The Ministry of Finance (“MoF”), with its set vision of having a systematized excise assurance mechanism in the way of digital and physical stamps, has issued a directive on excise stamp management named the “Excise Stamp Management Directive No 1004/2024”. The intent as set in the Directive’s introduction is aimed at prevention of illicit trade,...Read More

In a seamlessly apparent manner, Ethiopia enhanced its pursuit of setting up measures to safeguard its forestry throughout its utilization by enacting an enforcement law in the form of a Council of Ministers (“CoM”) Regulation on Forest Development, Protection, and Utilization. This legislation is a follow-through to the parliamentary enactment made in 2018, the Forest...Read More

A new directive has been issued by the Ministry of Finance, giving a new direction on the treatment of items exempt from Value Added Tax (“VAT”). With the intent to relieve certain economic stress observed in society, the Ministry of Finance (“MoF”) has revisited the exemptions of items from VAT. The Directive issued by the...Read More

The Addis Ababa City Administration has issued a directive (Directive No. 7/2024) governing the administration and supervision of the rental of residential houses in the city. The Directive is issued pursuant to Article 29(2) of The Residential Housing (Property) Rent Control and Administration Proclamation No. 1320/2024, having the primary aim of standardizing rent agreements by...Read More

Major changes are coming to the Ethiopian banking sector as the Council of Ministers approved a draft banking proclamation in its 35th ordinary meeting on June 14, 2024. This draft legislation, prompted by advancements in technology and the national economic landscape, paves the way for significant foreign participation in Ethiopian banking. As such, deliberations were...Read More

Download the PDF version of the full Legal Update here:Download Throughout the years, the development and implementation of aspects of industrial parks have been one of the identifying traits of the Ethiopian investment schemes to boost trade and attract foreign investment. Key policy considerations were taken throughout the development and implementation of industrial parks, some...Read More

The Ethiopian Authority for Civil Society Organizations (ACSO) has issued Directive No. 1002/2024, which will become effective upon its digital publication on the Ministry of Justice’s website. The Directive aims to monitor and control the performance of all CSOs in Ethiopia registered based on the purpose of their establishment and to investigate whether their work...Read More

The Ethiopian Investment Board has issued a new Directive outlining the conditions under which foreign investors can engage in specific trade activities previously reserved for domestic businesses. This directive aims to attract foreign investment while ensuring a level playing field for Ethiopian enterprises. The Directive is titled “Ethiopian Investment Board Directive to Regulate Foreign Investors’...Read More

The Ethiopian Parliament has taken a significant step towards safeguarding individual privacy with the passage of the Personal Data Protection Proclamation (Proclamation No. 1321/2024). This comprehensive legislation establishes a robust legal framework for data protection in Ethiopia. Salient Features of the Proclamation: Individual Rights: The Proclamation empowers Ethiopians with greater control over their personal data. It...Read More

The Addis Ababa City Administration has introduced a revised fixed-price rate to calculate transaction taxes for house sales. The revised rate will be applied to calculate stamp duty (2%), Capital gain tax, and Ashura (4%) fees. This revision notably reduces the previous predetermined fixed price for condominiums and apartments, averaging a decrease of approximately 34%....Read More