Contribution, Challenges and Prospects of Industry Parks in Ethiopia

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Addis Ababa University


The main objective of this study is to assess the contributions, challenges and prospects of industrial park in Ethiopia. Both primary and secondary data were employed. Questionnaire, key informant interview and document review were the main data collection instruments for the study. Overall industry parks issues were addressed by this study at concerned agencies; that is, Ethiopian Investment Commission, Ministry of Industry and Industry Parks Development Corporation level to the topic under investigation. Among the 50 experts and employees that have connections with the case under study, samples of 30 respondents were covered. The quantitative data were analysed using descriptive statistics and the results are presented in tables and figures. Narration method was employed to analyse the qualitative data. The findings of the study indicated that industrial parks have contributed to the national as well as local economy in terms of employment generation, income tax, capital investment, and export and import substitution, technology transfer and cultural integration. The research finding also showed that shortage of raw materials, delay on the logistic service, shortage of foreign exchange and problems related to government rules and procedures as the constraints faced by the companies. Inefficiency of workers, communication barriers, lacks of enough training and organizational structure problems on the other hand are considered as internal problems faced by the companies.


A Thesis Submitted to Addis Ababa University College of Business and Economics Department of Accounting and Finance in Partial Fulfillment of the Requirements for the Degree of Master of Science in Accounting and Finance


Ethiopia, Industry Parks