Egypt Seeks Int'l Law Firm to Protect Investments in Tigray

According to Al-Monitor, today, Alaa Al-Saqati, head of the Egyptian Industrial Zone in Ethiopia, recently revealed the country's plan to appoint an international law firm to ensure the safety of Egypt’s investments there.

Saqati said this step came after a meeting he held with representatives of the Ethiopian Embassy in Cairo. The meeting's outcome was not fruitful for Egypt's investment in Tigray due to the armed conflicts.

Saqati added that the Ethiopian officials did not set a time frame the resumption of work in Egyptian factories in the Tigray region without any risks to employees, saying that factories in the region have not been working for the last four months.

Marcus Tekeli, Ethiopia’s ambassador to Cairo, confirmed his intention to "face the challenges confronting businessmen."

Meanwhile, Ethiopian government officials addressed "The main concerns, questions and challenges brought up by Egyptian businessmen."

In a statement, the ambassador stressed his conviction of "The need to strengthen trade and investment cooperation between the two countries."

Moreover, during the meeting, Aschalew Tadesse, Foreign Direct Investment Promotion director at the Ethiopian Investment Commission, presented the new Ethiopian Investment Law and the commercial alternatives and tools that the two countries can exploit.

The escalation of conflicts in the Tigray region in northern Ethiopia caused severe damage to Egyptian investments there, especially following the evacuation of many Egyptian subjects, in light of the fierce fighting between local forces and the Ethiopian army.

The Egyptian Embassy in Ethiopia evacuated in November nine of its citizens who were stranded in the city of Mekelle, capital of the Tigray region. The embassy said in a statement on Nov. 18 that it has been making efforts to evacuate the workers since the outbreak of the clashes, with the full support of several organisations.

Saqati who owns several projects in Tigray with other investors told Al-Monitor, "Egyptian investments in the Tigray region in Ethiopia amount to about $10 million, while the total investments in Ethiopia exceeded $750 million between 2010 and 2018."

He also confirmed that the decision to resort to international courts aims to preserve their rights as a result of the heavy collapse they have endured since the outbreak of the recent conflict in Ethiopia.

On the other hand, the Ethiopian embassy in Cairo did not issue any official statement after the announcement that the country would be sued internationally over the loss of investments in Tigray.