Ethiopia collected 1.5 trillion birr in tax revenue during the 2018 Ethiopian fiscal year, with Heineken Brewery emerging as the country’s highest-paying private company.
Heineken Brewery, which produces more than four beer brands for the Ethiopian market, paid 26 billion birr in taxes, ranking fourth among the country’s top taxpayers overall.
Seven of the 10 highest-paying taxpayers were state-owned enterprises.
Ethio Telecom ranked first, contributing 66 billion birr in taxes, followed by the Commercial Bank of Ethiopia with 37 billion birr. Ethiopian Airlines ranked third after paying 31 billion birr.
Ethiopian Shipping and Logistics contributed 22 billion birr, while Ethiopian Electric Power paid 18 billion birr. Awash Bank, whose majority shareholders include government-affiliated development organizations, paid 15.5 billion birr.
Ethiopian Electric Utility contributed 13.5 billion birr, while BGI Ethiopia, another major beer producer, paid 12.6 billion birr in taxes.
Meanwhile, Ethiopia is set to introduce a new tax on income received through inheritance or gifts as part of broader efforts to expand the country’s tax base and increase domestic revenue.
Under the planned measure, inheritance and gift income exceeding one million birr will be subject to taxation.
The International Monetary Fund (IMF), in its 132-page report released following the fifth review of Ethiopia’s economic reform program, noted that the country’s tax base remains narrow. The government plans to introduce new revenue measures as part of its efforts to strengthen domestic resource mobilization.
The report also indicated that income from inheritance and gifts exceeding one million birr would be subject to tax.
In addition, taxes on cigarettes, alcohol and fuel products are expected to increase. The measures are intended not only to boost government revenue but also to support public health policies, particularly through higher taxation of products such as tobacco and alcohol.