#Ethiopia: #China "ready to join hands with Ethiopia to achieve common prosperity" for #Africa: Chinese FM Wang Yi

Chinese Foreign Minister Wang Yi said at a press conference today that "China is always ready to join hands with Ethiopia to achieve common prosperity" for Africa. Zhao Zhiyuan, China's Ambassador to Ethiopia, quoted FM Wang Yi as saying that "China firmly supports Africa in building capacity for self-driven development and supports faster modernization in Africa."

"FM Wang Yi announced that China will hold the next meeting of FOCAC [Forum on China–Africa Cooperation] this autumn. We are really looking forward to Ethiopia's profound insights on how to further enhance China-Africa cooperation for an even brighter future," Ambassador Zhiyuan said in a post on X attributed to FM Wang Yi's statement to the press. AS

#UN Security Council to vote on #Sudan Ramadan ceasefire call

The UN Security Council gears up for a crucial vote on a resolution seeking a ceasefire in war-torn Sudan coinciding with the onset of Ramadan next week, amidst escalating humanitarian concerns. The conflict, ongoing since 15 April, 2023, has claimed thousands of lives and displaced over eight million, marking one of the gravest crises globally. The proposed resolution urges an immediate cessation of hostilities and guarantees unhindered humanitarian access during Ramadan, a period of spiritual observance for Muslims worldwide.

UN Secretary-General Antonio Guterres emphasizes the importance of upholding the values of Ramadan, urging all parties to silence the guns and pave the way for enduring peace. The humanitarian situation remains dire, with a looming threat of famine affecting millions. However, efforts to address the crisis face hurdles, including insufficient funding for the UN's response plan.

Despite widespread support for a ceasefire, concerns linger among certain Security Council members, notably #China and #Russia, regarding the proposed resolution.

https://www.digitaljournal.com/world/un-security-council-to-vote-on-sudan-ramadan-ceasefire-call/article

#Ethiopia's former Rehabilitation Commission chief becomes the sixth DG for #China-based intergovernmental development org.

Ambassador Teshome Toga, who recently resigned from his position as commissioner of the Nation Rehabilitation Commission (NRC), became the sixth Director General (DG) of the International Bamboo and Rattan Organization (INBAR), an intergovernmental development organization promoting environmentally sustainable development using bamboo and rattan, headquartered in #Beijing, China.

Consisting of 50 member states from the global south including Ethiopia, INBAR was founded in 1997 with the mission “to improve the well-being of producers and users of bamboo and rattan within the context of a sustainable bamboo and rattan resource base, by consolidating, coordinating and supporting strategic and adaptive research and development.”

Read more at: https://x.com/addisstandard/status/1773310294422385098?s=20

#Ethiopia: From Shadows to Spotlight: Why Ethiopia became latest scene for cryptocurrency rush

Ethiopia, a nation often overlooked in the tech world, is rapidly gaining global attention as a major player in #Cryptocurrency mining. With abundant renewable energy resources and government eagerness for foreign investment, the country is becoming a magnet for #Bitcoin miners worldwide. Recent reports highlight the influx of miners, including 21 from #China, attracted by Ethiopia's low electricity costs and hydroelectric potential. BitCluster, a #Russian company, also plans a $250 million Bitcoin mining facility near #Addis_Abeba.

Ethiopia's state-owned Ethiopian Investment Holdings has partnered with Data Center Service to develop a $250 million infrastructure project supporting data mining and AI training. The country has already garnered over $2 million in foreign currency payments from Bitcoin mining firms, with more lining up to collaborate with Ethiopian Electric Power.

Bitcoin mining, the process of validating transactions, is energy-intensive, requiring specialized hardware and significant electricity. Ethiopia's appeal lies in its abundant renewable energy, which reduces operating costs for miners. The country's surplus energy could potentially generate significant revenue, surpassing earnings from key exports like coffee. Additionally, its terrain and climate mitigate cooling expenses for mining equipment. The impending Bitcoin halving event in April 2024 is expected to reshape global mining operations.

While the economic incentives are substantial, concerns linger regarding environmental impact, and infrastructure deficiencies. Ethiopia's legal framework for cryptocurrency regulation also remains underdeveloped, presenting obstacles to the sector's growth.

https://addisstandard.com/from-shadows-to-spotlight-why-ethiopia-became-latest-scene-for-cryptocurrency-rush/

#Ethiopia: From Shadows to Spotlight: Why Ethiopia became latest scene for cryptocurrency rush

In #Africa, Ethiopia is stepping onto the global stage as a leading force in #Cryptocurrency. With abundant renewable energy and a government eager for investment, Ethiopia is becoming a magnet for #Bitcoin miners worldwide. Renowned media outlets like Bloomberg are reporting on Ethiopia's rise as a Bitcoin mining hub. Last month, Bloomberg revealed that 21 Bitcoin miners, mainly from #China, secured affordable power agreements in Ethiopia, capitalizing on the nation's hydroelectric resources.

The country is welcoming collaboration with cryptocurrency enterprises, as evident in a recent $250 million deal between Ethiopian Investment Holdings and Data Center Service to develop advanced infrastructure supporting mining and artificial intelligence.

Ethiopian Electric Power has seen a surge in foreign currency payments from Bitcoin miners, with 25 mining firms seeking collaboration. Among them, plans for a $250 million Bitcoin mining facility on the outskirts of #Addis_Abeba by #Russian company #BitCluster highlight the sector's potential.

The mining process, which is essential for validating transactions, is energy-intensive. Ethiopia's low electricity costs, currently at 3 cents per kWh, offer a competitive edge with the potential to generate substantial revenue, exceeding earnings from key export commodities like coffee, which amounted to a maximum of $1.1 billion annually. However, challenges remain, including environmental concerns and regulatory hurdles. Effective governance is essential to balancing economic benefits with social and environmental impacts.

https://addisstandard.com/from-shadows-to-spotlight-why-ethiopia-became-latest-scene-for-cryptocurrency-rush/

#IMF concludes #Ethiopia visit without reaching loan deal

The International Monetary Fund (IMF) has concluded its visit to Ethiopia to discuss the country's request for financial support without reaching an agreement, leaving the East African country unable to meet a commitment made to its official international creditors.

The IMF team stated that they "made substantial progress towards establishing how the IMF could support the authorities' economic program," and discussions are set to continue later this month in #Washington.

Last year, the Paris Club of developed creditor nations, which does not include #China, stated that an agreement to suspend Ethiopia's debt payments through 2025 could be voided if the country did not secure an IMF loan by March 31. While it remains uncertain whether the Paris Club will enforce this deadline, Ethiopia has already reached a separate debt-service suspension deal with China earlier in 2023.

Ethiopia has been without an IMF program since its last lending arrangement expired in late 2022. The country's economy is facing challenges such as high inflation, a shortage of hard currency, and growing external debt repayments. In December, Ethiopia defaulted on its $1 billion Eurobond after failing to make a coupon payment.

https://shorturl.at/clqIW

#Ethiopia: A crumbling metro reveals failed promise of #China’s billions in #Africa

Once hailed as a game-changer for #Addis_Abeba's transportation, the city's light-rail system now stands as a symbol of broken promises. Originally designed to carry up to 60,000 passengers per hour, the system's reality falls short, with only one-third of its trains operational. Frequent breakdowns, inadequate maintenance, and operational constraints have left commuters frustrated. Yared Mekuanint, a regular user, describes waiting times of up to 25 minutes between services, only to find overcrowded trains upon arrival.

Despite being one of 70 mega-projects funded by a $14.8 billion loan from China, the light rail struggles to repay its debt. The project, managed by Chinese firms, faces challenges like power outages and limited access to spare parts.

Critics argue that short-term political goals overshadowed long-term sustainability in planning the project. Frangton Chiyemura, an expert in China-Africa relations, highlights the need for better planning and local skills development. Addis Abeba officials are now taking steps to address these issues, transferring management of the system to the city transport agency. Meanwhile, commuters seek alternative transportation, signaling a shift away from the once-promising light-rail system.

https://www.bloomberg.com/news/articles/2024-04-12/addis-ababa-ethiopia-metro-s-decline-shows-china-s-step-back-from-africa?srnd=undefined

#Beijing half marathon: Organisers investigating controversial finish

The Beijing Half Marathon has been thrust into the spotlight after a controversial finish involving runners from #Ethiopia, #Kenya, and #China. Footage from the event shows Dejene Hailu of Ethiopia, along with Kenya's Robert Keter and Willy Mnangat, pointing to the finish line and slowing down before seemingly allowing China's He Jie to pass them and claim victory.

The incident has sparked a heated debate on Chinese social media, with many users questioning the sportsmanship displayed by the runners. Some have criticized He Jie's win, calling it "the most embarrassing title of his career," while others have expressed disappointment in the organizers for allowing such an incident to occur in a major event.

In response to the controversy, the Beijing Sports Bureau has launched an investigation into the matter and is expected to release its findings once the investigation concludes. Xstep, a Chinese sports brand that sponsored the event and has a contract with He Jie, has also stated that they are working to confirm and verify the situation with multiple parties involved.

https://www.bbc.com/sport/athletics/68815592

#Ethiopian Shipping and Logistics Services Enterprise seeks to purchase large ships from #China

The Ethiopian Shipping and Logistics Services Enterprise announced on Monday that it has held discussions with Chinese shipbuilding companies to purchase large ships in an effort to expand the maritime transport sector and mitigate the impact of regional security issues on the country's export and income-generating activities.

Senior representatives from the state shipping enterprise, including CEO Beriso Amelo, held talks with shipbuilding companies based in China. The talks focused on the potential purchase and ways to reduce the time required for ship construction.

Previously, ESLSE announced that it is facing challenges with disrupted cargo shipments due to the security crisis in the #Red_Sea, affecting the import and export operations of the country.

#Ethiopia leverages digital solution to address chronic shipping container scarcity

Ethiopia is taking proactive steps to address its containerization challenges, aiming to optimize export operations and boost revenue generation. During a recent meeting convened by the Ethiopian Maritime Authority, plans were disclosed to deploy a digital solution within the next three months to modernize container management and tracking.

Despite coffee being Ethiopia's primary foreign currency source, revenue realization has fallen short of expectations. Dengue Boru, the State Minister for Transport and Logistics, stressed the need to prioritize major export items like coffee in containerization efforts to align with government objectives.

Gizat Worku, General Manager of the Ethiopian Coffee Exporters Association, highlighted enduring container shortages, intensified by the COVID-19 pandemic and recent security crises. In response, the Ethiopian Shipping and Logistics Services Enterprise plans to offer freight services and consider acquiring new vessels. Recent discussions with shipbuilding companies in #China explore procurement options.

https://addisstandard.com/ethiopia-leverages-digital-solution-to-address-chronic-shipping-container-scarcity/

#Ethiopia: Coffee exports yield $835 million for Ethiopia amid challenges

The Ethiopian Coffee and Tea Authority (#ECTA) announced that coffee exports have brought $835.2 million in revenue to the country during the first nine months of the current fiscal year that started on July 8th, 2023. The nation exported 174,596 tons of coffee to international markets during this period, marking a notable increase compared to the previous fiscal year.

Saudi Arabia, South Korea, the United States, #Germany, #Japan, and #China were the major destinations for Ethiopian coffee products. The Deputy Director-General of ECTA, Shafi Umer, stated that the coffee industry achieved a significant milestone by generating billions of dollars in revenue following the nation's reform in the sector, including over $1.3 billion from exports in the previous fiscal year.

Despite this revenue, the coffee industry faces obstacles. A recent article by Addis Standard highlights the upcoming European Union Deforestation-Free Regulation (EUDR), set to take effect on December 30, 2024, which mandates stringent requirements for traceability and due diligence assessments for agricultural commodities like coffee exported to the EU. This regulation could impact millions of smallholder farmers in Ethiopia.

Gizat Worku, general manager at the Ethiopian Coffee Exporters Association (ECEA), expressed concerns about the challenges traditional smallholder farmers may face in meeting the EUDR standards due to limited resources.

For more details, follow the link to read the full article.

https://addisstandard.com/roasted-reality-ethiopias-coffee-faces-crux-with-upcoming-eu-regulation-endangering-livelihoods-of-millions-of-farmers/

#Ethiopia, #Djibouti take over management of Ethio-Djibouti Railway after six years of commercial operations

After six years of transformative service, the Chinese Railway Construction Corporation (CRCC) formally transferred management of the #Ethio_Djibouti_Railway to the Ethiopian and Djiboutian governments. The ceremonial handover was held in #Addis_Abeba on 10 May, 2024.

Initiated in 2018, the railway spans over 750 kilometers, connecting Addis Abeba to Djibouti port. Part of #China's Belt and Road Initiative, the project received a total investment of $4 billion, with major contributions from China Exim Bank and the Ethiopian government. The Djiboutian government added $878 million to support its construction.

Abdi Zenabi, executive director of the Ethio-Djibouti Railway, highlighted its transformative impact: "This strategic coastal railway has fundamentally altered the transportation dynamics, resulting in diminished transit durations and enriched trade prospects."

Since its inauguration, the railway has facilitated the transportation of approximately 530,900 passengers and 7,328,500 metric tons of cargo.

https://addisstandard.com/?p=43816

#Ethiopia expedites electric vehicle adoption, exceeding targets

Ethiopia is making significant progress in adopting electric vehicles. The country had initially targeted having 148,000 electric cars and nearly 50,000 electric buses on its roads by 2030. However, the Ministry of Transport and Logistics has announced that this goal has already been achieved within the first two years of the plan's implementation.

Consequently, the Ethiopian government has revised its target to nearly 500,000 electric vehicles over the 10-year period. In just two years, locally assembled and imported electric vehicles have contributed almost 10% to Ethiopia's current total of 1.2 million registered vehicles, the majority of which are over 20 years old.

To further promote electric mobility, Ethiopia plans to restrict imports of internal combustion engine vehicles. This move aims to reduce the country's annual expenditure of $5 billion on petrol and diesel imports, conserving precious foreign currency reserves.

The government has introduced incentives to drive electric vehicle adoption, including exempting them from value-added tax, surtax, and excise tax. It has also reduced or eliminated customs duty taxes on knocked-down kits and fully built electric vehicles. This has led to an influx of popular electric models from #China, such as the Toyota bZ4x, Mercedes-Benz EQ range, VW ID.4 and ID.6, and the Changan Benben E-Star.

https://cleantechnica.com/2024/05/13/ethiopia-shows-us-just-how-fast-the-transition-to-electric-mobility-can-happen-in-africa/

#Djibouti in the midst of global sea route dispute

Djibouti, a small East African nation, is at the center of a significant geopolitical hotspot. Missiles fired by Houthi militants from #Yemen are falling near Djibouti's 195-mile coastline, while the country navigates complex regional dynamics. Bordered by #Eritrea, #Somalia, and #Ethiopia, Djibouti remains a critical player in the region despite its challenging neighbors.

Djibouti's strategic importance has grown, highlighted by recent #Houthi missile attacks. When the US requested permission to conduct operations against the Houthis from its naval base in Djibouti, the government declined, as stated by Prime Minister Abdoulkader Kamil Mohamed. Despite its critical stance on Israel’s actions against #Hamas, Djibouti allowed #EU naval vessels to dock and refuel, supporting efforts to counter Houthi threats.

The conflict has boosted Djibouti’s main port, with more ships unloading goods for transshipment through the Red Sea. This growth underscores the importance of international investments in Djibouti’s military and intelligence infrastructure. Positioned at the junction of the #Red_Sea and the Gulf of Aden, Djibouti hosts military bases from #China, #France, and the US, with #Germany also expressing interest. Djibouti's challenging location paradoxically enhances its strategic value.

https://www.bloomberg.com/news/newsletters/2024-05-17/next-africa-houthi-red-sea-attacks-make-djibouti-a-priority-after-hamas-attack

#Ethiopia: Ethiopian Airlines slashes coffee shipping costs by half, aiming for a caffeinated boost in #Asia, #Middle_East

#Ethiopian_Airlines has slashed shipping costs by half, reducing it to $1.5 per kilogram for routes to the Middle East and Asia. This move aims to boost Ethiopian coffee exports globally, as announced by the airline yesterday.

Gizat Worku, the General Manager of the Ethiopian Coffee Exporters Association (ECEA), hailed this decision, emphasizing its benefits for both exporters and recipients, particularly those specializing in roasted coffee and small-batch green bean exports to Asia and the Middle East.

In recent years, #China has emerged as a vital market for Ethiopian coffee, with export volumes doubling from 2019 to 2021.

The focus on expanding coffee exports to these regions aims to offset potential losses expected from the European Union's Deforestation-Free Products Regulation (#EUDR), set to take effect in December 2024.

https://addisstandard.com/ethiopian-airlines-slashes-coffee-shipping-costs-by-half-aiming-for-a-caffeinated-boost-in-asia-middle-east/

Biden welcomes #Kenya's leader as #US under pressure in #Africa

Kenyan President William Ruto's official state visit to the US marks the first by an African leader in over 15 years. This visit provides President Joe Biden with a chance to reaffirm the US's commitment to Africa amidst rising influence from #Russia and #China. Ruto, once an unlikely guest at the White House due to past ICC charges, has now become a key US ally. US Ambassador to Kenya, Meg Whitman, emphasizes Kenya's role as a stable democracy and tech hub, highlighting Ruto’s leadership.

Despite domestic challenges, Ruto advocates for Africa on climate change and debt relief. Kenya’s pledge to send police to Haiti underscores its security partnership with the US. Biden’s only call to a sub-Saharan leader last year was to Ruto, reflecting this strategic relationship.

However, US-Africa relations face setbacks, notably in Niger, where a coup shifted alliances toward Russia. This highlights the broader challenge of balancing security partnerships with democratic values.

https://www.bbc.com/news/articles/cd1195l7nepo

#Ethiopian coffee gains foothold in #China with rising popularity: official

Ethiopian coffee is experiencing a surge in popularity within the Chinese market, boasting a 27% average annual increase in sales volume in recent years, according to an Ethiopian official.

Adugna Debela, Director General of the Ethiopian Coffee and Tea Authority (ECTA), highlighted the significant growth. "Just a few years ago," Adugna explained in a recent interview with Xinhua, "Ethiopia was exporting only 8,000 to 10,000 metric tons of coffee annually to China, which placed them at a distant 33rd on our list of importers."

The landscape has dramatically shifted. "Remarkably," Adugna continued, "China has been importing up to 20,000 metric tons of Ethiopian coffee annually for the past two years."

http://en.people.cn/n3/2024/0627/c90000-20186288.html

#Ethiopia wins financing assurances key for new #IMF loan

Ethiopia has obtained financing assurances from its official creditors, potentially advancing its efforts to secure a new loan from the International Monetary Fund (IMF), according to sources familiar with the matter.

An official creditor committee, co-chaired by #France and #China, reportedly met last week to approve these assurances. This indicates that bilateral creditors are willing to restructure their loans to Ethiopia in a way that aligns with the IMF's program requirements.

Ethiopia has been in discussions with the IMF for over two years for a new program after its previous loan was disrupted in 2021 due to a civil war that impacted investor sentiment and economic growth. The country defaulted on its overseas bond payments in December.

The IMF requires financing assurances from creditor countries before approving a new loan program. While the IMF has not yet announced a staff-level agreement for Ethiopia, progress has been made with Ethiopian authorities and development partners, according to an IMF spokesperson.

https://www.bloomberg.com/news/articles/2024-07-18/ethiopia-wins-financing-assurances-key-to-unlock-new-imf-loan