KEYIR NEWS - The Ministry of Finance has announced that commercial enterprises will be permitted to import motorised boats free of duty and tax for a period of one year, in a policy move designed to accelerate tourism development across the lakes.
The directive, issued in a statement late on Tuesday, is expected to stimulate investment in both transport and leisure infrastructure, strengthening the role of lakes as economic and recreational assets.
According to the ministry, the initiative is part of a broader effort to create favourable conditions for Ethiopia’s freshwater resources to emerge as key tourist destinations.
With Ethiopia possessing some of Africa’s largest and most scenic lakes, including Lake Tana, Lake Hawassa and Lake Ziway, the government is seeking to diversify its tourism offerings beyond cultural and historical attractions to include aquatic recreation, transportation and eco-tourism.
The exemption applies to eight categories of boats deemed essential for both commercial and social use. These include fishing boats and short-distance passenger vessels; fast boats suitable for tourism services and emergency operations on medium-sized lakes; open or semi-covered boats for leisure cruising; larger passenger boats; vessels for research and exploration; and those designated for private or personal use.
By lifting import duties and taxes, the Ministry of Finance aims to lower the financial barriers that have historically deterred private sector participation in maritime services.
Officials underscored that modern water transport is vital not only for tourism but also for facilitating local trade, enhancing connectivity among lakeside communities, and enabling rapid response during emergencies.
The statement further emphasised that Ethiopia’s comparative advantage in lake tourism remains underutilised, despite its abundance of natural resources. “Encouraging investment in water-based infrastructure is critical for positioning Ethiopia as a competitive tourist destination,” the ministry said.
The government hopes that the measure will draw private investment into an industry that has been constrained by high entry costs and limited technical capacity.
Tourism analysts view the decision as a strategic intervention to revive Ethiopia’s tourism sector, which has struggled in recent years due to conflict, instability and global travel disruptions. “Lake-based tourism could serve as a catalyst for regional economic development,” one industry expert told Keyir News.
“If the private sector responds positively, we may see new tour operators, passenger transport services and fishing ventures emerge within a short timeframe.”
The one-year window is also intended to function as a pilot phase, allowing the government to assess both the economic viability and regulatory challenges of large-scale boat imports. If successful, officials have hinted that the policy could be extended or expanded to cover additional categories of maritime equipment.
The Ministry of Finance has urged businesses and investors to capitalise on the opportunity, while pledging that the government will monitor compliance to ensure imported boats are used for their intended purposes.
The policy, it said, is expected to support sustainable utilisation of natural resources while enhancing Ethiopia’s international image as a destination for both cultural and eco-tourism.
By Meseret Tamiru