Ethiopia to let foreigners own property

Ethiopia is poised to enact legislation permitting foreigners to own real estate, a crucial aspect of the government’s broader strategy to liberalize the economy and attract international investors, Prime Minister Abiy Ahmed announced on state television over the weekend.

At present, foreigners are prohibited from owning residential or commercial properties in Ethiopia, posing a challenge to ongoing efforts to draw foreign investment to the Horn of Africa nation.

Addressing a gathering of major taxpayers in Addis Ababa, Prime Minister Abiy disclosed that his administration is in the final stages of drafting new legislation to grant foreign nationals the right to own real estate. However, he did not specify when the proposed legislation would be presented to parliament.

“We will introduce legislation to enable foreigners to acquire property,” he stated, indicating the government’s intention to revise existing laws to unlock the country’s retail sector, which is presently exclusive to Ethiopian citizens.

“We are transitioning from a closed economy to one that is slightly more open. Therefore, we urge you to be prepared,” he emphasized.

In recent years, The Ethiopian Government has progressively liberalized sectors of the tightly controlled economy, including telecommunications and banking, in a bid to attract foreign investment, stimulate economic growth, and generate employment opportunities in the nation of over 100 million people.