Ethiopia and the American Development Finance Corporation (DFC) have agreed to explore strategic investment cooperation, marking a significant step in enhancing economic ties. This decision was reached during a meeting held on April 27, 2025, in Washington, D.C., where Ethiopian Minister of Finance Ahmed Shide met with Dife Dzhagdisan, the Regional Vice President of the DFC.
The discussions focused on Ethiopia's ongoing reform efforts aimed at boosting private sector investments. Minister Shide emphasized the potential for collaboration in various sectors, particularly highlighting the recent opening of the retail and finance sectors to international investors. This move is seen as a pivotal change in Ethiopia's approach to attracting foreign capital.
Dzhagdisan outlined the DFC's current investment priorities, which include information technology and communications, mining, infrastructure, and agriculture. He expressed a keen interest in exploring investment opportunities in these areas within Ethiopia. The meeting underscored the DFC's commitment to supporting Ethiopia's development goals through strategic investments.
Minister Shide invited the DFC team to undertake an official visit to Ethiopia to further explore investment projects that could be funded by the corporation. Among these projects is the planned development of a new international airport, which is expected to enhance Ethiopia's connectivity and economic growth.
Both parties agreed to expand discussions on investment opportunities during the proposed official visit in the coming months. This collaboration could pave the way for increased American investment in Ethiopia, which is crucial for the country's development.
In a related development, a delegation from the Libyan government, led by Minister of Oil and Gas Khalifa Abdalsadq, engaged with several American companies in Washington to strengthen economic partnerships between Libya and the United States. This meeting included discussions with Richard Norland, the U.S. Special Envoy to Libya, as well as officials from the U.S. Departments of Energy and Commerce.
The Libyan delegation was briefed on promising investment opportunities in the energy, infrastructure, health, and digital transformation sectors. This initiative aims to revitalize Libya's economy in the wake of ongoing challenges and to attract foreign investments vital for its recovery.
During the meetings, the focus was also placed on resuming oil exploration activities, which are critical for Libya's economy. The two sides reached an agreement to expedite the activation of the Trade and Investment Framework Agreement (TIFA) and the Libyan-American Council for Trade and Investment. This framework is intended to facilitate trade and investment between the two nations.
Additionally, there is a commitment to arrange a visit for American businessmen to Tripoli, which could further enhance bilateral trade relations and investment opportunities.
The discussions between Ethiopia and the DFC, as well as Libya's engagement with American companies, reflect a broader trend of African nations seeking to strengthen ties with U.S. investors. These partnerships are seen as vital for fostering economic growth and development across the continent.
As Ethiopia continues to implement reforms and open its markets, the interest from the DFC signifies confidence in the country's potential. The upcoming official visit could lead to concrete investment commitments that may transform Ethiopia's economic landscape.
Meanwhile, Libya's efforts to engage with U.S. businesses highlight the importance of diversifying its economy beyond oil and gas. The focus on sectors like infrastructure and health represents a strategic shift aimed at building a more resilient economic framework.
Both Ethiopia and Libya are at pivotal moments in their economic journeys, and the engagement with U.S. investors could be instrumental in shaping their futures. As these discussions evolve, the outcomes could have lasting impacts on the economic development of both nations.
