EU, Germany Launch Tax and Customs Project to Support Private Sector Growth in Ethiopia

Addis Ababa, April 23, 2026 (FMC) – The European Union and Germany have launched a new project aimed at strengthening Ethiopia’s tax administration and customs management systems in support of private sector growth and ongoing macroeconomic reforms.

The project, titled “Modernize and Harmonize Tax Administration and Customs Management for Private Sector Growth in Ethiopia,” was officially introduced during the EU–Ethiopia Business Forum held on April 21, 2026.

According to the German Embassy in Addis Ababa, the project will be implemented by Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) as part of the second phase of Germany’s Development Cooperation Project on Private Sector Development in Ethiopia.

The programme, which will run until the end of 2029, is designed to enhance the transparency, predictability and efficiency of Ethiopia’s tax and customs systems. It also seeks to support the country’s alignment with international frameworks, including its bid to join the World Trade Organization.

The Embassy indicated that the project will support public institutions and contribute to improving the business environment, with the aim of facilitating investment and enabling firms to better integrate into regional and global value chains.

Speaking at the launch, Ferdinand von Weyhe said Ethiopia’s reform agenda presents opportunities for private sector-led growth, noting that improved tax and customs systems would help create conditions for increased investment and job creation.

Similarly, Sofie From-Emmesberger stated that the project is expected to support efforts to modernize tax and customs systems by addressing key bottlenecks and improving efficiency, thereby contributing to a more predictable business environment.

The development comes as Ethiopia continues implementing macroeconomic reforms aimed at enhancing economic competitiveness and expanding private sector participation.