Ethiopia has unveiled an ambitious strategy to increase local participation in international construction and infrastructure projects to 80% over the next decade, as the government seeks to reduce dependence on foreign contractors and strengthen the competitiveness of domestic firms, as reported by Business Insider Africa. The initiative is being led by the Ministry of Urban and Infrastructure as part of a broader effort to build local capacity and retain more economic value within the country.
According to ministry officials, only about 33% of Ethiopia’s licensed contractors and consultants currently possess the technical and operational capabilities required to compete in international tenders. The government aims to raise that figure to 55% in the medium term before reaching its long-term target of 80% local participation in global construction bids. have often been awarded to foreign contractors due to financing, technology, and capacity advantages. reducing import dependence, and creating stronger domestic enterprises capable of competing across Africa.
Analysts say the initiative could mark a significant shift for Ethiopia’s construction sector if successfully implemented, helping local companies secure a larger share of infrastructure spending while supporting job creation, skills development, and industrial growth in one of Africa’s fastest-growing economies.
