Addis Ababa ( The Reporter) – Ethiopia is the second most populous country in Africa with a population of around 90 million. Besides being an ancient country with over 3000 years of recorded history behind it, Ethiopia is also the cradle of the human race. Some 2,500 km to the north-east of Ethiopia is a land of only nine million people with tough weather conditions. Found close to the Arabian Peninsula and the Persian Gulf is a federation of seven principalities. That country is the 43-year-old United Arab Emirates (UAE). The young Middle Eastern nation has stepped out of the desert and has scored major economic, social and political achievements. At a time of turmoil elsewhere in the Arab world, the UAE is a living example of what can be achieved with proper vision and careful planning.

Success in attracting investment

The UAE is one of the favorable destinations for investment from across the globe. Putting in place the right policies to attract and regulate investments, according to  the World Bank’s Doing Business report, the UAE is the 22nd favorable destination for businesses out of 189 countries. On the same list, Ethiopia can be found at the far bottom when compared to the UAE. According to observers, lack of good governance and administrative malpractice had for long been hindering doing business in Ethiopia.

Ethiopia is endowed with vast agricultural, mineral, and energy resources, which remain virtually untapped. These are major sources that can attract Foreign Direct Investment (FDI). However, widespread complaints regarding lack of good governance as well as rampant corruption are hindering the growth of the country, aside from putting in place an enabling policy and regulatory framework. Similarly, observers attribute the doldrums to bureaucratic red tape.

For instance, available airports and seaports, smooth customs facilitations and financial services have helped create an infrastructure conducive to international trade in the UAE in general and Dubai in particular.

A tourism icon in the desert

Fifty years ago life in the desert [UAE] – let alone tourism there – was considered to be impossible. But now, the UAE’s unfathomably high skyscrapers, reaching into the clouds, are matched only in size by its vast, sprawling shopping malls and its residents’ bulging bank balances. And that has made a significant contribution to the growth of the nation’s tourism industry.

True to form, the Emiratis have managed to put in place a policy framework and are doing a commendable job in regulating and implementing the policy. This is also one area that, according to observers, needs an overhaul in Ethiopia, which is considered to have an immense potential for economic transformation.

Structured infrastructure

Nowadays, Addis Ababa could arguably be placed in the top ten list of cities that are undertaking massive constructions and urbanization that will upgrade it to be a major metropolis. Many, however, argue that the standards, designs, and materials that are being used in these infrastructures and buildings are below par. The railways, roads and skyscrapers in the UAE appear to be leading this high-tech construction era. The design and the last finishing touches of every construction reveals how much time and knowledge has been spent on them.

For example, it is not possible to create an airline without having a network of hotels and transport infrastructure.

Flowering the desert

Since the early 2000s the flower sector has grown rapidly in the short time it has existed in Ethiopia. It is one of the major forex earners. Ironically, one can move around Addis Ababa and see that flowers are not seen in abundance in the city. In fact the city is demolishing its green areas, giving excessive attention to constructing buildings making it a concrete jungle. Commentators urge that due attention ought to be given to curbing this.

The green areas and parks in the UAE would make one wonder how a desert can be transformed into something exceptional.

Focusing on developing human resources

Being a land of only nine million people, the UAE has gathered experts from all over the world to work on the growth and development of the nation. A number of expatiates have lived in the Emirates and contributed to the development the country managed to achieve so far. The UAE is famous for the way so many different nationalities are able to live and work alongside each other without rancor. In addition, the nation also focuses on training and upgrading the indigenous human power to the standards of the experts.

Ethiopia, in this regard, has a large number of engineers, technologists, and consultants in various sectors. But, regrettably, full utilization of the human resources both in the country and in the diaspora remains at a low level. This, according to commentators, should be one of major areas of focus.

According to unofficial reports, some 50 years ago, Ethiopia aided many Gulf countries in response to the dire poverty they were facing back then. Now, the reverse seems to be true. In that regard, according to commentators, the Ethiopian government and all stakeholders should learn a lot from the UAE which, according to data, has managed a 236-fold GDP growth in the past 43 years since the establishment of the Federation.

Source: The Reporter