Africa’s
busy week in Addis Ababa Ministry of Finance assumes tariff regulation
By Kirubel Tadesse
Aiming to protect emerging industries from being driven out of
the market by imported foreign products, the Council of Ministers
has been the responsible body to impose custom tariff whenever it
finds it necessary as per Proclamation No. 67/1993 article 4. But
according to the committee which was studying best practices on
custom tariff, the Ministry of Finance and Economic Development
is better suited for the job.
Second largest flower farm budding
By Muluken Yewondwossen
The signing agreement for the second largest flower and horticulture
investment project in Ethiopia, valued at 1.5 billion ETB, was held
on Monday January 28, 2008 between Oromia Investment Office and
Shadi plc..
According to Legesse Geleta, a senior expert in Oromia Investment
Commission, this kind of investment is the first near Ambo town
of West Shoa Zone. He added that the project is the second largest
flower investment in the country next to the south east Oromia based
Share Ethiopia, a Dutch investment near Zeway town.
World Bank – poor being left behind
By Groum Abate
World Bank-financed projects to bring electricity to rural areas
around the globe shortchange the poorest of the poor, according
to a study by the bank’s independent evaluation unit.
The study, due to be released today, finds that electric grids expand
mostly to areas near urban clusters, rarely to more-remote areas
where people live on less than $1 a day. In rural villages that
do have electricity, as many as 20% of villagers may go decades
without hooking up to power because of connection charges that can
range from $100 to $300.
ETC warns of failure in Internet services
By Abiy Demilew
The Ethiopian Telecommunications Corporation (ETC) last Thursday
warned that Internet service in the country is facing delays, as
of January 31, 2008, due to the severing of a 155MB sub-marine cable
ETC uses as its international link.
In a press release ETC sent, the problem has occurred internationally
covering most of the Middle East, India and its surrounding countries,
after the sub-marine cables crossing the Mediterranean Sea were
damaged. Another cable off Dubai has also mysteriously gone down.
Former CUD elects supreme council members
By Kirubel Tadesse
Losing the party’s name to Ayele Chamiso’s group and
its election emblem to Lidetu Ayalew’s (MP) party, the former
Coalition for Unity and Democracy, which is now operating as two
separate groups; one led by Engineer Hailu Shawl and the other by
first vice president Birtukan Medeksa, has elected sixteen new members
for its supreme council in the presence of nine out of fifteen executive
committee members.
House approves five judges including former
MP Opposition MP claims ethnic imbalance
By Kirubel Tadesse
The House of People’s Representatives has approved the appointment
of five judges who will preside at the Federal Supreme Court.
Accepting Prime Minister Meles Zenawi’s request for approval
of the appointment of the five individuals, which were first nominated
to the PM by The Federal Judges Administration Assembly, the House
voted 258 in favor, 26 against and 30 abstaining.
WASH Ethiopia commits to stamp out health
related problems
By Addis Mulugeta
WASH Ethiopian Movement (WEM) commits to stamp out health related
problems in various parts of the country. Amhara Regional State
is one of the focus areas of WEM, in which the vast majority of
the people live in rural areas and sanitation, hygiene and water
quality are a critical problem in the region.
WEM has been working, with financial support from the World Bank,
in the region to eradicate these problems with South Achefer Woreda’s
15 kebeles among the beneficiaries.
India-Africa march together in new world
trade order
By Abiy Demilew
Anand Sharma, State Minister for External Affairs of India, has
stated that India and Africa are joining hands in various cooperation
arenas to achieve meaningful position in the new world trade order.
Speaking to the Executive Council of the African Union, here in
Addis Ababa on Tuesday, Anand Sharma announced that India and Africa
have a vision of partnership for the 21st century, to develop a
new paradigm of cooperation taking into account Africa’s own
aspirations for pan-African institutions.
Carter Center Ethiopia budgets 32 mln ETB
on tropical diseases
By Addis Mulugeta
The Carter Center Ethiopia has set a lump sum budget of 32,691,148
birr to efforts towards hitherto neglected tropical diseases, for
this fiscal year in various parts of the country.
Director of Programs and Deputy Country Representative of Carter
Center Ethiopia, Dr Estifanos Biru Shargie, disclosed that the Center
has been focusing on disease related problems of Malaria, Trachoma
and Guinea Worm that adversely affect the life of people in different
parts of the country from 2006 onwards. Currently, the Center addresses
150 Woredas in various parts of the country, especially in western
zones of South Nations Nationalities and Peoples (SNNP), Oromia,
Amhara, Bench Maji, Keffa and Illubabur.
IMF revises global growth forecast
By Kirubel Tadesse
The International Monetary Fund (IMF) has revised its forecast
for global economic growth for 2008. Even if the revised version
lowers growth forecast, it is well short of being a global recession.
The IMF calls it a significant global slowdown.
For the major developed economies, the IMF predicts continued, but
much weaker, growth this year. The new forecast for global economic
growth this year is 4.1%, after nearly 5% last year. According to
the IMF, there is a very sluggish period ahead for the main rich
countries. It is predicted that by the final quarter of this year,
annual growth in the US will be below 1%.
Saving institution combats primitive adage
By Addis Mulugeta
Amhara Credit and Saving Institution (ACSI) disclosed that it
has vowed to fight the traditional adage “either the creditor
or debtor may die”. The institution works to replace it with
strong conviction that this is not true and that people do live
to repay loans.
The world faces unprecedented food shortages
By Abiy Demilew
Dr. Joachim Von Braun, Director General, International Food Policy
Research Institute (IFPRI) announced that the world is facing a
historical and unusual food shortage not seen for about 30 years
with a dramatic food price escalation.
In an exclusive interview with Capital this week, senior economist,
Dr. Joachim Von Braun said currently, the world food situation has
changed dramatically with the lowest level of food storage in stocks.
iAbesha.com offers online recruitment
By Kirubel Tadesse
iAbesha.com, a newly launched website, offers Ethiopians at home
and in the diaspora the opportunity to look for jobs and create
their own Curriculum Vitae (CV) web page free of charge. The website
is owned by Ethiopian born Swede, Maria Zerihoun.
UNMEE extends mandate for six months
By Abiy Demilew
The United Nation’s in Ethiopia and Eritrea, UNMEE, announced
the extension of its mandate in the disputed Ethio-Eritrean border,
for the next six months, after members of the Security Council voted
for the extension, on Wednesday, calling on the two east African
nations to show maximum restraint and refrain from any threat or
use of force.
PSI launches STD kit
By Abiy Demilew
Population Service International Ethiopia, a local representative
of Population Service International PSI, has launched the first
pre-packaged treatment kit, Addis Cure, for the management of sexually
transmitted infections, at Global Hotel last monday.
PSI is engaged in non-profit social marketing work and operates
in nearly 60 countries.
Childhood nutrition linked to increased productivity
By Groum Abate
Feeding very young children a high-energy, high-protein supplement
leads to increased economic productivity in adulthood, especially
for men, according to a study published in the current issue of
The Lancet, a leading medical journal.
Boys who received the supplement, known as atole, in the first two
years of life earned on average 46 percent higher wages as adults,
while boys who received atole in their first three years earned
37 percent higher wages on average. Those who first received the
supplement after age three did not gain any economic benefits as
adults.
|
Africa’s
busy week in Addis Ababa Ministry of Finance assumes tariff regulation
By Kirubel Tadesse
Aiming to protect emerging industries from being driven out of
the market by imported foreign products, the Council of Ministers
has been the responsible body to impose custom tariff whenever it
finds it necessary as per Proclamation No. 67/1993 article 4. But
according to the committee which was studying best practices on
custom tariff, the Ministry of Finance and Economic Development
is better suited for the job.
In most benchmarked countries the committee members visited, it
is the Ministry of Finance that is responsible for regulating custom
tariff, the committee explains. “Calling on the Council of
Ministers whenever a proposed custom tax fails to result in the
desired target due to working procedures of the Council,”
added the committee.
According to the proclamation presented to the House of People’s
Representatives (HPR) in its 15th regular session on Thursday, January
31, 2008, amending the international convention on the harmonized
commodity description and coding system ratification proclamation
is necessary. The proclamation proposes that the existing provisions
of Article four of the 1993 proclamation be re-numbered as sub-article
(1) and a new sub article which allows the councils of ministries
to transfer the authority of determining custom tariff is included.
“The Ministry of Finance and Economic Development may determine
customs tariffs in accordance with the power of delegation given
to it by the Council of Ministers,” states the amendment bill
proposed to the HPR, to be part of the 1993 bill as sub article
2 of article 4.
One Member of Parliament (MP) expressed his concern that imposing
customs tariffs in general is not in the best interest of Ethiopian
buyers. “Since imposing custom tariff only forces buyers to
pay more for the products after likely price adjustments following
customs tariffs,” explains the MP, “it is not the foreign
producers we will put a burden on but rather the buyers. It should
also be noted that professionals from the World Bank, International
Monetary Fund or trading agreements of World Trade organization
do not advise such measures.”
Before the House sent the bill to Trade and Industry, Budget and
Finance as well as Legal affairs standing committees, Temesgen Zewdie
(MP) urged the Standing Committees to check if the constitution
provides the authority of determining Custom Tariff to the HPR or
another body. The HPR sent the bill to the standing committees by
majority vote.
The House also endorsed the minutes of its 10th and 11th regular
sessions; it also endorsed the bill providing for the ratification
of a nuclear weapons free Africa agreement and a bill providing
for amendment of the proclamation establishing the Ethiopian Commodity
Exchange Authority, also by majority vote.
It also referred the bill providing for the ratification of a general
cooperation agreement signed between Ethiopia and Spain to the foreign,
defense and security affairs standing committee.
Second largest flower farm
budding
By Muluken Yewondwossen
The signing agreement for the second largest flower and horticulture
investment project in Ethiopia, valued at 1.5 billion ETB, was held
on Monday January 28, 2008 between Oromia Investment Office and
Shadi plc..
According to Legesse Geleta, a senior expert in Oromia Investment
Commission, this kind of investment is the first near Ambo town
of West Shoa Zone. He added that the project is the second largest
flower investment in the country next to the south east Oromia based
Share Ethiopia, a Dutch investment near Zeway town.
Shadi plc is a Dutch and Indian joint venture with a capital of
1.5 bln ETB and aims to produce flowers on four hundred and ten
hectares. According to Legesse the project will create job opportunities
for more than six thousand employees.
Alemu Semae, the Commissioner of Oromia Investment Commission, said
at the signing ceremony that this investment encourages other investors
in the area. He mentioned that horticultural investment was weak
in the area and that this could be a major step in changing that
trend.
The President of the Ethiopian Horticulture and Flower Association
(EHFA), Tsegaye Abebe, told Capital that around seventy two companies
in the country exported flowers in 2007 and that the number is fast
approaching eighty. He also mentioned that 125 mln USD was earned
from the export. “We have a plan to double exports this year,”
Tsegaye added.
In a related development, Prime Minister Meles Zenawi held discussions
with flower exporters at his office on January 28, 2008. Meles said
that the government would scale up on-going efforts to search for
more international markets. The government would attach due attention
to expand the country’s flower export market to Russia, Japan
and Far Eastern countries in addition to the Netherlands and Germany.
Meles assured participants that the government is ready to provide
all the necessary incentives for those investors who would want
to be engaged in the sector. He also affirmed the government’s
commitment to solve any land and finance related problems in the
sector. He said it would also provide due attention to the provision
of short and long term trainings with a view to alleviating the
shortage of professionals. In addition to the floriculture sector,
Meles went on to say, the government would provide attention to
the fruit and vegetable sectors.
World Bank – poor being
left behind
By Groum Abate
World Bank-financed projects to bring electricity to rural areas
around the globe shortchange the poorest of the poor, according
to a study by the bank’s independent evaluation unit.
The study, due to be released today, finds that electric grids expand
mostly to areas near urban clusters, rarely to more-remote areas
where people live on less than $1 a day. In rural villages that
do have electricity, as many as 20% of villagers may go decades
without hooking up to power because of connection charges that can
range from $100 to $300. Credit markets rarely operate in such places,
so few villagers can get loans that would spread the cost over years.
The evaluation group looked at 120 World Bank-financed projects
since 1980 designed to increase rural electrification. In Indonesia,
the percentage of rural areas reached by electricity increased to
85% in 2003 from 33% in 1981, in good measure because of such projects.
But an emphasis on cost-effectiveness means that many poor villages
are less likely to be connected.
“There’s a balance that needs to be struck between cost-effectiveness
and reaching those with greatest need,” said the report’s
author, Howard White. In Peru, for instance, the government sought
to emphasize the poorest rural communities, but changed that focus
when the choice of villages became a political battle. Now it looks
at what is the most efficient way to boost rural electrification,
which often means expanding outward from urban areas. The report
praised some countries that started credit programs to help with
connection fees. Morocco allowed rural consumers to pay over seven
years, while Ethiopia, for a time, spread the payment over five
years. The Ethiopian program boosted the number of connections in
electrified villages by 20%.
For rural communities, the advent of electricity can change centuries-old
patterns. Villagers use the electricity first for lighting and second
for TV, the report found. The latter is associated with a reduction
in family size — a long-sought goal. The median rural family
had 0.6 fewer children after electrification than before, the report
said. The report cites two possible explanations for how television
helps achieve this. One is that villagers learn about contraception
by watching soap operas and informational programs. Then “there’s
the ‘Leave me alone, there’s something good on TV’
argument,” said Mr. White. Surveys suggest the first theory
is correct. Another big gain from electrification is that it allowed
schools and health clinics to stay open longer. Additionally, people
living in homes with electricity, on average, stayed up an hour
to 1.5 hours later than other families. That gave kids more time
to do their homework.
ETC warns of failure in Internet
services
By Abiy Demilew
The Ethiopian Telecommunications Corporation (ETC) last Thursday
warned that Internet service in the country is facing delays, as
of January 31, 2008, due to the severing of a 155MB sub-marine cable
ETC uses as its international link.
In a press release ETC sent, the problem has occurred internationally
covering most of the Middle East, India and its surrounding countries,
after the sub-marine cables crossing the Mediterranean Sea were
damaged. Another cable off Dubai has also mysteriously gone down.
The cable failure is impacting 70% of the Egyptian Internet service
network and 60% of the Indian network coverage while UK based organizations
including British Airways are reporting their call centers have
been victimized by the network failure, according to ETC
Internet speed delays have also impacted United Arab Emirates, Kuwait
and Saudi Arabia in which at least two internet service operators
in Dubai have faced the same failures, ETC disclosed.
Regional service providers are still unable to identify the cause
of the disconnection. Some reports are showing that the sub-marine
cable connecting South Eastern Asia, the Middle East and Western
Europe, was damaged by a docking ship close to the port of Alexandria
in Egypt.
Some international telecom experts estimate the maintenance of these
cables would take about one week. Until the linkage is fixed, Ethiopia
will also face speed failures on its Internet service.
ETC currently uses a satellite link with a capacity of 50MB for
its international connection and 34MB capacity in its link across
Djibouti. The corporation is currently working to broaden its services
and upgrade the capacity of the satellite link to 200MB per second
besides upgrading the link across Djibouti to 155MB per second,
according to ETC.
ETC believes that when the upgrading is finalized, the corporation
will still have a sustainable capacity of connections even if such
accidents occur in the future.
The state owned and only service provider in Ethiopia, ETC, announced
that the corporation is closely monitoring the interruption, which
occurred for the first time and will inform the public on development.
Being the only Telecom service provider, ETC currently has more
than 31.000 Internet subscribers with more than 1,215,032 mobile
phone subscribers, operating in 883 service stations and employs
more than 11,489 employees around the nation.
ETC currently earns more than 1,037.5 Million Birr operating revenue
and 594,317,667 Million Birr gross profit from various services
it provides.
Former CUD elects supreme
council members
By Kirubel Tadesse
Losing the party’s name to Ayele Chamiso’s group and
its election emblem to Lidetu Ayalew’s (MP) party, the former
Coalition for Unity and Democracy, which is now operating as two
separate groups; one led by Engineer Hailu Shawl and the other by
first vice president Birtukan Medeksa, has elected sixteen new members
for its supreme council in the presence of nine out of fifteen executive
committee members.
Sources told Capital that the sixteen new members of the supreme
council include Professor Mesfin Woldemariam, who did not want to
be part of any leadership and twelve Members of Parliament including
Temesgen Zewidie (MP). According to the source, the four members,
including Prof. Mesfin and Aserat Tase were elected out of twelve
nominees presented from the Birtukan’s group and the MPs were
nominated from the Temesgen Zewidie (MP) group, which is now participating
in the House of People’s Representatives as parliament group
after Ayele Chamiso won the legal battle for the name ‘CUD’.
The election of the supreme council members came after the meeting
of the supreme council members which were originally elected in
the May 2005 national elections, ordered the executive committee
to elect new members.
Even if some members of the executive committee are too missing,
sources explain that nine out of an original fifteen attended the
appointment of the sixteen new members of the supreme council. According
to the sources, the final appointment of the members was decided
in a meeting held on Friday, February 1, 2008.
The sixteen elected members are to replace the council’s members
which have spent more than six months abroad, and those who informed
their decision of retiring from the party. They are also to replace
the members of the council which withdrew from the coalition along
side Lidetu Ayalew (MP) to continue in their won original party.
Even if sixteen new members are elected and eighteen to twenty others
are working with the Birtukan group and some with Engineer Hailu,
many are still missing but the source explains that Birtukan’s
group want first to finalize any possible reconciliation or talks
of a split before replacing the remaining members. The executive
and supreme council members who are working under Engineer Hailu
didn’t participate in the nomination or election of the sixteen
members of the council.
Sources also explain that Birtukan Medikisa and Temesgen Zewidie
(MP) are expected to give the first joint press conference stating
the appointment of the supreme council members and the possible
process of forming a new party.
House approves five judges
including former MP Opposition MP claims ethnic imbalance
By Kirubel Tadesse
The House of People’s Representatives has approved the appointment
of five judges who will preside at the Federal Supreme Court.
Accepting Prime Minister Meles Zenawi’s request for approval
of the appointment of the five individuals, which were first nominated
to the PM by The Federal Judges Administration Assembly, the House
voted 258 in favor, 26 against and 30 abstaining.
Gebru Gebremariam, opposition Member of Parliament, pointed out
that two of the nominees are from the same ethnic group, referring
to Medhin Kiros and Tsegaye Assemamawe of Tigray. “In a nation
where there are more than eighty nations and nationalities, why
is that we could not represent them fairly by at least offering
one of the positions to other nations or nationalities?!”
Gebru asked.
An Ethiopian People’s Revolutionary Democratic Front, (EPRDF),
Member of Parliament replied to Gebru’s comment that Article
81 Sub 2 of the FDRE constitution states that the appointment of
judges should only be evaluated with qualification measures such
as law education or experience in practicing law, age and will to
respect the country’s constitution and others but not by ethnicity.
“Just by chance, the distribution of our judges in federal
or other level is a fair one when we evaluate it in ethnic representation
wise but, that is not achieved intentionally since the law clearly
states do not base ethnicity as criteria,” explained the MP,
“stating such suggestions which may lead the public to misunderstanding
should be corrected and any concerns should be first carefully checked
with what the law and the actual figure says.”
Bulecha Demeksa (MP) commenting on the educational background of
the nominees stated that the standard of the Civil Service College
is to be questioned since three out of the nominees completed their
studies in the college. “It could be the fact that most of
the judges preceding in the courts are from this college that problems
are occurring in the country’s justice system,” Bulecha
expressed his concern.
“Civil Service College is like all other education institutions
which have the required accreditation and credibility,” replied
the EPRDF MP,” claiming that the college graduates are the
ones who are messing up the justice system is unfounded.”
Bulecha quickly asked the House to correct what he claimed is a
serious misquote as did Gebru, for replies to his comment.
Summing up the discussion and arguments, Teshome Toga, Speaker of
The House, explained that he is letting some MPs to say and state
comments and suggestions for the sake of smooth discussions, which
aren’t supported with evidence. He urged all the MPs to support
their statements and assertions with evidence.
Medhin Kiros, Alemawe Wole, Belachew Anehiso, Kedir Ali and Tsegaye
Assemamawe who served as MPs between 2000- 2005 are the judges approved
by the House.
WASH Ethiopia commits to stamp
out health related problems
By Addis Mulugeta
WASH Ethiopian Movement (WEM) commits to stamp out health related
problems in various parts of the country. Amhara Regional State
is one of the focus areas of WEM, in which the vast majority of
the people live in rural areas and sanitation, hygiene and water
quality are a critical problem in the region.
WEM has been working, with financial support from the World Bank,
in the region to eradicate these problems with South Achefer Woreda’s
15 kebeles among the beneficiaries.
Head of South Achefer Health Center, Gojjam Abere, explained during
an interview with journalists that there were challenges from the
community in the beginning; they were not amenable to the idea of
using toilets and the separation of cattle pans from living quarters.
Meanwhile, WEM has trained influential individuals from among teachers,
agriculture and health workers to teach the community in order to
bring social and behavioral changes in sanitation, hygiene and cleaning
water. However, gradual behavioral change has developed.
Amber Kush and Kuntishe Dawit are among kebeles benefiting from
improved sanitation and hygiene by toilet construction, separation
of cattle and human shelters, using smokeless kitchen, cleaning
their compound and keeping their children’s health related
diseases. They have even become a model for neighboring Woredas.
The World Bank’s consultant in Ethiopia, Kebede Faris, says
WASH Ethiopia Movement (WEM) is a coalition of representatives from
governmental, non-governmental and faith-based organizations, UN
agencies, the media and the private sector, standing together to
eradicate health problems related to water quality, sanitation and
hygiene and to promote improved behavioral and social change in
various rural communities under the motto “Your Health is
in Your Hands.” The initiative has been launched a month ago
with an annual budget of 600,000 birr to tackle various health related
problems.
One of the beneficiaries in Kuntishe Dawit Kebele, Adeba Seneshaw,
pointed out that there were a number of problems in his Woreda previously.
People were being affected by killer diseases like malaria poisoned
water due to the problem of sanitation, hygiene and water supply.
He said that health related diseases have now been eradicated with
the cooperation of residents, the Woreda health center, WEM and
government bodies.
Another beneficiary is Baby Atnkut in Ahuri Kebele who is grateful
for the movement’s efforts that have provided them with better
sanitation and hygiene facilities such as the use of toilet facilities,
though potable water supply has not ye
India-Africa march together
in new world trade order
By Abiy Demilew
Anand Sharma, State Minister for External Affairs of India, has
stated that India and Africa are joining hands in various cooperation
arenas to achieve meaningful position in the new world trade order.
Speaking to the Executive Council of the African Union, here in
Addis Ababa on Tuesday, Anand Sharma announced that India and Africa
have a vision of partnership for the 21st century, to develop a
new paradigm of cooperation taking into account Africa’s own
aspirations for pan-African institutions.
“We believe Africa too is moving forward on eradicating poverty
and creating employment and a better life for the people and has
become an important part of the emerging world trade order, like
India”, Sharma told the summit.
Sharma also confirmed India’s commitment to the development
and industrialization of Africa. “We engage through revolving
lines of credit, capacity building programs, small development projects
under our aid assistance programs and support to objectives of African
countries and regional organizations to fulfill the Millennium Development
Goals”, he affirmed.
In an exclusive interview with Capital, Anand Sharma, a former Indian
youth movement leader against apartheid, affirmed that his country’s
support to Africa’s industrialization has been consistent
and valuable. “Private sector investment from India is growing
in Africa and these investors contribute to the building of local
capacities, the creation of employment, utilization of local resources
and to intra-African trade as well as exports”, Sharma told
Capital.
According to the Minister, his country would stand as a true partner
to strengthen this partnership through supporting the ability of
African entities, “to utilize their resources better, to add
value and to obtain a larger share from the emerging world trade
order.”
Anand Sharma also told Capital that the wide ranging cooperation
and developing partnerships include human resource development,
health, capacity building and ICT utilization; all of which he hopes
will be symbolized in the Pan-African e-Network Project. “We
hope to take this experience to a new level”, he added.
Sharma recalls India has been engaged in developing an Africa-wide
dialogue besides developing programs of action with the regional
economic networks like SADC, COMESA, EAC and ECOWAS.
“The idea of the India-Africa forum came up during the outgoing
Chairperson of the African Union, Alpha Omar Konare’s visit
to India in December 2006" Sharma remembers. The joint committee
established then has already met twice, including with the permanent
representatives of the member states, to work out the details of
the Forum, according to the State Minister.
The Indian government has decided to host the India-Africa summit
in New Delhi in April, 2008 while the participation and the format
of the summit has been decided in consultation with the African
Union Commission and the permanent representatives of the member
states, according to Anand Sharma.
Asked which areas score a special focus of the action plan of the
agreement, State Minister Sharma noted human resources, institutional
capacity building, education, science and technology, agricultural
productivity and food security, industrial growth including small
and medium enterprises and minerals, development in the health sector,
infrastructure, ICT and the establishment of a judicial system with
police and defense establishments under civilian control are to
be given special attention.
Here to attend the 10th ordinary session of the African Heads of
States Summit, Anand Sharma has held talks with Prime Minister Meles
Zenawi and the outgoing president of the AU, John Koufour, President
of Ghana.
Carter Center Ethiopia budgets
32 mln ETB on tropical diseases
By Addis Mulugeta
The Carter Center Ethiopia has set a lump sum budget of 32,691,148
birr to efforts towards hitherto neglected tropical diseases, for
this fiscal year in various parts of the country.
Director of Programs and Deputy Country Representative of Carter
Center Ethiopia, Dr Estifanos Biru Shargie, disclosed that the Center
has been focusing on disease related problems of Malaria, Trachoma
and Guinea Worm that adversely affect the life of people in different
parts of the country from 2006 onwards. Currently, the Center addresses
150 Woredas in various parts of the country, especially in western
zones of South Nations Nationalities and Peoples (SNNP), Oromia,
Amhara, Bench Maji, Keffa and Illubabur.
He said that last fiscal year the Center budgeted 30,993,064 birr
to tackle neglected tropical diseases and utilized 23,290,700 birr
of it. On the other hand, the Center has out laid 66 million birr
for eye surgery.
Research documents indicated that in just the Amhara region alone,
645,000 individuals have been affected by Trachoma. The Carter Center
Ethiopia has a five year plan to eliminate this and other related
diseases, budgeting 146 million birr.
Dr Estifanos commended that Malaria and Trachoma have negative consequences
on the development process of any country. Especially, from October
- December and April-May, the spread of malaria is much higher than
at other times of the year.
He added that the Lions Club, the government, the International
Trachoma Initiative (ITI) and Psizer Medicine Organization are among
Carter Center Ethiopia’s partners working together to tackle
neglected tropical diseases.
IMF revises global growth
forecast
By Kirubel Tadesse
The International Monetary Fund (IMF) has revised its forecast
for global economic growth for 2008. Even if the revised version
lowers growth forecast, it is well short of being a global recession.
The IMF calls it a significant global slowdown.
For the major developed economies, the IMF predicts continued, but
much weaker, growth this year. The new forecast for global economic
growth this year is 4.1%, after nearly 5% last year. According to
the IMF, there is a very sluggish period ahead for the main rich
countries. It is predicted that by the final quarter of this year,
annual growth in the US will be below 1%. Developing economies are
predicted to grow more slowly than last year, though still quite
robustly in many cases.
While projecting growth of above four per cent for the global economy,
the IMF said there was a risk that the ongoing turmoil in financial
markets would further reduce domestic demand in the advanced economies
with more significant spillovers into emerging market and developing
countries.
“Despite some slowing of export growth, emerging market and
developing countries have thus far continued to expand strongly,
led by China and India,” explains IMF, “These countries
have benefited from the strong momentum of domestic demand, more
disciplined macroeconomic policy frameworks, and in the case of
commodity exporters, from high food and energy prices.”
Growth in emerging market and developing countries is also expected
to ease, moderating from 7.8 per cent (annual basis) in 2007 to
6.9 per cent in 2008. In China, growth is projected to decelerate
from 11.4 per cent to 10 per cent, which should help alleviate overheating
concerns.
One exception to the pattern of slowing growth in the forecast is
Africa. According to the IMF, growth in Africa is projected to pick
up to 7.0 per cent from 6.0 per cent in 2007. IMF economists say
that reflects high prices for many of the commodities exported by
African countries, improved economic polices and the fact that the
continent is less exposed than Asia, for example, to problems in
international financial markets.
Saving institution combats
primitive adage
By Addis Mulugeta
Amhara Credit and Saving Institution (ACSI) disclosed that it
has vowed to fight the traditional adage “either the creditor
or debtor may die”. The institution works to replace it with
strong conviction that this is not true and that people do live
to repay loans.
ACSI has been ranked first among 50 of Africa’s best and sixth
in the world among 641 Microfinance Institutions (MFI), after ASA
Bangladesh, Bandhan (Society and NBFC) India, Babnco do Nordeste
in Brazil, Fundacion Mundial de la Mujer Bucaramanga in Colombia
and FONDEP Micro-Credit of Morocco ranked in order by Forbes Magazine.
This achievement is the result of the smooth relationship between
creditors and depositors and strong management system, ACSI Managing
Director Mekonnen Yeleumwosen explained at a press conference in
Bahirdar.
The Managing Director said that ACSI is one of the world’s
most competitive institutions, in terms of marketing, investment,
efficiency of the institution and risk taking and has been accorded
two other international awards in one year.
He added that one of the awards was from Directions Organizations
of New York, an international business initiative based in Madrid
and the second from Geramin Microfinance Foundation based in Washington,
USA.
The criteria for being eligible for the awards were, number of creditors
and depositors, area covered, and the payback efficiency of creditors.
ACSI has up to around 593,000 active creditors and 280,000 depositors
with 3224 kebeles and Woredas covered.
The world faces unprecedented
food shortages
By Abiy Demilew
Dr. Joachim Von Braun, Director General, International Food Policy
Research Institute (IFPRI) announced that the world is facing a
historical and unusual food shortage not seen for about 30 years
with a dramatic food price escalation.
In an exclusive interview with Capital this week, senior economist,
Dr. Joachim Von Braun said currently, the world food situation has
changed dramatically with the lowest level of food storage in stocks.
“The world is short in food; the markets are very tight and
very nervous about that. Food prices have doubled only in the last
24 months. This is good news for farmers who have something to sell
and this is bad news for consumers of rural and urban areas including
Ethiopia” Dr. Joachim said.
The expert sees different factors are driving the world in to a
perfect storm. “The basic factors are high demand and high
income growth all over the developing world especially in China,
India and Ethiopia.” High energy prices and fertilizers made
inputs very expensive raising the cost of food production and food
prices, he believes. “The other big new factor is the bio-fuel
production which includes petrol, ethanol and diesel from plants,
that has increased the demand on agriculture tremendously,”
Dr Joachim reveals.
On the supply side, the very fundamental reason is the world has
not invested enough on new ideas and innovations for productivity
increases, according to Dr. Joachim. “What we are seeing now
is reduced supply and more and more demand of food in the markets”
he added.
Dr. Joachim told Capital that Ethiopia is one of the countries with
faster economic growth in the world. “As part of the world,
the food price escalation in Ethiopia is occurring due to the demand
increase of food products raised by high economic growth”
he affirms.
The expert believes that the newly introduced commodity exchange
market system will play a positive role in stabilizing the market
and addressing the major economic challenges of demand and supply.
“Ethiopia should also think about investing on new ideas and
innovations like Ethiopian Commodity Exchange – ECX, to increase
sustainable productivity in the agriculture sector and to tackle
the challenges of food shortage situation and price escalations
in the markets.”
iAbesha.com offers online
recruitment
By Kirubel Tadesse
iAbesha.com, a newly launched website, offers Ethiopians at home
and in the diaspora the opportunity to look for jobs and create
their own Curriculum Vitae (CV) web page free of charge. The website
is owned by Ethiopian born Swede, Maria Zerihoun.
Maria told Capital that she has spent about 150 thousand ETB Croner
and involved software developers and other ICT professionals from
India and Sweden to prepare the webpage. “We had planned to
launch the website back in September 2007 for the millennium celebrations
but we couldn’t finalize it. We are currently promoting it
only in Ethiopia but since we offer the service for Ethiopians in
the diaspora too, soon we will shift the publicity to that part
of our target users,” explained Maria, “what makes our
site unique is that it has a professional look and aspiration. You
will be able to present your competence in a professional context
and also enlarge your contact surfaces within the Abesha community.”
“Today, one way or another, we are forced to use, work and
look for anything we want online. It is becoming mandatory in almost
all business interactions in most parts of the world. So if we are
looking for a job or opportunities, we need to expose our educational
status, experience and other qualifications we have online so that
interested companies or organizations can access it,” added
Maria. Stating her own experience as a photographer, Maria explains
that despite the presence of a huge number of talented professional
photographers in Ethiopia, a Swedish company hired her to take pictures
in Ethiopia. “If there was a way to find photographers and
contact them, it would be very suitable and cheaper for the hiring
company in addition to creating job opportunities for Ethiopian
photographers. The benefit is not only for foreign companies but
for local based businesses too, which we offer the service to give
information on how to contact the professionals they are looking
for from our recruitment database,” further explained Maria.
Maria is currently a student at Stockholm University after spending
a few years as mobile concept developer at Telia Mobile Company.
She told Capital that despite the noticeable lack of infrastructure,
Ethiopians are soon to catch up with the rest of the world in using
information communication tools.
According to the Ethiopian Information and Communications Technology
Development Agency (EICTDA), which was established as an autonomous
Federal Government public office with its own juridical personality
under Proclamation No. 360/2003, Ethiopia’s ICT infrastructure
problems point out that there is a critical need to speed up the
opportunities offered by ICT in addressing the complex socio-economic
and governance problems facing the country today.
The Agency explains that the challenges include the dominant factor
for agricultural backwardness with low output and productivity by
global declines in commodity prices, erratic GDP growth arising
from extreme variations in weather conditions, poorly developed
physical, communications and telecommunications infrastructure and
a fledgling democratic and governance system.
UNMEE extends mandate for
six months
By Abiy Demilew
The United Nation’s in Ethiopia and Eritrea, UNMEE, announced
the extension of its mandate in the disputed Ethio-Eritrean border,
for the next six months, after members of the Security Council voted
for the extension, on Wednesday, calling on the two east African
nations to show maximum restraint and refrain from any threat or
use of force.
The Security Council, on its resolution called on Eritrea to withdraw
all its troops and heavy military equipment from the Temporary Security
Zone (TSZ) immediately and urged Ethiopia to decrease its military
forces in areas adjacent to the TSZ.
The Security Council, adopting the resolution unanimously, also
warned Ethiopia and Eritrea to “avoid provocative military
activities and put an end to the exchange of hostile statements.”
The Council also expressed its concern over critical fuel levels
that are impeding UNMEE’s work. It called on the Eritrean
Government “resumes immediately fuel shipments to UNMEE or
allows UNMEE to import fuel without restrictions.”
Azouz Ennifar, UNMEE’s acting head, after briefing the Security
Council said this week that the mission has not been able to obtain
fresh supplies of fuel in Eritrea since 1 December of last year.
“These restrictions are paralyzing the mission and its movements
and making the living conditions of our civilian and military staff
on the ground extremely difficult,” the official said.
Meanwhile, UN Secretary-General Ban Ki-moon, attending the African
Union summit here in Addis, told the summit that “UNMEE continues
the role of helping to maintain stability in the border area between
Ethiopia and Eritrea is critically dependent on the cooperation
and goodwill of the two countries concerned – as indeed is
the final resolution of the dispute between them.”
Prime Minister Meles Zenawi recently told a French Parliamentary
delegation that he regrets Eritrea refuses to accept a peaceful
way of resolving the border issue.
In related news, Secretary-General Ban Ki-moon expressed his sadness
on the alarming situation in Kenya, addressing the African Heads
of State and called upon Kenyan leaders Mwai Kibaki and ODM leader
Raila Odinga in particular to show responsibility to do everything
possible to resolve the sources of the crisis which have claimed
the lives of more than 800 Kenyans.
The Secretary-General also called upon African Heads of State to
urge and encourage and people of Kenya to calm the violence the
resolve their differences through dialogue and respect for the democratic
process.
Ban Ki-moon expressed his support for the former secretary general,
Kofi Anan, for his effort and urged the support of all to end the
ethnic clashes triggered by the aftermath of the recent election
in the country known for its stability.
PSI launches STD kit
By Abiy Demilew
Population Service International Ethiopia, a local representative
of Population Service International PSI, has launched the first
pre-packaged treatment kit, Addis Cure, for the management of sexually
transmitted infections, at Global Hotel last monday.
PSI is engaged in non-profit social marketing work and operates
in nearly 60 countries.
Malaria, reproductive health, water/child survival and most of all
HIV/AIDS are the primary areas of operation for the giant social
marketing organization, PSI.
Addis Cure, produced in Ethiopia, is touted as a complete kit for
STI, which are referred as the forgotten side of HIV/AIDS.
“This new project responds to the strong evidence that sexually
transmitted infections may enhance both the transmission and acquisition
of HIV infection” according to PSI Ethiopia. “Improved
control may slow down HIV transmission.”
Addis Cure is among the similar projects launched in countries like
Cameroon, Uganda, Madagascar, India, Pakistan, Nepal, Benin and
Togo. It is sold in pharmacies under medical subscription and affordable
price, according to the organization.
“It is specially designed for vulnerable groups at high risk
of contracting HIV/AIDS, in a country in which 2.1 per cent of the
total population is at risk of HIV/AIDS and sexually transmitted
infections,” it was learnt.
The statement puts prevention of sexually transmitted infections
as traditionally neglected, but they play an important role in the
prevention of the spread of HIV/AIDS.
PSI, acting as a bridge between the public and private sectors,
creates demand for essential health products and services by using
private sector marketing techniques to motivate positive and sustained
changes in health behavior, according the organization’s statement.
Addis Cure is produced in collaboration with various organizations
including federal and city health authorities and HIV/AIDS prevention
bureaus.
Childhood nutrition linked
to increased productivity
By Groum Abate
Feeding very young children a high-energy, high-protein supplement
leads to increased economic productivity in adulthood, especially
for men, according to a study published in the current issue of
The Lancet, a leading medical journal.
Boys who received the supplement, known as atole, in the first two
years of life earned on average 46 percent higher wages as adults,
while boys who received atole in their first three years earned
37 percent higher wages on average. Those who first received the
supplement after age three did not gain any economic benefits as
adults.
According to a press release sent by International Food Policy Research
Institute (IFPRI), using data collected in Guatemala over a span
of 35 years, the study analyzes the impact of early childhood nutrition
on adult incomes and reports significant findings, with important
implications for developing countries. The study was conducted by
the International Food Policy Research Institute (IFPRI) in collaboration
with researchers from Emory University and other institutions.
This study is the first to present direct evidence of the effects
of early childhood nutrition programs on adult economic productivity
and incomes. The research was conducted in Guatemala by Emory University,
the International Food Policy Research Institute (IFPRI), the Institute
of Nutrition of Central America and Panama, the University of Pennsylvania,
and Middlebury College.
“The study confirms that the first two years of life are the
window of opportunity when nutrition programs have an enormous impact
on a child’s development, with life-long benefits,”
said Reynaldo Martorell, Woodruff Professor of International Nutrition
at Emory University.
From 1969-1977, four rural communities in Guatemala participated
in a food supplementation study in which children received one of
two supplements fortified equally with micronutrients. The first,
atole, was high in protein and energy; the second contained no protein
and was low in energy.
In 2002-2004, researchers returned to Guatemala to interview individuals
who had participated in the nutrition supplement program as children.
They collected information about all income-generating activities,
including type of work; hours, days, and months worked; and fringe
benefits received.
“This research demonstrates that early childhood nutrition
is not only crucial for the physical growth of children, but is
also a wise, long-term economic investment,” said Martorell,
who was one of the researchers who conducted the original study
in Guatemala. “Just as we need to invest in infrastructure,
we need to invest in children.”
The Guatemala study is part of an ongoing focus by The Lancet on
maternal and child undernutrition and a featured article in the
current issue.
“We have long known that nutrition interventions can provide
significant benefits in terms of a child’s health, growth,
and mental and physical development,” said John Hoddinott,
lead author of The Lancet article and IFPRI senior research fellow.
“This study in Guatemala is important because it shows that
improving nutrition in early childhood can also be a driver of economic
growth for developing countries and a pathway out of poverty for
poor households.”
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