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Private Sector Development

Private Sector Development

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ecbp is supporting the development of the private sector in Ethiopia in order to capitalize on its strong potential. In order to advance the selected sub-sectors of the economy, market links are being made for Ethiopian exports, while Business Development Services are being strengthened so that the growing private sector can get the services it needs.

Within the sub-sectors a variety of value chains exist, taking products from raw materials to markets as finished products. ecbp works with regional governments to identify the most important value chains and then finds the bottlenecks and missing links and identifies ways to fix these while increasing the value added by businesses. This is done through matchmaking activities and supporting individual businesses and associations.

Support to businesses emphasizes company reengineering and strengthening business and financial development services in the selected priority sub-sectors, and also with a focus on integrating smaller enterprises into value chains and sub-sectors. ecbp provides and facilitates solutions to individual businesses, business support institutions and business development consultants. The program also addresses chambers and sector associations to create a more fruitful public-private cooperation and transparent business practices.

Impacts

The major impacts of Private Sector Development are:

  • Increase in exports in the selected sub-sectors in 2008: i.e. 21.7% in finished leather and leather products
  • Ethiopian pharmaceuticals are becoming safer as companies undertake the process to become certified in Good Manufacturing Practices; in addition sales of these companies have increased 50% over the last two years.
  • The German leather institute ISC/PFI has started to manage the Ethiopian Leather Institute LLPTI to bring it to international standard within three years.
  • Ethiopian Garment factories are now in the position to produce fabrics for international markets.
  • Organic producers of coffee, honey and sesame have begun to export, selling products for US $300,000 to Germany.

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