Ethiopia signs minerals, energy deals worth $1.7bn, chiefly with Chinese firms

Ethiopia has signed investment deals for its minerals and energy sectors worth more than $1.7bn (R30.97bn), mostly with Chinese firms, its finance ministry says.

The East African nation, which struck a four-year, $3.4bn (R61.94bn) programme deal with the International Monetary Fund (IMF) last July, is in the midst of a far-reaching reform drive, including the flotation of its birr currency and a push to complete an $8.4bn (R153.04bn) debt restructuring with its official creditors.

The finance ministry said in a statement late on Tuesday that companies attending a two-day investment conference in Addis Ababa had signed agreements to bring more than $1.7bn into the country.

The ministry said the deals signed include:

• a planned $500m (R9.11bn) investment by Hua Ye Mining Processing Company in minerals exploration and processing, and the development of a special economic zone focused on minerals;
• $600m (R10.93bn) from Sequoia Mining & Processing Plc to develop coal mining projects;
• $360m (R6.56bn) from Hainan Drinda New Energy Technology to build a solar cell manufacturing plant; and
• $250m (R4.55bn) from CSI Solar, also for solar energy development.

The ministry did not give a timeframe for when the money was expected to come to Ethiopia.

Reuters