procedures & requirements
Minimum Capital Requirements for Foreign Investors
Any foreign investor is required to allocate a minimum capital of USD 200,000.00 (two hundred thousand) for a single investment project. The minimum capital required of a foreign investor jointly investing with a domestic investor shall be USD 150,000.00 (one hundred fifty thousand).
The minimum capital requirement shall not apply to
- Foreign investor re-investing his profits or dividends generated from the existing enterprise in any investment area open for foreign investors;
- Persons elected as members of board of directors following the change of a private limited company to share company; A foreign investor buying the entirety of an existing enterprise owned by a foreign investor or the shares therein.
- Any foreign investor bringing investment capital into the country shall have such capital registered by the appropriate investment organ within one year and obtain a certificate of registration. The appropriate investment organ shall send a copy of the certificate to the National Bank of Ethiopia.
Requirement and Issuance of Investment Permit
These investors shall be required to obtain investment permits:
- Foreign investors
- Domestic and foreign investors investing jointly,
- Investors investing as domestic investors
- Domestic investors who, investing in areas eligible for incentives, seek to be beneficiaries of such incentives; and
- An investor seeking to expend or upgrade an existing investment, provided that the investment is eligible for incentives and the investor seeks to be beneficiary of such incentives.
External Loan and Foreign Currency Account
Any investor may acquire external loan for his investment as per the applicable Directive of the National Bank of Ethiopia. Any investor may operate a foreign currency account in Banks in Ethiopia for the purpose of its investment as per the applicable Directive of the National Bank of Ethiopia.