ETHIOPIA
Since April 2020
Since September 2020
Since September 2020
Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade |
Indicator Requirement to engage in joint ventures to invest or operate
Investment Proclamation No. 1180/2020
Investment Regulation No. 474/2020
Investment Regulation No. 474/2020
Art. 5 (1/e/) of the Investment Regulation No. 474/2020 (which implements the Investment Proclamation No. 1180/2020) reserves some areas of investment including advertisement and promotion for joint investment with domestic investors only. In other words, a foreign investor can only invest in the advertisement service sector in joint venture with an Ethiopian domestic investor. The scope of the law includes advertisement disseminated through the internet website being designed in Ethiopia or abroad (Section 3.3). Previously there was a ban to foreign investment in the advertising sector.
Coverage Advertisement sector
ETHIOPIA
Since September 2020
Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade |
Indicator Requirement to engage in joint ventures to invest or operate
Investment Regulation No. 474/2020
As stipulated under Art. 3(5) and 5(1/f/) of the Investment Regulation No. 474/2020, some investment areas such as postal services (excluding courier services) are reserved for a joint investment with the government of Ethiopia, while foreign investment in audiovisual service including film/music production and distribution is restricted to joint venture scheme with the nationals.
Coverage Postal service and audiovisual services
Sources
- https://web.archive.org/web/20210324071832/https://investethiopia.gov.et/images/pdf/Investment-Regulation-No.-4742020_09-08-2020_0001-2.pdf
- https://ustr.gov/sites/default/files/2022%20National%20Trade%20Estimate%20Report%20on%20Foreign%20Trade%20Barriers.pdf
- https://www.globaltradealert.org/state-act/3952/ethiopia-restrictions-on-advertising-activities-by-foreigners
- Show more...
ETHIOPIA
Since April 2020
Since September 2020
Since September 2020
Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade |
Indicator Screening of investment and acquisitions
Investment Proclamation No. 1180/2020
Investment Regulation No. 474/2020
Investment Regulation No. 474/2020
The Investment Proclamation No. 1180/2020 (implemented by Regulation No. 474/2020) prescribes a screening criterion on foreign investments in terms of minimum capital requirements. Art. 9 of the proclamation states that any foreign investor is required to allocate a minimum capital of USD 200,000 for a single investment project, in order to be allowed to invest in the country. If the foreign investor is going to work in a joint venture with a domestic investor, then the minimum capital requirement shall be USD 150,000. If the foreign investor is investing in architectural or engineering works or related technical consultancy services, technical testing and analysis or in publishing works, then the minimum capital requirement can be lowered to USD 50,000. This kind of capital requirement is one of the screening methods that the law uses to prevent small or start-up foreign investors from working in Ethiopia.
Coverage Horizontal
ETHIOPIA
Since May 1995
Pillar Intellectual Property Rights (IPRs) |
Indicator Practical or legal restrictions related to the application process for patents
Proclamation No. 123/1995 Concerning Inventions, Minor Inventions and Industrial Designs
The Inventions, Minor Inventions and Industrial Designs Proclamation No. 123/1995 assigns the same protection to local and foreign rights holders, once the foreign patents are re-registered in Ethiopia. However, according to Art. 9.7, an applicant who is not domiciled or who has not established business in Ethiopia shall appoint an agent who is domiciled in Ethiopia.
Coverage Horizontal
ETHIOPIA
N/A
Pillar Intellectual Property Rights (IPRs) |
Indicator Participation in the Patent Cooperation Treaty (PCT)
Lack of participation in the Patent Cooperation Treaty (PCT)
Ethiopia is not a party to the Patent Cooperation Treaty (PCT).
Coverage Horizontal
ETHIOPIA
Since July 2004
Pillar Intellectual Property Rights (IPRs) |
Indicator Copyright law with clear exceptions
Copyright and Neighboring Rights Protection Proclamation No. 410/2004
Ethiopia has a copyright regime under the Copyright and Neighboring Rights Protection Proclamation No. 410/2004. However, the exceptions do not follow the fair use or fair dealing model, therefore limiting the lawful use of copyrighted work by others. Arts. 9-11 list the exceptions, which include reproduction for personal Purposes and reproduction for teaching; among others.
Coverage Horizontal
ETHIOPIA
Reported in 2022, last reported in 2023
Pillar Intellectual Property Rights (IPRs) |
Indicator Enforcement of copyright online
Lack of adequate enforcement of copyright online
Copyright is not adequately enforced online in Ethiopia. High levels of software piracy and weak enforcement are reported, which can negatively affect digital commerce. In addition, given the lack of enforcement capacity and coordination among Ethiopian Government agencies, IP enforcement is reported to be inconsistent.
It is also relevant to mention that, according to Art. 3 of the Copyright and Neighboring Rights Protection Proclamation No. 410/2004, a certain work published/printed/released or made available to the public outside Ethiopia can only receive legal protection in Ethiopia if it is published or released in the country. Otherwise, foreign right holders are not accorded national treatment as Ethiopia did not sign any international conventions on copyright.
It is also relevant to mention that, according to Art. 3 of the Copyright and Neighboring Rights Protection Proclamation No. 410/2004, a certain work published/printed/released or made available to the public outside Ethiopia can only receive legal protection in Ethiopia if it is published or released in the country. Otherwise, foreign right holders are not accorded national treatment as Ethiopia did not sign any international conventions on copyright.
Coverage Horizontal
Sources
- https://ustr.gov/sites/default/files/2023-03/2023%20NTE%20Report.pdf
- https://ustr.gov/sites/default/files/files/reports/2021/2021NTE.pdf
- https://www.privacyshield.gov/article?id=Ethiopia-Protecting-Intellectual-Property
- https://web.archive.org/web/20221025180720/https://www.aa.com.tr/en/africa/ethiopia-plans-push-in-intellectual-property-rights/2572127
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ETHIOPIA
ITA signatory?
I
II
Pillar Tariffs and trade defence measures applied on ICT goods |
Indicator Effective tariff rate on ICT goods (applied weighted average)
Effective tariff rate to ICT goods (applied weighted average)
13.45%
Coverage rate of zero-tariffs on ICT goods (%)
7.99%
Coverage: ICT goods
Sources
- http://wits.worldbank.org/WITS/
- https://www.wto.org/english/news_e/brief_ita_e.htm#:~:text=ITA%20participants%3A%20Australia%3B%20Bahrain%3B,%3B%20Jordan%3B%20Korea%2C%20Rep.
- https://www.wto.org/english/res_e/booksp_e/ita20years_2017_full_e.pdf
- https://web.archive.org/web/20220120054410/https://trade.ec.europa.eu/doclib/docs/2016/april/tradoc_154430.pdf
- https://www.wto.org/english/tratop_e/inftec_e/itscheds_e.htm
ETHIOPIA
N/A
Pillar Tariffs and trade defence measures applied on ICT goods |
Indicator Participation in the WTO Information Technology Agreement (ITA) and 2015 expansion (ITA II)
Lack of participation in Information Technology Agreement (ITA) and in ITA Expansion Agreement (ITA II)
Ethiopia is not a signatory of the 1996 World Trade Organization (WTO) Information Technology Agreement (ITA) nor the 2015 expansion (ITA II).
Coverage ICT goods
Sources
- https://www.wto.org/english/news_e/brief_ita_e.htm#:~:text=ITA%20participants%3A%20Australia%3B%20Bahrain%3B,%3B%20Jordan%3B%20Korea%2C%20Rep.
- https://www.wto.org/english/res_e/booksp_e/ita20years_2017_full_e.pdf
- https://web.archive.org/web/20220120054410/https://trade.ec.europa.eu/doclib/docs/2016/april/tradoc_154430.pdf
- https://www.wto.org/english/tratop_e/inftec_e/itscheds_e.htm
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ESWATINI
N/A
Pillar Online sales and transactions |
Indicator UNCITRAL Model Law on Electronic Signatures
Lack of adoption of UNCITRAL Model Law on Electronic Signatures
Eswatini has not adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Signatures.
Coverage Horizontal
ESWATINI
N/A
Pillar Online sales and transactions |
Indicator Framework for consumer protection applicable to online commerce
Lack of comprehensive consumer protection law applicable to online commerce
Eswatini does not have a legal framework that applies consumer protection to online transactions.
Coverage Horizontal
ESWATINI
N/A
Pillar Online sales and transactions |
Indicator Ratification of the UN Convention on the Use of Electronic Communications in International Contracts
Lack of signature of the UN Convention on the Use of Electronic Communications in International Contracts
Eswatini has not signed the United Nations (UN) Convention on the Use of Electronic Communications in International Contracts.
Coverage Horizontal
ESWATINI
Since 2022
Pillar Online sales and transactions |
Indicator UNCITRAL Model Law on Electronic Commerce
UNCITRAL Model Law on Electronic Commerce
Eswatini has adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Commerce.
Coverage Horizontal
ESWATINI
N/A
Pillar Intermediary liability |
Indicator Safe harbour for intermediaries for any activity other than copyright infringement
Lack of intermediary liability framework in place beyond copyright infringements
A basic legal framework on intermediary liability beyond copyright infringement is absent in Eswatini's law and jurisprudence.
Coverage Internet intermediaries
