Ethiopia emphasises coordination of innovation and industrial policy to strengthen manufacturing sector

Date: 2026-05-05
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By:  Kanto Kai Okanta

A high-level panel discussion held in Addis Ababa has underscored the importance of aligning innovation and industrial policies to enhance the competitiveness of Ethiopia’s manufacturing sector.

The discussion took place during the “Ethiopian Miracle Expo 2018,” organised by the Ministry of Industry Ethiopia, and focused on supporting the country’s structural economic transition through targeted policy measures aimed at boosting domestic production and strengthening export performance.

Officials highlighted the need for improved coordination mechanisms between innovation and industrial systems, with emphasis on digitalisation as a key driver of efficiency, competitiveness, and investment confidence in the manufacturing sector.

Minister of Innovation and Technology Bete Mola said that integrating and digitalising coordination systems is essential for positioning the country’s manufacturing industry within global value chains. He noted that aligning innovation and industrial strategies would improve the use of technology while fostering a more predictable investment environment.

He further stated that digital transformation can reduce production costs through modernised systems while also strengthening industrial resilience against global disruptions. He stressed the importance of developing human capital to support the growth of a sustainable digital economy.

Minister of Industry Melaku Alebel said the “Ethiopian Miracle” initiative aims to create a coordinated framework for public and private sector collaboration in industrial transformation. He noted that challenges such as limited financing and weak institutional coordination have affected private sector investment, and that reforms are underway to address these constraints through integrated digital monitoring and improved governance systems.

Participants also emphasised that targeted technology transfer and strengthened coordination between stakeholders will enable manufacturers to produce higher-quality goods and expand access to competitive international markets.

The discussions reflected broader national efforts to accelerate industrial development through innovation-led policies and enhanced digital integration across key economic sectors.

 

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