Investors Flag Visa Constraints As Key Barrier At Ethiopia Business Forum | The Reporter Ethiopia

Over USD13bln investment deals inked in two days

Concerns over restrictive visa policies for foreign professionals and investors took center stage at the fourth Invest in Ethiopia High-Level Business Forum, with industry leaders calling for urgent reforms to sustain the country’s growing investment momentum.

Held at the Ethiopian Skylight Hotel under the theme “Ethiopia Ready for Business,” the two-day forum brought together more than 800 participants, including global investors, policymakers, and development partners.

The event was co-organized by the Ethiopian Investment Commission in collaboration with the Ministry of Finance and development partners, as part of the government’s efforts to revive investment.

Initially, officials targeted USD 2.4 billion in new investment commitments, marking a notable increase from the previous edition, which secured more than USD 1.6 billion in deals, according to them. However, the Ethiopian Investment Commission (EIC) announced signing of major investment deals worth a total of more than USD13 billion across key sectors, when the Forum concluded on Friday March 27, 2026. “These deals are seen as strong vote of confidence in Ethiopia’s economy,” remarked EIC.

A high-level panel discussion on the opening day, moderated by Tilahun Esmael (PhD), CEO of the Ethiopian Securities Exchange, brought visa-related challenges into sharp focus.

Wei Qiangyu, general manager of the CCCC Ethiopia Branch, described current visa arrangements as inadequate for the needs of long-term investment projects being run by the Chinese construction giant.

He noted that the existing three-month visa, extendable for another three months, does not align with the operational timelines of major investments.

“I recommend introducing more flexible visa options—such as three, six, or even eight to ten months—to match the pace of Ethiopia’s rapid economic growth,” Wei said, adding that companies must also continue localizing their workforce.

He noted that his firm has already achieved 92 percent localization among its 9,600 employees.

Wei also mentioned other issues, such as forex availability problems and policy changes not being communicated to investors, in addition to the difficulties of obtaining a work visa and operating in Ethiopia as a foreigner.

On the other hand, Wei applauded the country’s efforts in creating an attractive investment environment, mentioning the 30 percent annual growth of the construction market, low-cost labor, the presence of Africa’s largest airline, and city beautification projects.

The concern regarding visas for foreigners was echoed by Jemal Ahmed, CEO of MIDROC Investment Group, who called for broader reforms to ease entry into the country for investors, skilled workers, and tourists alike.

“Access to Ethiopia should be simple and free—for investors, conference participants, and tourists,” he said, warning that visa bottlenecks could undermine key sectors such as tourism, which he described as one of the pillars of the country’s economic reform agenda.

Jemal noted that while Ethiopia has made progress in improving its investment climate, operational challenges such as visa restrictions continue to affect investor confidence. He also stressed the need for clearer incentives and regulatory frameworks to attract capital into sectors like hospitality, where investment levels remain relatively low.

Ethiopia’s investment visa landscape is currently defined by a shift toward performance-based oversight and high-cost residency options.

While a new 10-year “Golden Visa” offers long-term stability and property rights for USD 10,000, the standard entry route still faces significant bureaucratic hurdles. Under a new regulation, visa renewals are no longer automatic; they are now strictly tied to meeting specific project milestones, such as job creation and export targets.

For employment, the process follows a strict “employment-first” model: foreign nationals must first have a confirmed job offer and an employer-sponsored work permit from the Ministry of Labor and Skills before applying for a Foreign Business Firm Employment Visa. Once in the country, workers must also secure a residence permit to legalize their long-term stay.

Government officials acknowledged broader challenges in improving service delivery and institutional coordination.

Fitsum Assefa (PhD), minister of Planning and Development, highlighted ongoing reforms aimed at streamlining investment services, enhancing inter-agency collaboration, and reducing bureaucratic inefficiencies. She pointed to high-level investment platforms and public-private dialogue forums as key mechanisms for addressing investor concerns and accelerating decision-making.

While visa policy was not directly addressed in her remarks, Fitsum emphasized that improving the overall ease of doing business, including faster and more predictable services, remains a central priority of the government’s reform agenda.

Beyond visa issues, participants raised concerns over logistics and trade facilitation, noting that customs clearance can take between four and eight weeks, significantly affecting economic efficiency. Calls were made for stronger coordination among institutions such as the Ethiopian Customs Commission and better integration of logistics systems.

Despite the challenges, investors expressed optimism about Ethiopia’s economic trajectory, citing expanding opportunities in manufacturing, agriculture, mining, and tourism as reforms continue to open previously restricted sectors.

The forum also featured breakout sessions on advancing manufacturing and trade, unlocking mining and energy potential, and strengthening the role of financial institutions and capital markets, bringing together senior government officials, investors, and development partners for sector-focused discussions.