AliExpress, the global online retail platform owned by China’s Alibaba Group, is preparing to enter the Ethiopian market. The move follows the finalization of an agreement, according to Dr. Abiyot Bayu, Senior Advisor to Ethiopia’s Minister of Innovation and Technology. An official announcement is expected soon.
This expansion is part of a broader effort by Alibaba Group to support Ethiopia’s digital economy. The decision to bring AliExpress to Ethiopia follows a virtual meeting on August 7, 2024, between Ethiopian government officials and an Alibaba team led by Chandee Zhuang, Senior Advisor at Alibaba Global Initiatives.
The launch of AliExpress in Ethiopia is anticipated to generate job opportunities, encourage startup innovation, and provide a global platform for local products, thereby boosting the country’s export potential.
AliExpress, launched by Alibaba in 2010 as a business-to-consumer (B2C) eCommerce platform, is tailored for individuals purchasing items in smaller quantities. The platform’s expansion into Ethiopia aligns with the country’s recent economic reforms aimed at attracting foreign direct investment, particularly in the digital economy sector.
To further encourage foreign investment, the Ethiopian Investment Board (EIB) introduced Directive No. 1001/2024 on April 18, 2024, which allows and regulates foreign participation in export, import, wholesale, and retail trade—areas previously reserved for domestic investors. Additionally, the Ethiopian Ministry of Trade and Regional Integration has launched a new licensing regime for electronic platforms, creating a dedicated eCommerce license category and streamlining the registration process for eCommerce businesses.
This move is expected to foster a more conducive environment for digital commerce in Ethiopia. As of December 2023, the Ethiopian Ministry of Trade and Regional Integration had issued approximately 45 licenses for eCommerce operations.
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