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Proclamations

Key Points: Special Economic Zone Proclamation No. 1322/2024


 

(From Special-Economic-Zone-Proclamation-No.-1322_2024-3.pdf)

  • Upgrades Ethiopia’s industrial parks system into a full Special Economic Zone (SEZ) regime for greater economic diversification.
  • Establishes a flexible, business-friendly framework to attract investment and integrate into global value chains.
  • Defines SEZs to include industry parks, free trade zones, logistics hubs, science and tech parks, and agricultural zones.
  • Grants duty-free and tax-free privileges, one-stop-shop services, and special incentives to SEZ investors.
  • Clarifies roles for developers, operators, enterprises, and outlines detailed definitions for SEZ structures.
  • Facilitates efficient regional and global trade competitiveness through better infrastructure and streamlined regulations.
  • Based on Ethiopia’s Federal Constitution Article 55(1) and supports national economic growth strategies.

Learn more about the Gada Special Economic Zone and its legal framework: Download to Proclamation No. 1322/2024.

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Key Points from Proclamation No. 226/2020 (Gada Special Economic Zone):

  1. Establishment:
    • The Geda Special Economic Zone (SEZ) is established to accelerate economic transformation, attract foreign investment, and create export-oriented industries in the Oromia Region, Ethiopia.
  2. Objectives:
    • Promote industrial growth, job creation, and technology transfer.
    • Enhance regional and national economic benefits.
    • Integrate local communities (farmers and residents) into development activities.
  3. Zone Coverage:
    • Located between Adama and Modjo towns, covering 24,000 hectares (expandable).
    • Includes industrial parks, free trade zones, agro-processing areas, tourism sites, and residential areas.
  4. Rights & Obligations:
    • Investors/Developers: Lease land, sub-lease developed plots, access tax incentives, and employ locals.
    • Local Communities: Priority in jobs, compensation for land use, and shares in projects.
  5. Governance:
    • Managed by the Geda SEZ Authority (accountable to a Board).
    • One-stop service center for permits and investor support.
  6. Legal Framework:
    • Overrides conflicting laws; disputes resolved via arbitration/courts.
  7. Effective Date:
    • Enacted on February 19, 2020.

Learn more about the Gada Special Economic Zone and its legal framework: download to Proclamation No. 226/2020.
Download