India, Ethiopia ink deals on taxation and medium enterprises

From V Mohan Narayan
Addis Ababa, May 25 (PTI) India and Ethiopia Wednesday
inked two agreements in the area of taxation and medium scale
enterprises to bring benefits to business communities to both
sides even as Addis Ababa dismissed reports of the African
country being used as a dumping ground for Indian goods.
After wide-ranging discussions between Prime Minister
Manmohan Singh and his Ethiopian counterpart Meles Zenawi,
the two accords were signed which are expected to help further
deepen economic exchanges between the two countries.
Addressing a joint press conference with Singh, Zenawi
rejected charges of land grab by Indian companies and the
country being used as a dumping ground. He said that it was
unutilised land that was being offered to Indian companies
which were using them for investment purposes.
On his part, Singh acknowledged that the balance of
trade was highly favourable towards India and the two sides
were finding ways and means for encouraging Ethiopian exports
in Indian markets.
The Prime Minister said India has tried to assist
Ethiopia's development through capacity building support and
offered lines of credit of more than USD 700 million during
the last five years.
An additional line of credit of USD 300 million was
being extended for a regional integration project as committed
to the African Union for a new Ethiopia-Djibouti railway, he
said.