Alaa Al-Saqati, head of the Egyptian Industrial Zone, said that he is choosing between 3 international law firms to file an arbitration case against the Addis Ababa government. Because of damage caused to him and other Egyptian investors, their factories were damaged and production stopped in the wake of the ongoing war in the Tigray region.
Al-Saqati told Al-Borsa that the factories have stopped production for nearly two months due to the ongoing war in the Tigray region, and the companies are responsible for paying all the obligations towards Ethiopia and the employment in those factories.
He added that the Egyptian investors have taken a final decision to institute an arbitration case against the Ethiopian government. To demand compensation for the losses incurred by factories because of that war, as well as the lack of cooperation and attention from Ethiopia to the demands of investors.
He pointed out that this month, investors will be given a power of attorney to the law firm, which they can settle on within days to start litigation procedures.
He explained that the two companies, Travotec for electrical transformers and Senosor for furniture, are at the forefront of the companies affected by the crisis.
The Ethiopian embassy in Cairo had called on Egyptian businessmen investing in Ethiopia to contain their anger over the damage to their businesses and the threat to their investments in the Tigray region. Because of the ongoing fighting between the Ethiopian army and what the government describes as rebels in the region.
Al-Saqati stated that the invitation to the meeting by the Ethiopian embassy came after the suggestion that lawsuits would be instituted before international arbitration against the government of Addis Ababa to protect the Egyptians ’investments, but the investors did not receive a response to their demands.
In its letter to the Egyptian businessmen, the embassy explained its keen interest in the Egyptian-Ethiopian Business Council, and that the meeting aims to form direct relations between the members of the Egyptian-Ethiopian Business Council and the Ethiopian Embassy in Cairo and bring them closer to facilitate work and communication in the future.
In a statement by the Egyptian-Ethiopian Business Council, Al-Saqati confirmed that official statistics indicate the presence of Egyptian investments in Ethiopia exceeding $ 750 million in the period between 2010 and 2018.
The article “Al-Saqati” comparing 3 international law firms to institute an arbitration case against “Ethiopia” was written in the Al-Borsa newspaper.