Mingyang of China plans to invest over $10 billion in renewable energy, green hydrogen, and ammonia initiatives in Ethiopia, as reported by the Ethiopian Investment Commission.
According to a press release from the government agency: “In a significant shift for the energy sector, the [Guangdong-based private] company aims to invest upwards of US$10 billion in projects related to renewable energy, hydrogen, and the production of green ammonia.”
The announcement was made subsequent to last week’s Invest in Ethiopia business forum in Addis Ababa, where more than $13 billion worth of substantial investment agreements were executed with international companies in multiple sectors, including steel, real estate, and solar power.
The agreements were formalized with partners from China, Poland, India, Singapore, and Kenya, addressing the energy, mining, and industrial industries.
At $13.1 billion, the proposed pipeline is considerable when compared to Ethiopia’s yearly foreign direct investment inflows, which have generally fluctuated between $3 billion and $4 billion in recent years, emphasizing the magnitude of the government’s aspirations.
Energy and industrial initiatives are predominant in the pipeline, with a significant portion of capital allocated to green ammonia and manufacturing, highlighting Ethiopia’s plan to utilize its renewable energy resources for export-driven industries.
The government has credited these commitments to reforms such as currency liberalization, the gradual opening of the banking and telecommunications sectors, and the growth of Special Economic Zones (SEZs) connected to regional markets via the African Continental Free Trade Area (AfCFTA).
