Addis Ababa, April 20, 2026 (FMC) — The European Union has highlighted Ethiopia’s ongoing reform process as a key foundation for strengthening economic cooperation and expanding investment engagement across priority sectors.
Speaking at the EU–Ethiopia Business Forum 2026 in Addis Ababa earlier today, EU Commissioner for International Partnerships Jozef Síkela pointed to Ethiopia’s reform trajectory as central to building stronger economic ties and improving the overall investment environment.
He underlined that the EU is deepening its engagement with Ethiopia through a combination of budget support and expanded investment programmes targeting strategic sectors, including energy, digital development, connectivity, and governance systems.
Síkela emphasized that these efforts form part of the EU’s broader Global Gateway strategy, designed to support infrastructure development and improve economic connectivity while creating conditions for increased private sector participation.
He also noted that ongoing reforms in Ethiopia are improving transparency, easing access to foreign currency, and reducing barriers to doing business, contributing to a more predictable investment climate.
State Minister of Finance Semereta Sewasew, speaking at the forum, said Ethiopia is entering a decisive phase of economic transformation driven by reforms aimed at enabling private sector growth. She cited recent macroeconomic performance, including a projected 9.2 percent growth rate, as evidence of strengthening economic momentum.
She also pointed to key policy shifts, including the liberalization of the foreign exchange regime, which she said is improving transparency and facilitating access to foreign currency for businesses operating in the country.
The European Investment Bank announced additional financing operations focusing on agriculture and food systems, with an emphasis on smallholder farmers and women-led enterprises, supporting inclusive and sustainable growth.
EU Global Gateway investments were also highlighted, including a €150 million digital economy package aimed at expanding digital infrastructure, strengthening skills, and improving governance systems, as well as a €269 million RISE programme to modernize electricity infrastructure, rehabilitate the Ashegoda wind farm, and expand fiber optic connectivity.
AfCFTA Secretary-General Wamkele Mene noted that Ethiopia is now among countries actively trading under the African Continental Free Trade Area framework, describing it as a major milestone in continental economic integration.
Austria’s Foreign Minister Beate Meinl-Reisinger underscored growing European business engagement in Ethiopia, highlighting participation in sectors such as medical technology, 3D printing, and climate-resilient agriculture.
Officials also pointed to the entry of Carrefour into the Ethiopian market as a sign of increasing investor confidence and the impact of ongoing liberalization reforms.
The forum further emphasized Ethiopia’s continued efforts to improve the ease of doing business through streamlined investment procedures, reduced administrative bottlenecks, and expanded digital public services.
Síkela stressed that the combination of reforms and targeted investment cooperation is creating stronger conditions for sustainable economic growth and private sector expansion.