Ato Alemayehu Bekele’s Helena Health Care company’s alleged tax impropriety involving more than two million birr.
The court deliberated on July 26 over the appeals by the three defendants - Ato Alemayehu Bekele, Ato Nebiyu Samuel Deputy Manager of the Federal Inland Revenue Authority (FIRA) and Ato Woldegabriel Nayzgi former General Manager of FIRA, separately and adjourned court for August 2nd, where the appeal of the two other appellants was heard.
Defending their rights of bail, Alemayehu Bekele’s lawyer explained to the court the sentence in issue is ten years maximum if convicted according to current law. As per Article 6 of the Constitution, argued the lawyer, the lesser of the possible sentences under the law is applied in the defendant’s favor. He therefore asked the court to overrule the lower court’s decision and release his client on bail.
On the same day, the court also heard lawyers representing Nebiyu Samuel and Woldegabriel Nayzgi. Nebiyu’s lawyer explained to the court that a similar case was presented formerly to the Court of Cassation which decided in their favor. After asking the court to take this into consideration on behalf of his client, the defense for Woldegabriel Nayzgi explained that his client’s appeal for bail is a constitutional right.
The court explained to the five defendants that even if their cases are pending it can not find grounds on which to overturn the decision of the lower court. The court stated it has decided to deny their bail request as per article 434/97/1.
Following the ruling, one of the appellates protested by saying the justification of the decision was not even made clear to their lawyers. The court responded that it had already reached a decision and would not entertain further comment. Alemayehu Bekele’s lawyer told Capital that his client will appeal to the Court of Cassation this week.

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Court photographer to exhibit nineteen years archive

Bail appeal denied

Investors cry out for land
Around 152 mln birr underutilized

Nile Petroleum, Addis Caretaker Administration at loggerheads
Will the dispute sour Ethio-Sudanese relations?

AMCE delivers to EEPCo 57 mln birr trucks
Confident to get another 20 mln birr bid

Authority okays 3,248 duty-free vehicles
Customs earnings increase by 26 %

From begging to working
Certifiers advise QSAE to consider more incentives for professionals

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Bail appeal denied

Investors cry out for land
Around 152 mln birr underutilized

Nile Petroleum, Addis Caretaker Administration at loggerheads
Will the dispute sour Ethio-Sudanese relations?

AMCE delivers to EEPCo 57 mln birr trucks
Confident to get another 20 mln birr bid

Authority okays 3,248 duty-free vehicles
Customs earnings increase by 26 %

From begging to working
Certifiers advise QSAE to consider more incentives for professionals