Ethiopia: Building Resilient Trade Competitiveness by Fast Tracking the Digital Technology Sector (NTF V)

    Overview

    Summary

    ITC and CBI have been cooperating for decades. This cooperation led to a series of sector development programmes under the Netherlands Trust Fund (NTF) since 2005. The current project is part of the NTF V programme funded by the Ministry of Foreign Affairs of The Netherlands and implemented in close coordination with the Dutch Centre for the Promotion of Imports from developing countries (CBI).

    The NTF V programme was approved in July 2021 and will run until June 2025. Its ambition is to contribute to building back better in the partner countries with a focus on creating a link between MSMEs in the digital technologies and agribusiness sectors. To this end, agritech start-ups will be supported to improve their understanding of agribusinesses’ needs, to gain more agribusinesses partners, and, in some instances, to help digitalize agribusinesses. Digitalizing agribusinesses will be done by the agribusiness team, working whenever possible with agritech businesses that are part of NTF V Ethiopia Tech project, in the coffee and associated crops sector, which will be the main focus area for both teams.

    In the digital technology sector, activities will foster business-friendly tech ecosystems, strengthen business support organizations such as tech hubs and equip tech start-ups and SMEs with resilient business models, linking them to business, partnership and investment opportunities while contributing to the digitalization of traditional SMEs in other sectors.

    Ethiopia is part of the targeted countries for NTF V, under both the digital technologies and the agribusiness sectors. NTF V Ethiopia Tech will build on the work initiated under NTF IV’s spin-off #FastTrackTech Africa in Addis Ababa. The project aims at contributing to the creation of sustainable jobs in the digital technologies sector and the modernisation of agribusiness through digital technologies. 

    Recipients

    Partners

    Sustainable Development Goals

    This project contributes to the following Sustainable Development Goals, as defined by the 2030 Agenda for Sustainable Development.

    Social media

    ITC partners with the Netherlands to support African business

    With more than 114 million people in 2020, Ethiopia is Africa’s second-most populous country.

    • With a large domestic market, Ethiopia’s economic growth averaged 9.4% a year from 2010 to 2020.
    • The number of mobile users grew from 17.2 million in 2011 to 46.15 million in 2020.
    • IT-based service providers, mainly MSMEs, offer export potential
    • Some 70% of university students graduate in science, engineering or technology, according to the Ministry of Innovation and Technologies.

    About 20% of Ethiopians had internet access in January 2021. But internet speeds are still slow. In May 2020, Ookla’s SppedTest ranked Ethiopia 105th in the world for mobile data speeds and 152nd in fixed-line broadband. ICT services are still expensive, due to the country's lack of a liberal business environment, especially in telecoms. Ethiopia is working on two reforms that could improve the situation, with a proposed liberalisation of telecoms and a break-up of Ethio telecom into infrastructure and service businesses.

    The Digital Ethiopia 2025 strategy has marshalled government support for the IT and business process outsourcing sectors. The Ministry of Innovation and Technology designed the strategy to focus on four industries that can create the most jobs: agriculture, manufacturing, ICT and services, and tourism. The strategy has a particular focus on agritech.

    Objectives: 

    The NTF V Project in Ethiopia aims at strengthening tech start-ups, with a focus on agritech and MSMEs. The project works to create a supportive environment for IT and related businesses, through engagement with policymakers and regulators; trade, investment support institutions; private business support providers; and international business partners. The ambition is to contribute to rebuilding back better with a focus on MSMEs in digital technologies. Our trade-related technical support is three-fold:

    • At the policy level: We assist in developing or improving public policies and sectoral regulations, with private-sector representatives.
    • At the institutional level: We work with digital business associations and tech hubs to increase their sustainability and impact.
    • At the start-up and MSME level: We develop market access and build international competitiveness.
       

     

    Projects

    Funded by the Ministry of Foreign Affairs of the Netherlands, the project supports micro, small and medium enterprises (MSMEs) in the agribusiness sector, focusing on cocoa and associated crops.

    Funded by the Ministry of Foreign Affairs of the Netherlands, the project supports micro, small and medium enterprises (MSMEs) in the agribusiness sector, focusing on coffee and associated crops.

    Funded by the Ministry of Foreign Affairs of the Netherlands, the project supports micro, small and medium enterprises (MSMEs) in the digital technologies sector.

    Funded by the Ministry of Foreign Affairs of the Netherlands, the project supports micro, small and medium enterprises (MSMEs) in the agribusiness sector, focusing on cashew and associated crops.

    Funded by the Ministry of Foreign Affairs of the Netherlands, the project supports micro, small and medium enterprises (MSMEs) in the digital technologies sector.

    Funded by the Ministry of Foreign Affairs of the Netherlands, this multi-country project supports micro, small and medium enterprises (MSMEs) in the digital technologies sector.

    Newsletter

    Subscribe here to receive the quarterly NTF V Newsletter and read about our activities and events in the tech and agribusiness sectors in Africa.

    In the media

    News Ghana
    17 May 2022
    TechCabal
    15 Apr 2022
    OD
    30 Apr 2022
    African Business
    11 Apr 2022
    NNN
    11 Apr 2022

    Resources

    ITC contact

    Martin
    Labbe
    Email
    labbe [at] intracen.org