Tuesday, November 4, 2025
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Ethiopia-Kenya trade falls short of potential

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Despite the promise of the decade-old Special Status Agreement (SSA) and the African Continental Free Trade Area (AfCFTA), trade between Ethiopia and Kenya remains underwhelming, according to officials and business leaders at the second Ethiopia-Kenya Business Conference held in Addis Ababa.

The conference aimed to bolster trade agreements and increase trade volumes, highlighting several challenges that hinder economic cooperation between the two nations. In 2023, Kenya exported approximately $113 million to Ethiopia, while Ethiopia exported $58.2 million to Kenya. Speakers emphasized the need for urgent action to translate existing agreements into tangible results.

“We have a number of agreements, but they have not turned into concrete action in improving trade volumes,” noted George Orina, Ambassador of Kenya to Ethiopia, speaking on behalf of the Kenyan government. This sentiment was echoed by Zekarias Assefa, Acting Secretary General of the Addis Chamber, who highlighted the historic diplomatic relations between the two countries but acknowledged that intra-African trade remains in its infancy compared to trade outside the continent.

Major obstacles identified at the summit included bureaucratic red tape, foreign exchange restrictions, and the need for deeper private sector involvement. Despite one-stop border stations and tariff concessions, businesses struggle with a complex regulatory environment. However, the National Bank of Ethiopia’s latest amendment allowing banks and investors to freely negotiate foreign exchange rates has been seen as a positive step.

Ambassador Orina noted that this move will enable many investors, especially small and medium-sized enterprises, to conduct business in Ethiopia without fear of repatriating their profits. Tobias Olando, CEO of the Kenya Association of Manufacturers (KAM), emphasized the critical role of collaboration, urging businesses to seize opportunities presented by these agreements.

The summit aimed to bridge the gap between policy and practice, with Ethiopia’s exports to Kenya projected to reach $100 million. Opening up sectors like banking, export-import, and retail to foreign investors creates significant opportunities, but businesses must overcome existing challenges to capitalize on these opportunities.

The success of the AfCFTA and SSA depends on both governments and the private sector working together to remove barriers and facilitate trade. Zekarias called on the business communities of both countries to renew their capacity and resources to take advantage of the opportunities presented at the summit.

The Addis Chamber assured attendees that it is always ready to cooperate in initiating and building joint trade and investment relations between the two countries. The summit served as a platform for exchanging best practices and building strong relationships between the Kenya Manufacturers Association (KAM) and the Addis Ababa Chamber of Commerce.

Ethiopia’s horticulture sector faces challenges despite promising gains

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Ethiopia is striving to bolster its economy through the expansion of its horticulture sector, aiming to increase exports, create jobs, and alleviate poverty. However, despite significant successes, the journey is fraught with challenges as the country seeks to shift its agricultural practices to a market-oriented, team-based model.

In collaboration with the Japan International Cooperation Agency (JICA), the Ethiopian government is implementing the Smallholder Farmers Garden Empowerment and Promotion (SHEP) approach. This initiative empowers smallholder farmers by connecting them to profitable markets, resulting in a 125% increase in income for targeted farmers and a shift in viewing farming as a business.

“The SHEP approach has made a significant difference in filling the gap between policy and implementation and providing practical solutions on the ground,” noted State Minister of Agriculture, Melese Mekonen. JICA’s support includes market-oriented extension services, capacity building for thousands of professionals and millions of farmers, as well as resources for climate change adaptation and agricultural insurance.

However, challenges persist. Farmers accustomed to private farming struggle to adapt to SHEP’s team-based approach, and institutionalizing the SHEP approach at the regional level has been slow. “In Ethiopia, farmers who are traditionally only familiar with private farming find it difficult to work as a team because they are experts in the concepts of the SHEP approach,” explained Abdella Negash, CEO of MoA’s Horticulture Development Department.

To address these challenges, the government is focusing on continuous monitoring and evaluation, launching pilot initiatives with existing farmers’ groups, and strengthening institutional frameworks. The Ministry of Agriculture has begun incorporating the SHEP approach into national agricultural strategies and expanding its implementation using government resources, as seen in the Southwest Ethiopia region.

The SHEP program, currently in its second phase, targets five state governments and aims to improve living conditions for smallholder farmers through sustainable implementation. Significant results include increased farmers’ incomes, improved post-harvest management techniques, and a change in the mindset of over 25,000 smallholder farmers.

“Over the past three years, we have become aware of the significant impacts of the SHEP approach in the development of SHEP and have begun to institutionalize it in our national agricultural strategy,” said Melese.

Despite these achievements, challenges remain in expanding the SHEP approach. Efforts are underway to address these challenges, including ongoing monitoring, initiating pilot initiatives with existing farmers’ groups, and strengthening institutional frameworks.

The 11th SHEP International Workshop held in Ethiopia served as a platform to exchange experiences, discuss challenges, and explore new opportunities for the global expansion of the SHEP approach. The government remains committed to developing a market-oriented agricultural sector that benefits smallholder farmers and contributes to Ethiopia’s economic growth.

Innovative strategies needed to combat resurgent Malaria in Africa, experts say

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Despite significant progress in recent decades, malaria remains a major public health crisis in Africa, demanding innovative and collaborative approaches to vector control, according to experts at a recent webinar organized by the Corporate Alliance on Malaria in Africa (CAMA).

The webinar, titled “Reimagining Vector Control Strategies for Malaria Elimination in Africa,” brought together public health officials, researchers, private sector representatives, and community leaders to address the evolving challenges of malaria transmission, including insecticide resistance and the impact of climate change.

The discussions took place against a backdrop of concerning statistics. The World Health Organization (WHO) reports 249 million malaria cases globally in 2022, an increase of 5 million compared to 2021. The rise was concentrated in Pakistan, Nigeria, Ethiopia, Uganda, and Papua New Guinea, driven by factors like extreme weather, population growth, and conflict. Tragically, 76% of malaria deaths are among children under five, with the African region accounting for 94% of cases and 95% of deaths.

Participants emphasized that traditional methods like insecticide-treated nets (ITNs) and indoor residual spraying (IRS), while valuable, are not enough. The emergence of insecticide resistance requires a multi-pronged approach that leverages new technologies, strengthens community engagement, and fosters public-private partnerships.

Michael Steinberg, Co-Chair of CAMA and a lead at Chevron, highlighted the importance of public-private partnerships, data-driven strategies, and adaptive interventions tailored to local epidemiological and socio-economic dynamics. He emphasized the necessity of moving beyond standardized solutions and embracing the complexity of community-specific needs.

Participants agreed that collaboration is key, involving governments, NGOs, the private sector, and research institutions. By aligning objectives and sharing expertise, resources, and networks, a more coordinated and impactful response to malaria can be achieved.

The webinar concluded with a call for continued investment, innovative thinking, and a resolute commitment to achieving a malaria-free world. CAMA plans to share the insights and recommendations from the event to inspire action and collaboration among all stakeholders committed to eradicating malaria in Africa.

Global Terrorism Index 2025: Mixed trends in Sub-Saharan Africa

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A mixed picture emerges from Sub-Saharan Africa in the latest Global Terrorism Index (GTI), even as the report highlights a concerning global increase in terrorist activity. While the Sahel region remains a global epicenter of terrorism, deaths in other parts of Sub-Saharan Africa have declined, offering a glimmer of hope amid broader challenges.

The 12th annual GTI, released today by the Institute for Economics & Peace (IEP), reveals that the number of countries recording a terrorist attack increased from 58 to 66 worldwide, reversing nearly a decade of improvements. However, within Sub-Saharan Africa, trends are diverse.

The Sahel region continues to bear the brunt of terrorist violence, accounting for over half of all global terrorism deaths in 2024. Burkina Faso, despite showing signs of overall improvement, remains the most affected nation for the second consecutive year, responsible for one-fifth of all terrorism deaths globally. Six of the ten countries in the Sahel region recorded at least one fatality, highlighting the persistent threat.

Weak governance, ethnic tensions, and ecological degradation create a fertile ground for terrorist groups to flourish in the Sahel. Competition over the region’s mineral resources, particularly gold in Mali, Burkina Faso, and Niger, further exacerbates instability. The shifting geopolitical landscape, marked by a growing Russian presence and the withdrawal of France, adds complexity to the region’s security dynamics.

The situation in Niger illustrates the fragility of progress. After achieving the second-largest improvement in the GTI in 2022, the country experienced a significant reversal, recording a 94% increase in terrorism deaths in 2024, reaching 930 fatalities – the largest surge globally.

In contrast to the dire situation in the Sahel, other parts of Sub-Saharan Africa (excluding the Sahel) witnessed a decline in terrorism-related deaths. These deaths are now at their lowest since 2016, dropping by 10%. This suggests that counter-terrorism efforts in some regions are yielding positive results, although the overall threat remains significant.

Steve Killelea, Founder & Executive Chairman of IEP, noted that “98% of all terrorist deaths occurred in conflict zones, with 2024 recording the highest number of conflicts since the end of WWII.” He emphasized the need to address the root causes of conflict to effectively control terrorism.

The GTI underscores the need for a nuanced approach to counter-terrorism in Sub-Saharan Africa. While sustained efforts are needed to combat the escalating threat in the Sahel, it is crucial to consolidate the gains made in other regions.