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Ethiopians4cm
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Joined: 10 May 2019, 05:00

Ride to Deficit: Stifling Innovation and Discouraging Entrepreneurship is Economic Malpractice for Ethiopia

Post by Ethiopians4cm » 17 Sep 2019, 13:05

In yet another move that is at once baffling and negligent that is endemic of governance in Ethiopia, the Addis Abeba City Administration Transport Bureau issued a directive banning the use of commercial cars for ride-sharing services. Over the past two years, home grown companies like ETTA, Zayride and RIDE identified a need and built a business model that emulates Uber and Lyft. In a move meant to eradicate this emerging industry, the new edict undermines competition and restricts public transportation options.

Under normal circumstances, entrepreneurs who leverage technology and provide solutions for consumers are celebrated; not so in Ethiopia where almost non-existent business loans, graft that protects insiders and policies that benefit foreign investors while indenturing Ethiopians makes it nearly impossible for Ethiopians to succeed on their own terms.

If Ethiopia is to rise out of “multidimensional poverty” and compete in the global economy, it will only be possible if we build our own industries, empower Ethiopians locally and become exporters of finished goods. As it stands, Ethiopia exports $2.5 billion worth of products annually (mostly raw commodities) and imports over $13 billion from...continued..

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Ethoash
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Joined: 20 Apr 2013, 20:24

Re: Ride to Deficit: Stifling Innovation and Discouraging Entrepreneurship is Economic Malpractice for Ethiopia

Post by Ethoash » 17 Sep 2019, 13:30

ETH4CM,

i am expert in economy and every economy question come to me for answer and here is my answer ...

u r looking the answer all in wrong place...

look u said governance in Ethiopia, the Addis Abeba City Administration Transport Bureau issued a directive banning the use of commercial cars for ride-sharing services. all your answer is in this statement

the power of AA CITY ATB ( Administration Transport Bureau ) UNLIMITED no body check his power ...as long as we give all the power to one person we will see this kind of power abuse all the taxi driver have to do is collect some money to bribe him next day the ATB guy will come out and say i ban this i ban that.. so if we want to fix this problem all we have to do is fix the system..

number one if ATB want to ban ride sharing then he have to go to parliament and let the parliamentarian vote on it.. or let the 3rd party make that decision such as court...

this is not the first time this kind of power abuse happened food safety minister will come out and ban all locally processed food again he might be getting kick back from importers so it is easy to abuse the system u will cry heaven but as long as the system is not fix this problem will not be avoided .. even the ATB change their mind and allowed ride sharing the damaged already might be done ...........


now about your second point we export 2.5 billion dollar and import 15 billion dollar .. this can be also fixed fast and with simple strategy ..

first seat down and read what we import and what we export

why in hell we export oil seed and import edible oil ... again the investors doesnt want to start edible oil processing plant why the minister will take bribe and allowed donated oil this donated oil which is free will kill the local processed oil price hence the oil producer will be out of business as soon as they r out the edible oil importation kick start... you will not believe this simple strategy but it happened and killed our local oil producers many time over ...

so i give a solution for our oil producers how they can protect themselves from free donated oil importation .... be the first to buy all donated oil and make soap out of it .. and u can stop the soap importation and u will make ten times what you had pay for it in the first place...

second why in hell we export fruit and import fruit juice now pls someone tell me why we do this ... again this also rest with Government official as soon as u start juice processing plant they start coming to ask u for bribe .. u cant say no because they will close u down .. so u will figure it out why both i just import the juice and have no workers no problem even if the Government guy try to stop you he will only stop you one shipment next time u will switch and import something else .. so u will not risk ur investment to be shout down the next day.. that is why we import instead of manufacturing at home .
another big item is importation of asphalt and fertilizer.. both could be replaced with locally alternative product ..asphalt could be easily replaced with sodash and cement road hence we dont have to import asphalt this means the saving of billion of dollar ... fertilizer also can switch to natural fertilizer and save another billion of dollar ...

another big ticket item is medical this also can be manufactured locally but the health minister will not give u permit because he want to import all our medication and kick back in the process in way u r cutting in to his business .. to stop this kind of kick back i have answer next time.. i stop here for now...

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