A joint workshop organized in collaboration with the Ministry of Revenues was held on January 29, 2021 at the BestWesten Plus Hotel in Addis Ababa. The workshop focused on Auditing, tax compliance and related issues. It attracted more than 40 finance managers, drawn from member European companies. 

This workshop falls within the memorandum of understanding signed between EUBFE and the ministry to bolster relationship between member companies and the ministry. A small survey was conducted at the end of 2020, that brought some problematic areas in the tax administration that gave rise to the design and the delivery of this workshop.

Hence, the major objectives of the workshop were

• enable participants grasp the basics of risk-based audit
• to equip participants on basic assumptions taken into consideration on frequency of audit
• exchange experiences on audit work between European companies and auditors of MoR and identify areas that require better collaboration

The Ministry of Revenues was represented by five directors;

1. Ato Kebede Lidetu- Director, Risk and Compliance
2. Ato Birhanu Kebede-Director, Tax Audit Management
3. Ato Sisay Gezu-Director Tax Fraud Investigation
4. Wro. Abaynesh Abate- Directress, Tax Debt Management
5. Ato Dereje Meonnen- Director Filing and Return Processing

All the directors made a brief presentation on the major tasks of their respective directorates and the challenges encountered in expediting their responsibilities. 

The discussion that ensued addressed concerns raised by participants in the areas of VAT fund delay, frequency of audit, withholding tax, capacity of auditors and related tax administration concerns.

Follow this link to download the full content of the workshop: https://eubfe.eu/images/Minutes-_Workshop_on_Audit_and_Tax_Compliance_29.01.21.pdf 

The EU Business Forum took part in an investor engagement summit organized by the Ethiopian Investment Commission on December 11, 2020. The summit aimed at presenting the major legal reforms undertaken during the year to improve the business climate while also conferring with investors on current challenges. The summit was opened by key note addresses from HE Lelise Neme Commissioner of Investment Commission and Mr. Erik Habers, Head of Cooperation at the EU Delegation in Ethiopia. The board chairman of EUBFE, Mr. Ben Depraetere, then addressed the audience on key accomplishments and engagement of EUBFE as well as areas of collaboration that need further strengthening.

The EIC presented key reforms in the investment climate, including the new investment law and regulation. This law created negative listing of investment areas, that clearly delineate areas of investment reserved for local and joint investment, allowing FDI to participate otherwise. Moreover, the law establishes an investment board, that for the first time allows the private sector two seats.

You may click on the following link below to find out detailed changes enacted via the new investment law.

Following presentation on major legal and economic reforms as well as on investor aftercare service a panel discussion ensued. Existing challenges European Companies face, including access to forex, tax and customs were discussed. The EIC pledged to continue to support European investors and to such effect has assigned a contact person that would look after European FDI. Moreover, it was indicated that more sustained investor-enagement will be pursued in the years to come. 

The new commissioner of the Ethiopian Investment Commission (EIC) held consultative meeting with the board of the EUBFE and the EU Delegation
Hosted by HE Ambassador Johan Borgstam, head of the EU delegation to Ethiopia, the meeting was the first since HE Ms. Lelise Neme took helms at the commission
Following round of introductions and congratulatory messages on the appointment of HE Lelise from HE Ambassador Borgstam and Mr. Depraetere-Chair of EUBFE, representatives of the EU delegation and the EUBFE made power point presentations on the previous and current engagements of their respective institutions with the EIC.

On the discussion that ensued, EUBFE members indicated that despite the robust relationship established with the EIC and the tangible results registered, in particular via the public-private-dialogue (PPD) platform, a number of concerns of European FDI community remain unresolved. In addition to a more recent concern that is investment security, work permit renewal, logistical bottlenecks, foreign exchange shortage and uneven application of regulations and laws were pointed out. In response, HE Lelise pointed out that multi-regional forum, led by regional presidents and investment commissioners, has been established to oversee any concerns that might arise by investors and EIC will be happy to invite EUBFE to attend an upcoming meeting. Moreover, Commissioner Lelise promised to dedicate personnel and time to look into the challenges raised by EUBFE. In conclusion, EUBFE invited HE to an introductory meeting with members of EUBFE.