You are on page 1of 52

Volume 17 No.

845, SUNDAY, July 10, 2016



Content Matters













E i g h t ( 8 ) b i r r o n ly

The New New flower

Half million

290b Br

Number of houses to be
built at koye Fechie, Bole
Arabsa and Yeka

Budget Required

Current -1
Multi-storey Planned -60


car park

Areas identified for

construction of mallKazanchis, Africa union, Main
center Merkato and Torhailoch

Current -1
Planned -9


Current -1
Int'L stadium Planned -2

Bus rapid
transit line

Parks at city level

Current 4
Planned 11
Gotera, Maekelawi, Adwa,
Repi, Asko, Abo, Meri,
Torhailoch, Lebu
Golf Course


Meri Luke
Int'L hospitals Bole Arabsa

Park and ride

Current 0
Planned 6

Total Area

Sq Km

Sq Km

Sq Km

Sq Km

Sq Km

Sq Km

Sq Km

Sq Km

Sq Km

Addis ketema





Nefas Silk




Aqaqi Qality

Sq Km




he Addis Abeba City Planning Project Office has released the 10th master
plan into the public domain. This comes soon after the highly controversial
Addis Abeba & Surrounding Oromia Special Zone Integrated Master Plan was
cancelled, having led to protests and sporadic civil unrest. The new plan has a






major focus on mass transportation, housing and the socio-economic environment

in the city, and comes with a recommended total budget of more than 250 billion
Br. A dedicated body will be established to ensure the efficient implementation of

Hailemariam Bullish on Strong Economic Growth Despite Poor Sectoral Performance

Prime Minister Hailemariam Desalegn was unbending in his assertion that the Ethiopian economy is expected to register a strong growth of 8.5pc this
year, despite falling agricultural productivity and disappointing export earnings. Although meher (June to August) production declined in some parts
of the country following the El Nio phenomenon, better rains during the belg (March to May) season led to increased harvest, he told the MPs on July
5,2016's session. "Agricultural output during the 2014/15 meher season was better than last years, but improved 2016 belg rains saw outputs rising
by seven percent," argued the Premier. "This rise impacted the entire sector, triggering a three percent growth in the same year, injecting a one to one
and a half percent contribution to the overall Gross Domestic Product (GDP) of the country." PLEASE SEE THE FULL Story ON PAGE 6.
Provision for tax (2014/15)

Dashen (234.7m Br)

BoA (82.3m Br)

Nib (103.7m Br)

United (76.9m Br)

AIB (215.9m Br)

LIB (74.8m Br)

BIB (47.4m Br)

Fortune is a weekly business newspaper published and distributed by Independent News & Media Plc. Tel: 251-011 416 30 20. Fax: 251-11-416 30 39. P. O. Box: 259, Code 1110. Price: 8.00 Br, Djibouti 400 FD, Somaliland 3,000 SL.

Content Matters

Established in May 2000.

Volume 17, Number 845

Sunday, July 10, 2016
Fortune is a weekly business
newspaper published and distributed
by Independent News & Media Plc.
Fortune is a registered newspaper
with the Ministry of Trade and Industry
under Licence Number 667/98.
Independent News & Media Plc is
registered by the Ministry of Trade
and Industry under Registration
Managing Editor
Tamrat G. Giorgis


Making some overdue legislative reforms on the commercial

registration and business license proclamation is not going to
make Ethiopia the best place in the world to do business overnight.
It should be complimented by a holistic approach by government
executive agencies across the board to ease bureaucratic hurdles and
eliminate bad governance practices. Ranked at a dismal 146 out of
189 countries on the World Banks annual Doing Business Report for
2016, the regulatory environment in Ethiopia for starting a business
and maintaining its operations remains far from easy.



Non-governmental organisations (NGOs) recognise the distinct

advocates role of the World Bank and its will to help as rapidly
as possible. However, effective payments tend to lag far behind
the approvals. Furthermore, there are doubts as to whether
the massive investments in infrastructure would really help to
protect the socially weakest. They further demand that the aid
measures should not be coupled with economic policy provisos.
The services should be rendered as concessional as possible, or
even in the form of gifts.

Page xx

Cholera Outbreak Threat in Addis

Reports of a potential Cholera outbreak have been circling Ethiopia's capital for weeks now. Although there
is a will among government Ministries to avoid creating panic, the numbers do now seem to be on the rise.
Special Cholera Treatment Centres (CTC) have been established in several areas identified as being vulnerable
to the outbreak. Such centres provide specialist treatment and also limit contamination within the main areas
of the health centres. With the rainy season still in full flow, there are some concerns that the number of cases
could continue to grow, reports DAWIT ENDESHAW, FORTUNE STAFF WRITER, who visited one of the
CTCs to speak to the families of Cholera sufferers, and who himself had to undergo special chemical treatment
to avoid contamination.

Samrawit Tassew
Woreda 08, House Number 897
Copy Editor
Ijahnya Christian
Research Editor
Samson Berhane
Dawit Endeshaw
Nardos Yoseph
Tesfa Mogessie
Geremew Tigabu
Girma Feyissa
Henok Demessie
Creative Director
Ashenafi Chekol
Exclusive Advertising Agent

Commercial Information Agency Plc
Tel: 251-11-416-3020
0911448026 / 0930012385 /
Fax: 251-11-416-3039 PO Box: 259,
Code 1110
Addis Abeba, Ethiopia Sierra Leone
Street (Debre Zeit Road) Next to
Global Hotel, Kirkos District, Kebele
03 House No. 542 Tegene Building,
7th Floor.

elese Kebede was rushing

to get his wife timely
treatment when Fortune
met him in the early hours
of Wednesday, July 6, 2016. She was
in a critical health condition; horribly
weak from her unstoppable loss of
fluid through vomiting and diarrhoea.
He was incredibly concerned that she
might have potentially contracted
what he and his neighbours had been
discussing throughout the week.
Prior to her case, health workers had

Industrial Park

The Hawassa Industrial Park

(HIP), constructed at a cost
of more than 250 million
dollars, will be declared
operational on Wednesday,
July 13, 2016.
Four chartered planes
will transport dignitaries,
including Prime Minister
Hailemariam Desalegn, to
attend the inauguration of
the much talked about park.
The park is the Industrial
Page 5

visited their locality to inform residents

of the emerging health concerns and
recommended precautions to avoid
contamination. This could, however,
not save his wife from infection.
To his dismay, the first health post sent
him to a Cholera Treatment Centre
(CTC) at Mikililand Health Centre.
Melese and his wife have lived in the
Kolfe Qeranio district, Wereda 13,
for the past 27 years. This may well
be a demanding time for him, as he
is challenged with his low income.

Michot Real Estate, one of
the companies founded and
run by Ermias T. Amelga,
has lost 30,000 shares
worth 30 million birr to
Aman Berki, the general
manager of Tulu Dimtu
Real Estate. The shares
were transferred to Aman
Berki through a court order
after they were floated for
auction over the past three

He works as a carpenter, with no

permanent income.
He was referred to the Mikililand
Health Centre where the first
Cholera case was reported on July
6, 2016.
His wife, Alemitu Mehertu, 65, was
rushed to the centre that specialises
in cases of her kind.
The separate CTC is split off from the
rest of the Health Centre, in order
to ensure that cases of acute watery
diarrhoea (AWD) do not lead to

Addis Abeba Saving House
Enterprise has finally
awarded contracts for the
supply of 220,000mt of reenforcement bars to three
local companies, at a total
cost of 3.7 billion Br. The
award comes following a
cancellation of the same
bid after exaggerated
price offers by bidders.
The purchase was first
announced in May, 2016.
Page 13

further contamination among patients

and staff.
The station where Melese's wife
first visited, which is a public health
station, was too late to discover that
she was actually affected by AWD,
and mistakenly bedded her together
with other patients with completely
different cases.
Though the first case of death due
to AWD was reported on July 2,
2016 - with media alarmed by the
case, despite it being managed by the

Africa is marching. More
than anything else,
the explosive mobile
subscriber growth, which
at its height was many
times the world average,
highly illustrates this
phenomenon. Now,
mobile coverage in
most African nations is
more than 80%. This
should have manifested
proportionately in the
digitalization of Africa.
Page 21


At the southern tip of the
capital, bordering the
Oromia zone - in an area
referred to as Hanamariam
- a clash between security
forces and law enforcement
officers was reported by state
media. What stood out in the
news was the unusual visit
paid to the bereaved families
by officials and their envoys
to pay tribute and mumble a
few words of condolence.
Page 29

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 3

government - the incidences have

continued to grow. This is what led
to the station talking the decision to
have a separate unit to treat Cholera
cases, two weeks ago.
A tented CTC is located just inside
the health station, where it is isolated
from the rest of the compound inside.
Inhabited by close to half a million
people, the Kolfe Qeranio district has
three health centres, two run by the
government and the other by NGOs.
There are also over 80 private clinics
at different levels and a hospital.
The station located in Wereda 13 is
public owned, and has been referring
patients on to Mikililand.
"We decided to refer her situation of
AWD, as it is a common synonym of
Cholera, said an expert.
Cholera is an infectious disease
characterised by intense vomiting
and profuse watery diarrhoea, which
rapidly leads to dehydration and often
death. It is caused by infection with
the bacteria Vibrio-cholerae, which
may be transmitted via infected faecal
matter, food or water - as defined by
medicine nets, an electronic technical
The husband agreed that her situation
was exactly as defined above.
By the time they get to the Mickililand,
her situation left no room for
rechecking. She was close to being
unconscious, and frighteningly frail.
The health officers automatically

Oil US $/bbl



Ethiopian Birr/US $


Photo by: Geremew Tigabu



A restricted area that is established inside mikililand health center to treat cholera patients in the Kolfe Keraniyo sub city.

admitted her to the specialised centre.

In Kolfe Qeranio there are two
specialised CTCs, one in each
government-run health centre. These
are among the 24 centres established
across the 10 district that have been
alerted to identify cases.
It was almost one month since the
Ministry of Health (MoH) reported
the frequent occurrence of cases of
AWD in parts of the capital, calling for
a precautionary preventive measures
from the public. By that time, 25 cases
of AWD had been identified across the
city. These statistics have now leapt up
to a little over 2,000.
It was never referred to as an outbreak

A d v e r t i s e m e n t s

Cholera is an
infectious disease
characterised by
intense vomiting
and profuse watery

in an official manner, which would

have been followed by an emergency
medical shipment from international
agencies. The WHO standard defines a
Cholera outbreak when 10 to 20 cases
are reported and confirmed.
Two weeks after the alarm, sectoral
engagements with other players, like
the media, continued, indicating that
the situation is getting no better, but
demands a more concerted effort.
Communication and framing was
careful not to alarm the public,
mellowing down the incidences
arising, rather than announcing a
full-fledged outbreak and a public
health emergency, a health expert,

Coffee (Arabica) $/kg



working in one of the international

development partners on the areas
of health, told Fortune.
The city has already established a
command post to oversee the effort.
The post, presided by Mayor Diriba
Kuma, comprises institutions such as
the Addis Abeba Water & Sewerage
Authority, code enforcement officers
a.k.a Denb askebari and the Police.
In response to the outbreak of acute
diarrhea in Addis Abeba, the city
administration's Food, Drugs &
Health Bureau, in cooperation with
other bureaus such as Culture &
Tourism, Trade and Health bureaus
as well as the Police Commission and
rules enforcement office, has shouts
down 114 business establishments,
in addition to 32 butcheries and five
private clinics. A volume of of 4,800Kg
food stuff, 4,500Kg of fish and 8,000ltr
drinks were destroyed.
Despite the efforts, numbers are
continuing to follow an upward
So far, six deaths have been officially
confirmed in the capital. The number
of cases is reported to be as high
as a thousand plus, according to
unconfirmed sources.
For Melese and his neighbours, having
an upset stomach and diarrhoea is not
an issue of discussion - particularly
when it happens with their kids. The
(Continued on PAGE 9)

P ag e 4


Fuel Doctor
Total Ethiopia S.C has launched a mobile fuel
quality Compliance check, Fuel Doctor as
April, 2016. Fuel Doctor carries out surprise
products quality check in Total Service
Stations throughout the country.
The main objective is to safeguarding our
customers against the malpractice of fuel
adulteration; and ensures they are served
with products that meet the standard
The commitment of Total Ethiopia S. C has
been demonstrated through its different

Training of operators of service
station/commercial customer,

quick quality test equipments,

procedural guide/ manual of
quality measurements,

visits/inspections of the service stations by marketing team,

contractual obligation and consequence management with station operators,
Fuel Doctor is meant to boost the existing quality control network.
What makes the Mobile Fuel Testing Service Unique?
First of its kind in Ethiopian oil Industry
Equipped with essential equipment and qualified person in petroleum chemistry
Collect samples and perform basic fuel quality tests on site
Take samples for further laboratory analysis in case of non conformance of the basic tests.

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

Hawassa Industrial Park to be

Inaugurated this Week
 The flagship project of the Industrial Parks Development Corporation
will be managed by a Chinese company
The Hawassa Industrial Park (HIP),
constructed at a cost of more than
250 million dollars, will be declared
operational on Wednesday, July 13,
Four chartered planes will transport
dignitaries, including Prime Minister
Hailemariam Desalegn, to attend
the inauguration of the much talked
about park. The park is the Industrial
Parks Development Corporation's
flagship project and has for the
past year and more garnered its top
priority status.
The successful completion of HIP
is a welcome development for the
Corporation, which also considers the
project a great learning experience
for other parks it plans to build over
the coming few years. Similar megaindustrial parks are slated to be built
in Meqelle, Kombolcha, Dire Dawa,
Adama, Bahir Dar and Jimma in the
near future.
HIP will have a maximum absorption
capacity of 50,000 employees once
fully operational. It is planned to
specialise in textile and apparel
products and will serve as a launch
pad for the industrialisation phase of
Ethiopia's economic progress.
Once operational, the park will
be managed by Kunshan Hi-Tech
Industry Development Zone Asset
Management Co. Ltd - a Chinese
The Construction of the park

was awarded to another Chinese

Company, China Civil Engineering
Corporation (CCECC), exactly a
year ago.
The Company is not a newcomer
to the business of industrial parks,
with almost a decades worth of
experience. With its subsidiaries,
they develop and construct
industrial parks and zones, run
park management and operations,
and perform capital management.
Its exemplary track record of
managing a number of parks
convinced us to select the company,
said Arkebe Oqubay, Chairman of the
IPDC. "It has managed parks that
are of a similar size and with similar
technologies to those used in HIP.
The Park, which extends across 1.3
million sqm, for sheds, commercial
buildings, residential areas and other
facilities, has a zero-liquid discharge
(ZLD) facility.

HIP will have a

maximum absorption
capacity of 50,000
employees once fully

A d v e r t i s e m e n t s

Parallel to the infrastructure

development, the Ethiopian
Investment Commission (EIC),
alongside the Corporation,
conducted a proactive promotional
campaign at targeted companies.
It was difficult to convince and
compete to get the worlds leading
brands to come here, Fitsum Arega,
commissioner of the EIC noted.
Ethiopia stands in last place after
other more viable competitors,
Uganda, Kenya and Tanzania, who
all have a better score in both the
ease of doing business and starting
business indexes.
The challenge to recruit
manufacturers locally was also not
a smooth ride.
After three rounds of announcements
though, the interest improved,
though only six local manufacturers
have made it across the line to be part
of the inauguration.
This number is far less than the plan
to allocate 20pc of the 12 planned
parks to local manufacturers.
We will push to ensure we meet
the target, said Arkebe, indicating
a possibility of a fourth round call
for local manufacturers. We will
welcome any local company that
can run its business, creating job
opportunities for 100-150 people.
The original call extended to
locals to occupy 5500sqm sheds
has been continuously adjusted to
accommodate the limited capacity.


P ag e 5

The Famine Early Warning Systems Network (FEWS), a provider of early warning
and analysis on acute food insecurity, disclosed that Ethiopia's seasonal
forecasts indicate that the 2016 Kiremt rainfall is expected to be higher than
average in Tigray, parts of Northern Afar, Amhara, Benishangul-Gumuz, Gambella
and Western Oromia.
The network also announced that the torrential rainfall in April and May caused
flash floods and landslides in Southern Tigray, Eastern Amhara, Southern Afar,
North-Eastern Somali and the Southern Nations, Nationalities and Peoples
region, dislocating 200,000 people. The incidents are also reported to have
distorted agricultural activities, and damaged property and households.
The rainfall during these seasons is predicted to cause extensive and severe floods in flood-prone areas,
which could lead to the displacing of households, damage to crops and livestock, and temporarily limit
humanitarian access to flood-affected areas.
Until June 22, 2016, the total humanitarian requirement of Ethiopia amounted to 1.52 billion dollars for
all sectors. The share of the food sector was 1.1 billion dollars, of which only 46pc has been secured.

Read Less: Know More

Kiremt Season Predicted to Cause More Flooding

June's Inflation Declines, Despite Rising Vegetable Prices

The inflation rate for June 2016 has been registered at 7.5pc, the Central
Statistical Agency's (CSA) latest report shows. The monthly inflation rate was
recorded at 7.9pc and 7.4pc for May and April 2016, respectively.
Inflation of food stuffs and beverages was registered at 7.2pc - a decrease from
the previous month, where it was recorded at 8.4pc.
The monthly inflation rate of the country has averaged 17.4pc over the past
eight years, reaching a record high of 64.2pc in July 2008 and a record low of
-4.1pc in September 2009.
Despite the report of the CSA, consumers at Atkilt Tera, the hub of distribution
for vegetables and fruits in Addis Abeba, claim that the prices of major vegetable
products - tomatoes and onions, in particular - exhibited record prices over the
last month, compared to the same period last year.
Trading Economics predicted that inflation would sit at 7.5pc next month.


P ag e -6

Vo l . 17 No. 845
J u ly . 10, 2016

Wyndham Inks . . .

Two of the hotels will be constructed

in Addis Abeba, with the third on
Lake Langano in SNNPR

Page 16

Hailemariam Bullish on Strong Economic

Growth Despite Poor Sectoral Performance
Prime Minister Hailemariam
Desalegn was unbending in his
assertion that the Ethiopian economy
is expected to register a strong
growth of 8.5pc this year, despite
falling agricultural productivity and
disappointing export earnings.
Although meher (June to August)
production declined in some parts
of the country following the El Nio
phenomenon, better rains during the
belg (March to May) season led to
increased harvest, he told the MPs
on July 5,2016's session.
"Agricultural output during the
2014/15 meher season was better
than last years, but improved 2016
belg rains saw outputs rising by
seven percent," argued the Premier.
"This rise impacted the entire sector,
triggering a three percent growth in
the same year, injecting a one to one
and a half percent contribution to
the overall Gross Domestic Product
(GDP) of the country."
Agriculture is still crucial, though it
no longer boasts the lions share of
GDP contribution, curtesy of a vibrant
services sector. Last year alone, it had
more than a 38pc share of the GDP.
Growth in the agricultural sector is
intricately linked with the economic
growth of the country, not just owing
to agricultures production output,
but also cognisant of the fact that it
provides employment for close to
70pc of the population.
This years three percent growth is
significantly lower than last years
6.5pc growth and 2013/14s 5.4pc,
government reports show. The triple
effects of months of failed rains, the
El Nio phenomenon and impacts
of climate change have drastically
reduced agricultural productivity
in the country, according to Oxfam.
Some areas reported 50 to 90pc crop

Photo: Fortune File

Growth in the Industrial and Services sectors have not compensated, for agricultural losses due to unfavourable
weather conditions

failure in the meher of 2015, putting

the food security of millions of people
in jeopardy, but also pulling the
breaks on the pace of the country's
overall economic growth.
The environmental hardships faced
by the agricultural sector resulted
in a 40pc decline in productivity
across the four grain-producing
regions of the country Amhara,
Oromia, Tigray and the Southern
Nations, Nationalities and Peoples
Region - according to an assessment
conducted by the Ethiopian Red
Cross Association, a few months
The government has so far allocated
around 800 million dollars, from its
own coffers, to provide humanitarian
assistance to the people affected by
the natural disaster. While a noble
deed, some claim the re-allocation
of funds is putting strain on the
government, which already has

Data collected
up until the third
quarter of the current
fiscal year shows an
alarming decline in
Ethiopias exports.
a wide-ranging public spending
programme stimulating growth in
various sectors of the economy.
While it may not be the dominant
sector in the economy, agriculture is
the most important in the countrys

capacity to earn foreign currency

through exports. It supplies most
of Ethiopias export commodities,
which are often primary goods, with
little or no additional value. However,
earnings from exports were also hit
hard during the current fiscal year.
Data collected up until the third
quarter of the current fiscal
year shows an alarming decline
in Ethiopias exports, Abdul-Aziz
Mohammed, Minister of Finance &
Economic Cooperation, told MPs in
June. Exports in the current fiscal
year saw a 6.5pc decline compared
to the previous year, with just over
two billion dollars collected from
the sector. Falling productivity and
a slowdown in the global economy
which led to a decrease in demand
for commodities, are to blame for the
poor performance, he noted. There is
also a concern over trade imbalances,
with the countrys imports outdoing
its exports by more than 10pc within

the same period.

Considering the productivity
shortfalls registered by the various
sectors of the Ethiopian economy, the
International Monetary Fund (IMF)
has a rather subdued projection
rate of growth for 2016. In its
World Economic Outlook 2016, IMF
projects a substantial decline in the
growth of the economy - from 10.2pc
in 2015 to 4.5pc in 2016. It lists
drought as the main factorslowing
Ethiopias economic progress.
The Prime Minister told MPs, however,
that although his administrations and
IMFs projections on the growth rate
were unusually on par (except for
the glairing 4-point difference), he
is confident about the resilience of
the economy to weather the shocks
caused by the unfavourable weather.
He also noted that the services and
industrial sectors registered a seven
percent growth this year.
"The Primer's growth projections are
unrealistic and hard to buy," a senior
macro-economist, who spoke on the
condition of anonymity, told Fortune.
His argument takes into play
various factors actually show that
the countrys economy is slowing
down. Rising imports, substantially
falling agricultural productivity,
declining exports, continuing power
outages that affect industries and a
diminishing forex reserve have had
a negative impact on the countrys
economy. Better performance of
remittances in the services sector and
the falling price of oil in the global
commodity market have helped the
Ethiopian economy to some degree,
he noted, but not to a point where it
can compensate the losses incurred
in other sectors. Given the global
economic stagnation, however,
the economist underscored that
even a 4.5pc projected growth is a
remarkable achievement.

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


P ag e 7

P ag e 8

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


Ermias' Failures Leads to Snatching of Shares of Michot Real Estate

Seven million Br in outstanding payments will soon move to other properties, including Ermias' own home
Michot Real Estate, one of the companies
founded and run by Ermias T. Amelga,
has lost 30,000 shares worth 30 million
birr to Aman Berki, the general manager
of Tulu Dimtu Real Estate.
The shares were transferred to Aman
Berki through a court order after they
were floated for auction over the past
three months.
There were no interested buyers, despite
two rounds of public announcements in
the state-owned daily newspaper, Addis
The execution bench of Finifne Special
Zones Oromia High Court has transferred
the property following a court case that
decided in favour of the claimant.
The claim arose from an outstanding
payment of 27 million Br, out of the total
30 million Br Michot agreed to pay for
the whole transfer.
It was five years ago that the deal was
inked. Then, Ermias, CEO of Michot and
Access Real Estate, approached Aman
Berki and agreed to buy major shares

of Tulu Dimtu - owned by Aman, his wife

and two sons.
Then, Michot bought 30,000 shares
worth 30 million Br, while Access
acquired 15,000 shares for 15 million Br.
The ownership proportion of Tulu
Dimtu Real Estate stood at 60-30-10,
for Michot, Access and Aman Berki,
Michot, however, never finalised
payment. Upon signing the transfer
contract, Ermias paid three million birr
in cash.
Another round of payment, for nine
million birr, was later done with four
different Zemen Bank cheques - all later
It was in 2013, while Ermias was in selfexile, that the case was initiated.
After a year, the court came to decide
that Michot and Ermias were liable to
pay the 27 million Br and interest until
it was fully paid.
The Federal High Court bench decided
that Aman, the applicant, could claim the
full amount from both or either one of
the defendants.

Number of shares
Tuludimtu Real Estate sold
to Michot Real Estate
This is unfair, said Alemenew Dessie,
a representative of Ermias and Access
Capital. We only heard about the case
accidentally and are taking action to stop
this unfair action immediately."
Serkalem Ahmed, a practicing lawyer at a
High Court for almost a decade, disputes
this, however.

There is no way he can raise this as a

ground to challenge a court decision,
she said. The court has taken all the
procedural steps required to call upon
a defendant.
Michot and Ermias, the first and second
defendants on the 30 million Br case,
were called through a public newspaper,
after Aman Bekri, under oath, informed
the court that he couldn't find the
legal representative of the company
at its previous addresses, and related
individuals, including Leykun Fetahi,
refused to take the court order to appear.
Leykun was assigned as deputy manager
of Tulu Dimtu Real Estate, representing
Michot and Access Real Estate.
"Leykun was formally fired from his
position," said Alemaw, in downplaying
the efforts made to find the defendants.
Ermias T. Amelga is the founder and
former CEO of Access Real Estate, a
company established with a capital of
35 million Br in 2008. Following the
vanished commitment of the company to
over 2,000 homebuyers, and a number of
bounced cheques, Ermias left the country
to a selfexile.

It was upon his return, and after a

one-year window, that he was arrested,
and remained under police custody for
almost three months. He is now free
on bail.
Last week, he apologised to homebuyers.
This is not the first Real Estate case to
be filed and ruled against him. Ermias,
59, was first arrested in January 2016
in connection with his failure to resolve
issues with his 1.2 billion Br real estate
Reports of the technical committee
established to resolve the case indicate
that there were nine sites registered
under ARE and 10 sites under other
companies, such as Pacific Link Real
Estate, Meri Real Estate and Tulu Demtu
Real Estate, of which Ermias was the
major shareholder. For Michot, the share
acquisition from Tulu Dimtu Real Estate
is the only registered business interaction
it has taken part in.
The property handed over to Aman Berki
is short of seven million birr, which
leaves a room for the latter to go after any
property registered under Michot Real
Astate and or Ermias personal property.

A d v e r t i s e m e n t

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

number of adults and the issue in the

media has alarmed them.
In 2010, Kolfe Qeranio territory was
the only one affected by officially
recognised higher indices of AWD.
The high population is picked as the
first factor making it vulnerable to the
rainy seasons floods and sewerage
A shopkeeper near to Mikililand told
Fortune that most who visited the
centre with similar health concerns
came from areas such as Ayer Tena
and Alem Gena, rather than nearby
localities. The station, in addition to
giving basic services, is now treating
AWD-affected people from other
areas. The first confirmed cases of
AWD were reported in this district.
"So far, I did not hear of anyone
affected with 2AWD from our blocks,"
said the shopkeeper. Rather they
came from far away.
The outbreak mostly affected two
districts - Kolfe and Addis Ketema. The
latter is known for its densely settled
population, with 33,970 people within
just a one-kilometre square radius.
In this respect, the outbreak may
well have started from a river in the
Kolfe district, which flows way down
to southern parts of the capital in the
Aqaqi Qality district.
In June 13, 2016, out of 22 confirmed
cases, the Addis Ketema and Kolfe
districts reported five each, while the
rest of the districts reported just one
to three. The city Health Bureau has

(Cont'd from PAGE 3)

Photo by: Geremew Tigabu

Cholera Outbreak . . .

P ag e 9

C o n t i n u a t i o n

Mulugeta Admassu, communication head for city's health Bureau.

already identified 26 weredas that are

considered to be vulnerable to the
outbreak across 10 districts, with the
majority located in Kolfe.
The same report by the WHO has
pointed to the fact that the exact
source of the outbreak having not
been identified presents a challenge.
"We are not going to disclose latest
figures on the outbreak, because it
may create a panic among the public,
Mulugeta Admassu told Fortune.
The Bureau is now working with UN

A d v e r t i s e m e n t

agencies, who are assisting the efforts

by supplying medicines and expertise.
Close to 1,000 health extension
workers (HEWs) are said to have
been distributed across the city.
Similar cases of citywide outbreak
occurred back in 2005 and 2007.
To curb the impacts, it has been
suggested that the WHO Cholera
Guideline is to be implemented.
Those who are suspected to have been
exposed to the bacteria that causes
the disease have to be treated with
chemicals used for this purpose. Not

only that, the guideline insisted that

all materials have to be disinfected.
In Melese's case, he missed out on
being cleaned with a chemical after
he brought his wife to the first station.
"We didn't know that his wifes case
was AWD," said the health officer.
After almost three days, he was
ordered by physicians at the CTC to
take his wife back.
"They said, she is now in a better
condition, but still her resistance is
not good," said Melese. They also

told me that the fact that newly affected

individuals are coming to the centre
might affect those already recovered.
Later, he was preparing to take his
wife back home, but her illness
resurfaced and now she is in intensive
care at the CTC.
When his wifes case was confirmed, it
was the first, but now other new cases
have emerged within two days. One,
he said, was someone who lives just a
few metres from his house. In the CTC,
where his wife being treated, he has
witnessed close to a dozen patients
with the same sickness being treated.
This doesn't include additional
patients in another part of the
CTC, who are at different stages of
As part of its programme to inform
the public, one million brochures
are being distributed, 400 forums
were prepared and close to 1,000
individuals from religious institutions
and five-in-one cells were consulted.
"Given the continuous rainy season,
numbers may escalate," said Mulugeta.
In January of this year, the WHO
reported that heavy rains caused by El
Nino will cause flooding in East Africa,
with an associated health risk. Back
then, a Cholera epidemic with more
than 12,000 cases was reported in
Tanzania. The report also indicated
that it may spread, and other countries
will experience disease outbreaks.
The Tanzanian Cholera outbreak was
the largest since 1997-1998, which
had over 40 000 reported cases. The
outbreak has also been reported in
border towns of Eritrea and Ethiopia.

P ag e 10

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


Swerage Outflow Displaces Hundereds, Damages Property.

By Nardos Yoseph
An outflow of sewerage pipeline has
displaced close to 300 people from
their homes, while businesses and
residences in the area have so far
claimed a total of 40 million Br in
damages. The outflow came following
a heavy rain storm on the night of
Monday, July 4. 2016. The area is one of
those identified by the National Disaster
Risk Management Commission as flood
prone following the rainy season.
Adama Mekonen, a decade-old popular
hotel in Adama - previously rented out
to Yami Hotel for three years before
being renovated - has faced the heavy
hand of the flood.
The hotel was using the ground floor
as a storage for fridges, chairs, tables,
desktop computers and other new
materials bought for renovating the
hotel. The management of claim
that they have lost over 60,000Br
of property, which they havent yet
completed registering. The staff
also claim that this kind of flood
is unprecedented at the hotel and
throughout Adama
Another Bar and Restaurant Beer Court,
which has a club, VIP areas and outside
kitchen area has also been damaged by
the torrent. According to its owner and
manager, Amanuel Fekadu, it has lost
1.5 million Br as a result of damage
caused by the flood.

Photo by: Ayenew Alemayehu

 The sitting adminstration never knew of a multi-million Br project initiative to prevent the potential floods

A young man collecting a dvd player from the collapsed house around kebele 9 in Adama because of the flood.

It will take me at least two months to

renovate, Amanuel Fikadu said. With
each day passing without my average
30,000Br in daily sales.
A third round water sucking truck was
on its way to drain the water.
Beer court has been in business for
eight years, starting out with 2.5 million
Br in capital. The nightclub has moved
into a six-storey building in Wereda 09,

raising its total capital to four million,

with 43 staff employed. However,
Amanuel now has to try to find a way to
survive this on his own, since it has no
insurance to cover the damage.
The residents who live around the
sewerage state that the line has not been
cleaned for the past five years, but the
city cleaning and beautification office
argues otherwise. A source in the office

40m Br
The amount of
property damage
caused by the

states that all of the city sewerage has

been cleaned, as a 21-day time lapse
to clean all pipelines is mandatory.
According to this same source, two
months have passed since the last
They only cleaned it three days after
the flood, not before the disaster, said
a resident who lives nearby.
According to an experienced lawyer,
since the victims of the flood had
approached the administration to clean
the sewerage, but still the management
had failed to answer their demand, they
could sue the administration.
The people can ask for evidence
and register for property damage
compensation. If anyone has died,
the survivor family can sue for
compensation to provide the average
earning of the deceased one. The
surviving community can also sue the
management of the administration for
failing to carry out their responsibilities.
Adama, as the prime economic hub
of the Oromia Regional State, with
an estimated 350,000 residents, has
a daily waste water production close
to 34,000m3. The waste management
less than 0.1 percent compared to the
demand for the service.
In 2011, the city administration,
in collaboration with the Oromoia
Regional State and the World Bank,
(Continued on PAGE 14)

A d v e r t i s e m e n t

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


P ag e 11

No End in Sight for Soaring Vegetable Prices

Vegetable prices are soaring, with consumers
left wondering how high they will climb. As the
price hikes manifest, many are also questioning
the states inefficiency in stabilising the market.
Though data compiled by the Central Statistics
Agency (CSA) shows that the inflation of food
items and beverages for the month of June 2016
was actually lower, at 7.2pc, than the previous
months 8.4pc, the reality on the ground, for
vegetables at least, is completely different.
Im quite puzzled by the meteoric rise in the
price of vegetables, particularly onions and
tomatoes, Martha Tesema, a resident of Addis
Abeba in her fifties, told Fortune, while shopping
at Atikilt Tera - one of the largest fruit and
vegetable markets in the capital.
In May 2016, a kilo of onions retailed for
12Br, while a kilo of tomatoes was 16Br.
Martha is flabbergasted that now the price for
those vegetables has reached 17Br and 28Br,
respectively, within just a month.
The soaring vegetable prices is caused and
exacerbated by various interlinked factors,
according to Kedir Legesse, head of sales at
Ethiopian Fruits & Vegetables Marketing
Accordingly, the ripple effects of the floods,
which caused extensive damage in the major
vegetable growing areas, are still significant
in diminishing the productivity of the farmers.
Vegetable producing areas in Zeway and Meki,
in Oromia State, are still reeling from the floods.
The difficulty caused by the floods is being
compounded by the rainy season, which is
currently in full swing.
The Rains make the collection of these
vegetables very difficult, significantly lowering
yields, Ejerso Abegaz, a vegetable farmer from
East Shewas Meki, told Fortune.
In connection with the rainy season, there are
also cases where there is a shift of land from
producing vegetables to other crops. This also
contributes to the ever-dwindling amount of
vegetables being produced at this time of year.
A recent government move to implement tight
restrictions on vegetable suppliers operating
without a licence has had a counter-productive
impact. It has fuelled the shortage of vegetables
in Addis Abeba and pushed up prices.
The government recently banned vehicles with
vegetable cargo from entering the city, citing
the lack of business licences, according to
Etisa Gemechu, market information director
at the Trade Practice & Consumers Protection
All of these factors have led to a substantial
shortfall in productivity and a significant price
hike. This has resulted in Etfruit - a state-owned
enterprise that once supplied 600-700 quintals
of fruit and vegetables a month to the Addis
Abeba market, and commanded roughly 20pc
of the vegetable market in the city - calling it
quits and suspending its vegetable distribution
indefinitely, Kedir told Fortune.
Etfruit was no longer able to pay the high prices
set by the farmers and make money at the rates
it was selling the vegetables. In May 2016, Etfruit
retailed onions and tomatoes for 10 and 12 Br
a kilo, respectively.
"We stopped retailing because we could not
compete with retailers outside and we are not
on the mission to sell these items at high prices,"
Kedir added.
The exact impact of Etfruits decision to exit
the market is hard to quantify, but it has left

Photo by: Ayenew Alemayehu

 The sharp inflation comes as a result of a variety of factors, including adverse weather conditions and a government
clampdown on unlicensed traders

Retailers display tomatoes and onions at a partitioned sheds in Atiklit Tera of Piazza area which is the
biggest vegetable market in the city.
A d v e r t i s e m e n t

consumers with less choices and

at the mercy of the market.
I have no option but to pay the
price at any cost, because these
ingredients are basic to our diet,
Martha stated.
The Authority has no legal mandates
to regulate the market, Etisa noted.
Its role is merely to assess the
market and identify the reasons for
price hikes.
Commercial and private holding
farms in the country harvested
more than a million quintals of
tomatoes in 2014/15. Around
600,000 quintals of these tomatoes
were exported, generating more
than nine million dollars in hard

P ag e 12

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


Addis Abeba's 10th Master

Plan Sees 13 Districts
 The new plan, which includes a focus on socio-economic aspects of the city, will have a separate office to ensure its efficient implementation.

Two years after Addis Abebas ninth
master plan was phased out, the tenth
master plan, integrating socio-economic
aspects of Ethiopias capital city, is now
officially out for public discussion.
This comes soon after the controversial
integrated Addis Abeba & Surrounding
Oromia Special Zone Integrated Master
Plan was cancelled. The new master
plan has been developed by the newly
renamed Addis Abeba City Planning
Project Office.
Less the specialised Oromia special
zone, the proposed 1.1 million hectares
of land outside the capital has now been
reduced back to just 52,000ha.
Though the area of the land has been
scaled back, the number of districts is
proposed to reach 13, dividing each of
the existing three, considered too big
for a standard, into two.
Yeka, Aqaqi Qality and Bole will be
twinned to six different districts.
A proposal for the establishment of
a dedicated body - the Addis Abeba
Planning Commission - to oversee and
coordinate the implementation of the
plan is a development.
The office will also be mandated to
manage the implementation budgeting
and mobilisation of the master plan. It
is estimated that the whole project will
cost over 290 billion Br.
During its 130-year history, Addis
Abeba has seen various plans, mainly
by foreign companies, the first from the
period of the brief Italian occupation.
The only plan to take areas beyond the
capital into consideration and adjust
plots came back in the 1950s. At that
time, the plan was developed by Sir
Leslie Patrick Abercombie. It was,
however, ultimately never implemented.
The new plan is guided by the vertical
expansion principle of city development,
as opposed to horizontal expansion. It
includes the following major tenants
- redevelopment, compact settlements
and developing integrated plans, in
terms of transport, housing, and the
social and economic sphere.
In this respect, six sectors have
been selected - transport, housing,
environmental protection, industry,
development and recreational centres
- as focal points.
The transport sector, steered by mass
transportation prioritisation, will see
the expansion of the Addis Ababa Light
railway system - extending its routes
with Ayat to Tafo Square, St George
Church to Sheromeda, Tor Hayloch
to Jemo and Qality to Aqaqi. A new
Rapid Bus Transit lane exclusive to
public transport will also be developed,
alongside the manufacture of dedicated
buses. All of these projects seek to boost
the implementation of Addis Abebas
mass transportation system.
Out of the nine Rapid Bus Transits

proposed, one corridor, B2, is already

underway. The 16km lane will stretch
from the Pasteur Institute to the Jemo
Condominiums. The remaining eight
corridors, which will cover 93km, are
proposed to be completed within the
given timeline. A company from France
is currently conducting a detailed design
study of the B2 corridor.
In order to also accommodate for private
transportation, 60 vertical car parks have
been envisioned to help ease the space
congestion issue in the city. Though yet
to be discussed and approved, the city
has started to implement the project.
The sites for twenty of these have already
been identified. Just recently, the city
awarded contracts to two companies to
construct seven automated structures and
one surface parking structure. These two
alone cost the city close to 64 million Br.
The bold mission to build one million
houses during the master plan period
is projected to help solve the citys
underlying housing problem. This plan
goes in line with the five million new
residents the city is projected to have
over the coming ten years.
The new sites identified for these massive
housing projects are mainly situated on
the peripheries of the city, including Koye
Fitche, Bole Arabsa and Yeka.
In the inner city area too, shanties will
be cleared to accommodate close to 400
thousand new houses. During previous
redevelopment programmes, residents
were located far from their original
habitat, but now there are few vacant
spaces left. Thus, displaced residents
must be resettled in nearby areas, Tamrat

Eshetu, Land Use & City Structure Team

Leader, told Fortune.
The tenth master plan has stressed a
list of recommendations that must be
followed during its implementation.
The plan recommends that the residents
included under this programme should
be informed of its timeline. Again, the
residents have to be compensated with
new homes located in the same area
that the redevelopment takes place,
or relocated within a one-kilometre
In transferring constructed condos,
the plan has also indicated that priority
has to be given to those who have lost
their original shelter and should not
be put into a lottery lot.

The tenth blueprint has more to say on the

vertical expansion of the city, predominantly
through redevelopment, as opposed to
horizontal expansions.
The capital will have its city centres
across eight locations, including the
National Theatre, Cherqos, FilwoehaMesqel square, La Gare, Kazanchis and
Churchill. A total of 335ha of land is
dedicated for this plan, which will be
finalised over the coming five years.
Areas of Cherqos and Filwoeha-Mesqel
Square, amounting to 120ha and 90ha,
respectively, will be turned into parks,
exhibition centres, offices and malls.
This is just for category one city

centres. Close to 14 additional centres

will be located across 850ha of land
within categories two and three. Yet
another 300ha of land will also be
dedicated at the wereda level.
In a bid to accelerate the services
sector of the city, as a special project,
two international standard hospitals, in
Bole Arabsa and Meri Loqe, five five-star
and above hotels and two stadiums, in
Gerji and Lebu, will be installed. The
hotels will be located in areas like Old
Airport, Sar Bet, Mexico and Kazanchis.
In addition, a hotel will be installed at
Entoto during the second five years of
the plan.
Some space behind Bole International
Airport will be left vacant for a golf
course. Private engagements are also
recommended throughout the whole
initiation of the services sector.
Rivers, river basins and areas vulnerable
to drainage issues will be covered with
plants and transformed into parks.
Along these lines, 170 spots have been
identified at the city, district and wereda
level to serve as parks. Rivers, such as
Kebena, Bant Yeketu and Kechenea,
which stretch 33km, will be developed.
Most of green areas that were left are
now being utilised for public projects,
predominantly housing. This is mainly
due to budget and capacity constraints
of offices dedicated for this purpose,
said Tamrat.
Those individuals currently settled in
the river and river basin areas, and the
more vulnerable areas of Entoto, Gulele,
Lebu and Repi, will be resettled.

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


P ag e 13

Local Steel Producers Secure 3.7b Br Contract

 East Steel, C & E and Steely RMI all managed to get a piece of the pie
Addis Abeba Saving House Enterprise
has finally awarded contracts for the
supply of 220,000mt of re-enforcement
bars to three local companies, at a
total cost of 3.7 billion Br. The award
comes following a cancellation of the
same bid after exaggerated price offers
by bidders.
The purchase was first announced
in May, 2016, when the Addis Abeba
Saving House Development Enterprise
declared that they wanted to purchase
an amount less 70,000tn from what it
is now. However, later it was decided to
cancel the bid and revise the amount.
This bid, which was designed only
for local producers, has attracted five
companies. The bidders gave their
respective offers for each diameter
of the bars six-millimetre, eightmillimetre, 10mm, 12mm, 14mm,
16mm, 20mm and 24mm.
The Enterprise has sealed contracts
for set sizes with three winning
companies - Steely RMI, East Steel Plc
and C & E Brothers Factory Plc. With
the exception of the six millimetre
diameter, the Enterprise has already
concluded contracts with the suppliers
for all of sizes.
In this respect, C & E has taken a large
portion of the pie, with a 2.2 billion
Br contract. The company offered the

lowest price for four bar sizes - 12mm,

14mm, 16mm and 20mm. The supplier
currently has listed 17,710 Br, 17,110
Br, 17,110 Br and 17,240 Br for one
tonne of the 12mm, 14mm, 16mm and
20mm bars, respectively. C & E will
supply 125,549tn of steel bars in total.
C & E is currently expanding its annual
production capacity to a proposed 1.4
million tonnes of steel.
Following C & E, East Steel were
awarded a contract to supply two
diameters - eight millimetre and 10mm
- both totalling 39,457tn of bars. East
offered 18,980 and 18,080Br for a
tonne of eight and 10mm steel bars.
The company has been in the Ethiopian

The producers benefit from a government

incentive, but the price is still higher than
the imported products.

A d v e r t i s e m e n t

market for the past ten years and has

a production capacity of 300,000tn
per annum.
The remaining slice of the pie goes to
Steely RMI, after it offered the lowest
price for two bar sizes - six millimetre
and 24mm. However, at the moment,
the Enterprise has only awarded Steely
the 24mm bar contract, even though it
was the only bidder to offer a price for

the six millimetre bars.

For 4,463tn of the 24mm bars Steely
offered 17,950Br a tonne, while it
submitted an offer of 22,900Br a tonne
for the six millimetre bars. At this point,
Steely has sealed a deal worth 801.2
million Br for the supply of the 24mm
bars only, while the case of the six
millimetre bars is still pending.
"We are looking at the market to
determine if the offer by Steely is fair,"
according to a purchasing expert.
An industry source, however, criticised
all the bidders who argued that their
price was supposed to be lower than
what they had offered. Some of the
prices were even higher than the
market norm.
The producers benefit from a
government incentive, but the price is
still higher than the imported products,
said a source.
At the international market, the price
of billets - the main product to produce
bars - is sold for 150 to 200 dollars
a tonne. While the price of Steel at
international market traded at 312.5
dollars, which is 0.312 dollars a
kilogram, or 6.552Br. The industry
source shared his experience that the
price of six-millimetre bars imported
from China cost 11.50Br a kilo, while
the local market price can be as high
as 19.50Br a kilogram.
Another source familiar with the local

market stated that, on average, the

price of steel bars at local market
is 18Br. In comparison to this, the
average price by the three bidders is
0.50Br higher than this - almost a 110
million Br difference in the cost the
Enterprise will probably incur.
"What they should do is negotiate with
the bidders, identify their cost and
then decide the margin so they can
save more public money," explains an
industry insider.
The Enterprise has already announced
that it has saved close to 320 million
Br after cancelling the first round of
the same bid.
In some ways, the government is saving
hard currency by giving the opportunity
to supply steel to local producers.
However, the producers are exploiting
this opportunity, according to the same
"We have made our price assessment,
and we believe we got a fair price,"
said Teklu Beyamo, deputy head of the
The winning companies will deliver the
bars within five months.
The delivery will be used for 40/60
housing projects, which are managed
under the Enterprise. It is being
made for 38,790 houses currently
under construction, as well as for new
housing projects to be built on 57ha of
land in Bole-Ayat.

P ag e 14

Swerage Pipe . . .

announced a 234 million

project to construct of 45km
flood drainage system in
Adama Town. The drainage
and bridge construction was
then planned to end annual
and often fatal floods.
Officials pointed fingers at
one another, while admitting
that priority was not given to
the persistent requests of the
The sitting Mayor of Adama
for this year claims that there
is no such project in his office
We had no such kind of
project, said the city mayor.
We did a quick research
after this flood and are
working to ensure it never
happens again.
The three companies that
were awarded the contract,
Yemane Tesfaye Building
Co, Sesk Construction Co
and Anwar Seid General
Contractor, told Fortune
that they have finished
constructing 45km of flood
drainage system in the town
during the same fiscal year
that they took over the project.
Five Years back, Dita Kure,
head of the City Administration
Construction office, told
Fortune that 25km of the
project was targeted to be
completed in 2011, aiming

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

C o n t i n u a t i o n

The residents who

live around the
sewerage state that
the line has not been
cleaned for the past
five years

to minimise the flood danger

and damage in the area by
This is not the first time for
the city to be hit by such
a kind of flood. In 2010,
two people died in fatal
flooding. The most fatal
flood, which killed five and
damaged properties in six
weredas, occurred in 1983,
when the former President
Mengistu Hailemariam
(Col) cancelled his visit to
inaugurate Ethiopias first

(Cont'd from PAGE 10)

tractor assembly plant in

I was deep asleep; I didnt
even hear the rain. Then, all
of the sudden, my bed was
wet said Solomon Wolde
Aregay, standing beside the
debris of his mud house,
wearing a wet T-shirt with
mud all over it. Solomon, a
daily labourer at construction
sites, owns a one-room house
in which he grew up in for
36 years and then inherited
from his mother. He states
that since his work demands
heavy energy, he is also a
heavy sleeper.
The flood came through the
gap between the door and the
floor, he said. I stood on my
table, but still it reaches my
neck. I tried to get out, but it
was closed by all the filth that
came under the door.
He managed to survive, after
his neighbors came to move
out the materials that cover
the door and rescued him two
hours after the rain stopped.
What is past is past, but
this is only the beginning of
Kiremt and we all kwnow
what the July rain is like,
said a resident who was
walking to sleep at the school.
e are worried of what will
happen the next time this kind
of flood happens?

A n n o u n c e m e n t s

Commercial Bank of Ethiopia

Tender notice for selendawa textile S.C announced on July 3,
2016, in this newspaper, various pleces of textile machinery, the
term Pleces corrected as various types textile of machinery
and the auction date August 8, 2016 corrected as August 9,
2016, other particulars remain intact.

Commercial Bank of Ethiopia.


The Embassy of Canada is seeking to recruit a consultant to provide the Agricultural

Growth Program Coordination Unit (AGP PCU) from the Ethiopian Ministry of
Agriculture and Natural Resource Management (MoANR), ongoing technical
advisory services in the areas of consultations, coordination, project management,
and communication.
General description of services:

coordination amongst different stakeholders implementing AGP

coordination amongst different stakeholders implementing AGP-linked

coordination between AGP II and relevant directorates within the
MoANR and the Ministry of Fisheries and Livestock;

coordination between AGP II and other agricultural growth initiatives;

key analytical works that will stimulate agricultural growth in the

coordination between AGP II and other Government of Ethiopia flagship

the implementation of priority activities as approved by AGPs Steering
Estimated level of Effort, Schedule and Duration of Assignment
Full-time consultancy assignment for up to 240 billable days per year. Duration of
assignment is one year, with option to renew for a maximum of 5 years.
Required qualifications:
 graduate degree (Minimum Masters) in agriculture, management, public
administration, or a related field.
 minimum of 10 years experience in supporting coordination systems (vertically
and/or horizontally) with a broad range of stakeholders, including Government.

coordinating a diverse group of stakeholders with common interests.

in ensuring high quality reporting and monitoring, and documenting
lessons learned.

in communicating effectively internally (within teams or projects)
and externally (to the public).

working in the agricultural sector in Ethiopia undertaking assignments
similar to the one requested under this RFP.

have an advanced level of proficiency in English.
Application Instructions:
Interested applicants should submit:
A technical proposal following the instructions outlined in the Request for Proposal
``for the provision of services in relation to the project: Agricultural Growth ProgramPhase II Coordination Unit. A copy of the Request for proposal can be picked up
at the Embassy of Canada, in Old Airport (Sarbet) area, Nifas Silk Lafto, Kifle Ketema
Kebele 04, House Number 122, Addis Ababa.
All applications must be submitted to the Embassy of Canada. The envelop must
be clearly marked with ``Technical Advisor AGP: Development Section``
The closing date is July 22 at 13:00.

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 15

P ag e 16

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


Wyndham Inks Hat-Trick Deal with Santa Maria Group Hotels

The Wyndham Hotel Group has signed a
15-year management agreement for three
hotels. This pushes the total number of
hotels managed by the group in Ethiopia
up to four, including the recently opened
Ramada Addis - a five-star hotel in the
The three new ones include two hotels
in Addis Abeba, one five-star and one
four-star, and another five-star hotel on
Lake Langano, in the Southern Nations,
Nationalities Peoples Region (SNNPR).
A local company, Santa Maria Real Estate
& Hotels, a subsidiary of the Santa Maria
Group, is behind the construction of the
hotels at a total cost of 75 million dollars.
Calibra Hospitality Consultancy & Business
has negotiated the deal, which Abel
Sahilemaraim, chairman of the company,
and Panos Loupasis, Wyndham's vice
president for the Middle East and Africa,
inked on the evening of July 6, 2016 at the
Sheraton Addis Hotel.
The biggest chunk of the investment,
37 million dollars, goes to the five-star
Wyndham Addis Abeba hotel, while the
four-star TRYP will cost an estimated price
20 million dollars.
The construction of the Addis Abeba
hotels is planned to be finalised in the
following two and four years, for the
five-star and TRYP hotel by Wyndham,
The Langano five-star Wyndham Langano
Garden, however, at a cost of 18 million
dollars, is scheduled to be opened in two
months, after five years of construction.

Photo by: Geremew Tigabu

 Two of the hotels will be constructed in Addis Abeba, with the third on Lake Langano in SNNPR

Daniel Ruff, president & managing director EMEA (left) and Abel Sahlemariam, director general of Santa Maria
construction plc (right) signed an agreement for the construction of TRYP by Wyndham, Wyndham Addis Ababa and
Wyndham Garden Langano at the Sheraton Addis on July 5, 2016.

"Hotels built in the city have a high-end

quality suited for business class, but resort
hotels are built for leisure travellers where
its more about landscape and nature,
Neway Birhane, the general manager of
Calibra, told Fortune.
The construction and design of the hotels
has been carried out by their parent
company Santa Maria Construction - a
grade one contractor.
Established almost a decade ago, this is
the first time the company has ventured
in to the hotels and hospitality industry at

large. So far, it has taken on big projects,

including Hawassa Universitys Civil
Engineering Laboratory, the Ministry of
Healths St Peters Tuberculosis Specialised
Hospital expansion, and another mental
health hospital and research institute
worth close to half a billion birr.
The three hotels will increase the number
of international branded hotels in the
capital to 15, with the last two years
having seen a tremendous growth in their
Since December last year, three new

agreements were signed the Sheraton,

Starwood Hotel & Resort, Park Plaza,
Carlson Rezidor Hotel Group and Novotel
with Accor.
Wyndhams presence in the industry first
came two years ago, when they signed
an agreement with ADM Business for the
Ramada Addis.
They will also boost the internationalroom capacity of the capital by over 300
Sub-Saharan Africas hotel development
projects showed a 42.1 percent increase

in 2015 compared to the preceding year.

Ethiopia ranks eighth on the continent in
terms of hosting international branded
hotels, with 84pc of hotel development
in the pipeline, while Egypt ranked first
on the continent, with 18 international
brand hotels.
Last week, however, the blooming trend of
international brands faced the first serious
challenge in the country, when Tsemex
Hotels and Business lost a court case.
One of the brands of the Intercontinental
Hotels Group, Crowne Plaza, will not have
a chance in the country, as the cassation
bench of the Supreme Court last week
reversed a series of rulings in its favour.
A local registered trademark, Crown
Hotel, was protected by the five judges who
opined the ruling strictly by law.
"There should not be any room for
other considerations, like international
investment opportunities, to rule over the
principle of law," the ruling reads.
Unlike the Intercontinentals obstacle,
Wyndham Addis and TRYP by Wyndham
will be managing close to 400 rooms, out
of the existing 5,400 rooms in star-rated
hotels in the capital. The number of hotel
rooms in Addis Abeba is much lower than
that of the Kenyan capital, Nairobi, which
has 58,000 rooms.
Wyndham, which runs over 7,800 hotels
with 678,000 rooms across 66 countries,
entered the Sub-Saharan African market
for the first time with its deal to manage
Ramada Addis Hotel, on African Avenue
The Wyndham Hotel Corporation was
founded thirty-five years ago in Dallas

A d v e r t i s e m e n t

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


P ag e 17



National Competitive Bidding (NCB)

Procurement Reference Number AIB & AIC 01/2016/17
1.Awash International Bank S.C. and Awash Insurance Company S.C. jointly invite sealed bids from eligible bidders for the supply, Design, installation
and Commissioning of Goods listed hereunder.
S. No


Unit of measurement





Body Scan Machine


Walkthrough System


2. Bidding will be conducted in accordance with the open tendering procedures contained
in the Directives of the Bank and other Relevant Laws of the country, and is open to all
eligible bidders.
3. A complete set of bidding documents in English shall be obtained from Support
Services Directorate of Awash International Bank S.c located at Awash Towers 10th floor
room No 10-02 upon payment of non refundable fee Birr 200.00 /Two Hundred/during
office hours (Monday to Friday 8:00AM-12:00PM; 1:00-4:30PM and Saturday 8:00AM12:00PM) starting from July 6,2016 upon Presentation copy of renewed Trade license,
Certificate of registration, Tax Clearance certification, VAT Registration Certificate and
TIN Registration Certificate.
4. Bid must be accompanied by a bid bond amount of birr 100,000.00 (One hundred
thousand) for each LOT in the form of Bank Guarantee or Cashier's Payment Order (C.P.O).

5. Bid document must be deposited in the bid box prepared for this purpose on or before
July 28, 2016 10:00 AM in the above mentioned address.
6. Bid opening shall be held at the meeting hall of Awash International Bank s.c. 17th
floor in the presence of bidders and/or their representatives who wish to attend on July
28, 2016 10:30 AM in the above mentioned address.
7. Interested eligible bidders may obtain further information from the office of Support
Services Directorate of Awash International Bank S.C Tel. 0115-57-11-07/00-84.
8. Failure to comply any of the conditions from item 2 to 5 above shall entail automatic
9. The Companies reserve the right to accept or reject the bid either partially or fully.



P ag e 18

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

8:49 Pagina

ISTITUZIONALE2006_ING_210x150:Layout 1


P ag e 19


Industrial Supplies, Tools & Accessories



P ag e 20

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


By Jonathan Cormier

"There is nothing wrong with that vision."

Getachew Reda, Minister for Government Communications Affairs, responded to Lencho Bati, an
exiled opposition leader of the Oromo Democratic Front (ODF), while on an Al Jazeera talk show.
Lencho asked what could be wrong in envisioning the EPRDF opening up the political space for civil
liberties, including the right to organise, assemble, protest and express oneself freely.

The Ethiopian armed forces are maintained entirely for defence purposes, as the
national defence policy is in support of international peace. Today, the nation has
one of the best trained and most well-equipped defence forces in Africa.
The development of a modern army was given top priority by the Emperor, after
Liberation in 1941. Beginning with the British Military Mission, the Government
engaged various foreign instructors from Scandinavia, the United States and India to
teach modern methods of warfare. At the same time, senior officers went overseas to
be trained at some of the world's leading military academies. As a result of this effort,
Ethiopia's army today is completely staffed and officiated by Ethiopians.
Source: The Handbook for Ethiopia, Copyright 1969, University press for Africa.

87,900,000,000 budget, in birr,
allocated to subisidise
Ethiopia's regional states
during the 2016/17
fiscal year.

hen. .. .. .

Mobilization Exercise 1935 La Gare.

Source: Historical photos from the Horn of Africa Facebook page.

Ministry Deploys Anti-Malaria Medicine
The Ministry of Health has announced that it has been striving to ensure the
wellbeing of over 25 million people living in malaria-prone areas of the country,
following the onset of the rainy season.
The Ministry is transporting 916,000g of anti-malaria medicines to 160 weredas
across the country, Malaria programme officer of the Ministry, Dereje Dilu, said.
The anti-malaria campaign is expected to reach more than five million households
in the lowland parts of the country, he added. The Ministry has recently deployed
more than 400 thousand kilograms of anti-malaria chemicals in the Belg-growing
area of the country, reaching close to 900,000 households. The officer noted that
malaria is not common in the highland parts of Ethiopia.
Publication: Ethiopian News Agency, July,6,2016
Ethiopia Keen to Support Somalia's Military
Ethiopia will consolidate its support to the Government of Somalia, helping to
improve the military capacity of the Horn of African nation in order to safeguard
its security and stability, announced Ethiopian Prime Minister Hailemariam
Desalegn. This was disclosed when the Premier conferred here in Addis Abeba
with his Somali counterpart, Omar Abdirashid Ali Sharmarke.
Ethiopia will provide the necessary assistance to Somalia in order to build the
countrys military capacity, so that it can ensure peace and stability by itself,
Hailemariam said, according to a high level official who attended the meeting.
Even though Ethiopias military intervention in Somalia, under AMISOM, has
brought about commendable results, it is important to strengthen the capacity of
the Somali military to ensure everlasting peace in the region, the premier stated.
Ethiopia has deployed 4,900 troops in Somalia to fight Al-Shabaab under AMISOM.
Publication: Ethiopian News Agency, July,6,2016
ESLSE Holds 29 Containers Destined for the Ministry of Education
The Ethiopian Shipping Lines & Logistics Services Enterprise (ESLSE) is holding 29
containers, containing uniforms, pianos and books of various genres, purchased
and obtained as gifts by the Ministry of Education (MoE) from India and China, at
the Modjo and Gelan dry ports. The Ministry's Procurement Service Directorate
claims that the items at the dry ports have been there for over six months. However,
a lack of documentation required to take possession of the containers is cited as
the bottleneck hindering their collection.

Renewable Energy
Despite Challenges

There are many developing countries that are currently working

on their own renewable energy initiatives. Africas heads of state
announced last year that they will launch their attempt to increase
their green power generation by 300gw, which is twice their current
annual electricity output.
Based on official reports, there are 640 million Africans who do not
have access to electricity, while 700 million of them have no access
to green energy. They use charcoal and kerosene to generate power.
The initiative is a game-changer as Africa loses four percent of its
GDP due to lack of clean energy, according to Akinwumi Adesina,
president of African Development Bank (AfDB). He was to the point
when he said sunshine should do more than just nourish our crops;
it must light our homes. Our massive water resources should do more
than water our farms; it should power our industries. Potential is
important, but homes and industries cannot be powered by potential;
Africa must unlock its renewable energy potentials.
Although Africa is working hard to boost its green power, the continent
is still the biggest fossil fuel user in the world. In a chart presented
by Index Mundi, its year-on-year oil consumption is still increasing
from 1,402.75 barrels in 1980 to 3,520.29 barrels in 2013. In fact,
this challenge is not only limited to Africa. Leading nations around the
world, such as the United States where renewable energy projects are
ongoing, still rely heavily on fossil fuels such as petrol.
The oil and gas industrys recent mishaps, decreasing market price
and oversupply, have led to more consumers relying on cheaper fossil
fuels rather than alternative power sources. And these issues have also
affected many other industries and businesses.
However, while some of the smaller oil companies buckled under the
pressure of a challenging market place, experienced multi-national
companies have come out the other end much stronger. Some of these
took this opportunity to partner with other oil and gas companies to
sustain their growth and keep strong social networks active during
this time.
Businesses in Africa are also slowly adopting the idea of green energy,
as most of them finally see its potential and benefits to their companies
in the long-term. Mahama Nyankamawu, owner of solar power project,
Volta, believes African businesses are saving up to 45pc on their costs
by switching to solar.
While businesses and consumers are ready to make the shift, it appears
Africa still lacks the funding to fulfill the bold renewable energy
forecasts. If it does not reach its forecasts Africa may struggle to solve
the ongoing energy poverty crisis that is rampant in the continent.
This is a timely alert from Anima M. George, World Banks Senior
Director for Energy & Extractives Global Practice. She is right in
pointing out what we need is for stakeholder governments, civil
society, energy suppliers and consumers to work towards achieving
sustainable energy for all.
For a considerable amount of time, South Africa has endured frequent
power outages that usually last for over 12 hours. It is now common
to see flickering lights in the streets and roads of Africas second
largest economy due to the intermittent power supplies in the country.
Since 2010, South Africa has vowed to launch renewable energy
projects to generate 18gw of power, making the nation one of the
leaders in renewable energy transformation. According to the United
Nations Environment Programme (UNEP) investment in green power
rose by 329pc or 4.5 billion dollars from 2014 to 2015.
Energy coming from wind and sun was once seen by many naysayers
as an expensive investment that could only be afforded by richer and
fully developed nations, such as the United Kingdom and the United
States. However, Africa proved that developing nations are able to be
sustainable by pushing their own renewable power projects.
Other countries, such as China, Turkey, Uganda, India and Morocco
have increased investments in sustainable energy in the past. Based
on the report by UNEP, Chinas investment in renewable power rose to
103 billion dollars last year, which accounts for 36pc of the worlds
total investment on sustainable energy sources.
The top renewable energy sources in Africa today are solar, wind,
hydropower, geothermal and wood fuel. Solar and wind are the
main sources of green power as hydroelectric projects can only
generate one percent to four percent, especially now that the region
is experiencing increasing droughts due to climate change.
However, Africa still requires up to 90 billion dollars in funding to
ensure that its renewable energy projects to meet its current energy
shortfall. If its governments are successful in generating enough
investment to build their green projects for the continent, then Africa
will become a more sustainable continent by 2030.
Africa needs to increase its annual renewable power it generates
by 650pc. To achieve these goals, Africa will face challenges such
as finding steady investment to support the projects; increasing
the knowledge of countries with less experience in renewable
infrastructure; and the need to hasten the building and erecting of
turbines, as well as solar panels.
Although there will be plenty of challenges to face, investors are
positive that Africas long-term renewable plans can attract far more
investment than those countries hoping for speculative one-off
investments. This means that the continent will be able to tackle these
roadblocks and reach its goals for 2030.

The Ministry noted that it has written a letter to the Ministry of Finance and Economic
Cooperation, with the objective of finding a way to get the containers transferred
over to the MoE.
Publications: Addis Zemen, July 1, 2016
ERC purchases over a thousand trains
The Ethiopian Railways Corporation (ERC) has announced the purchase of 1,171
trains (locomotives and wagons). Out of these, 822 have reached Dire Dawa and
Djibouti, while 30 passenger trains have reached Endode station, located along
the Ethio-Djibouti Railway. The remaining trains are reported to be at a Chinese
port awaiting shipment - some of these are already on the sea being transported
to Ethiopia.
The Corporation has reportedly finished 98pc of the construction on the SebetaMeiso-Dewele railway line, setting a tentative operations commencement date of
the next Ethiopian new year. This railway line is expected to transport over 10
million tonnes of goods per annum. Train stations for freight and passengers
are 99pc complete, while signalling and communication systems are also in well
advanced stages.
The ERC, in close cooperation with authorities in Djibouti, has chosen companies
that will administer the railway for the next five or six years.
Publications: Addis Zemen July1, 2016
Climate change endangers 43m Africans by 2030
The World Bank warns that the current level of climate adaptation funding, which
is vastly insufficient, could trigger extreme poverty in Africa by 2030.
Speaking at the Africa Carbon Forum in Kigali, director of climate change at the
World Bank Group noted that a failure to address climate change could plunge 43
million Africans into poverty by 2030.
This could happen due to lower crop yields, higher food prices and negative health
impacts from climate change, if no coping mechanisms are put in place.
The Bank warns that there could be a 20% reduction in major food crop yields
and, by the end of the century, up to 18 million people might be affected by floods
every year.
The World Bank plan estimates a requirement of 19 billion birr from different Aside from being an avid backpacker and a university professor,
sources by 2020, as finance to help Africa adapt to climate change effects.
Jonathan Cormier is a lifelong advocate of renewable energy and
Publications: The Ethiopian Herald July 2, 2016. environmental initiatives.

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


P ag e 21

The potential role of mobile technology across Africa is huge. Despite a huge increase in subscriber numbers since the turn of the Millennium, however, the process
of digitalisation is still somewhat pedestrian. This is with the exception of a few lauded examples, such as MPesa, in Kenya, and Konga, in Nigeria. Despite being
championed by African leaders continent-wide, more needs to be done to encourage and facilitate growth in this diverse and fascinating sector.

The Mobile Imperative for Africa

frica is marching. More than

anything else, the explosive
mobile subscriber growth,
which at its height was many
times the world average, highly
illustrates this phenomenon. Now,
mobile coverage in most African
nations is more than 80%. This should
have manifested proportionately in
the digitalization of Africa. However,
the digital evolution of African
countries, notwithstanding the
few widely acclaimed sparks of
innovation, is sluggish. Why this gap?
And what needs to be done to realise
the full transformative potential of
mobile in Africa?
Before mobile, the telephone
was an item of prestige in Africa.
Several households relied on a
single telephone of a well-to-do
family amongst them. Nowadays, a
household may have multiple mobile
phones. Mobile was introduced to
most African countries, particularly
to Sub-Saharan Africa, on the eve
of the millennium. Since then, the
number of subscribers has grown
spectacularly. According to data
from the ITU, the annual growth rate
of subscribers reached 66% in the
year 2005 and 44% in 2006. This
was several times the growth figures
in some advanced countries, such as
Germany, which were about 12% and

By 2020, Africa is expected

to have about a billion
subscribers - more than half
with a Smartphone.
8%, respectively.
Presently, Africa has a total of
980m subscribers, out of which
730m are in Sub-Saharan Africa. An
important trend is the expansion of
mobile broadband and the uptake
of Smartphones. By 2020, Africa
is expected to have about a billion
subscribers - more than half with
a Smartphone. It is estimated, look
for instance at GSMAs forecasts,
that about two-thirds of these
subscriptions will be connected to
3G or higher network technologies.
On the other hand, a number of
innovative mobile digital solutions
have brilliantly demonstrated that
Africa can be part of the digital
revolution. The widely acclaimed
stories of M-Pesa of Kenya, Konga of
Nigeria etc are cases in point.
However, several globally sanctioned
measurements have revealed that
these are only exceptions and the
digitalisation of Africa lacks strong
momentum. In this respect, the
Global Information Technology

Report 2015, by the World Economic

Forum, states its findings as follows:
The performance of sub-Saharan
Africa is particularly poor: 30 of
the 31 countries included in the
sample appear in the bottom half
of the NRI (Network Readiness
Index) rankings. The case of
Northern Africa and South Africa
is a bit different, but essentially
the same. More importantly, the
dynamics of Africas digitalisation is
not encouraging. An index called the
Digital Evolution Index, published by
the Fletcher School of USA, clearly
shows that. This study included
only four, but noticeably leading,
countries - namely Egypt, Kenya,
Nigeria and South Africa. Except
South Africa, the study found that
the pace of digital transformation in
all these countries is either slowly
advancing or receding. All this is
incommensurate with the mounting
need for increased digital capabilities
in Africa. It is also in sharp contrast
with the enthusiastic embrace of
Why this divergence?
The answer lies in the nature of both
challenges. Expanding access is
mainly about resource mobilisation
financial and technical, local as
well as international. In other words,
it is large investment driven. On the

other hand, reaping digital dividends

is about an entrepreneurial culture
and learning-by-doing. It is, in
other words, innovation driven. It
essentially has to be grown locally.
That may well be a daunting
challenge. But, if Africa is to mirror
the leapfrogging of mobile access
with digitalisation, it needs to
venture and succeed in fostering
a digital entrepreneurial culture
and ecosystem. In this endeavour,
in addition to local initiatives, it is
important to methodically utilise
the resources of various global
players, such as equipment vendors,
operators, and software & internet
companies. However, in spite of
the global nature of digitalisation,
principally it is local development
that matters.
Interestingly, digitalisation is strongly
championed by African leaders of
all sorts - at least verbally. What
is needed is to back that up with
apposite initiatives that remove
bottlenecks and engage key demand
and supply side drivers. Such an
endeavour requires country-specific
exercises. Yet, it has to be based
on the following overarching basic
premises: first, the digital revolution
of Africa should to be centred on
(Continued on PAGE 36)


By Christian Tesfaye

Thoughts of a Cineaste

ot so long ago, on a Cable

News Network (CNN)
programme entitled Inside
Africa, I saw an episode
concerning the preservation of
handwritten Geez writings and the
printing of Bibles in Ethiopia. Both
were done using methods and printers
that were first put to use sometime
around the coronation of Emperor
Haile Selassie. Unexpectedly, I found
the way the episode was presented
completely overwhelming. I couldnt
exactly put a finger on why it appealed
to me at first - it was evident later on
- but I was immediately sad to realise
that this same type of documentary
could never have been made by
Ethiopians; not without losing its
mystical quality.
I am not praising CNN, and I am
not criticising them either, I just
appreciate their point of view. And
that point of view wasnt born out
of insight, superior intelligence or
technical proficiency, but the simple
by-product of being so far away from
our culture and traditions. The CNN
people simply had an outsiders
An outsider has the benefit of seeing
ones culture completely bereft of

For a brief moment, I was

able to see a certain part of
my country as truly novel and

its shortcomings. The documentary

presented the printing machines as
something supernatural - maybe as a
result of the fact that for all this time
they have been printing Holy Bibles and the old men that operated them
as sages, who have figured out all
of the universes mysteries and have
now simply retreated to the simple
pleasures of life.
This is what the CNN documentarians
saw when they witnessed the printing
operation. Ethiopians would look at
it in a completely different way - one
of abject poverty and inflexibility. The
age-old printing machines would
simply remind us of our unfortunate,
decaying and dilapidated factories; a
sign of backwardness and a display of
our lack of innovation and creativity.
Here is another enterprise, which
uses machines that became extinct
alongside the dinosaurs! And the old
men - manual labourers, working
under measly conditions for minimal

pay, which barely covers three meals a

day. They probably never even finished
high school (or perhaps didnt even
begin it).
And perhaps we are right, and perhaps
the CNN guys, with their visions of
glory, are the ones that have hit the
bullseye. For them, to come from
the US - where every manual job has
been lost to automation and science
has sipped all the sanctity out of the
worlds mysteries - Ethiopia must
seem a bit like Narnia. They would
unavoidably have much nicer things
to say about us than we do about
ourselves. And the works the other
way round too. Which Ethiopian
doesnt want to make a living in the
US, trick-a-treat at Halloween and
shoot fire crackers for the Fourth
of July?
There is actually a part of Ethiopia that
shares the white mans romanticised
feelings of this country - the Ethiopian
Diaspora. A filmmaker, who was born
and bred in this very country, would
be able to make an ultrarealistic
movie about Ethiopians that could
be considered great. But an Ethiopian
filmmaker who has spent a large part
of his adulthood in a foreign land,
with a relative outsiders point of view

and the added advantage of being a

native, can make a movie similar to
Teza or Lamb.
Both movies actually exist, and they
were both made by directors that have
spent a long time away from Ethiopia.
I am sure most Ethiopians have seen
both movies as factual representations
of life in the countryside. I cant really
account for some of the scenes in
Teza that transpire in Germany, but
everything else about the Ethiopian
political and social circumstances
of the 80s is either romanticised or
Both films could have been made in
another country without having to alter
any of the themes or plot elements the former more than the latter. Teza
is about the negative psychological
effects of a cruel government over
its subjects. But every other country
has had its share of merciless rulers,
leaders and monarchs. The films
hero could be a stand in for any
individual that ahs tried to stand
against tyranny and paid the price.
And in between the films main points,
Gerima squeezes in certain Ethiopian
cultures and traditions, which, if we
(Continued on PAGE 36)

P ag e 22

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 23

P ag e 24

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

Op-ed Notes

Non-Holistic Reforms in Business Law Just Part of the Solution

Making some overdue legislative reforms
on the commercial registration and
business license proclamation is not going
to make Ethiopia the best place in the
world to do business overnight. It should
be complimented by a holistic approach
by government executive agencies across
the board to ease bureaucratic hurdles
and eliminate bad governance practices.
Ranked at a dismal 146 out of 189
countries on the World Banks annual
Doing Business Report for 2016, the
regulatory environment in Ethiopia for
starting a business and maintaining its
operations remains far from easy. Even
in comparison with other countries in
the region, such as Kenyas 108 and
Tanzanias 131, the countrys rank does
very little to encourage domestic business
start-ups or foreign investors to set up
Although Ethiopias rank in the World
Bank report may have improved by two
points since last year, starting a new
business in Ethiopia actually got worse
in the same year. The country slipped by
six points and is now 176th, based on the
criteria for the ease of starting a business.
Though the EPRDFites have little
regard for such rankings, some of the
recommendations highlighted by the
World Bank seem to be earning some
resonance with policymakers. They
appear to be heeding to a point the
report makes, particularly with regards
to improving the legal frameworks. This
can greatly improve doing business in
the country.
To this end, a draft bill on commercial
registration and business licensing has
been tabled for discussion in Parliament.
The bill, which is the second of its kind
for the more than half-a-century-old
proclamation in the country, is set
to introduce numerous reforms to
reduce the constraints and obstacles
to conducting business practices. The
reform is both timely and justifiable,
given the need to provide legal provision
for emerging business practices and get
rid of the bureaucratic hassles that have
been undermining businesses in the past.
It is fair to give credit where credit is
due, and the EPRDFites seem to have
taken the initiative to bring reform to the
proclamation that governs all business
activities in the country. Based on the
rationale of making the proclamation
well-equipped to face the challenges
of a globalised world economic order
in the twenty-first century, and aiming
to promote an environment where
competitive business flourishes, the bill
proposes some overdue amendments.
The proposal to get rid of the minimum
capital requirement for a start-up
business altogether, coupled with other
fundamental measures, is going to
go a long way in encouraging young
entrepreneurs to transform their ideas
into action and improve the countrys
standing as a preferential investment
destination. The simplicity with which
entrepreneurs can obtain business
licenses is detrimental to their capacity
to access loans.
Moreover, the bill also eases the
restriction that all businesses should
have technical competence certification
to renew their licenses - making such
requirements only necessary for certain
designated businesses. The expansion of
the business license renewal period by six
months since the expiry of the budget year
is another welcome change by the bill.
It is worthwhile to note that the draft bill
has also put forward a clearly stipulated

Time Bomb of Debt

Non-governmental organisations
(NGOs) recognise the distinct
advocates role of the World Bank
and its will to help as rapidly as
possible. However, effective payments
tend to lag far behind the approvals.
Furthermore, there are doubts as to
whether the massive investments in
infrastructure would really help to
protect the socially weakest. They
further demand that the aid measures
should not be coupled with economic
policy provisos. The services should be
rendered as concessional as possible,
or even in the form of gifts. The slow
and near-reaching progress in the
democratisation of the World Bank has
been deemed completely insufficient.
Criticism of international monetary
institutions, like the World Bank
(WB) and the International Monetary
Fund (IMF), encompass a whole
range of issues, but they generally
centre around concerns about the
approaches adopted in formulating
their policies, and the way they are
governed. This includes the social
and economic impact these policies
have on the population of countries
that avail themselves to financial
assistance from these two institutions,
and accountability for these impacts.
Critics of the World Bank and the IMF are
concerned about the conditionalities
imposed on borrower countries. The
World Bank and the IMF often attach
loan conditionalities based on what is
termed the Washington Consensus,
focusing on the liberalisation of trade,
investment and the financial sector,
and deregulation and privatisation
of nationalised industries. Often, the
conditional loans are attached without
due regard for the borrower countries
individual circumstances and the
prescriptive recommendations put
forward fail to resolve the economic
problems within the countries.
Those conditionalities may additionally
result in the loss of a states authority
to govern its own economy, as
national economic policies are
predetermined under IMF packages.
Issues of representation are raised
as a consequence of the shift in the
regulation of national economies
- from state governments to a
Washington-based financial institution,
in which most developing countries
hold little voting power. The packages
of such financial institutions have also



been associated with negative social outcomes,

such as reduced investment in public health
and education, for they consume more rather
than investing, draining the resources to pay
off a loan in the following period.
With the World Bank, there are concerns
about the types of development projects
funded. Many infrastructure projects financed
by the World Bank Group have social and
environmental implications on the populations
in affected areas and criticism has centred
around the ethical issues of funding such
projects. For example, the World Bank-funded
construction of hydroelectric dams in various
countries has resulted in the displacement of
indigenous populations.
There are also concerns that the World Banks
partnerships with the private sector may
undermine the role of the state as the primary
provider of essential goods and services, such
as healthcare and education. This could result
in the shortfall of such services in countries
badly in need of them. As an increasing shift
from public to private funding in development
finance has been observed recently, the Banks
private sector lending arm the International
Finance Corporation (IFC) has also been
criticised for its business model, the increasing
use of financial intermediaries (such as private
equity funds) and the funding of companies
associated with tax havens.
There are also criticisms against the World
Bank and IMF governance structures, which
are dominated by industrialised countries.
Decisions are made and policies implemented
by leading industrialised countries the G7
because they represent the largest donors.
This is carried out without much consultation
with poor and developing countries. With this
excessive inward orientation, the developing
and underdeveloped countries, like us, have
become rather mute with regards to policy
recommendations and compulsory quotations
of the institutions. These conditional loans
restrict us from devising the best alternative
methods of investing in securing national
In practice, bargaining over conditionality
almost always involves more than the debtor
government binding itself to a specific path
of policies. Bargaining between a debtor

country and the creditors may also

involve an implicit dispute about which
objective function to use in evaluating
a set of outcomes. If a programme
will lead to a recession next year, but
a recovery over the following several
years, is it desirable? The answer
may well be yes to the Fund or the
Bank (or their creditor governments,
which recognise that adjustment may
involve short-term pain in return
for long-run benefits), but the same
answer might be no to a precarious
regime that could lose power during
a period of austerity. Openness about
this difference of opinion would block
the signing of many agreements.
In practice, neither the Fund and
the Bank, on the one hand, nor the
creditor government, on the other,
fully admits their disagreements.
Thus, many conditionality packages
are signed that have little chance of
being fulfilled.
With that being said, Ethiopia and the
World Bank have signed an 18-billionbirr loan agreement, which, or so we
are being told, will enable Ethiopia to
expand infrastructure. Also, the World
Bank recently approved a 300-milliondollar credit deal to improve mobility
along selected corridors in Addis
Abeba, as well as the effectiveness
of road safety compliance systems
Ethiopia aims to use the loan for
its Higher Education institutions,
electric line expansion, modern
transport services, and small and
micro enterprises, as well as refuge,
social and economic services. The
World Bank, on its part, ambitiously
wished the money would be utilised in
helping the facilitation of the second
Growth and Transformation Plan (GTP
II) and to sustain the acceleration of
its growth in creating more jobs. The
conditional position of the world bank
seemingly sweeping; as those critics
may drift away in implementing the
specifics, since the results of such
lending have rarely lived up to the
advertised hopes.
We are among the high risk countries
in terms of debt vulnerability, where
the debt vulnerability has risen sharply.
 H i b a m o Ta g e s s e i s a n
economist. He can be contacted at

directive targeting sole importers and

distributors, which in the past had been
abused in certain cases - price fixing
and proliferation of artificial inflation,
particularly on basic goods such as food
The timing could not be better to provide
a legal framework for modern business
practices, which have thus far been
practiced without a proper guiding legal
proclamation. The bill attempts to provide
a roadmap showcasing the principles
to establish and operate a holdings
company and the legal conduct of border
businesses, as the country opens up its
borders to select neighbours.
Despite the promising reforms being
introduced to the bill, however, the
EPRDFites should not go ahead and pat
themselves on the back just yet. The bill,
though much improved, still has ample
room for improvement.
In particular, the provision that deals
with the issuance of business licenses
upon the transfer of a business through
sale, donation and inheritance requires
evidence from the tax collecting authority
for the period the license has been in use.
Given the lengthy time and arduous tax
clearance procedures in the country,
this article almost makes the transfer
of business licenses impossible. It also
erodes a person's rights, pursuant to
relevant applicable laws, to acquire, to
use and to dispose of property by sale or
bequest, or to transfer it otherwise. Again,
pursuant to other applicable laws, this
restriction appears to limit individuals'
rights to freely enter a contractual
agreement, where each party consciously
gives a promise to the other, legally
transferring duties and benefits.
Improving the speed of tax clearance
should be underscored, but in the
meantime, business licenses should be
transferred from one party to another,
with their obligations and rights.
Moreover, the bill should refine its focus to
encompass only businesses. Its treatment
of sectoral associations, which it defines
as associations established by business
persons engaged as manufacturers or
service providers in the same commercial
activity or based on the same gender or in
any other manner to support commercial
activities, only materialised due to the
lack of a governing proclamation for
such associations whereby they can be
Notwithstanding the prospect the draft bill
carries to boost business competitiveness
in the country, it is important to underscore
that, as a legal framework, its only part of
the solution. An across-the-board drive by
the government to improve its capacity
to deliver services to businesses is of
paramount importance - if a conducive
environment, where businesses can thrive
unabated, is to be developed.
Increasing the capacity of courts and
various executive institutions of the
government, including the tax collector,
in addition to laying the legal foundation
through legislation, such as the draft bill,
should be given emphasis to ease doing
business in Ethiopia. In tax collection
alone, the country ranks 113th this
year, according to a World Bank report,
highlighting the bureaucratic challenges
businesses face in the country.
As businesses deal with various agencies
in their day-to-day affairs, a holistic
reformist approach, encompassing
various government bodies, should be
adopted to ensure that the state actually
facilitates, rather than obstructs, business

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 25



National Competitive Bidding (NCB)

Procurement Reference Number AIB 04/2016/17

1. Awash International Bank S.C. invites sealed bids from eligible bidders for the supply of Goods listed hereunder.


Unit of






Desktop Computer





20KVA Generator




Dot Matrix Printer









Cash Safe Big

Cash Safe Medium


Swivel Chair with arm

Coat Hunger
Filling Cabinet

2. Bidding will be conducted in accordance with the open tendering procedures contained in the Directives of the Bank and other Relevant Laws of the country, and is
open to all eligible bidders.
3. A complete set of bidding documents in English shall be obtained from Support Services Directorate of Awash International Bank S.c located at Awash Towers 10th floor
room No 10-02 upon payment of non refundable fee Birr 200.00 /Two Hundred/for
each LOT during office hours (Monday to Friday 8:00AM-12:00PM; 1:00-4:30PM and
Saturday 8:00AM-12:00PM) starting from July 14 ,2016 upon Presentation of copy of
renewed Trade license, Certificate of registration, Tax Clearance certification, VAT Registration Certificate and TIN Registration Certificate.
4. Bid must be accompanied by a bid bond amount:For LOT-1, Birr 75,000.00(Seventy five thousand)
For LOT-2, Birr 100,000.00(One hundred thousand)
For LOT-3, Birr 50,000.00 (Fifty thousand)
For LOT-4, Birr 100,000.00 (One hundred thousand) and
For LOT-5, Birr 50,000.00 (Fifty thousand) in the form of Bank Guarantee or
Cashiers Payment Order (C.P.O).

5. Bid document must be deposited in the bid box prepared for this purpose on or
August 1, 2016 10:00 AM for LOT-1 & LOT-2.

August 3, 2016 10:00 AM for LOT-3, LOT-4 and for LOT-5 in the above mentioned
6. Bid opening shall be held at the office of Support Services Directorate, Awash Tower
10th floor in the presence of bidders and/or their representatives, who wish to attend on:

August 1, 2016 10:30 AM for LOT-1 and 11:00 AM for LOT-2

August 3, 2016 10:30 AM for LOT-3, at 11:00 AM for LOT-4 and at 11:30 AM for
7. Interested eligible bidders may obtain further information from the office of Support
Services Directorate Tel. 0115-57-11-07/00-84.
8. Failure to comply any of the conditions from item 2 to 5 above shall entail automatic
9. The bank reserves the right to accept or reject the bid either partially or fully.



National Competitive Bidding (NCB)

Procurement Reference Number

RE-BID AIB 03/2016/17

1. Awash International Bank S.C. invites sealed bids from eligible bidders for the supply of Goods listed hereunder.


Station Wagon
Pick up Double Cabin

2. Bidding will be conducted in accordance with the open tendering procedures contained in the Directives of the Bank and other Relevant Laws of the
country, and is open to all eligible bidders.
3. A complete set of bidding documents in English shall be obtained from Support Services Directorate of Awash International Bank S.c located at Awash
Towers 10th floor room No 10-02 upon payment of non refundable fee
Birr 200.00 /Two Hundred/during office hours (Monday to Friday 8:00AM12:00PM; 1:00-4:30PM and Saturday 8:00AM-12:00PM) starting from July
6, 2016 upon Presentation of copy of renewed Trade license, Certificate of
registration, Tax Clearance certification, VAT Registration Certificate and TIN
Registration Certificate.
4. Bid must be accompanied by a bid bond amount birr 100,000.00 (One hundred thousand) in the form of Bank Guarantee or Cashier's Payment Order

Unit of measurement


5. Bid document must be deposited in the bid box prepared for this purpose
on or before July 26, 2016 10:00 AM in the above mentioned address.
6. Bid opening shall be held at the office of Support Services Directorate,
Awash Tower 10th floor in the presence of bidders and/or their representatives who wish to attend on July 26, 2016 10:30 AM in the above mentioned
7. Interested eligible bidders may obtain further information from the office
of Support Services Directorate Tel. 0115-57-11-07/00-84.
8. Failure to comply any of the conditions from item 2 to 5 above shall entail
automatic rejection.
9. The bank reserves the right to accept or reject the bid either partially or

P ag e 26

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 27

P ag e 28


Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

Call for Consultancy

Assessing Community Behaviour Determinants Affecting Sustainable
Sanitation and Hygiene Practices

MA/MScs in Social Sciences and Masters in Communications) to effectively

execute the assignment. The research team should be composed of
experts who have demonstrated experience in conducting similar studies,
SBCC strategy and materials - if possible on hygiene and sanitation.

Interested consultants who fulfil the above requirements should
submit a complete and detailed work plan for the entire assessment,along
withCurriculum Vitae (CV), work experiences, renewed trade and/or
professional license, and relevant document with technical proposal and
financial offer.

Interested applicants can get the detailed Terms of Reference
(ToR) from WAEs front desk from Monday, 11July to Friday, 22 July 2016
WaterAid Ethiopia (WAE) would like to invite bidders who are eligible - preferably from 8.30am12.30pm and 1.30pm5pm.
and interested to come up with detailed methodologies and approaches 
Bids must be accompanied by an acceptable bid bond amounting
to do the formative research, and design the SBCC strategy, messaging to two percent (2%) of the total offer amount in the form of BANK
and tools in the:
GUARENTEE (CPO) from a known bank.

Amhara region, BurieZuria Woreda and Burie town, in four rural 
The technical and financial proposals must be submitted in
and eight urban kebeles,with representative communities and households. separate envelopes -one original, clearly marked "ORIGINAL", and one

Oromia region, TukkeKutaye Woreda and Babich Town, in three copy, clearly marked "COPY". In the event of any discrepancy between
rural and one small town kebeles, with representative communities and them, the original will prevail.

Bids must be submitted to the WAE office onThursday, 25 July

The consultant team shall be composed of professionals from 2016, until 11:30am. Bids will be opened in the presence of bidders, who
several fields (MSc in Public Health with Environmental Health background, prefer to attend our office on the same date at 2pm.
WaterAid is an international non-governmental organisation established
in 1981. Its vision is a world where everyone, everywhere has access to
safe water, sanitation and hygiene, and its mission is to transform lives
by providing safe water, sanitation and hygiene (WaSH). WaterAid works
inpartnership with local government to effectively contribute towards
the achievement of its vision and mission. WaterAid started its mission
in Ethiopia in 1983 by financing small projects through established
organisations, such as the Ethiopian Red Cross Society, but opened its
country office in 1991. So far, it has served more than 2.4 million people
with safe water, sanitation and hygiene.

Address: Tel: +251 11470 8031, Fax: +251 114708030,

P.O.Box 4812,Debrezith Street, Around Gotera Express Road Bridge, Addis Ababa, Ethiopia
WaterAidEthiopia reserves the right to reject any or all of the bids.


International Competitive Bid
Bid No.57/2015/16

1.Commercial Bank of Ethiopia (CBE) intended to procure the following item:

Description of Goods

Unit of Measurement





2. The Bid document shall be obtained from Commercial Bank of Ethiopia,

Procurement Sub-Process, opposite to Vatican Embassy, next to Gibson
Youth Academy, Facilities Management Building, 1st Floor, Room No. 101
against payment of a non-refundable fee of Birr 300.00 (Three Hundred
birr) only during office hours ( Monday to Friday 8:00-12:00a.m., 1:00
4:15p.m.; and Saturday 8:00-11:45a.m.). Presenting copy of renewed
Trade License, Tax Clearance Certificate and VAT Registration Certificate
is a must.
3. Bidders shall be quite sure to state direct line phone number, cell phone
number, fax number and e-mail address of their organization correctly
while collecting bid documents. Failure in receipt of bid communication
due to incorrectness of the above will not be the responsibility of the
4. Bid proposal shall be accompanied by a bid security amount of Birr
25,000.00 (Twenty Five Thousand Birr) or equivalent in USD or Euro or
Pound Sterling in the form of unconditional Bank Guarantee or Cash
Payment Order (C.P.O). Bid security in any other form is not acceptable.
5. All bids must be deposited in the tender box prepared for this purpose

at Commercial Bank of Ethiopia, Procurement Sub-Process, during office

hours before August 25, 2016 at 10:00 a.m. at the place mentioned
under no. 2 above.
6. Bid opening shall be held in the presence of bidders and/or their legal
agents who wish to attend, on August 25, 2016 at 10:30 a.m. at the place
mentioned under no. 2 above.
7. Failure to comply any of the conditions from 2 - 5 above shall result in
automatic rejection.
8 Interested eligible bidders may obtain further information from
Procurement Sub- Process, P. O. Box 255, Addis Ababa, Ethiopia, Tel.
251-11-372-28 58, 251-11-372-28-26, Fax 251-11-372-28-89, or visit
9. Interested eligible bidders may obtain further information the from
Procurement Sub- Process, P. O. Box 255, Addis Ababa, Ethiopia,
Tel. 251-11-372-28 58, 251-11-372-28-26, Fax 251-11-372-28-89,
9. The CBE reserves the right to accept or reject any or all bids.


P ag e 29

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


P ag e 29

By Girma Feyissa

Photo: Fortune File

The timing and manner of the recent demolition of houses

built on 'illegally occupied land' in Addis Abeba, which led to
deadly skirmishes, highlights the deeply vexed relationship of
the society. In face of simmering tensions that are increasingly
erupting into violent confrontations between squatters and law
enforcement agencies, a small token of calmness and humility
can achieve so much in defusing the tension.

The Hana Mariam Clash and its Impacts

t the southern tip of the

capital, bordering the Oromia
zone - in an area referred to
as Hanamariam - a clash
between security forces and law
enforcement officers was reported
by state media. What stood out in the
news was the unusual visit paid to the
bereaved families by officials and their
envoys to pay tribute and mumble a few
words of condolence.
The mainstream media failed to be
explicit in reporting the background
to the clash, which led to the loss of
the dear lives of civil servants.
Other international sources, well
reckoned by the Ethiopian government,
revealed that over 30,000 settlers in
the Hanamariam area were said to
have been affected by the demolition
squads sweeping the area with tractors
and graders at short notice. The brutal
action taken to turn the village into dust
and ruins was carried out during the
rainy days, when the poor squatters
had nowhere to go and no office to
appeal to. No action could ever be
more inhumane.
From the victims perspective, the
atrocious action is speculated to have
infuriated many to breaking point. This
might well have been the driver behind
the retaliations. A few people could
have fallen prey to the hands of the
armed forces. But the state media did
not have the guts to respect the ethics
of journalism to be fair and provide
Be that as it may be, our sympathy
goes to the Lord Mayor Diraba Kumsa,
who seems to have not yet blossomed
during his stay in power as a career
diplomat. He was present at the
mourning not only to pay tribute

and express condolences, but more

importantly to perform his duties and
express allegiance to the party officials
who have appointed him.
To put the setting into perspective,
Ato Dirba Kuma, like his predecessor,
draws his threads of ancestry from
the Oromo ethnicity. With the fast
growing demands and exponentially
increasing urban population, as well
as the complexity of managing the
critical problems piled up on his desk,
people feel sad for him. They are well
aware that, whether he is to listen to
his conscience and principles in life
or just fulfil his duties as directed
from above, there are planted shadows
spying on him.
At any rate, what is being done under
his hierarchy, in the name of law
enforcement does not by any account
resonate with what an Oromo should
do. If we pry deep enough into his
background, we can safely assume
that somewhere in his ancestral

background people must have been

engaged in cattle herding or land
tilling. The Oromos are, if anything,
distinctly known for passionately
hosting guests, adopting orphans and
humbly treating the offended.
Among other things, cheating, stealing
or doing any harm to the environment
are not known in the cultural history of
the Oromos. As for their skill in fighting
the enemy as horsemen, you may refer
to the history of the Adwa Victory under
the leadership of Emperor Menelik and
his courtier.
In light of this background, it becomes
incomprehensible to see families
dispersed and being marginalised to
the life on the streets. This takes us
back to the housing problems we are
facing in all the big urban areas and in
Addis Ababa especially.
Humans are being subjected to street
life. They stich old rags and plastic
sheets together to protect themselves
from natures hazards and spend their

nights under inhumane conditions.

Room rents have soared to a sky high
level, forcing people to do whatever
they can to put a roof over their heads.
In a diversified settlement, where land is
being scrambled for by those with ample
resources, the gap between the haves
and the have nots is widening more
than ever. The poor are forced to flee to
the suburbs to erect temporary shelter,
in the hope that they may eventually
improve them to a habitable level. Their
main concern, for the time being, is
simply tending to their children.
Food is also a basic necessity, the
price of which is becoming almost
impossible to cover. Many are unable
to have even one meal a day, let alone
three. Some of these small houses, or
squats, have been erected by earnings
remitted through banks from abroad mainly from the Middle East.
At a time when some altruistic or
philanthropic organisations, such
as Macedonia Homes, are striving

to help, are we really going to lead

these squatters back to the streets?
Are we sweeping the poor aside,
in order to achieve the objective of
reducing our enemy, poverty, while at
the same time cultivating many more
impoverished families? Is that what is
called development and double digit
Squatters accumulate to create slums,
which are not only an issue being
faced by under developed countries,
like Mexico and Columbia, but also
globally. This feature is true even in
cities like New York and Tokyo, where
they have developed plastic gadgets
that can be folded and rolled, with
mattresses used like sleeping bags.
There are human souls taking refuge
in these squats. Any development effort
must have the objective of improving
the living conditions in such slums - not
simply to bury them under ruins.
If you trapped a pet dog in a closed
room, at first it will cry and yell in
agony. But, if you continue beating it, at
some point it will turn beastly and fight
back, biting you. An infuriated human
being may also reach their limits of
Having said all that, I would be betraying
myself if I didnt say anything about the
rectification steps to be taken in the not
too distant future. A caravan like, but
modern type of shelter, which could
include all the residential amenities,
should be put on the table as part of
the solution. That is a natural process
of change. One cannot jump on to the
bandwagon of change, just because a
paper has been designed, or because
you want to make up for the loss of
ones vendetta in the suburbs, as per
the failed master plan.


P ag e 30

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 31

P ag e 32

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


Britain's exit from the EU, or Brexit as it has come to be known, has sent shockwaves around global financial markets. In the immediate aftermath, the
pound plummeted and instability reigned in financial indexes the world over. More than this, however, the surprise decision of just less than 52% of
Britain to exit the EU may well put the breaks on the process of globalisation. This article is provided to Fortune by Project Syndicate.

Brexits Blow To Globalisation

he United Kingdoms Brexit

referendum has shaken equity
and financial markets around
the world. As in prior episodes
of contagious financial turmoil, the
victory of the Leave vote sent skittish
global investors towards the usual
safe havens. US Treasury bonds rose,
and the dollar, Swiss franc, and yen
appreciated - most markedly against
When it became clear that the Remain
camp had lost, the pounds slide
seemed to be on track to match the
historic 14% depreciation of the 1967
sterling crisis. But the rollercoaster
outcomes that were now seeing in
global capital markets are not unique
to the Brexit episode.
What is unique, and particularly farreaching, is the precedent Brexit sets
for other countries (or regions) to
exit from their respective political
and economic arrangements whether
it is Scotland and Northern Ireland
in the UK, or Catalonia in Spain. The
borders of existing nation-states could
be redrawn, or fenced off entirely, if
disgruntled member states submit to
internal nationalist impulses and give
up on the multi-decade experiment in
European unification. And, as Donald
Trumps presidential campaign in
the United States shows, this impulse
extends beyond Europe.

With its systemic negative effects

on finance, trade and labour
mobility, Brexit marks a major
setback for globalisation.

With its systemic negative effects on

finance, trade and labour mobility,
Brexit marks a major setback for
globalisation. The fallout from Brexit
probably wont spread as quickly as in
an outright financial crisis, such as the
2008 financial meltdown or the 1997
and 1998 Asian episodes, but the after
effects also wont subside anytime soon.
The UKs trade, finance and immigration
arrangements are far too complex and
entrenched to be renegotiated quickly.
In the meantime, many cross-border
transactions in goods, services and
financial assets are likely to be placed
on hold. Even if there are no other
exit moments elsewhere in Europe,
a protracted period of uncertainty in
global capital markets seems likely.
Its worth recalling that globalisation did
not begin with the current generation.
The latter part of the nineteenth century,
despite its technological limitations,
was an era of rising global trade.
Major waves of immigration radically
diversified the demographic makeup
of the US and other parts of North
and South America. London was host

to a rapidly growing global financial

industry, as it had been since the time
Britain emerged victorious from the
Napoleonic Wars.
World War I ended this earlier wave
of globalisation; and, even with the
return to peace, the world never really
recovered. The economic depression of
the 1920s in Britain, and of the 1930s
in the rest of the world, ushered in a
global wave of protectionist, inwardlooking policies and beggar-thyneighbour competitive devaluations.
The last nail had been hammered into
the coffin of globalisation even before
the outbreak of World War II. While
not the original or singular cause of the
worldwide slump, there is a widespread
agreement among economists and
historians that policymakers at the
time made a bad situation significantly
After WWII, global integration finally
began anew - first in trade and then,
since the 1980s, in finance. During this
time, Londons financial centre awoke
from its long slumber and helped the
UK become one of the pillars of a new,
deeply integrated international political
economy. Prior to the 2008-2009
global financial crisis, most indicators
of global trade and finance had reached
new peaks, and European unification
contributed significantly this. But, with
the onset of the crisis, cross-border

finance in Europe shrank as the highly

leveraged Eurozone economies began
to lose access to international capital
markets, and concerns about private
and public insolvency took centre
The financial crisis resulted in the
steepest synchronous drop in world
trade since the Great Depression of
the 1930s. And global trade still has
not recovered its earlier trajectory:
since 2008, export volumes have risen
at only about half the average annual
rate of the pre-crisis period - 3.1pc.
Europe itself has experienced an even
sharper slowdown.
The global financial crisis dealt a
significant blow to globalisation,
especially in terms of trade and finance.
Now Brexit has dealt another blow,
adding labour mobility to the list.
Financial markets do not handle
uncertainty well. With the world already
facing anaemic growth and low levels
of investment, any adequate damagecontrol plan must include prompt
resolution of the new rules of the game
for Britain and its relationship with
the EU. Any delay will cause further
frustration and increase the odds of
retaliatory policies from EU members.
The last thing anyone needs is a tit-fortat process of political divorce that only
serves to deepen the global economys
already-widening fault lines.

V i e w p o i nt

By Aboubaker Omar Hadi

Djibouti Unlocking Africas Economic Potential

here are fewer than fifty

landlocked countries in
the world, but no less than
ten of these are spread
throughout sub-Saharan Africa.
Burkina Faso, Mali, Niger, Chad,
the Central African Republic,
Rwanda, Burundi, Uganda, South
Sudan and Ethiopia form a band
across the continent without any
access to the coast.
In a world in which 90 percent
of all trade is shipped by sea,
this is a major obstacle to their
prosperity and development.
Facing long delays and increased
costs to move goods to and from
global markets, these countries
can struggle to meet the needs of
their citizens. This, in turn, can
have a damaging impact on their
peace and stability.
It is not possible, of course, to
alter geography. But by providing
access to world class port
facilities, these countries can be
connected to global trade routes
and helped to provide more
opportunities for their people.
This is the role that Djibouti is
determined to play. We may be a

Our location puts us at

the centre of world trade
routes, connecting Asia,
Africa and Europe.
small country, no larger than the
American state of New Jersey, but
we understand that we have a big
responsibility to the wider region.
Situated at the mouth of the Red
Sea and at the gateway to the
Suez Canal, Djibouti is a place
of huge strategic importance.
Uniquely, our country already
plays host to the military forces
of five members of the G7 , while
China will soon be added to this
list. The naval forces of Spain,
South Korea, the UK and many
others are also frequent callers
at our ports.
Our location puts us at the centre
of world trade routes, connecting
Asia, Africa and Europe. Port
activities and related sectors
already account for over 70%
of Djiboutis GDP, but we are
investing 15 billion dollars more

over the next five years. This

will be used to improve facilities
and transport links, in order
to maximise the benefits to our
people, the wider region and the
global economy.
This includes two new railways,
which are being developed.
They will link Djibouti City
and Tadjourah with Ethiopia one of the largest and fastest
growing economies in Africa,
with a double digit GDP growth
rate over the last two decades.
Djibouti already handles the bulk
of Ethiopias maritime trade,
transported by 1,500 trucks
each day. The two new airports
being built, along with the super
highway to Ethiopia, will help
to strengthen the links between
Djibouti and its hinterland.
Even more ambitious is the
Trans-African Railway project,
which will stretch across the
continent to Dakar. This will build
a corridor for goods and people,
stretching from the east to the
west, and providing the countries
it crosses with access to a world
class port.

Our strategic location and world

class facilities have also seen
Djiboutis importance as a trade
hub recognised globally. China
has selected Djibouti to be a key
part of its maritime Silk Road
project. This links Asia to Europe
and the Middle East, and will give
a new boost to global economic
And it is easy to see why China
wants to strengthen its trade routes
with Africa. Our continents GDP
is predicted to double by 2035,
with the population expected to
reach 2.5 billion over the next
thirty years.
Djibouti is ready to play its part in
unlocking Africas vast economic
Aboubaker Omar Hadi is
the Chairman of the Djibouti
Ports and Free Zones Authority
(DPFZA). In this piece, he shares
his views on the increasing role
Djibouti can play in providing
world class port access to
landlocked African countries.

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 33

Job title:
Communications Manager, Girl Effect Ethiopia
Reporting line:
Senior Brand Manager, Girl Effect Ethiopia
Addis Ababa, Ethiopia
Fixed term until Aug 31, 2018
Salary Range: Starting from ETB 569, 088 per annum
Job Summary
Reporting to the Senior Manager of Brand, the Girl Effect Ethiopia
Comms Manager will set and guide the strategy for all communications,
public relations, messages and collateral to consistently articulate Yegna
and Girl Effect Ethiopias mission.
The Comms Managers principle role is to champion our work to the right
audiences, in the right way, at the right time, with the right message to
ensure the maximum impact of our work. We have different audiences
for every element of our work ranging from rural girls in Amhara, to
internal stakeholders, to the top levels of government. This role is critical
to making Yegnas ambitions a reality, and requires drive, determination
and clear thinking.

Job title:
A2L Senior Operations Manager
Reporting line:
Deputy Country Director (Programmes)
Addis Ababa, Ethiopia
DFID/Girl Effect Ethiopia Programme
Fixed term until Aug 31, 2018
Salary Range: Starting from ETB 569, 088 per annum

Job Purpose
Girl Effect Ethiopia (GEE) is looking for a senior operations manager
to: Take responsibility for overseeing the finance and operations team
in Girl Effect Ethiopia, including management of three staff within the
team; Ensure the successful delivery of all key operational related tasks,
including risk management and compliance; Lead strategic processes of
resource prioritisation and allocation across the programme; Coordinate
with programme teams to result in successful implementation of work
plans; Manage partner contracts, compliance and deliverables, including
GEEs main partner EMOP; provide support the Deputy Country Director
in designing and implementing a VfM Strategy and preparing the
organisation for institutional sustainability.
The post holder must have excellent communication and networking
Key skills, experience and qualities:
skills in order to build effective working relationships with counterparts
 5+ years professional experience in high profile communications in DFID Ethiopia, Girl Effect Global and Girl Effects implementing
or PR roles for international and national organisations
partners. The post holder will be required to very quickly build his/her
 Demonstrated experience and leadership in managing a knowledge of both DFID and Girl Effect systems, procedures and policies
comprehensive strategic communication, media relations and (especially DFID Smart Rules).
marketing program to advance an organisations mission and He/she must have excellent managerial skills, attention to detail,
knowledge of financial management and procurement processes. He/
 Experience working on branded communications and brand She should be able to lead the finance and operation team to ensure
systems and procedures that are stable, functional and yet simple. He/
 Innovative thinker, with a track record for translating strategic she will also play a key role in the development of strategic priorities for
thinking into action plans and output
the team.
 Excellent written and spoken English and presentation skills a Key skills and experience and qualities:
persuasive communicator
 Knowledge of national and international media landscapes
 Minimum of a bachelors degree in relevant field; ideally, a
 Demonstrable ability to deliver campaigns that communicate
Masters degree in management, or related field
messages to different target audiences
 At least five years of professional experience in NGO/Donor
 An understanding of film making and photography production
setting that involves operations and programme management
 Buzzing with creative ideas and enthusiasm for delivering
powerful content
 Proven experience in operations and financial management
 Demonstrable understanding of how communications plays a
 Experience of leading a team in a dynamic environment
part in the wider marketing plan
 Experience of managing external partners, including consultants,
 Ability to work effectively in multicultural teams with varying
suppliers and government offices
expertise, skills and backgrounds
 Excellent experience ensuring and documenting VFM
 Self-starter, able to work independently, and entrepreneurial;
 Ability to work under pressure and produce quality work within
enjoys creating and implementing new initiatives
tight deadlines;
 Superior management skills; ability to influence and engage
 Ability to take a broad view and focus on, and plan for, the longer
direct and indirect reports and peers
 Ability to make decisions in a changing environment and
 Excellent oral and written communication and presentation skills
anticipate future needs
 Excellent interpersonal skills, as well as a collaborative team
 Excellent critical analysis skills
 High energy, maturity, leadership skills with a positive, energetic,
 Experience working in multicultural teams is an advantage
can-do attitude
 Ability to evaluate the level of risk and possible outcomes of
 Commitment to realising the potential of girls and to the vision
and values of Girl Effect
 Excellent attention to detail
 Stature, gravitas, and confidence
 Able to work autonomously
 Energetic and solution focused
For a full job description and the application form, interested candidates For a full job description and the application form, interested candidates
must send an email to clearly marked must send an email to clearly marked
ETH 001, and complete the form and attach their recent CV before ETH 002, and complete the form and attach their recent CV before
the closing date of 17 July 2016. Only shortlisted candidates will be the closing date of 17 July 2016. Only shortlisted candidates will be

P ag e 34

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

Dashen Bank


- ()


Money Transfer

money transfer safe

(+251) 011 466 1380 (+251) 011 465 3037

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 35

P ag e 36

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

C o n t i n u a t i o n

Thoughts of . . .
are to be totally honest about it, even
though add a little colour to the film,
can be reworked without blunting the
films effect.
And we could say the same for
Lamb - a film that deals mostly with
backwardness. There is a hero, and
that hero faces challenges caused by
the narrow-minded community that
threatens to suffocate him. One of
the main things that brings him in to
conflict with his family, and society,
is that he cooks and doesnt know
how to plough. These things wouldnt
in anyway be an encumbrance for
anyone living in Addis Abeba, or
New York, but they would sure as
hell make a difference in any rural
part of Ethiopia (the films setting),
other rural places in Africa or indeed
any part of the world before the
But does it mean that any of this
movies are less artistically, or simply
slightly fantastical? All work of art
requires a certain amount of disbelief;
it can never withstand close-eyed
inspection. But close hand inspection
can only be done by those that know
what to look for, and even they, under
the right circumstances, could be
persuaded to eliminate disbelief.
The thing about that CNN documentary
is that it was never meant for Ethiopian
eyes only, but for an international
audience. And both Teza and Lamb
are films that were acclaimed in the
Western world, even before having
being shown in their home countries.
They have the mark of universality.

(Cont'd from PAGE 21)

That and time are the two things that

separate good art from great art.
It isnt just movies, but music,
literature and paintings too. A piece
of art could be considered brilliant,
ingenious and all-encompassing in
the country, and by the generation,
that produced it, but unless it can
cross those barriers, it would never
be considered great. What good
would a song the Saudi King considers
the most patriotic, and as thus the
greatest of all, do for me? I am not a
Saudi Arabian. Timelessness is even
more significant, but that isnt the

point here.
The point is that the CNN documentary
may not be considered great, but it
appeals - not just to those that live
outside, but to an Ethiopian too. For
a brief moment, I was able to see a
certain part of my country as truly
novel and magical. And, if I cared
to venture and look at things from
a certain distance, without delving
too deeply into the mess of things,
I am pretty sure that right there,
in a different light, I may grow to
appreciate more the little things.
Foreigners come to this land and

The Mobile Imperative . . .

mobile, and second, digitalisation is
an all-encompassing process to be
applied to the objective conditions
of Africa.
The fact that the economy of Africa
is mainly agrarian, sometimes raises
questions of its compatibility on
digitalisation. As a result, digitalisation
policies may be inadvertently limited
to specific modalities, sectors and/or
geographic areas. Without disputing
the socioeconomic realities of Africa,
the approach should be upended.
The question is to develop innovative
digital solutions to the problems and
realities of Africa in all sectors, be
it agriculture, industry or services.
In fact, that is the whole point
of digitalisation - to be able to
overcome constraints, bridge gaps
and generate knowledge to solve

problems that are specific to Africa.

Besides, to make digitalisation
all-inclusive, measures that ensure
productive data services to people
with slow connection should be
strongly pursued. This requires
encouraging the development of
non-store applications, such as SMS,
USSD and VMS applications, and the
optimisation of mobile applications
for low speed networks. In this
respect, Africa should be inspired
by the exemplary production of the
Lite version of applications by such
companies as Google and Facebook.
Beyond that, African nations should
make sure that basic mobile literacy,
which enables people to use data
services, is spread throughout
society. They should replicate the
literacy programmes of the PC era,

others like, maybe Jamaica or Hiati,

for a trip. In these places, they may
find relief, comfort and a great
memory, which they can revisit in
their minds and on their smartphones
when the going gets tough. All of this
because their time in these places
have been momentary, lapsing; they
leave before the true picture of a
Third World country comes into
focus - just like that fascinating
Some would say that Ethiopia has
festering wounds that will never be
healed, unless we look deeper and
ask the right questions. But there is
a time and place for that and there
is a time and place for such kinds of
entertainment, and art, which can help

someone like me to develop the sense

of humour I direly, direly require. Yes,
there is corruption, but wouldnt that
make for a chilling thriller. Yes, there
is poverty, and a mindboggling wealth
gap, but wouldnt that make for a tear
jerking romantic comedy, whereby a
rich spoiled girl falls in love with a
poor bookish guy. If we have to lie to
ourselves and pretend we are perfect,
lets do it correctly. Believe me, thats
how countries grow.

Tesfaye is a film reviewer
whose interests run amok in both
directions of print and celluloid/
digital storytelling. He could be
reached at christian.tesfaye@yahoo.

(Cont'd from PAGE 21)

even with more vigour.

Mobile is everything was the motto
of the Mobile World Congress 2016.
That is, beyond a motto, almost
a description of reality. From a
sensor in the farm to the machine
on the factory floor; from a device
in a hospital room to an appliance at
home; from a vehicle on the road to
a ship at sea or an aircraft in the sky.
In short, everything is connectable
to the mobile network. Thus, Africa
should pivot firmly on mobile.
This has the following major
implications. First, investment in
infrastructure developments of
the mobile network should be a
priority on an end-to-end basis,
including the necessary backhaul
and international connections. And,
second, application developments

should be primarily native to mobile

platforms. If not, they should be
optimised for mobile. All e-Services,
like e-government, e-health etc,
should be mobile-based or, as some
call it, they should be m-services.
To sum up, an environment where
Africans consider the mobile
phone not only as a personal
communication device, but also as a
capital equipment should be created.
Equally, business and political
leaders should regard the mobile
not just as a private device, but also
a powerful computer in the hands of
citizens that could be employed to
revolutionise the economic, social
and political transformation of the
continent. And, guess what, its power
and capabilities are growing at an
amazing pace.

A n n o u n c e m e n t s

United Nations Development Programme

Bid for Sale of Used Vehicles

United Nations Development Programme (UNDP) Ethiopia would
like to sale the following used vehicles on competitive bidding.
Interested bidders are therefore invited to submit their bids as per
the following instructions:
1. Prospective Bidders can inspect the vehicles from 2:00 P.M. to
4:00 P.M. at UNECA compound only from July 8, 2016 to August
8, 2016.
2. The last day of submission of bids is 8th of August 2016. Bid
documents shall be submitted with CPO bid bond of ETB 3,000.00
(Three Thousand Birr). CPOs will be returned to unsuccessful
3. Bid winners are required to pay the full amount of the winning
price and collect the vehicles within a month after they are
4. UNDP reserves the right to appropriate bid securities, if
unsuccessful bidders fail to collect their bid securities within six
months after notification of bid result.
5. Bid winners are responsible to settle any government duties as
may be applicable before receipt of the vehicles.
6. UNDP reserves the right to reject any or all bids.





Chassis Number



Plate No



ECA Old Building 6th floor, Africa Hall

P.O. Box 5580, Tel: +251115444999, Fax +251115514599
Home Page:

Addis Ababa
The Embassy of Sweden in Addis Abeba is currently looking to employ
a Senior National ProgrammeOfficer (NPO) for the area of regional
(or Pan-African) development cooperation, focusing on projects and
issues related to Environment and Climate Change.
We are looking for a well-qualified candidate, who holds at least a
Masters Degree in a relevant academic field, has a minimum of three
years of prior professional experience in the specific field referred
to above and has a documented knowledge from the development
cooperation context.
With the growing importance of the African Union, and with a strong
Swedish commitment to supporting regional integration and cooperation
in Africa, this position should be very attractive for professionals with
the right profile and motivation.
The Embassy of Sweden offers a pleasant and stimulating work
environment. Details on the work conditions can be obtained during
the recruitment process.
More information about the required qualifications and how to submit
your application can be found at

To increase the chances of having your application considered, please take

careful note of how to present your candidature. We strongly encourage you to
edit both your CV and your personal letter to address the specific content and
requirements of the post.

We look forward to your application. Deadline for submission is August

8th, 2016

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 37

Invitation to Submit Lease Proposal

The Commercial Bank of Ethiopia would like to lease the X-Birale Agricultural
Development PLC with all the properties on it for one year with possible

Various buildings, including guest houses, offices, clinic, garage, cafeteria and
others, are found at the farm site.
The farm has construction machineries like dozer (3), excavator (1), loader (1),
grader (1), and compactor (1) all with CAT Brand.
It also owns three Scania dump trucks, two fuel, and water tankers (682N3).
In addition, there are two huge CAT generators.
Fuel stations at various sites;
Also, other properties.

Address of the farm

The farm is situated at Bena Tsemay Woreda in South Omo Zone of the Southern
Nations, Nationalities and Peoples Regional State, about 665 kilometers away
from Addis Ababa, 170 kilometers from Arba Minch, and 70 kilometers from

General conditions of the farm

The farm has been producing mainly cotton, sesame, soya bean, sugarcane,
vegetables, fruits, and broomcorn.
The land is plain and suitable to mechanized farming; and the adjacent area
The altitude of the farm ranges from 520 560 meters above sea level and the
temperature from 16oC to 39oC.
2. Interested
and eligible
are invited
to purchase
the bid
average annual
is 557mm
with a relative
60% to 80%.
is abundant
and cheap
labor force
in theBuilding
vicinity of
farm.having paid
to Garad
a modern
that category
makes enhanced
fee ofinfrastructure
Birr 100 for each
at Dashen
Account Number 180020002 and present copy of credit advice ticket
Annual production of cotton from the farm has at present jumped over 100,000
during the office hours (Monday to Friday 8:00 12:00am, 1:00 - 5:00 pm
8:00 6:00am).
has runway.

3. Copy of renewed
Trade License, VAT Registration Certificate and TIN
on the farm
are required
while submitting
of the leased
5,490 hectares
of farm land,the
is developed.

A d v e r t i s e m e n t

Interested individual/company to lease the developed irrigable farm land and

properties is invited to submit its written application together with financial and
technical proposals including annual lease rate and modalities of operations
and profile of the company currently run by the applicants to Acquired Asset
Administration office in wax sealed and stamped envelopes, at CBEs Nifas Silk
branch building third floor room no. 306 within fifteen working days starting
from the date of this announcement.

2% of the offer shall be presented as a bid bond in the form of bank
1. The Bankor
a field visitorder
for those
interested in taking part in the bid.
shall about
be placed
in the
for this
can bid
get information
the farm
at CBEs
purpose on or before July 25, 2016, 6:00am at the place mentioned under
2 above.
3. The
bid winner will pay 15% VAT on the lease price.
For further
to comply
of the conditions
stated above from No.2
or 0911-48-29-14
to 5Tel.
result in automatic rejection.
5. Commercial
Bank ofthe
to accept
reject proposals
Bank reserves
right reserves
to accept
the bid
or fully.

Commercial Bank of Ethiopia

The Bank you can always rely on!

Dashen Bank S.C.

Call for Tender

Dashen Bank would like to sell the under listed new Lighting Fixtures via open competitive bid
List of Lighting Fixtures

Bid No: DB/03/OT/201


1 GE NPP 136 ECO 521431



2 G8.5 WH 942 230V 88599 (523696)


GE 5500/418 16 EB 220-240V 50HZ



4 GE 5506/136/16 EB 220-240V 50HZ 517897



5 (514894)+CSA/DBX 113 EB 220-240V(5148948)


6 RZB 21642.922 +1XTC-D 13 W Lamp



7 230V VISOR 44389


GE TOPDBX 118 EB 230V +CSA/DBX 118 EB 220-240V 50HZ

8 515830/515830/515840


9 RZB 72207.002+1XTC-T26 W Lamp


10 RZB 611138.832+1XTC-T26 W Lamp

11 GE EUROBAY EB 250S +EBR+EBV212554,512555,512556


12 GE NL@BRIOP 2D BRO 16 W WHL 835 230V BEZEL 44379


1. The Bank may arrange a scheduled visit for those interested in taking part in the bid.
2. The items are found at future Head Quarter of Dashen Bank S. Co located in front of the
National Bank of Ethiopia, Addis Ababa.
3. A complete set of bidding documents in English Language may be purchased by
interested Bidders starting from July 11,, 2016 from Dashen Bank S.Co., Logistics &
Property Management Department, Beklobet, Adjacent to Garad Building, on 1st floor
having deposited non-refundable fee of Birr 100 (One Hundred) at Dashen Main Bank,
account number 180020002 and present copy of credit advice ticket during the following
working hours.
 Monday-Thursday: Morning, 08:00AM-12:00AM; Afternoon, 01:00PM-05:00PM
 Friday: Morning, 08:00AM-11:30AM; Afternoon, 01:00PM-05:00PM
 Saturday: Morning, 08:00 AM - 12:00 AM

4. Bidders should submit 2% of the bid amount in Cashiers Payment Order (CPO) prepared
in the name of Dashen Bank S. Co. before the closure date of the bid on May 17, 2016.
5. The intended Bidders have the right to quote their price for a single item, but in full
6. Winner of the bid should collect and transport the whole items within four weeks and
the Bank shall calculate all fees like rental, guard and others for any delays beyond the
stated period.
7. The winner shall pay 15% VAT on the sales price.
8. The Bid will be opened on August 2, 2016 at 10:00 am in the presence of bidders or their
legal representatives at the place mentioned under No 2 above.
9. For further information or clarification call: 011 4 66 74 81 or 011 466 45 44 extension
124, 125, 126, 127 and 128.

Dashen Bank-the Right Choice for Success!

P ag e 38

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016


Open Tender No. DB/002/OT/2016/17
1. Dashen Bank invites all interested and eligible bidders to participate on the bid floated for the procurement of the following:S/No. Description
1 Web Application Firewall (WAF) and Database Activity Monitoring (DAM)
2 ITSM and IT Enterprise Monitoring System
3 Electrical Installation Work
1. Interested and eligible bidders are invited to purchase the bid
document starting from July 11, 2016 from Logistics and Property Management Department, Beklobet Adjacent to Garad
Building 1st floor, having paid the non refundable fee of Birr
100 for each category at Dashen Main Bank Account Number
180020002 and present copy of credit advice ticket during the
office hours (Monday to Friday 8:00 12:00am, 1:00 - 5:00 pm
and Saturday 8:00 6:00am).
2. Copy of renewed Trade License, VAT Registration Certificate and
TIN Certificate are required while submitting the bid document.

3. 2% of the offer shall be presented as a bid bond in the form of

bank guarantee or cashiers payment order (CPO).
4. The sealed bid document shall be placed in the box prepared
for this purpose on or before July 25, 2016, 6:00am at the place
mentioned under No. 2 above.
5. Failure to comply with any of the conditions stated above from
No.2 to 5 shall result in automatic rejection.
6. The Bank reserves the right to accept or reject the bid either
partially or fully.

N.B 1. For the items stated under category C, bidders should present authorized
dealership certificate.
2. For any information you may contact through Tel No 0114 66 45 44 Ext. 125/126


For the sale of different types of Decommissioned network elements and Related Spare Parts
Floating date: July 4, 2016 Closing Date: August 4, 2016 Bid No. AM/02/2016
1. Ethio telecom invites sealed tenders from eligible candidates to sale different types of Decommissioned network elements and Related Spare Parts found in Ethiopia.
2. The bid remains floating from July 4, 2016 to August 4, 2016. The bid documents can be obtained from ethio telecoms Head Office, Room No. 213
during office hours (from 8:30 A.M to 5:00P.M) upon payment of a non-refundable fee of Birr 100.00 (Birr One hundred only). Interested bidders may
visit the equipment at the location indicated in below table after buying the tender document from July 4, 2016 to August 4, 2016 during working hours.

Ethio telecom Premise around Akaki (Akaki Warehouse)
Ethio telecom Premise around Meskel Flower (Central Warehouse)
3. Interested bidders are expected to full-fill the Requirements stated here below:
above on the issued bond.
3.1. Bid Security
8. Partial bid per lot is allowed. However, bid for part of a lot shall be rejected
3.2. Availability of Letter of Authorization to sign the bid offer
9. Sealed bids marked as Bid for the buying of Telecom Equipment and Spare Parts with
Bid No. AM/02/2016 and be addressed to
3.3. Bidders should have a valid and renewed trade license (certificate of incorporation)
for the year.
Ethio telecom Head Quarter Churchill Road Sourcing and Facilities Division
3.4. The buyer should comply with international export control regulation of the European
P. O. Box 1047, Addis Ababa, Ethiopia
Union and of the United States of America and
10. Bid proposal will be received at the Head Quarter, Churchill Road, 2nd Floor, Room
other applicable export control laws and regulations.
No.214, before or on August 4 until 5:00pm. Bids presented by any bidder after the closing
date and time shall not be accepted.
3.5. Bidders should be VAT registered (for local bidders).
11.Bids received in time and fulfilling the other formalities shall be opened in the presence
4. All Bids must be accompanied by a bid security in the amount of 5% of the buying price
of interested bidders or their legal representatives
offer or equivalent freely convertible currency. The
on August 5, 2016 at 2:00pm, at Churchill Road, Head Quarter 2nd Floor, Room No.213.
bid bond shall be valid for 120 days and shall be furnished in one of the following forms:
12. No one is allowed to duplicate or transfer the bidding document that she/he acquired
4.1. Certified Cheque /CPO issued by a recognized domestic bank or
to participate under this invitation
4.2. Bank guarantee issued by and/or confirmed through a recognized/reputable domestic
13. Quoted price shall be in USD(or birr for local bidder).
14. Bidders are seriously advised to read and comply with the instructions provided in
5. Equivalent bid security amount among lots is possible.
this bidding document.
6. The Bank that issues the bond as per 4.2 here above shall unequivocally guarantee to
15. Ethio telecom reserves the right to reject all or parts of this bid.
pay the seller immediately upon the first written demand of payment. The sellers written
demand of payment shall not be subject to any condition whatsoever.
7. The bond issuing bank shall clearly incorporate the content stated under clause here

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

A symposium on construction
technology was held on June 5, 2016,
at the Hilton Hotel, Addis Abeba.
The Technology Transfer Symposium
was organised by Teklebrehan Ambaye
Construction (TACON) to highlight
technology transfer trends in the
construction industry. It was attended
by the researchers, experts and project
managers of construction companies.
The purpose of the symposium was
to encourage local construction
companies to explore gaps in the techtransfer process
pertaining to
the construction
"The Increase
in the number
of foreign
companies may
adversely affect
the local companies, which are not
technologically advanced, Abebe
Dinku, professor of construction
management, said. "Partnership is the
best way to overcome such kind of
Inefficient documentation and
management systems, manual
operations, knowledge gaps and a
weak legal framework in the country
are among the major problems the
construction industry faces, according
to a study presented by Zewedu Tefera,
an engineering contracts' lawyer.
"The government does nothing to
advance technology transfer, especially
i n t h e c o n s t r u c t i o n i n d u s t r y, "
Teklebrehan Ambaye, CEO of TACON,
said. "Research and development
should be emphasised to bring progress
in technological advancement.

The struggle for a betterment "Survival of the fittest" continues, even if life puts you down, drag you to the level of
emptiness and push you to the side walks. The tough keep on shining the weak keep failing. Balancing a burden
keeps people floating while they keep on walking. This guy keeps balance of two, the weight and life's burden.

Photo by: Geremew Tigabu

Eid al-Fitr "festival of breaking the fast", was celebrated in colorful manner in Addis Ababa on the 6th of July.
The usual place was Meskel square and Stadium. Ssecurity was tight but the prayers were peaceful. While most
of the attendees were on foot homes, some were lucky enough to have a ride from the participants who have a
car and on their way back some were using the military cars for transportation.

Tough - Love

Israel's Prime Minister Benjamin

Netanyahu was the first leader of the
Jewish state to have visited Ethiopia."This
is a partnership made in heaven," was the
expression he used to characterized the
relationship between the two countries.
While many Ethiopians feel strong religious
and historical affiliation to Israel, the later
never paid homage to Ethiopia at the level
of state visit before. "Where have we been,"
asked Netanyahu addressing Ethiopian
legislators on Thursday, July 7, 2016.
More than 300 companies drawn from both
countries took part in a summit held on July
7, 2015. The Israeli delegation included
companies engaged in agro-technologies,
irrigation, telecommunications, security,
aerospace and general businesses.
Israeli companies have thus far invested
an aggregate of 5.6 billion Br in Ethiopia,
and there was 100 million dollars in trade
between the two nations last year alone.
Sesame seeds, coffee, grains, skins and
hides, spices and oil seed are the major
export items to Israel from Ethiopia. Israeli
exports to Africa totaled approximately one
billion dollars last year - about two pc of
its total exports.
Ethiopia has expressed its support for
Israel's bid for observer status at the African
Union (AU).
Ethiopian-Israeli diplomatic relations
began in the early 1960s.

Zamra Construction
Signs Half A Billion Br
Deal for Zonal Stadium

Photo by: Geremew Tigabu

The Addis Abeba Chamber of Commerce

hosted a forum under the theme
Challenges and Prospects of pursuing
business on joint venture arrangement.
The absence of a comprehensive legal
framework deters joint ventures from
legally transacting in its own name and
identity, a study presented at the forum
Double taxation, the lack of a unified
and single legal framework and the
confidentiality nature of the joint
venture are the major challenges faced,
the study added.
Forming a joint venture with foreign
companies is risky for local investors,
due to the limitation of the legal
framework, said Aschalew Asfaw, a
legal expert at the Ethiopian Roads
Authority. They might even lose their
own personal property if the venture
files for bankruptcy.
Assessing the potential partner and
reviewing the business strategy helps
the joint venture to survive until full
accommodation of joint ventures within
the law of the land is achieved, the study
As the commercial code dictates, the
joint venture is an agreement between
partners on terms mutually agreed,
subject to the general principles of
Secrecy, informality, no legal personality
and no name are the main features of
joint ventures in the commercial code
of the country.

The Southern Nations, Nationalities and

Peoples Regional State (SNNPR) and the
Oromia Regional State Trade Bureaus
have taken measures on over 1,000 illegal
businesses and businessmen.
Contraband, running a business without
license and selling expired products were
among the offences discovered by the
Bureaus of the two regions.
The regional trade also chased out a total
of 800 trade unions and distributors from
the business chain, as they were caught
engaging in illegal acts.
Over 3,000qt of sugar, 105,000 litres of
food oil and 101qt of wheat flour were
caught in the illegal business transaction,
which it is claimed would have created
a distribution capacity of close to three
million birr to the society in a legal market
The two region's Trade Bureaus declared
that by carrying out the measures to remove
illegal businesses and create a healthy trade
flow, they have enabled 95 million birr in
additional inflows to the regions.

Israel & Ethiopia Look

for Stronger Ties

Dual Purpose

Lack of Legal
Framework Deters
Joint Ventures

P ag e 39

Regional Trade Bureaus

Taking Out 95m Br in
Illegal Business


Photo by: Ayenew Alemayehu

Contractors Convene
to Improve Technology

R a d a r

Seba Dereja, a famous stairway located at the heart of Piassa,common in lyrics of love songs, is now serving
sccordingly. Nowadays it is not unusal to find young couples at anytime- daylight or dark. The couples are one
the girl enjoying the ride.

The Addis Abeba Youth Sport Bureau has

commissioned the construction of a zonal
stadium at Ayat - a locality of Bole District
- at the cost of half a billion birr.
Zamra Construction, a local grade one
contractor, has signed an agreement with
the Bureau to construct the stadium. Upon
completion, in two and a quarter years, it
will host 25,000-30,000 spectators.
Bureau Head, Nigatu Dagnachew, and
Awot Kidane, Deputy CEO of Zamra
Construction, signed the deal last week.
The stadium is one of five zonal stadiums
planned to be built in the city. The other
four will be constructed in the Yeka,
Nifas Silk Lafto, Gullele and Aqaqi Qality
sub cities.
These five projects are an addition
to the existing two stadiums in the
city - the Abebe Bikila stadium and the
Yidnekachew Tesema stadium.

P ag e 40

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

Independent News & Media Plc



UNICEF Ethiopia Office wishes to procure the items specified in the
above invitation to bid.
Qualified bidders are invited to collect the complete tender document
at the address below starting from 11/07/2016. Formal offers return
dates are indicated on the bid document.
UNICEF reserves the right to accept or reject any part or the entire bid.
For further information and queries, please contact - Tsigereda Belete
UNICEF - UNECA Compound, NOF Building, 2nd floor
To collect the bid document please notify the Supply Section by email: or providing
the name of the person who will be collecting the bid 36 hours in
advance or alternatively you may call telephone no +251 115 184000
or 011 518 41 44 at least three (3) hours before your arrival at the
UNECA Security Gate

The Global Green Growth Institute Ethiopia

The Global Green Growth Institute Ethiopia Country Program wants
to procure a partitioning work service provider which will also be
responsible for the proper material purchase and use in the partitioning
work/installation according to the design chosen and material
specification set out by the Architect.
Scope of Work
The scope of work will include interior fit out (Glass, Aluminium,
Gypsum Board, Plastering, Electrical plugs installation as per drawing
of Architect, Installation of waiting areas and Kitchen Furniture and
Purchase of plants and frames as per specification of Architect) and the
procurement and installation of major Furniture and Partitioning.
Space partitioning Services and Works & Installation
The space partition procurer will be responsible for:
1. The procurement of the partitioning materials as per the
specification provided by the architect for the whole office space
2. Deploying a team of works men to perform the partitioning works
as desired in the proposed and agreed timeline.
3. Put a proper paint for the walls as per the colour choice and
Overall, the supplier shall make sure the layout/design agreed with
GGGI is fully implemented on the ground by the teams of works men
deployed. The supplier shall also communicate with the architect for
the quality assurance of the materials to be procured for installation
and other details necessary.
Further detailed information on the bill of materials required for the
work and RFQ package can be found on the GGGI web site below:



He or she must be able to supervise and train reporters, handle the

pressure of daily deadlines, and lead by example with truly topnotch writing and reporting skills. Applicants must have the ability
to develop excellent sources and produce groundbreaking stories
about the business sector, together with the reporters they work
with. The successful candidate must be a self-starter with the ability
to react to and cover breaking news and also identify trends and
write diverse features from business arena. The ideal candidate
for this position will possess a working knowledge of both public
and business sectors and have the ability to write daily reports and
edit, if necessary, weekly news stories for and about the economies
of Ethiopia and other countries in the region. The work requires
the ability to file weekly story budgets and give editors advance
notices of stories in progress. The ideal candidate will have excellent
organisational skills and the ability to meet strict deadlines and
work in a fast paced entrepreneurial environment. Three to five
years of experience in writing for newsletters or economic journals
or working in a media environment is preferred but not required.


The successful applicant should be a native English speaker

with academic background or experience in literature. He/she is
required to be a fastidious fact checker and guarantee no story
goes up without being 100pc factually correct and 100pc original
content. Ensure all content is written in (Addis) Fortune house
style, with wit and personality. Write headlines, sub heads,
blurbs, and stand firsts for the newspaper and approve all texts
and credits before sign off by the Editor-in-Chief.
We are looking for graphic designers to join our creative team.
Responsibilities include but are not limited to creative designs
and layouts of the newspaper and marketing materials for print,
online, banners, and live events. Applicants must have excellent
typographic sense and be able to express abstract concepts
graphically in a dynamic manner. Candidates must have two years
of graphic design and front-end online design experience, strong
organisational skills, and a working knowledge of In Design, Adobe
Page Maker, Photoshop and lllustrator CS.


We are searching for candidates who are graduates of law,

political science, journalism, economics, finance, or literature
from recognised universities. The ideal candidate should handle
the pressures of daily deadlines, not be intimidated by workload
pressure and stress, and have exceptional writing and reporting
skills. Applicants must be well-grounded in news and have the
ability to uncover stories about the economic and business
sectors. Candidates must be able to write five originally sourced
news stories each week, in addition to an unspecified number
of shorter, non-reported daily briefs. Experience is preferred
but is not a strict requirement. Some travel for coverage may be

Independent News & Media Plc

Tegene Building, 7th Floor. Next to Global Hotel on Sierra Leone Street
(Debre Zeit Road)
Tel: 251-11-416-3020 Fax: 251-11-416-3039 P.O. Box: 259, Code 1110,
Addis Abeba, Ethiopia

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 41

Syndication articles from

The Financial Times [2013]. All Rights Reserved. Not to be redistributed copied or modified in anyway.(The client) is solely responsible for providing this translated content and the Financial Times Limited does not accept any Liability for the accuracy or quality of the translation.

Cash-starved Zimbabwe closes

in on IMF deal to clear debts

David Pilling and Andrew England - London

imbabwe is close to putting the

final touches to a debt-arrears
package that could see it receive
an emergency injection of funds
from the International Monetary Fund
and other multilateral institutions into its
cash-starved, drought-stricken economy,
Zimbabwean officials said.
The southern African nation - which has
been treated as a pariah by the west for
years - desperately needs money to pay
civil service salaries, import food and
alleviate a cash crunch. The dire economic
conditions have helped fuel a series of rare
protests, as well as a strike by teachers,
doctors and nurses over unpaid salaries.
This week, police used force against
demonstrating taxi drivers in Harare, the
capital. There have also been protests
along the border with South Africa over
restrictions on imports of basic goods,
including bottled water, cereals and
furniture - part of government attempts to
prevent money flowing out of the country.
Such disturbances take place against
the backdrop of political uncertainty,
as potential successors to President
Robert Mugabe, 92, who has ruled since
independence in 1980, jostle for position.
John Mangudya, the Central Bank
governor who is in Europe to negotiate
the financial package, told the Financial
Times that the African Export-Import
Bank [Afreximbank], advised by Lazards,
was arranging a seven-year loan of 986
million dollars to pay back arrears to the
World Bank.
Harare is desperate to re-engage with
western multilateral institutions after years
of isolation, but first has to pay off arrears
totalling about 1.8 billion dollars to the
bank, the IMF and the African Development
The loan from Cairo-based Afreximbank
appears to have replaced an earlier mooted
bilateral loan from Algeria, whose ability
to lend has been hit by falling gas prices.
Mr Mangudya said Harare expected to have
paid back all its arrears in time for the
September board meetings of the IMF and
the African Development Bank. He hoped
new loans to Zimbabwe could come before
the end of the year.
"What we can tell you is that, obviously, if
things move well, we're expecting balance
of payments support from the IMF," he said.
Patrick Chinamasa, Finance Minister, said
the whole point of the rapprochement, after
16 years of being shut out of international
lending, was to receive new funds.
"For us to turn round the fortunes of our
country we need new money," he said,
adding that manufacturing "was on its
back" and government finances severely
Some of the money would be put into
agriculture, which has been starved of
funds, he said.
Zimbabwe collapsed into economic
chaos after Mr Mugabe implemented a
controversial land reform programme
around 2000, which led to the seizure of
white-owned commercial farms.

The land grabs, human rights abuses and

violent, disputed elections saw western
nations cut off aid to Zimbabwe and
impose sanctions on Mr Mugabe and other
members of his ruling Zanu-PF party.
But now western diplomats are seeking to
avert a deepening economic crisis, amid
concerns about what could happen when
Mr Mugabe dies or leaves office.
Mr Chinamasa said Washington had
become more sympathetic to the idea of a
rapprochement with Zimbabwe, although
an American official said the US remained
opposed to a deal with the IMF.
Harare has been in arrears to the IMF, to
the tune of 111 million dollars, since 2001,
and owes the World Bank more than 1

billion dollars.
The dollar shortage currently blighting
the country is partly the result of Harare
moving to a fully dollarised economy dumping the worthless Zimbabwe dollar
- in 2009 as an emergency solution to
counter record hyperinflation.
Originally intended as a multicurrency
regime, the US dollar has become virtually
the only currency in circulation.
As a result, the Central Bank is powerless
to adjust money supply.
Mr Mangudya, who joined the bank from
the private sector in 2014, said it had been
a mistake to throw the bank's monetary
tools "in the river", shackling Zimbabwe's
fortunes to the rising greenback.

As a result, he said, the country had

become highly uncompetitive compared
with its neighbours.
The currencies of all the countries in
southern Africa, including the South
African rand, have fallen sharply against
the dollar. Much of the machinery in
Zimbabwe, once a regional manufacturing
powerhouse, has lain idle for years.
Mr Mangudya said Zimbabwe needed an
"internal devaluation" of about 20 percent.
In the absence of its own currency, the
only way of bringing this about would be
to cut wages, although Mr Mangudya was
reluctant to put it in those terms.
"When I started my work in 2014, I said we
need to go back to basics. People did not

listen. I said no salary increase," he said.

"People were saying this man was mad."
As a stopgap measure, the Central Bank
plans to issue "bond notes" - a form of
currency that will be paid to exporters as
an incentive to sell products abroad and
earn dollars.
Mr Mangudya said the controversial notes
were needed "before the patient goes into
surgery", but were not a long-term solution
to Zimbabwe's problems.
The issue of bond notes - which has
been criticised by some Zimbabwean
economists - will be capped at 200
million dollars and will only be credited
to companies that are earning dollars via
exports, he said.

Emerging markets focus on

dollar amid Brexit turmoil

Roger Blitz in London and Joe Leahy in So Paulo

hose emerging market investors

worried about the contagious
effects of Brexit might want to
paraphrase the advice election
strategist James Carvile gave former US
president Bill Clinton about voter concerns
during the 1992 presidential campaign.
For when it comes to what really matters for
EM, "it's the dollar, stupid".
Brexit has made its mark on EM, say foreign
exchange strategists. But several believe that
in time their fortunes will once again follow
those of the world's biggest reserve currency
and the US economy.
EM currencies, such as the Brazilian real,
the Mexican peso, South Africa's rand and
Poland's zloty, all fell against the dollar
following the Brexit vote on June 23, before
recovering, in some cases surprisingly
sharply, in line with a recovery in risk assets.
"Many countries, like those in Latin
America, were not particularly impacted
by Brexit," says Goldman Sachs economist
Alberto Ramos. "The Brazilian real offers
tremendously high carry and Brexit, in
terms of the outlook of monetary policy,
will probably lead to even more monetary
accommodation among the [major] central
Yet this week, EM FX once more came under
pressure as Brexit fears took hold. In a year
of heightened market nerves, continuing low
growth and central bank efforts to contain
surprise currency movements, it is hardly
surprising the unexpected UK decision to
quit the EU created global shockwaves.
Brexit may be taking place in a developed
country for reasons far removed from the
cut and thrust of global economic shifts, yet
here was further evidence of how hard it
was becoming to quarantine the knock-on
effects of the vote to leave around the UK
and the EU.
"In the short term, Brexit is a risk-off event

Brexit in effect
granted vulnerable
economies, such as
recession-hit Brazil,
more time to adjust.
and EM unfortunately is likely to suffer,"
says Ousmene Mandeng, of EM investor
New Sparta Asset Management.
Yet if Brexit shows anything, it is that EM
remains more closely linked to trends in
the dollar and the Chinese economy. While
the Brazilian real fell two per cent against
the dollar in the aftermath of Brexit, for
example, the currency staged a rally on
its opening on the following Monday,
strengthening five per cent.
Brexit in effect granted vulnerable
economies, such as recession-hit Brazil,
more time to adjust by ensuring that
global monetary policy was likely to stay
loose, analysts say. The Federal Reserve, in
particular, now has few grounds to raise US
rates, while the Bank of England joins the
European Central Bank and the Bank of
Japan among those central banks expected
to ease conditions in the near term.
"Emerging markets are more likely to
face acute sell-offs if market turbulence is
triggered by concerns about the health of
China's economy or the pace of tightening

by the US Fed, rather than by events in the

UK," says Capital Economics in a report.
Analysts also say EM FX resilience in the
face of Brexit is evident too in the recovery
in commodities, and in particular the oil
price, which was up 75 per cent from its
lows in January at about $48 a barrel on
Wednesday. This accounts for part of the
strength of a range of currencies, including
the Brazilian real, Russia's rouble and the
Indonesian rupiah.
The real is best-performing of 24 EM
currencies tracked by Bloomberg this year,
with the rouble running second, while the
rupiah is also up on the year against the
Brexit is an idiosyncratic rather than a
systemic event, says Peter Kinsella, EM FX
strategist at Commerzbank. "What we've
seen thus far is sterling is off and UK yields
are lower, and that's kind of about it," he
EM attention will this Friday be back on
the US economy, when monthly jobs data
are published, offering further clues to Fed
rate expectations. If Brexit is just another
reason for the Fed adopting a more muted
rates policy, "that's good news for EM
currencies", Mr Kinsella adds.
In the medium term, Brexit may even prove
beneficial to EM if it changes perceptions
about political risk, one of the persistent
sores that deters investors.
"Brexit should serve as the new benchmark
for calamitous economic policy decision,
sudden regime shifts and disruption of the
existing rules of the game, the sort of thing
normally associated mostly with EM," says
Mr Mandeng.
Brazil is no stranger to political risk. The
real's gains were partly driven by a change
in the political weather, with the opening
of impeachment proceedings against

leftwing President Dilma Rousseff and her

replacement by a market-friendly interim
government led by substitute President
Michel Temer.
Investors were betting the easier global
monetary policy promised by Brexit
would buy Mr Temer time to complete Ms
Rousseff's impeachment in August, opening
the way for the introduction of unpopular
reforms. These include rules to change the
country's generous pension system and
convoluted labour laws.
But Mr Ramos says while long-term reforms
planned by the Temer government, such as a
permanent cap on budgetary spending, are
positive for Brazil, the new administration
will need to move more quickly on the
fiscal front.
The new government had given generous
salary increases to the judiciary and
increases in social benefits to the poor, even
as the short-term fiscal accounts and gross
public debt levels continued to deteriorate.
"We have seen some rotation of flows away
from Mexico to Brazil... there will be a lot
more to go if the authorities move in the right
direction," he says, warning, however, that it
could quickly reverse if they fail to deliver.
Other analysts say Brazil is partly shielded
from Brexit by its narrowing current
account deficit, which has fallen 80 per
cent during the first five months of the
year, helped by a collapse in imports as the
country's recession has deepened.
While the smaller current account deficit
was positive, Carlos Langoni, former central
bank governor, warns in a note that Brazil's
fiscal trajectory remained expansionary and
was countering tighter monetary policy
designed to contain inflation.
"There is no indication that this expansion
trend will be interrupted in the near future,"
he said.

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 42

Syndication articles from

The Financial Times [2013]. All Rights Reserved. Not to be redistributed copied or modified in anyway.(The client) is solely responsible for providing this translated content and the Financial Times Limited does not accept any Liability for the accuracy or quality of the translation.


Moving money out of purgatory

Kara Scannell
Aaron Bornstein arrived in Kazakhstan
in February 2009 with $84m and
a daunting assignment. His job
was to hand out millions of dollars
to impoverished families, nongovernmental agencies and students
who wanted to pursue secondary
education. The catch was that he
could not have any dealings with the
Kazakh government, which was not
exactly happy to see him coming.
The money had been frozen in 1999
and the US later alleged that it had
been used to pay illegal bribes to
top Kazakh officials under Nursultan
Nazarbayev, the countrys longserving
president. Now, Mr Bornstein was
in Kazakhstan to give the cash back
to the citizens who, according to US
and Swiss authorities, it had been
stolen from.
Mr Bornstein, an international aid
worker, and his team set up field
offices, screened local hires to weed
out anyone with government ties
and created a database of qualified
recipients. The foundation was named
Bota, or little camel in Kazakh.
Over the next six years two longer
than projected , Bota distributed all
the money Mr Bornstein had arrived
with, plus $31m in interest. In that
time, more than 150,000 mothers
and children received nutritional
assistance and early education
programmes. Scholarships were
handed out to 841 students.
For the US Department of Justice and
its Kleptocracy Initiative, which was

launched in 2010, Bota was a victory

in the global battle against official
corruption. But even supporters
acknowledge that it will be hard to
replicate in other countries where
corruption is rampant or when larger
sums of money are involved. And it
was burdened by the fact that, at heart,
the DoJ is a law enforcement agency,
not a charity.
It was overb ureaucratised, Mr
Bornstein recalls. The Department of
Justice is not a development agency. It
just wasnt its priority.
It is difficult enough for law
enforcement agencies to successfully
bring international graft cases and

seize stolen assets. But it is proving

just as difficult to return the money to
the citizens without it landing back in
the hands of the thieves.
That quandary has become more
acute as the US, UK, Switzerland and
other countries extend their reach
as global policemen tracking stolen
assets. The World Banks Stolen Asset
Recovery Initiative estimates that
$20bn-$40bn a year is stolen from
developing countries. Others say it
could be as much as $1tn.
The US has more than $1.5bn
belonging to Nigeria, Uzbekistan,
Thailand and Ukraine tied up in bank
accounts in various stages of litigation

as part of its Kleptocracy Initiative.

Earlier this year the DoJ announced
forfeiture actions freezing $850m it
alleges were bribes paid to Uzbek
officials to award telecoms contracts.
Of that, only about $120m, or one
eighth of the frozen assets, has been
returned to the victim countries.
When you think about the money thats
stolen, its like an inverted pyramid,
says Shruti Shah, vice p resident
of programmes and operations at
Transparency International USA.
The top is the money thats stolen;
a smaller percentage is frozen and
a minuscule percentage is actually

Emerging market
liquidity hits 5-year high
Steve Johnson

iquidity conditions in
emerging market economies
are at their strongest in five
years, partially unwinding
the steepest slump since the 1980s,
according to CrossBorder Capital a London-based financial research
The level of liquidity is a leading
indicator for economic growth
and financial market returns, says
Michael Howell, managing director
of CrossBorder Capital.
"Normally, liquidity leads the foreign
exchange and fixed income markets
by three to six months, equities by
six to nine months and the real
economy by 12-15 months," Mr
Howell says. "It drives economies."

CrossBorder's measure of liquidity

encompasses the creation of money
by central banks, commercial banks
and shadow banks, the cash flow of
households and companies and net
foreign inflows, such as portfolio
and foreign direct investment. The
data are sourced from central banks
and finance ministries in around 80
For emerging markets, its index of
this liquidity rose to 41.2 in May,
on a scale where 50 represents the
long-term inflation-adjusted average.
While this is still not great, and is
below the equivalent measures for
developed and frontier markets, it is
the highest reading since mid-2011,
as the first chart shows.

The level of liquidity is

a leading indicator for
economic growth and
financial market returns.

A key driver was a "pronounced

pick-up" in Chinese private sector
liquidity in May, as well as the
renewed expansion of the balance
sheet of the People's Bank of China.
Although China reduced interest
rates five times in 2015, Mr Howell
says the People's Bank was actually
tightening policy last year as its
balance sheet "plunged", with a
seasonally adjusted annualised sixmonth decline of 17.7 per cent in
December. This year, the PBoC has
started to expand its balance sheet
once again.
Brazil, South Korea and Mexico have
seen far sharper rises in liquidity
(Continued on PAGE 44)

All government and international

institutions should work harder to try
to find solutions.
The UN convention against corruption
says money should be returned to the
victim country without conditions. But
countries including the US, UK and
Switzerland have generally insisted on
terms to ensure that the money is not
stolen again. That often means cash
is tied up in litigation.
In 2011, the US sought $80m
in assets that it alleged Teodoro
Nguema Obiang Mangue, the son of
the president of Equatorial Guinea,
stole and used to fund an extravagant
lifestyle a Gulfstream jet, a $30m
Malibu mansion, nearly $2m in
Michael Jackson memorabilia and
a Ferrari. After three years of court
battles, the DoJ reached a settlement,
with Mr Obiang agreeing to turn over
$30m in assets.
He managed to keep a crystal
encrusted glove Jackson wore during
the Bad tour and his Gulfstream jet.
The DoJ plans to return the money
to a charity to benefit Equatorial
Guinea, but it first needs to sell the
six bedroom mansion perched above
the Pacific Ocean.
Sani Abacha stole as much as
$5bn when he was president of
Nigeria from 1993 until his death
in 1998, according to Transparency
International. About $3bn of the
funds are tied up in Lichtenstein,
Switzerland, the UK, US, France,
Luxembourg and the Channel island
of Jersey. So far, $1.3bn has been
repatriated and in March the Swiss
announced an agreement to return
another $321m.
The US agreed in 2014 to return
$480m, but the money is frozen
awaiting court appeals by entities
linked to the Abacha family.
Muhammadu Buhari, a former
military ruler who became Nigerias
president in 2015 after pledging to
clean up graft in the oil r ich country,
summarised the difficulties at an anticorruption conference in London this
spring. Our experience has been
that repatriation of corrupt proceeds
is very tedious, time consuming and
costly, he said.
Even with agreements, civil society
groups are concerned that the
Abacha money will be misused. An
earlier tranche that was returned
was placed in the central budget with
little transparency or accountability to
ensure it was spent as intended.
David Ugolor, executive director of
the Africa Network for Environment
and Economic Justice, a civil society
group in Benin City, says: The issue
of asset recovery cannot be discussed
in the absence of the victim. His
(Continued on PAGE 44)

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 43

Syndication articles from

The Financial Times [2013]. All Rights Reserved. Not to be redistributed copied or modified in anyway.(The client) is solely responsible for providing this translated content and the Financial Times Limited does not accept any Liability for the accuracy or quality of the translation.


Guangzhou Africans hit by

commodities crash back home

Ben Bland - Guangzhou

ith few customers at his

wholesale jeans store in
Guangzhou these days,
Nigerian trader Brien
Chuks busies himself looking after his
three-month-old baby.
Last year, I sold 12 shipping containers
of jeans back to west Africa, but this year
I havent managed to fill a single one,
says Mr Chuks, who operates from the
Canaan market in Chinas third-biggest
city, as do many other Africa-focused
exporters. The Nigerian economy
depends on oil, so with the crude price
having fallen so low, business is very
In a sign of the circularity in the global
economy, the Africa-focused traders,
who have long thrived in Guangzhou,
are suffering because of a commoditiesdriven slump in their home continent
that ultimately originated in China.
When rapid Chinese growth pumped up
prices of oil and metals, resource-rich
parts of Africa thrived, buying more
consumer goods from Guangzhou. Now
the opposite has happened.
Sitting in the midst of Chinas
manufacturing heartland, Guangzhou

has long been a centre for trade with

At least 16,000 Africans live in the
sprawling city, according to the local
government, and many more arrive
temporarily, or stay on illegally, so
they can buy cheap clothes, shoes and
electronics, and sell them back home.
Trade with Nigeria, Africas biggest
economy, has suffered particularly
badly because its government restricted
access to foreign exchange in an attempt
to withstand the impact of the fall in oil
prices. Last week, it allowed its currency
to float freely, prompting a slump in its
value. During the first quarter of this
year, Nigerias imports - a quarter of
which came from China - dropped 16
per cent compared with 2015.
Razia Khan, an Africa economist at
Standard Chartered in London, says
the economic slowdown in Nigeria has
affected consumption, while the foreign
exchange restrictions made life difficult
for small traders, such as Mr Chuks,
who has lived in China for 16 years
and, like many of his peers, married a
Chinese woman.
Until it reversed course, the Nigerian

government refused to devalue the

official exchange rate and limited access
to dollars at banks, forcing many people
to buy dollars on the black market at a
75 per cent premium. That had made
trade unprofitable for many small
Nigerian businesses used to buying from
the cavernous wholesale markets dotted
throughout Guangzhou.
Alongside the Africans, many Chinese
wholesalers in Guangzhou are
struggling. Zheng Shaotien, who sells

fake Manchester United and Barcelona

football jerseys at the Canaan market,
estimates that sales are down 50 per
cent compared with last year. Im
struggling to survive, he says.
Rents at the market, which reverberates
to the sound of full-throated bargaining
in broken English, are high, at
Rmb10,000 ($1,500) for a stall inside
and Rmb15,000 for one with street
Mr Zheng is doing everything he can to

boost sales, from learning French so

he can deal better with customers from
French-speaking Africa, to developing
his own brand of higher-quality sports
clothing targeted at Chinese consumers.
Yu Xiamei, another clothing wholesaler
at Canaan market, says that although
she is concerned about the downturn,
she still enjoys trading with her African
customers who she thinks can learn
from the Chinese about negotiation.
With many Africans in Guangzhou living
and working in the chaotic streets
around the main train station, there
are sometimes tensions with Chinese
residents and the police launch habitual
crackdowns on visa overstayers.
But Mr Chuks, who has official residency
in China, says that despite some racial
issues and the recent slump, life is good
compared with Nigeria.
I come from Imo state [in southeast Nigeria] and when I was living in
Lagos, people treated me like I was an
outsider, he says.
But in China its not that bad. They also
have very good transport here, not like
in Lagos where theres not even a metro.
Are you getting me?

East Africa gambles on air travel expansion

John Aglionby - Nairobi

ast Africa's skies are set to

become busier after Uganda
floated plans to revive its
national airline, while carriers in
Tanzania and Rwanda expand their fleets.
But analysts and economists are
sceptical whether demand for air travel
in the region is strong enough to justify
governments spending scarce funds
on what have largely been loss-making
Expansion will put pressure on existing
carriers, including Ethiopian Airlines,
Kenya Airways, South African Airways
and Fastjet - a London-listed, Tanzania-
based lowcost carrier that was launched
in 2012, but has scaled back its growth
targets amid lacklustre passenger
Kenya Airways - where the government is
the largest shareholder, with a 29 percent
stake - is midway through restructuring
and is expected to embark on raising
new capital soon.
The state-owned South African Airways
is dependent on government aid to keep
Despite this backdrop, Yoweri Museveni,
Uganda's President, told a cabinet
meeting last month that one of his

priorities was to revive Uganda Airlines

- the state-o wned carrier that went
bankrupt in 2001 and ceased operations.
"Ugandan travellers are suffering because
of, apparently, not having a national
airline," he told Ministers, arguing that
the economy was now in much better
shape than 15 years ago. "I thought that
our brothers in Ethiopia, Kenya and
South Africa would serve all of us. That,
however, is apparently not the case."
In Tanzania, President John Magufuli's
government allocated funds in its first
budget last month for the state controlled
Air Tanzania, which currently has one
aircraft, to acquire at least two more.
RwandAir, which has eight aircraft, is
to take delivery of its first two Airbus
A330 longrange jets in September and
Rwanda's state-owned carrier is planning
flights to Asia and Europe as part of
a government strategy to become a
regional trade hub. Flights to Mumbai
are due to start in September, with China
and Europe expected in the next year.
"When you don't grow, you get
swallowed," Jean-Paul Nyirubutama,
RwandAir's chief operating officer,
was quoted as saying by the Centre for

Expansion will put

pressure on existing
carriers, including
Ethiopian Airlines,
Kenya Airways, South
African Airways and
Aviation, a consultancy.
European and Middle East carriers are
also expanding their operations in Africa.
Turkish Airlines now flies to more African
destinations than any other non-African
Lufthansa announced last month that it
was increasing its weekly flights from
Frankfurt to Nairobi from three to four,
and deploying a larger aircraft. The
German airline resumed direct flights
to the Kenyan capital eight months ago,
after an 18-year absence.

Advocates of the carriers' expansion

point to forecasts from the International
Air Transport Association, which
represents 250 of the world's largest
airlines, that seven of the world's fastest
growing aviation markets over the next
20 years will be in Africa. These include
Ethiopia, Rwanda, Tanzania and Uganda.
IATA also predicts that passenger
numbers in Africa will grow by 4.7
percent a year to 294m by 2034, from
107m in 2015.
However, IATA data also highlights
the weak nature of African airlines'
It predicts African carriers will
collectively record a net loss of 500
million dollars this year, compared with
600 million dollars in 2015. This is as a
result of stiff competition on long-haul
routes, while some countries on the
continent are reeling from the plunge in
commodities prices.
Richard Bodin, Fastjet's chief operating
officer, welcomed the expansion plans
in east Africa. Even though the market
has "gone through significant challenges
over the past 15 months any additional
airline passengers brought into aviation
is good for the aviation industry", he said.

IATA data also supports the sceptics'

argument that demand is insufficient to
support the proposed expansions.
The passenger load factor, which
measures the average number of seats
filled on aircraft, was less than 68
percent in Africa in the year to April more than 11 percent lower than the
global figure.
Razia Khan, chief Africa economist for
Standard Chartered Bank, expressed
doubts that "small national carriers [are]
really required".
"The regional experience so far is that
airlines, even large commercial carriers,
are notoriously difficult to run in a
sustainable, profitable way," she said.
"Although east Africa is a strong growth
region, questions about whether the
ascent of a new middle class necessarily
translates into air passenger demand
will persist."
Eric Musau, an analyst at Standard
Investment Bank, said it will be tough
for any new entrants.
"For carriers to be successful on the
continent, you need to be a hub," he
added. "So those countries will need to
develop their airports and economies
more broadly."

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 44

Syndication articles from

Moving money . . .

The Financial Times [2013]. All Rights Reserved. Not to be redistributed copied or modified in anyway.(The client) is solely responsible for providing this translated content and the Financial Times Limited does not accept any Liability for the accuracy or quality of the translation.

organisation would like the money

to go toward supporting victims of
the Boko Haram Islamist group,
people harmed by oil exploration and
Were very concerned about the
US government putting its money
where its mouth is. Too much policy
without action doesnt mean anything
to Nigeria and its people, says Mr
Ugolor. DoJ officials say they will
engage civil society groups after the
court process is over.
Sometimes it is easier to return the
cash especially when there has been
a change in power. Last year, the DoJ
returned $1m to South Korea that
was allegedly stolen by a previous
president, Chun Doohwan.
US prosecutors argue that the
corruption cases are within their
jurisdiction as long as the proceeds
pass through America, whether
in bank accounts, fancy cars or
beachfront property.
We want to protect the US financial
system from becoming a haven for
these proceeds, says a US official.
Where you have a rotten government,
those are the kinds of places where
organised crime and terrorism take
US officials also point to another
benefit -tying up the money for years
will deprive dictators from thriving
off of it.
Yet some sceptics say the US is part
of the problem because it allows for
impenetrable shell companies that
corrupt dictators can use to mask
their purchases. Earlier this year, the
US said it would require banks to
verify who the true owners are behind
The fact that the US, Britain, and
the Swiss are a magnet for these
illicit assets presents an integrity
problem, says Mr Bornstein. The
new government in power will say my
guy may have stolen the money, but
your system allows that to happen.
Establishing the Bota Foundation was
drawn out over a decade. In 1999,
the Swiss government froze bank
accounts linked to Mr Nazarbayevs
finance ministry on suspicion of
money laundering. Four years later,
the US indicted an oil executive and an
American businessman in an alleged
bribery scheme. Both later pleaded
Kazakhstan laid claim to the money
and after years of negotiations,
an agreement was struck in 2007
between Kazakh officials, the Swiss,
the US and the World Bank to set up
an independent foundation as a way
to return the funds to the country. It
took another year of talks to hash out
the specific terms of the pact.
Mr Nazarbayev was still in power
and both the US and Swiss worked to
ensure the foundation was completely
independent from the Kazakh
After competitive bidding, the World

Bank chose Irex, an educational non

-profit group, and Save the Children
to run the programme. Mr Bornstein
was hired and dispatched to Almaty,
the countrys business capital. The
biggest concern when setting up
the foundation was to ensure the
money would not leak back to the
It was a little bit of a constraint for
us, says Kathy Evans, director of Irex.
Kazakhstan is a socialist country, so
everything is tied to the government.
Were supposed to be working with
schools and health clinics and to find
any not tied to the government was
challenging and not always the best
Bota started in two regions and
expanded to six. To launch a
conditional cash transfer programme,
which pays parents about $15 to have
their children vaccinated, among
other things, it opened field offices
and had mobile enrolment centres
that travelled from village to village.
They used a lot of volunteers instead
of government social workers, says
Penny Williams, senior operations
officer for the social protection unit at
the World Bank. They found ways to
abide by the commitment that it would

(Cont'd from PAGE 42)

In 2011, the US sought

$80m in assets that it
alleged Teodoro Nguema
Obiang Mangue, the
son of the president of
Equatorial Guinea, stole
and used to fund an
extravagant lifestyle.

be independent of the government.

Botas work sometimes ground to
a standstill as it waited for all three
governments to approve budgets.
We delayed when we had to delay. It
wasnt a turn off the lights situation,
but we had to delay payments to tens
of thousands of individuals, says Mr

In one programme, Bota said it

delivered $56m to 154,241
beneficiaries under the cash transfer
programme and 74,470 children
were provided early childhood
education. In another it distributed
632 grants worth $12.5m to NGOs
to support the creation or expansion
of social services. Of the 841 needs
based scholarships granted to poor
and vulnerable youth, more than 90
per cent of the recipients were the
first in their family to access higher
education, the foundation said.
Bota surpassed its stated goals except
one the agreement called for it to
continue to operate as a functioning
foundation. But without the support
of the Kazakh government it was
wound down after the money was
The government was quite co
operative with us but once the time
period was over it wanted to be done
with it. It didnt want people asking
questions, says Ms Evans of Irex.
The project helped many poor
families, but its closure has left a void.
Nobody is working on child welfare
issues on a comprehensive basis,
says Janyl Mukashova, a Kazakh who
was director of Botas social services

Emerging market . . .
in recent months, Mr Howell says,
although Turkey and Indonesia have
suffered a contraction.
The continued normalisation in
emerging market liquidity extends
the recovery from its 2012 nadir,
when liquidity was at its lowest level
since the mid-1980s, according to
CrossBorder Capital, as the second
chart shows.
"Before 2008, [emerging market
countries] were generally very big
cash generators, largely because
foreign money was flowing in nicely
and we also had a lot of money
generation by private sectors," says
Mr Howell.
"After 2009 foreign inflows reversed
and private sector cash flow
generation just collapsed. From
2010 onwards, it was L-shaped."
However, since the third quarter of
2015, "foreign money has started to
come back and, more pertinently,
private sector credit generation
has started to pick up very fast",
with both of these trends largely
driven by currency depreciation,
Mr Howell says.
One obvious fear is that the bout of
risk aversion triggered by the UK's
surprise vote to leave the EU may
send emerging market liquidity
spinning back towards its lows.
Although it is too soon for the impact
to show up in CrossBorder's data,
Mr Howell is relaxed about this
threat. Given liquidity conditions

(Cont'd from PAGE 421)

over the past year or so, he believes

it would be "remarkable" if the UK
was to fall into recession in the wake
of the referendum.
More broadly, he says "the big event
[for emerging markets] is what
China does, not what the UK does,"
and that central bank easing in
the wake of the Brexit vote will be
beneficial for liquidity.
Wike Groenenberg, global head
of EM strategy at BNP Paribas,
also argues that anticipation of
"plentiful global financial liquidity"
has been a key factor in a rebound
in EM assets after an initial sell-off

"After 2009 foreign inflows reversed and private

sector cash flow generation just collapsed.
From 2010 onwards, it was L-shaped."
in the immediate aftermath of the
referendum result.
The Bank of England has raised the
possibility of a rate cut this summer,
while the European Central Bank is
looking at the option of expanding
its asset-buying programme or
front-loading its purchases, and
the market is not pricing in further
tightening by the US Federal Reserve
until May 2019.
With developed world sovereign
bond yields also hitting new lows
in the wake of the Brexit vote, Ms

programme. Its a pity.

As the US steps up its efforts to rein in
kleptocrats many challenges remain.
In the mobile phone bribery case,
Uzbekistan has argued the $850m
should be returned unconditionally
since it arrested individuals in
connection with the bribery scheme.
If the US prevails it will need to find
a way to return the money while
dealing with the same officials. There
have been some discussions about
following the Bota model, but the
Uzbek case is of a bigger magnitude.
Whether a Bota foundation
arrangement is remotely feasible in a
country as repressive and corrupt as
Uzbekistan is truly a serious question
that everyone is asking and scratching
their heads about, says Ken Hurwitz,
head of the Open Society Justice
Initiatives anticorruption legal work.
Some question whether prosecutors
should be in the business of collecting
money if they do not have clear
pathways to return it. But others say
patience is needed.
For one thing [the DoJ has] only
been making a serious effort for a few
decades in creating what is in effect a
new area of law, he says.
There is a huge learning curve.
Were not there yet but when there is a
critical mass of such cases then there
becomes a deterrent effect, he says.

Groenenberg says: "All this plentiful

and cheap availability of liquidity is
of critical importance to the pricing
of EM assets, given the considerable
rise in indebtedness in the past few
Separately, CrossBorder Capital said
its Emerging Markets Risk Index
fell sharply in May and is now at
its lowest level since 2012, having
peaked in early 2015.
This measure is based on three
components: financing risk, which
measures the ability of EM entities
to roll over their debt; forex risk,
driven by the quality of liquidity in a
country and how dependent it is on
central bank money; and exposure
risk, which flashes a warning sign if
a high proportion of investment in
a country is in risk assets, such as
equities and corporate debt, rather
than lower-risk government bonds
and cash.
"When you get extreme movements
in risk exposure, you want to be
doing the opposite," says Mr Howell
of the latter measure.
Greece, Indonesia and the
Philippines are currently rated as
the riskiest emerging markets by
this composite measure, ahead of
China and South Africa, as the final
chart shows.
In contrast, Latin America is seen as
lowest risk, led by Chile and Brazil,
with Israel and the Czech Republic
other lower-risk options.

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 45

MEPO Contracting & Management Services PLC

MEPO Contracting & Management Services PLC is a sister Company of MIDROC
Ethiopia Group and established in December 2008 by the renowned investor Sheik
Mohammed H. Ali Al-Amoudi. The Company has been engaged in the construction
activities that develops, construct and manages property since the establishment. It is
well-grounded locally and builds value by developing ideas into completed properties.
We invite qualified applicants for the following vacant position:
Job Title: Executive Secretary
Place of Work: Head Office
Kirkos Sub-City
Debre Zeit Road
NOC Building
Type of employment: Permanent

Required Qualification and Experience:

 BA Degree in Secretarial Science and Office Management/ Management or
other related field from recognized University;

Salary: Very attractive salary and Transport Allowance

 Six years and above relevant experience;

 Computer knowledge especially MS-Word, MS-Excel and Power Point

Main Duties & Responsibilities:

 Assists CEO with client inquiries and problem resolution.

 Prepare agenda and Schedule for meetings and arrange conference rooms and
preparing minutes during the meeting.
 Alert CEO about cancelations or new meetings.
 Determine matters of top priority and handle accordingly.
 Work together with other staff members to assist;
 Operate office equipment, such as photocopy machine and scanner.
 Maintain hard copy and electronic filing system.
 Schedule travel arrangements and booking (both for in country staffs and
those coming from outside.
 Performs all related duties as assigned

Prepare confidential and sensitive documents, correspondence and reports;

Answers and screens phone calls and manages the CEOs mail.
Distribute and recording outgoing letters to the concerned offices/clients;
Disseminates information to Department Managers and Projects regarding
changes to policies and procedures.
Coordinates office management activities and Maintain office procedures.
Assists in the completion of various forms, notices and other communications,
which may require posting and/or publication.
Provide administrative and clerical support to the CEO & other Departments
Assists with project monitoring and budget tracking.


Very Good command of English

Very Good interpersonal and communication skills;
Should be able to work under pressure with tight deadlines
Very Good customer handling

Interested and qualified applicants fulfilling the above criteria are invited to submit
non-returnable CV and copies of relevant documents along with application letter
online at or in person to the following address before July 16,
2016; please note that Only short listed applicants will be contacted.

MEPO Contracting & Management Services PLC

Kirkos Sub-City,Debre Zeit Road
NOC Building, next to Dashen Main Bank
Human Resource Department , Tel: 0114-164-970

Kenenisa Hotel
Kenenisa hotel is a hotel which provides guests with total departure from
the everyday, by paring thoughtful details with friendly service, high quality
accommodation, and modern in-room amenities with the latest technology,
warm surrounding and various hotel facilities.
Our hotel would like to invite interested and qualified hotel professionals for
the following positions
1. Position : Front office Manager
Educational requirement : Diploma or BA Degree graduate on the field of Hotel
Management or Hotel operations
Work Experience : 4 years for Diploma graduates or 2 years for Degree
Known Hotel or Hospitality firm on the specified position
Skill : Knowledge on the C-net hotel operational soft ware
2. Position : Night Manager
Educational requirement Diploma or BA Degree graduate on the field of Hotel
Management or Hotel operations
Work Experience : 4 years for Diploma or 2 year Experience for
Degree graduates on Hospitality firm at the Specified position
Skill : Knowledge on the C-net hotel operational soft ware
3. Position : Store Head
Educational requirement : Diploma on the filled of Accounting
Work Experience : 3 years or above work experience on the specified position
Skill : Knowledge on stock Management software or C-net soft ware
4. Position : Marketing Head

Educational requirement : Diploma or above on Marketing or related field of

Work Experience : 2 years or above work on marketing position at the hotel
Skill -Knowledge on the C-net hotel operational soft ware
Good communicational skill
5. Position : Purchaser
Educational requirement : Diploma and above in Accounting or related field
of study
Work Experience : 2 years or above work on purchasing position at the hotel
Skill : Knowledge on the C-net hotel operational soft ware
Good communicational skill
6. Position : Guest service attendant
Educational requirement : Diploma and above in front office management or
related field of study
Work Experience : 2 years or above work on the position
Skill : Knowledge on the C-net hotel operational soft ware
Good communicational skill
Qualified professionals for the above positions can apply to our hotel which
locates in front of Bole Medhanialem church in person or can send the document
through email with in 10 consecutive working days
starting from the day of announcement.

Tel:- +251-116 67 24 34 Fax:- +251-116 67 24 17

E-mail:- Addis Ababa, Ethiopia
...golden feet for the track,cheerful face for the heart!

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 46

coming soon
Caf Society (2016)

July 15


Weekly Revenue

Good enough to keep

audience sit-up, yet
humdrum compared to
its forerunner Finding
Nimo. The soundtracks
too boost t he film's
grip to the extent that
Christian Tesfaye ,
Fortune in-house film
reviewer recommend
it to everyone and
award it eight out of
10 stars.
Most multiplexes like to play a slew of
trailers before every movie screening;
and this one was no different. This is
done less for the audiences benefit,
than it is for the cinema's, as a way
of advertising what is to be screened
in the future. The same goes for a
film produced by Pixar too the
undeniably creative company behind
almost all great animated movies. The
trailers before a Pixar film starts are
few compared to those of others,
because the exhibitors also have
to make time for the short film that
precedes the main feature.
Piper is an animated short about a
baby sandpiper (a small, scrawny
bird) that has to learn to peck for
food from the nearby seashore.
We first see the bird in its small
shelter being fed by its mother, but
the mother soon judges her child
ready for the outside realm and
releases it into the large scary world.
Pixar does make some money from
the short films it produces, but
nonetheless, the amount of heart,
time and consideration they put into
each one is staggering. Even though
not as great as Feast - another short,
shown before Big Hero Six - in no
more than 6 minutes, Piper is able to
amuse and exhilarate, much like the
feature film that followed it.
The name Andrew Stanton will
probably endure as the designation
of the man that gave us the modern
masterpiece Wall-E, but for those
that dig deeper, appreciation for
him would also be extended towards
the almost equally brilliant Finding
Nemo. Plot wise, it was a simple
enough movie - a father searches
for his son, Nemo, together with
a female companion he meets on
the way. But the film was set in the
sea, the characters were all fishes
and never before in any movie has
marine life been explored with such
enthusiasm, originality, spectacle and
breathtaking attention to detail.
The female companion I mentioned
was named Dory, and one of the
greatest things about Finding Nemo
is that she didnt serve as an obvious
love interest to the father character,

Finding Dory


Weekly Revenue

The Legend of


Weekly Revenue

The Purge:
Election Year


Weekly Revenue


Film Review |By Christian Tesfaye - special to Fortune

Finding Dory
a clownfish called Marlin. A year has
passed since the events of that film,
and now a new one, Finding Dory,
follows. The first film was almost
universally loved, but it is doubtful
thats why we are getting a sequel.
The title is self explanatory: Dory
has to be found, because she has
disappeared. When I heard of the title
three years ago, I didnt ask myself but why would she disappear? Dory
is a very unique fish that has shortterm memory loss. If we have to be
scientific about it, her condition is
akin to Anterograde amnesia. She
just cant make new memories;
subsequently, she is bound to get lost
at one point or another.
Dory suddenly starts to recall
fractional memories of her long
lost parents. Realising that she had
a family that loved her, and if alive
are probably still missing her, she
decides to go looking for them. But,
of course, as a result of her amnesia,
she cant do this on her own, as her
familys probable location is far away
from the Great Barrier Reef which is
home to her and hers, Marlin and
Nemo. The two, Nemo excitedly and
Marlin rather grudgingly, accompany
Dory on an adventure she probably
wont remember. Along the way,
she gets lost, befriends various
intriguing fishes, drives a car (kind
of), remembers a bunch of stuff
about her past (which is a big thing
for her) and finally gets to figure out
what it is that makes her so unique
as to be a title character.

I didnt think the film would work,

or that I would like it so much, but
if there is one thing Pixar is most
praiseworthy for, it is delivering
under pressure. The film starts off
ordinarily, with no echo of that grave
sad opening scene that proclaimed
the crux of the previous movie. The
second act, introducing an absurd
octopus (or is it septumus), was
fast paced and invigorating. I felt

Most scenes
seemed forced,
cranked up
by warm
soundtracks to
give feelings
they alone cant
myself sit-up, a usual indicator of
my interest in a film. Yet still, most
scenes seemed forced, cranked up
by warm soundtracks to give feelings
they alone cant achieve. But the third
act was impressive. Especially the
resolution - which wraps the movie
up with one full sweep, played to
Bobby Darins Beyond the Sea - is by
far the highlight of the film. It isnt
often that a single scene breaks or

makes a film, giving us the ultimate

movie moment.
On the whole, I would have preferred
Stanton to have made an original
movie. His career with animated
features is only rivaled by that
of Brad Birds director of The
Incredibles and Ratatouille. It is hard
to call a director of animated movies
an auteur, more like a coordinator.
More than any other genre, an
animated film is truly a team effort.
But a team always needs someone to
draw together all its ideas, scrape off
the bad ones and illuminate the great
ones. Stanton, just for a moment,
with his disastrous John Carter liveaction movie, looked like he had
lost his touch, but Finding Dory is a
return to form.
I believe all films should be judged
on their own merits or demerits.
Because no two movies, even a
remake to its original, are alike.
All films represent different ideas
and sentiments. But sitting in the
cinema, not just watching but also
enjoying Finding Dory - a film
I would recommend to almost
anyone - there was a part of me that
wanted the projectionist to slip up
and play this years Zootopia (also
known as Zootropolis) instead.
The movie was so good as to be
unbelievable; no other animated film
could afford to be that bold and wry.
As much as I liked Finding Dory, it is
humdrum compared to the maturity
of Zootopia, or even the juiciness of
Finding Nemo.


Weekly Revenue

Day: Resurgence


Weekly Revenue



Weekly Revenue

The Shallows


Weekly Revenue

Free State of Jones


Weekly Revenue

The Conjuring 2



Weekly Revenue

Now You See Me 2

Coming Soon
July 15

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 47

This column gives advice about new technologies as well as gadgets and provides information on how to use new products from the
digital world. Any questions on the day-to-day operation of one's computer can be addressed by emailing Dereje who is willing to
advise or assist readers whenever possible.

with Dereje Letiyebelu


Big Windows 10 update due August 2


ecurity will be the name of the game

when Microsoft releases the new
update of its Windows 10 operating
system in just over a month. The company
confirmed that a major update to Windows
10 will be widely released on August 2.
On its company blog, Microsoft spelled out
a list of new features that will come with
the update. Chief among those are security
upgrades, improvements to its Cortana
digital assistant and features designed to
make touchscreen devices running the OS
more useful and efficient.
Microsoft said that the updated version
of Windows 10, marking the one-year
anniversary of the OS, is the most secure
Windows ever. For individual users, the
update includes Windows Hello, for apps
and websites, and Windows Defender.
Windows Hello, a new feature, makes it
easier for users to get the most out of the
natively supported security biometrics of

the Microsoft Edge browser. Companion

devices can use Windows Hello to unlock
PCs, allowing quick, secure sign-ins,
Microsoft said.
An enhancement to Windows Defender,
Microsofts free anti-malware service,
enables users to automatically schedule

periodic quick scans of their PCs and

receive new notifications and summaries
when scans are complete and threats are
Enterprise Tools
For enterprise users, the updated Windows
10 includes Windows Defender Advanced

Threat Protection. This feature detects,

investigates and responds to advanced
malicious attacks on networks by
providing a more comprehensive level of
threat intelligence and attack detection.
The service uses what Microsoft termed
the worlds largest array of sensors and

Guardian UDR777HD wireless security system

Car speakerphone
Speakerphones do come in handy if you happen to be a
busy bee all day long, and have plenty of phone calls to
attend to and yet would need to use both of your hands
for whatever task you are involved in.
One can mount it to a visor and have it connect
automatically to your iPhone or Android handset via
Bluetooth when you enter the vehicle. The included
software will enable one to make and answer phone
calls using voice commands, while an FM transmitter
leaves the door open for one to stream phone calls,
podcasts, music and GPS directions via the cars stereo
speakers. It takes two hours to juice it up with the
included USB charger, where a full charge delivers 14
hours of talking time or 960 hours of standby time.

The Guardian UDR777HD from Uniden happens

to be the very first 1080p wireless security system
with monitor available on the market.
All activity that involves your system can be set up
and monitored from your smartphone or mobile
device. All that you need to do is to hook up the
monitor to your Internet router and access via
iPhone, iPad, Android or Amazon Kindle device.
You are good to go. You can then be alerted if
anything unusual triggers a camera. The system is also fully configurable for motion
sensing, scheduled recording, camera resolution and motion area masking. Sporting up
to 128GB memory (8GB included), days of video can be recorded on end. Do seriously
consider this if you are on the lookout for a wireless security system for your home.

expert advanced threat protection,

including a team of security researchers
at the company who provide in-house and
security partner intelligence. Windows
Defender Advanced Threat Protection
now covers more than 700,000 endpoints
and is being used in pilots by more than
300 active enterprises participating in 70
countries around the world, according
to Microsoft.
To help protect businesses from
accidental data leaks, which Microsoft
said is the largest source of lost data,
the update also delivers Windows
Information Protection. Formerly called
Enterprise Data Protection, this feature
lets businesses separate personal and
organisational data and helps protect
corporate data on desktop, as well as
mobile devices.
Refined Cortana
The latest release of the update will also
let users make greater use of Cortana,
which has come with the OS since it was
released last year. Cortana can now take
commands on users lock screens so
they can ask questions without having to
unlock their devices. Another new tool
in the Windows 10 update allows users
to write notes via touchscreen-enabled
tablets or laptops. The new Windows Ink
tool turns devices into virtual notepads.
Users of previous versions of the operating
system can update to Windows 10 for free
until July 29. Microsoft has not said how
much it will cost to upgrade to its new OS
after that date. Members of the Windows
Insider programme can take part in
a public beta test of the new Windows
10 build before its official release on
August 2.

Methods That Can Help you to Remove Malware

Malware, spyware and viruses have one
particular thing in common. They very
easily slow down your computer, steal
important information and corrupt vital
files. There are many other unsuitable and
inappropriate things that they are capable
of doing. It is a well known fact that not
all the malwares are created in an equal
manner and there are some items that
are harder to remove than others. There
are three methods you can use to get rid
of malware. These have been explained
as follows.
- Scanning
There are millions of different programs
in the virus/spyware removal category.
Also most of these programs are free,
which a good thing is. Different programs
will give you different results and thus it
depends on what exactly you wish to get
from these programs. Hence, the best
thing that you can do when your computer
is infected with multiple viruses is to run
multiple programs. In order to get around
this thing, you can either scan the system
or you can enter the safe mode on your
Windows system.
- Rescue disks
In addition to entering safe mode, you can
also scan your computer before your Windows has a chance of booting up. This can
be done by utilising an offline virus scanner

and sometimes a pre-boot scanner. The

way that works is that you will have to use
another computer to download a file for
the ISO image from any anti-virus company.
- Clean install
A clean install is not meant to be the most
fun thing to do. However, it is a method
that can guarantee that you get rid of all
the viruses, malware and spyware. It is
also pretty straight forward. You will be
able to delete everything on your hard
disk and, therefore, there will not be any
viruses. There will also be times, when a
virus will not be able to infect items like text
documents, pictures, MP3 files and videos.
Here, a good thing to do is to scan all your
personal data and even then, if there are
no viruses to be found, you can copy it to
your external drive.
Best laptops for business in 2016
Reliability, security and performance are almost synonyms with
the business environment.
Affordability might be an important
aspect as well. But you should think
about the laptop you are getting for
work as an investment.
Business laptops need to provide
an added layer of security and with
high performance. High durability
is also a desirable feature. You will
be carrying this thing around with

you, so it makes sense that it should

be durable.
Instead of running through the
specs such a laptop should carry,
we will take a look at a few laptop
Lenovo ThinkPad X1 Yoga
The Lenovo ThinkPad X1 Yoga is
one of the best business laptops out
there. It is a hybrid design that you
can fold and use either as a laptop
or a tablet. It also features an above
average battery life of up to 9 hours
on a single charge.
Weighing in at just 2.8 lbs, it's not
the lightest laptop in existence. But
that does not mean it is not portable.
Dell XPS 13
This laptop has become quite a sensation in the last months. It is portable and offers an extended battery
life. It also comes equipped with
the latest hardware. The XPS 13 is
not underpriced, nor is it underpowered. It offers the latest generation
Intel processor.
It comes in a light 2.7 lbs package, yet it somehow manages to
integrate a large 13-inch screen in a
body found on 11-inch laptop models. The 12-hour battery life is not
something you can overlook. This
can last on even the longest of com-

Surface Pro 4
The Microsoft hybrid is fast. It is
also powerful and portable. With
the keyboard attached, it weighs
just 2.3 lbs, which makes it ultraportable. It is quite like no other
hybrid on the market today. The
Surface Pro 4 represents the perfect mixture of power, portability and versatility. It comes with a
stylus pen. This can simplify tablet
interaction when a mouse or keyboard is not present. But it is also
The small Microsoft hybrid integrates a 6th generation Intel
Core processor. The beautiful
2736x1824 pixel resolution screen
is something you should also
check out. It looks gorgeous.
Toshiba Chromebook 2
This one's for people looking for
work laptops that are lightweight
and affordable. The Toshiba
Chromebook 2 might be perfect
for you. You need to make sure that
you are always connected to the
internet. Like most Chromebooks,
it does not provide an impressive
storage space. Chromebooks usually come with an added bonus of
free massive cloud storage space. It

has got a 13-inch screen and boasts

eight hours of battery life. Several
tests indicated that it is faster than
most budget laptops you will run

Philosophy Bites
Welcome to Philosophy Bites. This site
brings you interviews with philosophers
on philosophical topics via a podcast.
Its setup blog style, so you can scroll
down the page to browse through past
entries. When you are halfway down the
page, on the right side you will also find a
categories menu that enables you to pick
the topic you want to learn more about.
Another great way to browse is to check
out the 365 Bites Podcast Interviews
Arranged by Theme post. There you can
navigate the interviews by a variety of
different themes. For example: What is
Philosophy?, Great Thinkers, Personal
Responsibility and many more.
On that right side menu, you will also find
a search box. There you can search by
keyword. After that, you will find a listing
of the of the most recent posts to the page.
This is a cool way to learn more about
philosophical topics.
Check it out for yourself today.

P ag e 48

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016



29. Inspection of Banks

3/ Inspection of banks may be carried out by
one or more officers of the National Bank or by
trustworthy and qualified persons employed by the
National Bank for this purpose.
4/ Persons assigned by the National Bank to inspect
any bank shall be authorized to request from the
personnel of the inspected bank such information
and explanation on the records and transactions
of the inspected bank that are necessary for the
effectiveness of carrying out the inspection.

If you are into sales and marketing, you need to pay more
attention to achieve your targets. For those into business, this
is not a good time to go for bold and daring expansion plans. Dont get
disheartened if you face any obstacles in your career path. Learn to take
things in positive stride. Just have faith in yourself and you will soon
emerge out of this trying time
This week, you associate yourself with a large organisation
where you can fulfil your dreams. You should think of
different ideas and strategies, and execute them to your advantage. Make
the best use of the opportunity to enhance your career prospects. If you
are an architect, pay attention while executing a recently received project,
as this will bring you the name you are looking for.
TThere is an urgent need for you to step on the accelerator and
get going on those important tasks, say Astroyogi astrologers.
Even though circumstances are forcing you to do otherwise, you shouldnt
allow yourself to get carried away and lose your focus. Dont be tempted
to slack off, as an important honour is just over the horizon - and dont
forget your reputation is at stake too. You are already halfway through
it and any obstacles now are showing up because you are allowing them
to. As Mercury enters Aquarius on January 12, communication will play
an important role in helping you to get out of a troublesome situation
Proving your point probably is not the way to win over others
this week. They might nod in agreement, privately hoping that
leave them alone. Everyone wants to believe that they have
a choice so skip `hard sell` tactics and opt for something
thought-provoking that connects with the person you are working with.
Be confident, not pushy.
This is a very good week on the career front, as you will deal
with work pressure much better at this time. Interesting
work proposals are likely to turn up, especially towards the middle
of the week. This weekend is particularly good for writers and those
in the communication field. Business professionals may expect good
offers from abroad.

Coordinate with your colleagues for maximum efficiency
at work. You will not only be busy with your current
projects but will have a lot of new work coming your way. Make
sure you meet all your deadlines this week, as any delays in this
regard could create problems for you. Keep your priorities right
to avoid any confusion.
This week, your career graph moves ahead at a much
faster pace. An unexpected interview call lifts the spirit
of those wanting to change their jobs. Be confident and prepare
yourself well in advance for the interview. Avoid making silly
mistakes. This new opportunity will have better perks and satisfy
your desire to do something challenging.
This week some unusual & challenging situations are
indicated at your workplace. Your self-confidence and
presence of mind help you come out of this situation without
difficulty. Some great overseas opportunities are indicated
especially towards the middle of the week. You will climb up the
professional ladder at a much faster pace.
This will be a good week for those applying for
the post of flight attendant or other airline crew.
Medical professionals will find good job opportunities within
the government. There will be offers aplenty this week for IT
professionals to work abroad. Remember to be clear about your
professional priorities this week. Look forward to the great week
This week you may have to face some hurdles with your
new assignments and meeting deadlines may become
a tough task. You will have to work in coordination with your
colleagues to get your work done on time. Do not be stressed and
try your best to calmly resolve these problems. Your seniors will
be helpful and will guide you in the right direction.
A great week lies ahead of you on the career front. For
artists and designers, this may be one of the best periods
of your life. You are likely to get recognition and a raise in your
income for the great work you have been doing. Others finally
appreciate your dedication to your work this week. Great new
opportunities are likely to be knocking at your door.
The week commences with a few challenges at the work
place. The period can be somewhat tough for you as it
may be creating possibilities of loss and distrust. This week also
brings delays and postponements but free yourself and discover
new things. Explore your creative side to bring out new ideas to
deal with the situations occurring in the week.

There may not have been an American

presidential election over the past almost 40
years as impactful to Ethiopia as the current The
electoral battle between the Democratic,
Hillary Clinton, and the Republican, Donald
Trump, claims gossip.
Many Ethiopians still recall the regrettable consequences of
the presidency, in 1976, of Jimmy Carter, who had wanted to
undo the policies of his predecessors with regards to Americas
foreign relations. Carter tried to reclaim what he said was
Americas moral values. He argued that these had been lost
due to the opportunistic bent of previous administrations,
which had overlooked human rights abuses in their relations
with other countries. And it was during his presidency that
the requirement of the State Department to submit full and
complete annual reports on human rights situations around
the world was passed by Congress.
Still today, the Department releases its annual reports on the
state of human rights in Ethiopia - often a source of much
irritation to Ethiopias authorities, says gossip. Suffice a recent
request by the State Department to send a team to investigate
the human rights abuses in the Oromia Regional State, which
was declined by the Ethiopian government, gossip disclosed.
The Americans seem to harbour disappointment in their
relations with Ethiopia over this and the authorities reluctance
to issue a permit for the American Chamber of Commerce to
open an office in Addis Abeba, gossip observes. When they
finally did issue one a few months ago, it was only a temporary
permit - such as the one they made available to the Turkish,
gossip disclosed. This led to an angry letter from the US
Treasury Department to the Ethiopian authorities, warning them
that misbehaviour has consequences in the form of delisting
Ethiopia from the AGOA - a duty and quota free privilege to
export to the US market - gossip disclosed.
Addis Abeba may simply see this as a bluff, claims gossip. The
US government has far more important strategic relations

with Ethiopia that trump these other side

issues, says gossip. Fighting terrorism and
cooperating on regional affairs are among the
most important aspects of this relationship,
according to gossip.
Yet, this is as good as the mood in the White
House, claims gossip. With the change in administration there
- whether Clinton or Trump gets elected - the staunch allies of
the Revolutionary Democrats in the US administration are in
their final year of foreign services, claims gossip. It will take
perceptive leadership to foresee the change in Washington DC
and not to make the same mistake Emperor Hailesellasie made
in the mid-1970s, says gossip.
It is as if history is doomed to repeat itself, according to gossip.
The same rhetoric by the Republican candidate on how it is
important for America to stop cease its attempts to be the worlds
policeman and limit its international commitments in order to
project a low profile overseas - a copy torn from the pages of
Nixons Doctrine of detent. The Emperor failed to read that
and overlooked the call from American diplomats in Addis Abeba
for domestic political and economic reforms, claims gossip.
There is little doubt that there will be a change in the mood in
the White House towards Ethiopia come the next administration,
says gossip. Even the friendly Clinton, whose husband used to
be one of the very few people invited over to dinners at the late
Meles Zenawis residence, will be forced to play it tough in her
foreign affairs outlook - if for nothing else, simply to prove her
rival wrong about her - gossip foresees.
Time appears to be running out fast for Ethiopias authorities
to fix whatever it is they need to in order to maintain Americas
support, claims gossip. Indeed, one such chronic situation may
be the trouble from Eritreas regime; but equally desperate is the
potential for the resurgence of civil war in South Sudan, gossip
disclosed. Indeed, Ethiopia may have a delicate development of
military takeover right in its backyard - something that will put
Ethiopias leaders in a situation of damned if you do, damned
if you dont, claims gossip.

fine ine

Test 1
Eliminate twelve letters from the phrase
below to leave a word meaning"shakes"

Answers from
from last
last week:


4146 in all the

Test 2

Test 1 others AXC=B and

What number should replace the question

Simplify: 6-32+84+6=?

Test 2

Test 3
what phrase is indicated below?



258 IN the rest

Test 3 the middledigit
is the
squareroot of
the last digits

Answers next week...

I know a farmer who's invented a scarecrow

that's so hideous none of the local crows
will touch his corn - a few of them have
even brought back the corn they stole last
Farmer Giles had a very attractive young
wife. He discovered he couldn't keep his
hands off her - so he fired them.

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 49



Exchange Rates
for Transactions
For the procurement of 1. Professional
Hand Tools, 2. Ratchet Wrench, 3.
Digital Meager (Earth Tester) with RFQ
No. 3531030. Ethio telecom. Address:
P. O. Box 1047, Addis Abeba, www. Closing date: July 21,
2016. Publication: The Ethiopian Herald,
June 28, 2016.

FDRE Ministry of Education. Tel. +251-11156 55 58 or 55 31 33 Ext. 247. Closing

date: August 2, 2016. Publication: The
Ethiopian Herald, June 5, 2016.
For the procurement of Development,
Printing and Distribution of Grade 1-4
Mathematics and Environmental Science
Supplementary materials in Lot 1. Amharic,
Hadiyisa, Sidamigna, Wolaaytiggna and Lot
2. Oromifa, Tigrigna and Somali. The
FDRE Ministry of Education. Tel. +251-11156 55 58 or 55 31 33 Ext. 247. Closing
date: August 2, 2016. Publication: The
Ethiopian Herald, June 5, 2016.

For the supply and delivery of surface

pumps for UN HCR Sub Office Jigjiga.
United Nations High Commissioner for
Refugees in Addis Abeba. Tel. +251 11
661 2822. Closing date: July 27, 2016.
Publication: The Ethiopian Herald, June
28, 2016.
For the supply of Single shaft uPVC
For the supply of PVC Resin Powder form Shredder, Heavy-Duty Granulator
(K-Value 66+ 1). The Oromia Pipe Factory (Crusher) machines and spare parts
Plc. Tel. +251-11 439 59 11/+251-11 for uPVC Scrap recycling system. The
439 58 28. Closing date: July 27, 2016. Oromia Pipe Factory Plc. Tel. +251-11Publication: The Ethiopian Herald, June 439-5911/+251-11-439-5828. Closing
date: August 3, 2016. Publication: The
16, 2016.
Ethiopian Herald, June 22, 2016.
For the procurement of 1. Pair testing
or pair identification (tone generator), For the supply of Lot 1. Biology & Life
2. 25 pair splicing module machine, 3. Science reference books, Lot 2. Physics
Headset with RFQ No. 3530030, 3530031 reference books, Lot 3. Chemistry
& 3530033. Ethio telecom. Address: reference books. The Public Procurement
P. O. Box 1047, Addis Abeba, www. & Property Disposal Service on behalf of Closing date: July 28, the Ministry of Education. Tel. 011-154 05
2016. Publication: The Ethiopian Herald, 24/011-122 37 22. Closing date: August 4,
2016. Publication: The Ethiopian Herald,
June 26, 2016.
June 26, 2016.
For the procurement of 7KW Solar system
with integrated controller & inverter, For the supply (CFR Djibouti) of: Lot
2*1000AH battery and solar structure 1. Adjuvant for Sugar Cane Herbicides
rural communication service centre with (EI-1223R). Lot 2. Power Plant Main
RFQ No. 3532008, Ethio telecom. Address: Switch Gear Spares & Various Plant
P. O. Box 1047, Addis Abeba, www. PDs & MCCs Component (Power/VAC Closing date: August 1, Switch Fear Parts, PD Parts & PD Ducts,
2016. Publication: The Ethiopian Herald, MCC Spares, Fuses-Circuit Protection,
Components, Instrument Transformers
June 26, 2016.
& Control, Ethanol Plant Electrical Parts,
For the procurement of Development, Pump Station Electrical Spares, Water
Printing and Distribution of Grade 1-4 Treatment Electrical Spares, Rotary Screw
Mathematics and Environmental Science Air Compressors parts (EI-1256R). Tel.
Supplementary materials in Lot 1. Amharic, +251-11 551 37 06/+251-11 551 25 57.
Hadiyisa, Sidamigna, Wolaaytiggna and Lot Closing date: August 4, 2016. Publication:
2. Oromifa, Tigrigna and Somali. The The Ethiopian Herald, June 26, 2016.




US Dollar



Pound Sterling






Swiss Franc



Swedish Kroner



Norwegian Kroner



Danish Kroner



Djibouti Franc



Japanese Yen



Canadian Dollar



Indian Rupee



Kenyan Shilling



Australian Dollar






South African Rand



Chinese Yuan



Source: Trading Economics

Exchange Rates
for Cash Notes



US Dollar



Pound Sterling






Swiss Frank



Swedish Kroner



Norwegian Kroner



Danish Kroner



Djibouti Franc



Japanese Yen



Canadian Dollar



Saudi Riyal



UAE Dirham



Central Africa Franc



Birr is expressed in terms of one unit of

each foreign currency applicable on
July7,2016 Source: Commercial Bank of

Last updated on -Jun-2016













14 Apr






03 Jun


06 Jun-




At Sea


10 Jun





04 Jun


21 Jun-




23 SB


28 May



M/V New



09 May





16 NB






13 EB


27 May


06 Jun



13 EB


27 May


08 Jun-

Business Calender 2015


Please send us your events for next week

by email to theweekahead@addisfortune.
com. We will print your information in this
corner of our publication for free.
Use the opportunity to promote
your big events.

Source: Ethiopian Shipping Lines.

Benchmark Currency Rates














25Jan-01Feb 2016


International Fair of Khartoum

Business sectors:


A ll-R ound Fairs

Khartoum, Sudan

Tokyo, Japan


Last updated on, July9, 2016.











his chart displays the exchange rates of eight major world currencies. Scan
across the chart to find the rate of exchange between any two of the currencies.

June8, 2016

International Hard and Soft Commodity Prices


A griculture ,
Horticulture, Landscaping

B us i ness se c t o r s :

Construction Industry





27 Jul-29Jul2016

GPEC-Greenhouse Horticulture
and Plant Factory Exhibtion and


Abuja, Nigeria

B us i ness se c t o r s : Building ,

"I wish you all the joy that you can wish."
William Shakespeare

Coffee 'C' Future (Usd/Lb.)
Corn Future (Usd/Bu.)
Soybean Future (Usd/Bu)
Wheat Future (Cbt) (Usd/Bu)
Live Cattle Future (Usd/Lb)
Gold 100Oz Future Usd/T Oz)
Sugar No. 11 (World) (Usd/Lb)
Cotton No. Two Future (Usd/Lb)



% Change

















These international commodity prices are indicative of future prices as speculated by market analysts.
They are, therefore, subject to change. They are in US dollars, and the prices recorded are those of
July 8, 2016.

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 50

Fortune Classified

t is a condition of the acceptance of advertisement orders that the proprietors of Fortune do not guarantee the insertion of any particular advertisement on a specific date or at all, although every effort
will be made to meet the wishes of advertisers. Furthermore, we do not accept liablity for any loss or damage caused by an error, inaccuracy in the printing, non-appearance of any advertisment, editing
or deletion of any objectionable wording, or the rejection of any advertisment. Although every advertisement is carefully checked, occasionally mistakes do occur. We, therefore, ask advertisers to assist
us by checking their advertisement carefully and advising us immediately so that an error will not occur. We regret that we cannot take responsibility for more than ONE INCORRECT insertion and that no
republication will be granted in the case of typographical or minor changes that do not affect the value of the advertisement. Fortune will not assume any liability for the content of advertisements. The
advertiser is responsible for any material he or she publishes in our paper. Fortune Management.


Intel Core i5-6200U Processor (3M

Cache, up to 2.80GHz)
Intel HD Graphics 4000
1TB Serial ATA HDD
HDMI, USB3,USB2, RJ-45 LAN ports

Networking HD webcam TruTalk dual mic. 10/100
Ethernet Intel Dual-Band Wireless, Bluetooth
Operating System Windows 10 Original
12+1 Months
The Best in Addis. Just Call @0930000080

post anything and reach THOUSANDS of

visitors. new/Used Car, House, Mobile, Laptop,
TV, Sofa, Cloth, Baby item, Machine

Contact your Buyers / Sellers directly

Soon yegbu will be advert on TV, FM-Radio, Banner
Facebook, Google million of visitors are expected
Info 0942 121212 /0911238705 /0911241463

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 51

Profitable Bank Shares

on sale
(Oromia International Bank)

Call now +251 939 665655

House For Rent

House (Villa) Completely Renovated near French Embassy
Stylish, Charming and sunny European style G+1 house,
with private garden with the total Area of 1000 square
meter of land, fenced and with concrete guard room.
 Parking Space 5 (Five) to 6 (Six) cars.
 Main House (up stair): Open plan living and dining
room with chimney, kitchen, Three Bed rooms and
Full Bath room with tub.
 Ground Floor Living and dining room, Kitchen,
Three Bed rooms and Toilet with shower.
 Service Quarter: Three rooms with its toilet and

To Visit call us +251912 049777 and +251930 078080

Fo rt u n e Vo l . 17 No. 845 J u ly . 10, 2016

P ag e 52

Warmest greetings and best

wishes for Eid-Al-Fitr
Fun-filled Family Getaway

This season enjoy the perfect city escape to Sheraton Addis,

A Luxury Collection hotel and spend quality time with your
loved ones.
Savour various dining experiences from authentic Italian fare
at Stagioni, Indian delicacies at Shaheen, Al Fresco pizzeria
at Breezes and an International variety of distinct flavors at
the Summerfields.

It is the place to be pampered,

indulged and spoilt.

For Reservations & more Information,

please call:: +251 115 171717 or