From Tir 25 to Yekatit 10/2002 E.C, 418 investors who are involving in different investment sectors got doing-business capacity building training. The training carried out in 4 training centers which were in Hawassa, Wolqitie, Mizan and Arbaminch training centers. The participants came from all Zones and special Woredas.

The main objective of the training was to build doing-business capacities and competentnesses of the investors, who have invested their capitals, skills and time in the region, in domestic and international doing-business arenas.

Selection procedures of the trainee investors/projects had set during the projects follow up and support activities. By doing jointly with Zones’ Investment Offices Coordinators, we identified different investment projects which had lack experiences and skills in the area of utilizing skilled manpower, book keeping and/or project data management, entrepreneurship courage and project management. The training covered on those identified problems and giving awareness training in the area of national and regional state investment development policies and strategies, and investment laws and procedures.

Some of the trainers were our experts and the others came from Federal Investment Directorate Office of Ministry of Agriculture and Rural Development that they participated on the training.

Quotation: ‘From this training, we have gained too much knowledge and have shared experiences among us’, said the trainees.

By 2009/10 physical year, actions were taken on 474 urban and rural non-developmental investment projects which were involving in different economic sectors. The actions were taken by The Regional State Investment Expansion Main Business Process, Zone Trade and Industry Units and Zone Investment Expansion Coordination Offices. During the last physical year, our regional and zones’ experts were doing extensive investment projects follow up and support activities on different urban and rural investment projects and reported the current operational activities and status of the followed up projects.

The actions were taken based on experts’ followed up reports and first quarter Zones and Hawassa City Administration physical plan performance evaluation reports that were sectoral assembly of Trade and Industry Bureau in Sept 2009. ‘At that time, the sector made common consensus on strict project follow up issues, prepared common projects monitoring physical plan and performance evaluation documents for performance evaluation convenience. The action doer committee includes the city administration and municipality governors for further strengthening. Further more, the sector pledged a commitment to strengthen the follow up and support activities and continue on taking legal action on non-developmental investors’, said Ato Yesuf Sani, Vice Head, Trade and Industry Bureau and Investment Expansion Main Business Process Owner.

Among engaging in rural investment projects, 326 projects were given warning statements, 128 projects were cancelled their investment licenses and 20 projects were cut down their investment land.

In 2009/10 physical year, 328 investment projects with registered capitals of more than 1.3 billions Birr acquired investment licenses from regional and zones investment offices. Even if such amount of projects acquired investment licenses, the physical year plan performance was done under expected performance. When those projects carry out at full operational capacities, they will create about 20 thousands temporary and permanent jobs. They have intended to do in agriculture, industry and service sectors.
 
The sector also intended to give 13 expansion licenses, renew 363 licenses and change 49 licenses. The performances were done 27 expansion licenses, renew 723 licenses and change 78 licenses. All of them show over performances.

In general, if we see the regional investment flows of the last 16 years, 5,560 projects with registered capitals of more than 57.9 billions Birr acquired investment licenses. When those projects achieve at full operational capacity, they will create about 1.2 millions jobs.

With the leading motto: ‘With developmental investors tireless participation, Ethiopia renaissance comes to real’, 2002 E.C Investment Forums carried out in 12 Zones. According to our experts and the Zonal reports, the forums did in Sidama, Gedeo, Gurage, Silte, Hadiya, Wolayta, Dawro, Gamo Gofa, South Omo, Bench Maji, and Shaka Zone, including Hawassa City Administration. The Participants were higher government organs, Zones’ and Woredas’ governors, investors and other stackholders. Totally about 2464 participants showed up on forums. The forums were prepared based on the field reports of the projects’ follow up and support activities of which identified projects’ strengths and weaknesses. According to our experts and the zonal reports, the main topics of the forums were existence relationship disparities among government, investors and other stakeholders, government and/or investors' side problems, and questions and comments from investors and other stakeholders during the forums.

The forums concluded with accepting feedbacks and addressing the problems which identified and/or raised before and/or during the forums and made common consensuses for all opinions and pledged to solve those problems and bridge up the gaps among all stakeholders. Particularly, Zones’ governors and Chiefs of Zones’ Trade and Industry Units strongly warned the investors to solve their problems without any preconditions. More over, the government officials told, ‘Agricultural investors who operate in irrigating land areas should change the current rainfied farming to irrigation farming systems to harvest more than one times per annum. And also the investors should produce high quality, export-oriented and highly demanded agricultural products to be competent in local and international markets. Unless the investors do in such a way, the government will take the land of the investors who have poor doing-investment performances and transfer the land to well-doing potential investors.’

Quotation: ’Our country will never host primitive farming systems, traditional ways of doing-businesses and incompetent, self-minded and/or self-centered investors who are anti-investment development. The government must look for and penalize those self-minded and/or self-centered investors who are anti-national or anti-regional state interest and also anti-investment development. On the other hand, the investors must change their minds and traditional ways of doing-businesses to technology and skilled manpower oriented systems. Further more, in order to do better off for themselves and for their country, they must utilize their doing-business optimal potentials in any circumstance’, expert argument.   

Finally, investment motivational rewards were presented for selected developmental investors who did better on their involving investment sectors. The selection criteria for those investors were according to their Zones doing-investment facilities and based on the Investment Motivational Rewards Document’s selection criteria which were prepared by The Regional Investment Expansion Main Business Process.

From Oct. 1, 2009 to 2, 2009, there was sector assembly in Trade and Industry Bureau mini hall, in Awassa city. During the meeting, Ato Tagesse Chaffo, state vice president and Trade and Industry Bureau Head, said,” Investors who took investment license, investment land , and made an agreement of investment operations, and also have got supports from our investment office but until now they don’t start investment project operations. We will take strict step-by-step legal measure on those investors who don’t start investment operations.”
Ato Tagesse addressed the seriousness of the issues for more than 500 higher government officials from 13 Zones, 8 especial woredas, one city governor, and 22 reform towns during the meeting. He said, ‘some of the so-called investors who took investment license, investment land and get supports but they haven’t started investment operations. They only made fences on their investment land for last 4 to 5 years’. He strictly pointed out on those investors that they are dependent investors and we will takeover their investment land and will transfer it for developmental investors.

Ato Yesuf said, ‘In 2002 E.C 1st Q. the office delivered investment licenses for 58 investors who registered about 10.6 Billions Birr investment capitals. When those projects are fully implemented their capacities and resources, they will create about 7,442 permanent and contract job opportunities. Adding the previous investment projects, now totally 5,339 investors who took investment licenses and registered capitals about 55.6 Billions Birr and will create about 1,132,132 job opportunities.’

‘Taking investment license and acquiring urban or rural land don’t mean that the success of our goals. For better off the life standard of the citizens, the regional government formulated investment laws and policies, and has provided strong supports to expand investments in region. However, under the umbrella of investment laws, they are the so-called dependent investors who joined to the investment arenas to get especial benefits. Currently, we are doing tirelessly to isolate those dependent investors from developmental investors. At the end of the previous budget year, investors who took investment licenses and land, and got supports but they didn’t show willing to start investment operations. We took fully investment license canceling on 204 projects which registered capitals of about 2.8 billions Birr. If the projects started business operations, they were created about 50,405 job opportunities. We will continue strict follow up and take strong legal measures on those investors who took investment licenses but until now they don’t started business operations and simply made fences on their investment land for many years. We will be takeovers their investment land and transfer it for committed and capable investors’, he said.
He added, ‘on the other side, we give investment development motivational rewards in every year with transparent selection criteria for investors who are utilized the regional government supports effectively, and showing a real investment growth and becoming a model for others. In 2000 E.C, we had given different motivational rewards for 420 model investors and also in 2001 E.C, gave it for the second time for 174 model investors. We will continue to reward and inspire model investors to do extraordinary investment activities. Furthermore, we will give strong supports, and make deep analysis on their projects problems to make them competent in local and international investment arenas’.
‘For sustainable investment development, and leading with well-integrated and coordinated manners, the sector crafted 10 years developmental programs. In 2000 E.C, about 529.181.233 hectors rural land, 756,898 hectors urban land, and 856.3 hectors urban industry zones were prepared guide maps and project profiles which made simple for investors who proposed investment projects. The sector delivered the projects for investors according to their projects proposal and its relative importance of the projects without any bureaucratic processes. This trend also continued in 2001 E.C, 55018.11 hectares rural land and 196.01 hectors urban land were prepared and delivered for investors. And also now it has continued the trends. We have more than 307,295,7 hectors prepared rural land for potential investors. Now we have physical plan to prepare huge investment land and will provide community dialogs for societal awareness of investment expansions in the region’, he said.

‘The government understood that land is limited resource. It changed the administrative system to avoid ‘dependent-investors’ takeovers the investment land. It will never be happen that investment land won’t be in hand of non-developmental investors’, he said.

‘We are pleased to invite and warm wel-come the domestic and foreign investors who have capabilities and willingness to invest in region’, he said.

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Ato Yesuf said, ‘The region has enormous investment opportunities on tourism and hotels investment sectors for investors who have capabilities and willingness to invest in region. At the end the 1st Q., there is 929 projects on tourism and hotels investments with registered capitals about 4.3 billions Birr and have created about 44,524 jobs.

‘The region has colorful, diversified and hospitable people who have unique cultures and/or way of life, and have more than 56 languages. Besides those beautiful and charming people, the region has many historical sites, and natural and cultural heritages. From time to time, there are increasingly inflows of tourists in the region. Therefore, to make the region more convenient, attractive and tourists’ destination, we need standard tourists’ service providers like hotels, motels, lodges, tourists’ camps, tourists’ travel agency, etc’, he said.

‘In addition to the previous service providers, now we have more than 379.73 hectares prepared urban investment land which has guide map and profiles. So the regional government is ready and invite the investors who are interested to invest those areas in the region’, said Ato Yesuf.

Source: This ‘South Investment News’ is a direct translation from Amharic version of “Zena Debub Investment”, ed., Sept. 2009.

For more information about south investment, you can visit our website www.southinvest.gov.et.

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The conducive investment climate in the Country has enabled investors contribute significantly to over all economic development in the south Nations, Nationalities and peoples Regional state ,state chief Shiferaw Shigute said.
Speaking at investment forum held in Hawssa from July 5-6/2009, Shiferaw said, the conducive atmosphere in the sector has created job opportunities for over 1million of people. He said the state government has been taking various measures to attract investment Shiferaw emphasized his Administration is committed to support the private sector and make them an engine of the economy.
State trade and industry Bureau Head Tagesse Chafo on his part said his bureau is working closely with investors to identify and also address problems facing investors. He announced that over 700 investors are taking part in the meeting indicating the participation of investors in the region. Over 5210 investors with aggregate capital of 43.2 billion birr are engaged in various investment sectors in the region since 1993.
Ato Yesuf sani, the regional state investment promotion process owner, reported the 2009 Fiscal Year investment performance .He has indicated the strong and weak points which accelerate and retard the investment activities in SNNPR. Based on the report, the participants, especially investors who are engaged in different sectors in the region have taken a free discussion raising the problems they faced in their project areas. Giving Emphasis on the issues raised from different angles the state chief Shiferaw Shigute gave solutions for the problems mentioned during the meeting.
On the occasion of investment forum held from July 5-6/2009, 50 out standing investors have participated as exhibiter promoting their projects or services by using different methods like charts, pictures, photographs, posters and displaying their products which need market linkage. They also showed their creativity and use of new technology to the visitors

The annual forum being organized with exhibition show by the state government has created spirit of peaceful competition among investors and enabled them share good experiences said the exhibitors. They also said that by visiting other exhibitors they gained
best experiences, find the current state of their projects, development trends, get great achievements and recognition by advertising their projects.
The exhibitions displayed by different sectors were visited on the opening day of the forum by the state chief Shiferaw Shigute and higher officials.
At the end of the forum the top outstanding investors in different sectors have received the best awards from the state chief. Among the awardees 174 have received certificate and medals. Out of the total awardees the best selected investors from Agriculture sector, industry, social service, Tourism and hotels, Health and Real-estate projects have got the best award CUP from the state chief.
Among the awardees, some of the project owners indicated that the award would motivate the investors to scale up investment activities.

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The southern Nations, Nationalities and Peoples Regional state Trade and industry Bureau investment promotion process owner Yesuf Sani told that 657 projects with combined capital of 4,396,219,236 birr have got license in the ending Fiscal year. He said that when these projects engage with full capacity into action, they are expected to create job opportunities for 117,759 citizens.
Due to Business process Re-engineering, applied in our sector, all structures have been decentralized to zonal level and this enabled investors /customers/ to get one stop-shop-service at their area without any expense said Ato Yesuf Sani. He added that based on this fertile condition the above mentioned project received licenses indifferent economic sector.
So far in our region 5,210 projects with their registered capital of 43.2 Billon birr have got license. When these projects entere into operation at full capacity 1,030,000 job opportunities will be created said Ato Yesuf.
To check the current status of the projects which are engaged in different economic sectors in our region, monitoring and supporting activities have been carried out by Higher Regional officials and experts. During the visit projects which are in good position were encouraged to scale up their activities where as projects which were in lower performance received support by identifying the problems they countered. Totally, 1162 projects were monitored and supported and the same action will be taken continuously in the coming budget year as stressed by the investment promotion process owner.
To improve land Administration system, 20 experts from the institution have obtained training,. Due to this 72,062.09 hectares of land is allocated. Ato Yesuf added 55,081.11 hectares of rural investment land, 19,601 hectars of town investment land is identified. Besides these, 60.50 Kms of road network is constructed which lead to the projects in the ending Fiscal Year.

Out of the total projects 173 projects with their combined capital of 1,912,783,616 birr and which can create 43,157 job opportunities for citizen, were cancelled because of their poor performance, forwarded Ato Yesuf
To promote the Regional investment potentials and opportunities electronic Medias
and other techniques have played a great role to arouse the interest of potential investors and attract them to the region .Due to this many investors have come to our region and are engaged in different economic sector.Currently 211 Foreign, 144 joint venture and the rest domestic investors are engaged in our region said the investment promotion process owner
Finally Ato Yesuf invited potential investor who can be engaged in building star designated Hotels, Hospitals, Higher educational institutions, industries and a wide Range of agricultural activities.

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