Ethiopian Ministry Advocates United Action to Revitalize Construction Sector

January 11, 2025

ADDIS ABABA – The Ministry of Urban and Infrastructure (MUI) has issued a fervent call for enhanced collaboration among all stakeholders to effectively address the multifaceted challenges impeding the growth and development of the Ethiopian construction sector.

Yesterday, the MUI convened a meeting with key stakeholders to discuss the findings of a recent research study on the constraints facing the construction sector.

In her keynote address, the Minister Chaltu Sani acknowledged the construction industry’s significant role as a major job creator, second only to agriculture, and its crucial contribution to the country’s economic acceleration. However, she also highlighted the numerous challenges facing the sector.

In collaboration with five research universities, the Ministry has identified several key challenges facing the construction industry that must be addressed to ensure its future success. The Minister stated, “A competitive sector is crucial for delivering high-quality construction projects.”

Ethiopia’s construction sector currently faces several challenges, including lack of coordination, limited technology adoption, inadequate practical training and skills development as well as high costs of construction materials. The industry has also been affected by inefficient data collection and project administration systems, andlimited capacity of contractors and consultants. These challenges hinder the sector’s ability to become a key driver of economic development and growth,” Chaltu stated.

Furthermore, addressing the complex challenges within the construction sector requires effective collaboration among all stakeholders.

Recognizing the construction sector’s significant contribution to economic growth, the government has allocated substantial budget to support its development, Minister Chaltu said. “This support aims to enhance the sector’s competitiveness at the national, continental and global levels.”

To modernize the construction sector, the MUI is actively implementing international best practices. A key initiative is the development of the Ethiopian Construction Data Management System (ECDMS), designed to enhance industry capacity.

The MUI, in collaboration with key stakeholders, is finalizing the development of the ECDMS. This system will improve data management within the industry, leading to reductions in construction time and costs. The MUI identified these critical areas for improvement through research conducted in partnership with five research universities.

The ECDMS will facilitate collaboration among stakeholders to address key challenges within the construction sector, including workforce limitations, professional competency gaps, and productivity issues, the Minster remarked.

BY TSEGAYE TILAHUN

THE ETHIOPIAN HERALD SATURDAY 11 JANUARY 2025