Ethiopia enacts long-awaited startup law to boost digital economy
- Ethiopia's Council of Ministers ratified the Startup Business Proclamation after five years of consultations.
- The law introduces a formal definition for startups and establishes a National Startup Council.
- Government ICT procurement tenders will reserve 5% for startups, ensuring preferential access to public contracts.
Tech In Africa - Jul 25, 2025
Ethiopia Enacts Startup Law as Execution Becomes the True Test
Ethiopia's Startup Proclamation has been enacted after five years of deliberation, establishing the
The approval of Ethiopia's startup law is a significant milestone that could transform the entrepreneurial landscape in the country. However, the real test lies in the effective implementation of the law and the ability of the newly formed bodies to support startups meaningfully. Stakeholders must remain vigilant to ensure that the promised benefits translate into tangible outcomes for entrepreneurs and investors.
