Cabinet Adopts Special Economic Zone Policy, Passes Digital ID Bill

ADDIS ABABA – The Council of Ministers has adopted a new policy to support ongoing efforts to establish economic zones across several trade corridors in Ethiopia.

The draft document referred to as National Special Economic Zone Policy was adopted during the cabinet meeting chaired by Prime Minister Abiy Ahmed on Saturday morning.



The policy aims for the establishment of effective and development-oriented special economic zones and dry ports, according to the PM office’s statement.

The Council agreed that economic zones will have a significant role in improving the national trade system and export by attracting foreign direct investment. This ensures Ethiopia’s active participation in regional and international free trade systems, the ministers agreed.

After adding some of their inputs, members of the council approved the adoption of the policy and its immediate implementation.

The adoption comes after logistics officials said preparation to launch Ethiopia’s first free trade zone in Dire Dawa has been finalized.



Minister of Transport and Logistics, Dagmawit Moges said the policy will pave the way for the establishment of more free trade, export processing, science and technology zones as well as logistics parks.

“The policy will facilitate Ethiopia’s international trade competitiveness by providing logistics efficiency and attracting FDI as well as technology transfer,” she said while expressing her gratitude to institutions who were involved in its development today.

National ID Bill approved

In the same session, the council also deliberated on a draft Ethiopian Digital Identity Proclamation. The bill aims to establish a reliable digital identification system for citizens and other residents who are living in the country legally.



It also allows the country to have a uniform, reliable and modern technology-based identity system that can be used nationwide.

The planned digital ID, apart from streamlining and simplifying the provision of social and economic services, would enhance the credibility of services and ensure transparency and accountability, the PM office said.

The Council of Ministers approved and sent the bill to the House of People’s Representatives (HPR) for further discussion and ratification

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