Capital

Oromia International Bank established

By Muluken Yewondwossen

Border skirmish raises tensions between Ethiopia and Eritrea, Eritrea accuses Ethiopia of provocation

By Abiy Demilew

MOE revises certification rules

By Kirubel Tadesse

NBE gold scandal brewing

By Groum Abate

Amhara Credit & Savings Institution: among Africa’s largest microfinancers

By Groum Abate

Addis senses high season fever

By Our Staff Reporter

EPA considering Sale of the Tantalum mine

By Abiy Demilew

City plans to collect over 30.6 mln br from 3rd round auction

By Groum Abate

House approves appointment of Tesfaye Mengesha as NEBE head Opposition rejects Ermias Assefa for Deputy

By Kirubel Tadesse

EOC provides skills training for poor farmers

By Addis Mulugeta

Ethiopian troops have withdrawn the key town, Guriel, Insurgent recaptured

By our staff reporter

Protest continues against the stolen designs Ethiopia, still investigating

By Abiy Demilew

Varnero to build Martyrs’ monument

By Groum Abate

EEPCo contracts KOSPI for electrical appliances

By Groum Abate

Enderta farmers coop to import 12.4 mln USD fertilizer

By Muluken Yewondwossen

Businesses blast ministry over new cash register machines

By Groum Abate

US Embassy warehouse fire

By Kirubel Tadesse

Telethon to promote Al Nejashi Mosque

By Muluken Yewondwossen

Dire’s 105th birthday

By Groum Abate

Ethiopian Jews Demonstrate in Jerusalem

Abiy Demilew

Daniel Bekele and Netsanet Demissie sentenced

By Muluken Yewondwossen

Millennium hall exhibition postponed

By Muluken Yewondwossen

AAU launches a new degree program

Abiy Demilew

Oromia International Bank established

By Muluken Yewondwossen

Oromia International Bank’s founding general assembly has been held on December 29, 2007 at Hilton Hotel with over 2000 attending. The bank will open its first branch in April 2008.
Oromia International Bank is to engage in commercial banking and to extend banking services in both rural and urban areas. Currently the bank has more than four thousand registered shareholders.
The provisional committee took the responsibility of organizing and facilitating the convening of a more formalized meeting of the founders and put together proposals that require the approval of the wider body of the founding members. After deliberating on the criteria of selection, 21 prominent business owners and academicians were elected as promoters.
The founding meeting has elected a board of directors, which shall be responsible for the finalization of the licensing of the bank and its consequent commencement of banking services.
The board shall carry out all activities necessary to meet the minimum legal requirements for the inauguration of the bank. Zonal promoters committees will be elected to further widen the equity base of the bank.
The promoters envisage that the bank has an authorized capital of 1.5 bln ETB, a subscribed capital of 300 mln ETB and a minimum paid up capital of 80 mln ETB. The paid up capital is deposited in a bank in a blocked subscription account in the name and account of the company until it is legally registered and becomes operational.
The shares of the bank shall be ordinary registered shares of the same par value in the name of the shareholders. Each share shall carry one vote and entities the owner to participate in the net profits in corporation to his/her paid up share, and to the net proceeds upon the company’s winding up.
The par value of each share is Birr 1000 and a subscriber shall subscribe to and pay a minimum of four shares. Persons subscribing more than four shares shall have to pay at least one fourth of the value of the total shares subscribed to at a time of subscription.
Sources close to the establishment process said the bank will have branch offices in every woreda in the Oromia region. “One of the objectives of the bank is to make farmers beneficiaries. In addition, to providing service to farmers, there is the possibility that farmers could buy shares in the bank,” sources said.
Renowned business persons like Yemiru Nega, owner of Dembel City Center, Getu Gelete, owner of Getas Trading, Alemayehu Ketema, a contractor, Duguma Hunde, owner of DH Geda, Kebir Hussen, owner of Arsi Agricultural Mechanization, Dr. Likissa Dinsa, owner of Dandi Boru school, and Mekia Mamuye of Mekia Enterprises, who have played important roles in making the bank a reality, make up the board.

Border skirmish raises tensions between Ethiopia and Eritrea, Eritrea accuses Ethiopia of provocation

By Abiy Demilew

Tensions are rising after Wednesday’s shoot out at Tsorena, inside the Temporary Security Zone, in which Eritrea accused Ethiopia of provocation.
The Ethiopian Foreign Ministry, calling the Eritrean accusation a fabrication, reassured that Ethiopia doesn’t have any reason to provoke a conflict.
The UN Mission for Ethiopia and Eritrea [UNMEE] said it has begun an inquiry into the causes of shots and blasts close to Gerbera, South-East of Asmara.
UNMEE issued its concerns over the shooting incident that broke out last Wednesday and called on both sides to “show the maximum degree of self-control possible” and stay bound to the Algiers agreement.
UNMEE, in its statement said, it is in contact with both countries regarding the incident that both parties have recognized that the incident occurred.
On Wednesday, the Eritrean Foreign Ministry accused Ethiopia of having shoot on security patrols and militia in the area.
Eritrea said, “The attack comes on top of Ethiopia’s on going provocation and aggression in the Gash-Barka and southern regions, whereby it planted mines, carried out incursions, abducted nationals and burned crop fields to the ground.”
Bereket Simeon, special advisor to the Ethiopian prime minister, told Reuters “If any country is war-mongering, it is Eritrea”.
The situation remains tense that Eritrea has moved in more than 2,500 troops and heavy military equipment in to the Temporary Security Zone, while both countries have conducted military exercises along the border. In addition, Eritrea restrictions on the UN peacekeepers and helicopter flights continue.

MOE revises certification rules

By Kirubel Tadesse

The Ministry of Education (MOE) has issued a new directive stating four major qualifications graduates of Technical and Vocational Education and Training Institutions (10+3 TEVT or diploma) should meet in order to join degree programs.
According to the new directive MOE distributed to stakeholders including governmental and non governmental university presidents and regional vice presidents on Friday December 28, 2007, graduates of 10+3 programs first should have completed grade 10 in the current or 12 in the previous education policy.
Earning a higher grade in the National Competence Certification exam which will be prepared for graduates of Technical and Vocational Education and Training Institutions is also a must. The competence certification will be designed as per Occupational Standard of Ethiopian industries and National Competence Certificate will be given for students who pass the assessment.
The certificate aims to recognize one’s knowledge and skill which one can acquire formally in educational institutions or informally through years of practice.
“For those who have the skill and the experience of doing technical work, we should not say that you have to pass through Entoto TEVT in order to certify them, so this certification can serve as the reference for these people who can be very productive in the industry. And for those who completed their education in institutions, since the one their respective institutions give them is only completion certificate, this one will determine their skill and grade of competency which will serve them and the industry by making it easy who to choose to hire or upgrade,” explained Mberhatu Berhan of MOE.
He adds that the certification process will be started this month with the orientation given for interested applicants who wish to take the exam which mainly focuses on practical queries. Two hundred examiners are scheduled to be trained in the coming weeks by professionals from abroad and exams in four subjects; insurance, purchasing, accounting and marketing will be the first programs in Addis Ababa. “The certification exam is for all, whether they attended 10+ programs or got the skill through experiences,” stressed Mberhatu.
The third qualification for 10+3 TEVT or diploma graduates is to come up with two years work experience in the profession they took the competency exam for and finally to pass national entrance exam which will cover preparatory students (10+1 and 10+2) lessons. The directive states that even if one is not obliged to come up with any document showing that he or she took the bridging courses, passing the exam is a must to get in to universities for degree program.
MOE had previously banned any form of admission of 10+3 graduates to the degree level program back in November 2007 and Dr. Sintayehu Welde Michael, Minister of Education, promised to come up with the directive as soon as possible to include last year’s graduates and this new directive was issued for more than 21 universities last Friday.
Some experts told Capital that the new directive is discouraging for students since it requires for them to sit for two national exams of which, one demands taking bridging courses which its contents will be set by MOE and also demands a minimum of two years work experience which will be difficult for students to acquire.
Following the November ban of upgrading students from 10+3 to degree program, private colleges had expressed their concern claiming that the decision might endanger their survival since the capacity of government to accept degree students is increasing, implying that there may not be enough students to join their degree programs. They explained that if they can no longer upgrade their 10+3 graduates, their degree program classes can be closed and that will lead to the total closure of their institutions.
Now after receiving the new directive, Assistant Professor Wondwosen Tamrat, founder and President of St. Mary University College, disclosed some reservations members of the Ethiopian Private Colleges Association have on the new directive. Wondwosen stated that during the discussion with MOE on the directive draft, members explained that the two years minimum work experience is too difficult for students to acquire. “The reason behind most parents’ wish to send their children to higher institutions so that they study degree level programs is because they can’t find jobs easily,” explained Wondwosen, “and putting a minimum of two years experience mandatory requirement in order to join degree program might discourage students from planning to continue their education.”
Desalegn Mulaw of MOE disagrees with the comment, claiming that the qualifications allow only few but best students to join the degree programs which will in the long periods result qualified professionals. “We only want those who are best from the 10+3 graduates to pass to the degree programs which government universities may accept if there is available space”, sates Deslagen, “Ethiopians need more middle level graduates than degree holders.”
MOE disclosed that the new directive will not be applicable on pervious diploma graduates of agricultural institutions and it is effective for all other programs of educational institutions in Ethiopia as of Friday December 28, 2007.

NBE gold scandal brewing

By Groum Abate

The National Bank of Ethiopia (NBE) suspends 20 of its employees in connection with the recent gold fraud scandal.
Sources told Capital that the bank is also expected to charge the suspended employees with fraud, which cost the bank over 160 million birr.
According to reports, the bank exported ‘gold’ bricks to South Africa where experts there identified the so called gold bricks as fake and returned them to the bank.
Recently five senior executives from NBE and three chemists from the Ethiopian Geological Survey were arrested for their alleged involvement in the gold fraud scandal.
The NBE, which exports gold, reportedly has bought 300 kilograms of the fake ‘gold’ from an unnamed trader. The Ethiopian Geological Survey inspects any gold the NBE buys and offers quality assurance.
Over 7.8 million dollars were obtained from the export of gold by producers and exporters during the first quarter of the last budget year.
The stated sum was obtained from the export of over 433 kg of gold.
In addition, about 53,610 USD was obtained from the export of 171.8 kg of various jewels during the reported period.
Ethiopia, which is believed to have large reserves of gold, is benefiting from a surge in global demand for the precious metal.

Amhara Credit & Savings Institution: among Africa’s largest microfinancers

By Groum Abate

Microfinance has become a buzzword of the decade, raising the provocative notion that even philanthropy aimed at alleviating poverty can be profitable to institutional and individual investors. Instead of merely writing a check (then writing it off), why not make a tidy profit from a short-term, high-interest loan, most for under $200, so that a Mexican seamstress may buy a new sewing machine? Or so a Moroccan farmer can buy chickens so he may sell more eggs? Billionaires, global leaders and Nobel Prize recipients are hailing these direct loans to uncollateralized would-be entrepreneurs as a way to lift them out of poverty while creating self-sustaining businesses.
To help investors parse them, Forbes compiled its first-ever list of the Top Microfinance Institutions.
With 537,000 borrowers and another 225,000 savers (as of December 2006), Amhara Credit & Savings Institution in Ethiopia is one of Africa’s largest microfinanciers. On overhead it consumes only 5 cents of every net dollar lent (that’s after interest costs are subtracted).
According to Forbes survey, it keeps staff costs low and is frugal on such expenses as electricity. These microlending organizations have low default rates. The share of Amhara’s loans in default or more than 30 days late on interest and principal payments, as of year-end 2006, was 1.5%.
Dedebit Microfinance institution of Tigray has also secured a place as one of the top 50 institutions in the world.
To earn a spot on Forbes ranking, the institution must have audited financial statements for 2006 or submitted these for 2005, with the intention of providing audited 2006 results when available. Note the rankings attempt to measure financial performance, not the social benefits of any microfinance institution.
As many as half of the world’s 3 billion poor may be eligible for microloans. Average loan sizes vary from $100 in India to $1,530 in Bolivia. The current $17 billion in loans outstanding represents 10% of the potential microfinance market, notes a 2006 McKinsey & Co. report.
Fixed-income microfinance funds return an average 5.8% in US dollars, according to the Consultative Group to Assist the Poor, a group of 33 public and private development agencies. ProFund, the first private equity fund in microfinance, yielded an annualized 6.6% over ten years through 2005. Making loans directly to established microfinance institutions usually requires a minimum investment of $250,000 to $500,000. Depending on the fund, you can invest much less.
Not all these lenders are good ideas, though. “You need to discriminate between the 11,900 that aren’t worth investing a dime in,” cautions Michael Chu, a Harvard Business School professor and early investor in ProFund. Four Kampala microfinance firms are under Ugandan police investigation for cheating poor borrowers and refusing to fulfill withdrawal requests.
Many microfinance lenders function like banks. They pull in deposits from people in their communities and rely on foreign investors for their risk capital, a mix of equity and subordinated debt.

Addis senses high season fever

By Our Staff Reporter

Hotels in Addis have reported an increase in bookings in relation with the tourism high season and the coming Assembly of AU heads of states and governments to be held from January 31, 2008 to February 2, 2008.
Sources in the hotel and tourism business disclosed that there is an apparent shortage of hotel rooms for foreign tourists and diplomats in the capital as most of the high standard hotels in the city have already been booked. The sources also told Capital that the 10th African Union Summit, especially the Assembly of heads of states and governments that features a large crew from both African and non-African states has already taken the biggest hotels in Addis by storm with bookings since mid January to the start of February.
People in the tour guiding business that Capital talked to commented that such situations happen periodically with not a significant solution viewed for consecutive years. However, some of them commented that things might ease up once the Sheraton expansion project, the AU hotel, ACCOR hotel and other relatively large hotel construction projects are complited.

EPA considering Sale of the Tantalum mine

By Abiy Demilew

Ethiopia may sell its sole Tantalum mine, Kenticha, located in south Ethiopia, according to Bloomberg News. Gebre Egziabher, Director of Mineral Operations at the Ministry of Mines told Bloomberg News that the country might sell the mine to private investors and received expressions of interest from companies in South Africa, China and the U.K.
Kenticha has about 5,000 metric tons of proven reserves of the metal, which is used in mobile phones and computers, Gebre Egziabher said in an interview with Bloomberg News yesterday here in Addis. Ethiopian Privatization Agency (EPA) is considering the sale.
Ethiopia, Africa’s biggest coffee producer, is keen to attract investment to its mining industry in order to diversify its economy, which relies on agriculture for 47 per cent of its output, according to the World Bank, Bloomberg News reported.
Gebre Egziabher also told Bloomberg News that the country expects production of tantalum to double to 200 tons in 2007 after the government allowed small-scale miners to compete with the state-run mine. Exports are expected to total as much as $20 million of tantalum this year, he added.
Ethiopia earns as much as $9 million a year from the Kenticha mine.

City plans to collect over 30.6 mln br from 3rd round auction

By Groum Abate

The Addis Ababa City Land Administration has put up 97 plots for public bidding in two sub cities. The city plans to collect over 30.6 million birr from the 97 plots it put up for auction.
In its 3rd round of land lease tender, the city has offered plots mostly for mixed purpose buildings but one plot in Akaki/Kaliti sub-city has been set for storage facilities. Bole sub-city has offered these plots with a floor price of 132 birr per square meter and Akaki/Kaliti offered a floor price of 150 birr per square meter.
Experience from previous rounds of tenders indicate that the city would definitely double or triple its income from this round due to the growing interest of individuals to lease land in the city.
The administration requires a specific amount of money to be deposited in a blocked account, verified by a bank and submitted with the bidding document. The amount is also attached with the floor price of the area at the auction announcement posted on the city’s newspaper Addis Lisan on its Saturday, December 22 issue.
This scheme is introduced so as to exclude those who participate in the tender without the necessary financial backup.
After the Addis Ababa Caretakers Administration first round auction announcement, a plot around Merkato, commonly known as Berbere Tera, fetched 10,000 birr per square meter, which was the highest ever submitted for a plot in the city.
A residence plot located around Ayat area has also fetched a maximum of 3,125 birr per square meter, which is almost double of the last auction that took place two years ago.
The administration prepared 167 and 87 plots located in different sub-cities of the city in the first and second round of auctions.

House approves appointment of Tesfaye Mengesha as NEBE head Opposition rejects Ermias Assefa for Deputy

By Kirubel Tadesse

The House of People’s Representatives (HPR) approved the appointment of three executives of the National Electoral Board of Ethiopia (NEBE); Tesfaye Mengesha as head and Ermias Assefa and Rahel Tadesse as deputies.
The HPR in its third regular session here on Thursday, December 27, 2007, heard the criteria the electoral board used to select the executives with the attached curriculum vitae and work experience of the candidates.
Tesfaye Mengesha has served as an assistant expert in the Economy and Topography Research Unit of the Ethiopian Nationalities Research Institute for six years since 1993. He then joined the national board and served for more than ten years in different positions such as the Board’s Secretary and Deputy Head for the last three years.
One of the opposition Members of Parliament, Gebru Gebremariam, said that Tesfaye Mengesha has been ‘a source of pain’ in Ethiopian election history. He explained that even if Tesfaye has conducted unfair measures, if he is prepared to be impartial, his years of experience will help him to perform well in the position and for that, his party supports his appointment.
A thirty seven year old teacher, Ermias Assefa, was appointed as Deputy Head. Gebru Gebremariam (MP) opposed his appointment stating that he is a member of the ruling party and vice president of the Metropolitan Teachers’ Association, which is allegedly supported by the government.
Bulcha Demeksa (MP) also opposed the appointment of Ermias Assefa. Bulcha pointed out that Ermias and the other candidate Rahel Tadesse, are only diploma holders and there is no record showing that they are capable of fulfilling the huge responsibility.
Rahel Tadesse was a teacher at Kokebe Tsibah School. Gebru Gebremariam (MP) opposed her appointment claiming that she does not have the experience and is only known for her anti-AIDS club participation in her school. Bulcha Demeksa (MP) backed the appointment of Tesfaye Mengesha and Rahel Tadesse but opposed Ermias Assefa.
Teshome Toga (MP), Speaker of the House, explained that the National Electoral Board sent the appointments with attached documents of the nominees by voting unanimously and that the House should disregard any unproven allegation of party affiliation or impartiality. He added that any claims should have been presented with evidences.
Even if Bulcha Demeksa (MP) asked to vote on each individual’s appointment, House Speaker Teshome did not accept the request. The House approved the appointment with 268 votes for, 97 objections and two abstentions.

EOC provides skills training for poor farmers

By Addis Mulugeta

The Ethiopian Orthodox Church-DICAC has given skills training for poor farmers in Goncha Siso Enessie, East Gojjam zone, Amhara Regional State, in a bid to improve living standards. The training was conducted for 30 individuals for 3 months over a period of three years. The terms of the training included poultry, water technicians and care committee, gender sensitization workshop, irrigation management, beekeeping, livestock management and horticulture.
Director of the project in east Gojjam, Mesfin Alemu, stated that the major tasks carried out in the project period were environmental rehabilitation activities like aforestation. Accordingly, the project director noted, the number of seedlings in the nursery site have increased year after year due to the increment of community interest. He added 2836 households have benefited from the service.
Physical soil bund construction, construction of gabion, check dams and biological establishment and running project nurseries, and soil and water conservation were planed and implemented.
After the area’s vegetation coverage increased in a protected area, wild animals are returning to their habitats. He also said that agricultural development activities like production and distribution of different vegetable seedlings and setting up a demonstration site to introduce different types of vegetables have been carried out with the aim of improving the feeding culture and income level of the target community.
One of the beneficiaries in this project, Bekele Asrat, told Capital that the trainings he received have helped him change his life as he now makes 3-4 thousand birr a year by cultivating vegetables in his backyard.
Regarding livestock development, artificial insemination services have been conducted for three years to increase milk production of the area, he noted. Two nitrogen containers have also been provided for the woreda agricultural office besides the provision of materials used for modern beekeeping and cross breed chickens in order to improve the egg and meat production.
The director explained that in order to support the educational sector, 300 combined desks have been provided for 5 schools and construction of 6 alternative schools in the year 2004 which helps to increase the participation of students in the woreda and gives a chance for the children to get education opportunity near their villages. Potable water supply, sanitation and hygiene are very low in the area. One of the indicators was that animals and humans use the same rivers or ponds for drinking, he said. He applauded that EOC-DICAC together with its partners constructed 18 hand dug wells and developed 11 springs.
A local resident in kebele 07 of Goncha Siso Enessie woreda, Bosae, expressed her gratitude for what the project has done to rescue them of the water related diseases that were so evident in the locality.
He further mentioned that a gravity water supply point was planned and implemented. HIV/AIDS prevention and protection, training of priests, anti AIDS-clubs and awareness creation workshops were among the trainings carried out in the area.
The director complemented the high community participation in the implementation of all developmental activities.

Ethiopian troops have withdrawn the key town, Guriel, Insurgent recaptured

By our staff reporter

The International media is reporting that Guriel, the northern town from Mogadishu, is now controlled by the insurgents, following the Ethiopian troops’ withdrawal of the town Friday night.
Ethiopian forces have left the town on Friday for an undisclosed reason.
Guriel, about 185 miles north of Mogadishu, had been a big Ethiopian military base that secured the road linking the two countries.
The town also was a stronghold of the Union of Islamic Courts UIC forces before they were pushed by the Ethiopian troops a year ago.
The BBC reporter in Guriel said that after the departure of the Ethiopian troops, four civilian bodies were found after battles between the insurgents and Ethiopian forces earlier Thursday.
Both the residents and political analysts seemed confused on the unexpected withdrawal of Ethiopian forces from the key cross-section town between Ethiopia and Somalia.
The insurgents are now controlling the town of Buriel and no explanations are given both from the Ethiopian and the transitional government of Somalia.

Protest continues against the stolen designs Ethiopia, still investigating

By Abiy Demilew

Controversy over rights was raised in the fashion industry after Matthew Williamson, a British celebrity designer, introduced two Ethiopian traditional costumes in his Spring/Summer ’08 collections.
As Ethiopian and African citizens all over the world continue protesting the designer’s action, a number of large media outlets in the UK and the US have also joined in providing media coverage developing the story.
It is to be recalled that the Ethiopian Embassy in the UK, notified by Ethiopians living in London, alerted the Foreign Ministry in Addis immediately, after which the Ethiopian government voiced its displeasure and ‘launched investigation’ over the attempt.
The controversy, ‘an internet war’, picked up pace and the designer was forced to defend himself.
The Independent, one of the largest U.K. papers, wrote “The British designer has been forced to defend pieces from his spring/summer ’08 collection after the Ethiopian government launched an investigation into how to protect its national costume.”
Capital examined the state of this investigation, and approached different professionals and bureaus here in Addis including the Ethiopian Intellectual Property Office, which had released the initial official protest over the breach of national heritage property rights.
“At the moment we have notified the Ethiopian Embassy in London to check whether the designer has been given an exclusive patent right by the British authorities,” a senior official at the Ethiopian Intellectual Property Office [EIPO] disclosed to Capital.
“This case is not an exception. We are facing challenges on various other cultural, traditional and intellectual properties of the nation that have been stolen in one way or another,” he added.
Even though efforts are underway to preserve cultural property rights, combating the challenges is still difficult as the EIPO has limited capacity to take action.
“We still have to study each nation’s Intellectual Property Rights and international declarations in order to have a meaningful impact on preserving this country’s cultural, traditional and intellectual rights,” declared our source who admits an absence of unity and integration among offices at different levels here in Ethiopia.
In a statement, Williamson’s spokesperson told The Independent: “Historically, Matthew Williamson bases his collections on the idea of a modern girl who is a global traveler. Her style is in part defined by incorporating many different cultures, traditions and customs. The spring-summer 2008 season was particularly inspired by the idea of modernizing and celebrating certain traditional African fabrics and costumes.”
Salsawit Tsega, designer and owner of a gallery in Addis Ababa, says will be delighted if Ethiopian traditional garments and costumes could be positively influential globally like those of the India and the Far East. “But the creators here have always been challenged in protecting their intellectual rights.”
Salsawit would have been more exited if Williamson had only taken the inspiration of the Ethiopian traditional clothes and came up with his own unique style. “Designers can always be inspired from different traditional and cultural reflections. But copying them directly is a crime against the rightful owners,” Salsawit told Capital.
Back in London, as Ethiopians and other Africans continued their protests, The Independent wrote “Residents of the third-world country have also expressed concern saying it is disrespectful to make money from a national costume. The dresses are replicas of those that are a staple in most Ethiopian women’s wardrobes, sparking outrage in the country’s online community. In a Facebook group dedicated to the issue almost a thousand members debate the morality of borrowing a country’s national costume, especially when that country is one of the poorest in the world. Traditional Ethiopian tailors – shemanne in Amharic – earn up to 200 Ethiopian Birr a month, the equivalent of £10, while the dress made by the Manchester-born designer priced at £895 would cost £30 if created by one of them.”
Elle, a popular fashion magazine, adds “It is good to keep in mind that traditional Ethiopian tailors earn up to 200 Ethiopian Birr a month, the equivalent of £10, while Williamson’s dresses are priced at £895.”
Capital is looking forward to the response of Matthew Williamson and his spokesperson, from whom comments were unavailable up until the end of the week owing to Christmas holidays.

Varnero to build Martyrs’ monument

By Groum Abate

Varnero Construction has signed an accord for the erection of the ‘Red Terror Victims Monument’, which is planned to be built at Meskel Square in Addis Ababa City.
Varnero signed the agreement with the Association for the Erection of Martyrs’ Memorial Monument that was launched on 27 Dec. 2007.
Association board chairman, Dagnachew Kassa and Deputy Manager of Varnero Construction Company, Adolfo Varnero, signed the accord on Wednesday to erect the monument within nine months.
He said over 9.4 million birr would be extended for the erection of the monument on 810 sq. meters of land. The stated sum was secured during a telethon held for the cause.
The monument, which comprises a building meant to rest the remains of the martyrs, a library, a museum, and other service rooms, would be erected in such a way that it would add to the beauty of the city.
Adolfo Varnero said on his part that his company is honored to erect the historical monument. Hence, the company would do everything possible to erect the monument as per the schedule.
M.H. Engineering, a private company that carried out design of the martyrs’ monument for free, will undertake the consultancy and monitoring services during the erection of the monument.

EEPCo contracts KOSPI for electrical appliances

By Groum Abate

The Ethiopian Electric Power Corporation (EEPCo) signed a 66.7 million birr contract agreement with Kombolcha Steel Products Industries PLC (KOSPI) providing for the manufacture and supply of electrification appliances.
EEPCO General Manager, Miheret Debebe and KOSPI General Manager, Terefe Mengesha signed the contract agreement representing their respective institutions.
According to the agreement, KOSPI will in eight months period manufacture and supply 200,000 cross arm and 30,000 electric cable tubes that would be used for the expansion of electric power in rural areas.
EEPCO General Manager, Miheret Debebe, said on the occasion that the agreement would play a role in saving hard currency and expand the role of local industries by minimizing dependency on foreign products.
Miheret also expressed EEPCo’s belief that KOSPI would efficiently discharge its responsibility and added that the corporation will provide the necessary assistance to KOSPI.
KOSPI General Manager on his part said that the company has previously signed two similar agreements with the corporation, and added that they will make all efforts to supply the appliances as per the agreement.
EEPCO planned to electrify 870 rural towns while its subscribers which stood at 1.3 million in 2005/06, rose by 270,000 last year. In the 2007/08 budget year, the Corporation has envisaged to expand its services subscribing 1.7 million households.
The corporation is now expanding its horizons to incorporate alternative forms of energy and begin exporting to neighbouring countries.
Huge hydroelectric dam projects are underway in Gibe, Tekeze, Beles and Amertineshi to expand the Corporation’s current capacity of 720mw in the coming few years. Construction works by foreign companies will be launched soon to export 300mw of hydroelectric power to Djibouti per annum.

Enderta farmers coop to import 12.4 mln USD fertilizer

By Muluken Yewondwossen

The Noble and Trustworthy House, the only sole agent of Yara France fertilizer company in Ethiopia, has signed an agreement with Enderta Farmers Cooperative Union Association to import twenty five thousand metric tons of urea fertilizers for 12.425 mln USD.
Enderta Farmers Cooperative Union Association is based in Tigray Regional State and distributes fertilizer to farmers in the region. A month ago the association signed an agreement with the same company to import 12.5 thousand metric tons of dap for 8 mln USD.
The fertilizer will reach Djibouti port until the beginning of February, 2008. That was stated at the signing agreement held on December 25, 2007. According to the association manager, the fertilizer will be distributed on time.
Similarly, the Noble and Trustworthy House has also agreed to import 600 thousand metric tons of fertilizer to Becho Woliso Cooperative Union Association for 15 mln USD and to Agricultural Product Improvement Enterprise for 38 mln USD.
The Noble and Trustworthy House is the first local private company to import and distribute fertilizers in Ethiopia. “Currently we are not distributing fertilizers to farmers because farmer’s cooperative unions started to buy on their own,” Dr. Bisrate Gebregziaber, owner and manager of the Noble and Trustworthy House, told Capital.
Enderta Farmers Cooperative Union Association was established four years ago. “We imported 25 thousand metric tons of dap fertilizer two years ago; this is the second time,” Kidu Woldesilassie, manager of Enderta Farmers Cooperative Union Association said. Kidu stated that their association mostly bought fertilizers from Sorene, Guna and other local farmer cooperative unions. “But now we have a capacity to import it ourselves,” he added.
According to Kidu, their association covers the entire area of Tigray and the fertilizer will be distributed on a minimum profit margin and on loan. He said that their association is currently dispatching 375 thousand quintals this crop season worth over 215 mln ETB to buy fertilizers in this production year.
Ethiopia will import 625,000 metric tons of fertilizers at a cost of 300 mln USD from different companies this year. Compared with last year, the price of fertilizers has increased by 100 per cent this year.
The company, which is internationally known for fertilizer production, has been working in Ethiopia for the last 14 years. Dr. Bisrate stated that so far 600,000 metric tons of fertilizers have been imported to Ethiopia.
Yara France, has 37 fertilizer producing companies and covers forty per cent of the world’s fertilizer supply. Ethiopia also imports 30 to 40 per cent of the fertilizer it uses from this company.

Businesses blast ministry over new cash register machines

By Groum Abate

The business community that gathered to discuss about a new cash register machine, protested against the Ministry of Revenue plans to implement the system.
The sales register machine can be defined as a technological innovation that registers and prints information regarding services and goods provision performed through trade activities for the machine users performing the trade and for the tax authorities concerning the tax that should be collected from the trade activities, and when necessary, to other bodies.
A complete sales register system includes cash register machine, point of sales machine, a GPRS terminal, a GPRS/GSM mobile network connection, and a server at Federal Inland Authority (FIRA) data center. The cash register alone or the point of sales with a fiscal printer alone is a sales registry machine.
The business community at the meeting held on Thursday, December 20, at the National Lottery, blasted the ministry about the machine and its use.
The business people said that the machine does have problems adding that if the machine malfunctions their businesses would stop until a technician arrives at the spot to maintain it. Furthermore, they raised their concerns that they would be in deep trouble if cashiers made a mistake.
The business community also raised their concerns that they would also be in trouble for they change their people at the register frequently and would have to train new people on the machines every time.
The Federal Inland Revenue Authority, under MoR, in a statement posted on its website said that realizing the importance of cash register machines for effective revenue collection, the country has incorporated the use of the machine in its tax laws. It further added that in the effort to incorporate the cash register machine in Ethiopian tax laws, the valuable experiences of Serbia, Tanzania, Philippines, Romania, Czech Republic and Kenya were used as an input. Delegates from the Federal Inland Revenue Authority have visited Serbia to benchmark the cash registry machine.
Solomon Berhane Fiscal Machines Project Manager at Petram Plc, the first local company to engage in importing the machine, told Capital that his company has a 24 hour service center if the cash registers malfunction. He added that the cash registers would not malfunction because they are brand new and would work properly for a long time.
According to the manager, the machine has also its own mechanism for typing errors that would be made by the cashiers, and would correct the errors.
Solomon further added that the machine also has a re-fund scheme that would allow the users of the machine to refund their customers.
In Ethiopia, the system will be first tried in selected business sectors in Addis Ababa. It will then be implemented throughout the country.

US Embassy warehouse fire

By Kirubel Tadesse

Medical supplies, vaccines and other equipment the US Embassy in Addis Ababa stores in its warehouse for donation to different hospitals were destroyed by fire.
The fire, which broke out around 21:30 on Friday December 21, 2007 destroyed property of monetary value yet to be determined. The cause of the fire is still unknown but unconfirmed reports suggest an electric short circuit has caused it.
An Embassy spokesperson told Capital that even if the loss is yet to be assessed together with the Ethiopian government; it is expected to be significant and added, “One large warehouse building was damaged in the fire. Lost property included home furnishings, medical supplies and equipment, vaccines and miscellaneous supplies.” The spokes person also added that some of the items lost were destined for hospitals in Ethiopia.
Sources from the Addis Ababa Fire Brigade confirmed that there were no injuries reported due to the fire.
Sources added that the fire took more than fourteen hours to put out, demanding more than ten fire trucks and emergency vehicles. It was reported that forty seven fire fighters were involved. The fire fighters used 221,000 liters of water and 5,300 liter chemical retardant to contain the fire.
Alongside the fire fighters, Addis Ababa Police and Federal Police,Civil Aviation fire brigade and emergency service officers and the Embassy’s staff participated in combating the fire.
“We are grateful to the brave Ethiopian firefighters. They responded quickly and did an excellent job bringing the fire under control,” said the embassy spokesperson. The spokes person also stated that the Embassy is seeking to replace many of the items that were lost, especially the medial equipment and medicines intended to benefit the people of Ethiopia.
The Embassy’s warehouse is located in Kirkos Sub City Kebele 02/03 near Ibex Hotel.

Telethon to promote Al Nejashi Mosque

By Muluken Yewondwossen

Ethio Investment Promotions Service has signed a contract agreement with Asehamate Nejashi Cultural and Educational Center Daruhijretel Ulla to facilitate a telethon for the construction around Al Nejashi Mosque holy tombs in Tigrai regional state, on December 27, 2007 at the Ministry of Youth and Culture hall.
According to Mohamed Ahmed, manager of Asehamate Nejashi Cultural and Educational Center Daruhijretel Ulla, the purpose of this construction is to promote historical and cultural values of the Al Nejashi mosque, to open a religious and non religious education center and to create economic advantages for the country. “According to the study we need 75 mln ETB,” Mohamed said at the contract signing ceremony.
The agreement included facilitating a telethon, trade fair, lottery and other ways of promotion. For this construction work Asehamate Nejashi Cultural and Educational Center Daruhijretel Ulla has already acquired land from Tigrai Regional State.
The telethon will be held on March 19, 2008 on the birth day of Prophet Mohammad (Moulid). According to the organizers, the telethon program will be held all over the world on the same day.
On the contract ceremony, Mohamoud Dirir, Minister of Youth and Culture, said that Ethiopia will host an international conference on Tourism for International Relations in 2009. He then pointed out that it would be a great opportunity to introduce our historical heritages like the Al Nejashi mosque to the rest of the world.
Asehamate Nnejashi Cultural and Educational Center Daruhijretel Ulla is a local NGO established four years ago. Al Nejashi mosque was built 1400 years ago.

Dire’s 105th birthday

By Groum Abate

Dire Dawa and a Chinese city will sign sisters’ city agreement in connection with the celebration of the 105th founding anniversary of the city.
Preparations to colorfully celebrate the anniversary of the city, due to take place next week on January 5, are being finalized, Mayor of the city’s provisional administration announced.
The Chinese delegation led by its mayor is expected to come to Dire Dawa during the celebration and sign the agreement.
The city administration has plans to raise funds during the celebration in order to build Dil-Chora Referral Hospital.
The Mayor Abdulaziz Mohammed said the founding anniversary is part of the millennium celebration.
Various committees were organized both in Addis Ababa and Dire Dawa cities with members comprising senior government officials, members of parliaments, business community, natives and friends of Dire Dawa.
The committees, among others, are organizing symposium, sport festivals, bazaar, telethon, and music concerts in order to colorfully celebrate the founding anniversary and raise funds for hospital construction.
The symposium in particular, aims at evaluating the development activities executed in the city over the past 16 years and discussing on future prospects.
A discussion with investors will also be organized to further promote the investment and tourism sectors, the mayor said.
Furthermore, there will be a forum among neighboring regional states on various issues.
Abdulaziz said the administration has made the necessary preparation to ensure security during the celebration.
He urged the public to contribute their share in the effort to colorfully celebrate a week-long anniversary and to actively participate in the fund raising activities to build the referral hospital.

Ethiopian Jews Demonstrate in Jerusalem

Abiy Demilew

Ethiopian Jews living in Israel are demonstrating against the Israeli Interior Ministry’s decision to end mass emigration from Ethiopia to Israel.
According to reports from Jerusalem, Ethiopian Jewish demonstrators marched on streets of Jerusalem this week. On Wednesday, in a protest embraced by more than 1,000 demonstrators, the march left from the Jerusalem International Convention Center and headed towards the Prime Minister’s Office, where the demonstrators blocked the street. Several attempted to break through the PMO fence.
Reports are showing that the Jewish Agency in Jerusalem is slated to stop its activities on immigration from Ethiopia by June, when the last group of immigrants issued with permits arrive in Israel, according to a government decision from 2006.
To date, some 30,000 Falashmura have immigrated to Israel, where they have undergone strict Jewish conversion. Despite efforts to bring the remaining Falashmura to Israel over the years, their numbers keep growing. At the moment, some 8,000 people claiming Jewish descent and asking to immigrate to Israel still populate camps in Gondar, Ethiopia, according official reports.
Jewish Agency officials told reporters in Jerusalem that the process has become rife with corruption and that many non-Jewish Ethiopians have claimed Jewish ties to immigrate to Israel, where they later revert to Christianity.
As the demonstrations continued, on Wednesday, Israeli Cabinet Secretary Oved Yehezkel agreed to receive a delegation of Ethiopian Jewish demonstrators for a meeting.
The protest’s organizers took issue with ministry figures that show that some 1,500 eligible Falashmura are still in Ethiopia, and all are expected to arrive to the country by next June.
Ethiopian immigrant associations claim that there are at least 8,500 others who are eligible to immigrate under the government’s criteria.
According to reports, both the Interior Ministry and the Jewish Agency, in contrast, charge that these 8,500 people are merely the tip of an iceberg comprising tens or even hundreds of thousands of Ethiopians who want to immigrate to Israel, and if the Israeli government were to accede to their demands, the flow would be endless.
Israel has absorbed some 30,000 Falashmura over the last decade despite having no legal obligation to do so, they said, and the time has come to put a stop to the matter.
“There are 8,500 people who left their homes and villages and came to Gondar [where the Israeli representatives are based] in the hope of immigrating to Israel,” said Avraham Negusa, who chairs these groups’ umbrella organization. “These are people who have parents, siblings and children already living in Israel. And now, along comes the interior minister and changes the policy.”
Jewish Agency officials also charged that the process is vulnerable to corruption, and in many cases, visa applicants have bribed Ethiopians already in Israel to claim them as first-degree relatives.

Daniel Bekele and Netsanet Demissie sentenced

By Muluken Yewondwossen

Daniel Bekele and Netsanet Demissie received a two-and-a-half year jail sentence on Wednesday, December 26, 2007 for inciting post-election violence in 2005, but will walk free within days as they have already served their prison time.The Second Criminal Bench of the Federal High Court found the pair “guilty of inciting violence and uprising against the government”.
Their defense lawyer said, however, they would be freed in three days.The Federal High Court on Wednesday handed down a two-and-a-half year sentence in jail to each. The term is to be counted from the day they were arrested.
Daniel and Netsanet were among the 131 individuals brought to court on charges of enciting violence and uprising following the 2005 parliamentary and regional elections. Following guilty verdicts and sentences of up to life in prison the other convicts including top CUD leaders were pardoned upon the pleas they submitted regretting their actions and promising to make up for it and never to engage in similar activities.
Before the Second Criminal Bench of the court handed down the sentence, the prosecution had demanded a punishment proportional to what it said was a serious crime, while the defense lawyer countered.
In its ruling, the court said the crimes Daniel and Netsanet had been convicted of committing could not be said as serious as what the prosecution claimed and “they do not appear dangerous to society”.
The court reserves the right to appeal of both the prosecution and the defense lawyer, though.The two persons were charged along with those who were convicted of treason but later freed after signing a letter of pardon. The two convicts chose not to ask a pardon and to pursue defending their cases. The Court passed guilty verdict on Daniel Bekele and Netsanet Demisse after changing the accusation from attempting to change the constitution and the constitutional order forcefully to a lesser charge of incitement on December 24, 2007.
It is to be recalled that the government pardoned leaders of the Coalition for Unity and Democracy (CUD) and other defendants convicted of treason after they were given life sentences by the court.
The prosecutor charged the two defendants for engaging their respective associations in anti constitutional acts, passing criminal decisions under the banner of the associations and agitating member’s of the association to carry out violence, among others.

Millennium hall exhibition postponed

By Muluken Yewondwossen

An exhibition that was scheduled to be held at the Millennium hall from December 29, 2007 to January 4, 2008 has been postponed.
According to our sources, more than three hundred producers and service companies were registered and awaiting the opening. Daniel Workshet, manager of Ethio Millennium 2000 Promotions Service and coordinator of the exhibition, said that the reason for the postponement is the Gregorian New Year music concert that will be held at the Millennium Hall on Monday December 31, 2007. Famous international and local artistes will perform in the concert that could be the last of the series organized by Addis Park at Millennium Hall. “We are not displeased with the circumstance as we will open the exhibition a week later,” commented Daniel.
According to Daniel, the participating companies will display their products for seven days from January 12, 2008.
Some companies registered to participate in the exhibition said that this Christmas Eve exhibition offered a better advantage than other times and that they would rather look for other exhibition centers than let it pass.
The exhibition program has been organized by Dedebit Sport Club and Ethio Millennium 2000 Promotions Service.
In related news, the Ethiopian trade fair and bazaar opened at the exhibition center on December 27, 2007 for eleven days.
According to Zewge Jemaneh, general manager of Century Promotion Service and organizer of the exhibition, there are 250 producers and service providers participating on this exhibition.
“Century Promotion Service has already paid 1.655 mln ETB for eleven days exhibition program to Addis Ababa Chamber of Commerce”, Zewge said.
President of the Addis Ababa Chamber of Commerce and Sectoral Associations, Eyesusworq Zafu, stated that this year’s event is unique in that it is organized in the Christmas of the millennium and farmers cooperative unions and micro and small-scale enterprises have participated.
He said the chamber has finalized preparations to build an up to standard exhibition center which benefits the business community, visitors and the country and links the metropolis with other African countries.
Organizer of the trade fair and bazaar, Century Promotions Service Manager, Zewge Jemaneh said over 250 micro and small-scale enterprises, farmers unions from Amhara and SNNP states and fifty companies from Syria, Egypt, Turkey and Pakistan, new enterprises, business agents and importers are participating in the trade fair.

AAU launches a new degree program

Abiy Demilew

The Addis Ababa University (AAU) and the Leather and Leather Products Technology Institute (LLPTI), on Wednesday signed a memorandum of understanding, to shuttle leather study in a degree program.
Andreas Eshete, President of AAU, at the ceremony said that this is a special opportunity for the university to contribute a meaningful share in the untapped leather industry of the country.
As per the agreement, the institution will admit the first 30 students of a degree program in the next academic year 2001EC.
Dr. Belay Woldeyes [Eng.], director of LLPTI, also expressed his hopes that AAU assigns the necessary human resources and facilitates research to produce a highly qualified task force in this special program.
Tadesse Haile, Minister of trade and industry, also expressed the government’s interest and readiness to integrate the textile and agro industries.
Established in 1993, Leather and Leather Products Institute (LLPTI) so far has graduated over 1,000 students at Diploma and Certificate levels.
LLPTI has also been engaged in providing several short-term trainings since 2002 E.C. producing over 2,000 students to the sector suffering a shortage of skilled manpower.
The institute is currently training 283 students at diploma level.
LLPTI was established with the objective of producing the necessary skilled manpower to meet the demand in the sector and ensure the sector’s international competitiveness.
The two parties signed the agreement represented by Dr. Andreas Eshete, President of AAU and Dr. Belay Weldeyes, on the part of LLPTI.