• Ministry of Finance maintains 150% export tax on raw hides and skins.

• Semi-processed hides face 10% export tax; finished leather exports taxed at 0%.

• Policy supports domestic leather processing and manufacturing industries.

• Government preparing legal reform to revise export tax framework.

• Reform process underway; no implementation date announced.

• Leather industry stakeholders awaiting clarification on regulatory changes.

why it matters?
Export tax structure directly affects Ethiopia’s leather value chain, export revenues, and raw material supply for domestic manufacturers.

• Credit rating lowered: Fitch cut Afreximbank’s long-term rating to BB+ from BBB- (investment grade).

• Ratings withdrawn: Fitch has withdrawn future ratings and analytical coverage of Afreximbank.

• Dispute driver: Downgrade and withdrawal followed disagreements over Fitch’s assessment approach.

• Preferred creditor status questioned: Fitch cited loss of informal preferred creditor protection in Ghana deal.

• Bank response: Afreximbank terminated its credit rating relationship with Fitch. 

Why it matters: