Ethiopia Sees Surge in FDI Amid Strengthened Ties with Finland: Finnish Diplomat Highlights Opportunities.

Addis Ababa: With a young and entrepreneurial population, coupled with a growing economy, Ethiopia offers numerous opportunities for foreign direct investment (FDI), Head of Cooperation at the Finnish Embassy in Addis Ababa, Tomi Sarkioja underscored. Prime Minister Abiy Ahmed has commended the achievements of the macroeconomic reform particularly, in export trade and foreign direct investment (FDI) inflow during the past three months during his address to the House of Peoples Representatives on Thursday.According to Ethiopian News Agency, the country has received 3.4 billion USD in foreign investment during the past three months alone, which is a substantial increase compared to the same period last year. This surge in investment can be attributed to the government's macroeconomic reforms, which have created a favorable environment for businesses.Tomi Sarkioja told the Ethiopian News Agency that Ethiopia's vast potential has been attracting investors, especially in the digital sector where Finland excels . He noted that Finland wants to explore, connect people, and bring investors to Ethiopia to see the opportunities. "One of our main sectors is the digital sector. Finland is one of the most advanced digital economies in Europe. So for the FDI and private sector cooperation, we can really see future investment and business collaboration as there are opportunities and interest from Ethiopia's side," Sarkioja stated.The partnership between Finland and Ethiopia has flourished over the years, resulting in significant advancements across various sectors, including financial and technical cooperation aimed at improving rural water, sanitation, and land management. One of the most notable achievements is the Responsible and Innovative Land Administration (REILA) project, which has revolutionized the land administration system in Ethiopia. The project has enabled the nation to register over 30 million land parcels, which in turn, has provided critical land use certificates that empower farmers to invest confidently in their futures, ultimately strengthening Ethiopia's agricultural sector.As the two countries look ahead, bilateral discussions are ongoing to explore new avenues for collaboration, particularly in the digital registration of communal lands and forests, which are crucial for livelihoods and climate resilience, Sarkioja emphasized. He highlighted that the upcoming RILA III project is set to serve as an innovation platform, facilitating the exploration of new technologies and models to further benefit Ethiopian communities.Sarkioja stressed that the ongoing cooperation between Finland and Ethiopia reflects a shared commitment to mutual growth and development, with both countries well-positioned to tackle challenges and seize opportunities that will shape a prosperous future. Together, the collaborative efforts of Ethiopia and Finland would further drive sustainable development, enhance livelihoods, foster innovation, and pave the way for a brighter future for both nations, he underscored.