International Monetary Fund (IMF) Chief Christine Lagarde on Thursday called for more private sector involvement in Ethiopia’s booming state-dominated economy.
Lagarde was speaking during a visit to Ethiopia’s first industrial park, the Eastern Industry Zone (EIZ), southeast of Addis Ababa.
The EIZ, wholly owned by Jiangsu Yongyuan Investment Company Limited, lies on 5 square kilometers of land housing firms involved in automobile assembly, steel rolling, cement production, footwear production and textile and garment sector.
“If you want to create jobs, if you want to provide training, clearly you need the private sector to invest as Unilever and Chinese Huajian firm making shoes for the world,” said Lagarde.
She said the IMF sees the private sector in Ethiopia as complementary to the state and not its competitor.
“Ethiopian authorities are trying to provide infrastructure and the road we took from Addis to here is clearly good and comfortable road, all of that has to come together, but it can’t be just about public sector, it can’t just be about private sector and it takes a combination of both for growth to be sustainable and inclusive,” said Lagarde. Enditem