EU and Germany Launch Tax and Customs Reform Project to Support Private Sector Growth in Ethiopia

#EBR_News Apr 24, 2026

The European Union and Germany have officially launched a new initiative to modernise tax administration and customs management in Ethiopia, aiming to create a more transparent and predictable business environment for domestic and international investors, according to a press release issued during the EU–Ethiopia Business Forum on April 21.

The project, titled "Modernise and Harmonise Tax Administration and Customs Management for Private Sector Growth in Ethiopia," is implemented by GIZ and forms part of the second phase of German Development Cooperation's Private Sector Development Project in Ethiopia. It will run until the end of 2029.

The initiative is designed to strengthen tax and customs systems, making them more efficient and aligned with international standards, thereby contributing to Ethiopia's goal of joining the World Trade Organization in due course. By supporting public institutions, the project aims to improve the overall business environment, enabling Ethiopian and international firms to invest, grow, and integrate into regional and global value chains.

Ferdinand von Weyhe, Deputy Ambassador of Germany to Ethiopia, stated that Ethiopia's reform agenda offers significant opportunities for private sector-led growth. "By improving the transparency and efficiency of tax and customs systems, this initiative will help create the conditions for domestic and foreign investment and job creation," he said.

Sofie From-Emmesberger, EU Ambassador to Ethiopia, described the project as an important step in supporting Ethiopia's efforts to modernise its tax and customs systems. "By improving efficiency and addressing key bottlenecks, it will help create a more predictable and business-friendly environment for private sector growth," she said.

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