The Africa Forward summit in Nairobi highlights a renewed French push to deepen economic ties with East Africa, and Ethiopia is emerging as a focal point. French firms are increasingly setting up operations in Addis Ababa, drawn by a market of more than 120 million people despite lingering security concerns.
One of the first to arrive was Lesaffre, the French food‑ingredients group best known for its yeast products. The company opened a factory in Ethiopia in 2021 and supplies the popular Hanit Bakery in the capital, where customers line up each morning for fresh loaves. “We chose Ethiopia because it is the second‑most populous country in Africa and we see a clear shift toward wheat‑based breads rather than traditional injera,” said Marine Durot, Lesaffre’s country director, to RFI. “It is a key market with strong growth prospects.”
Lesaffre’s expansion is part of a broader wave of French investment. According to the French foreign ministry, France now ranks third among European investors in Ethiopia, behind the United Kingdom and the Netherlands, with an estimated foreign‑direct‑investment stock of €485 million. French interests span energy, infrastructure, agri‑food, logistics and digital services, reflecting Ethiopia’s recent reforms that have liberalised several sectors and removed many macro‑economic barriers to entry, according to African Union economist Getachew Teklemariam Alemu.
In mid‑April, roughly 15 French companies visited Ethiopia at the invitation of Medef International, the overseas arm of the French business federation. The delegation underscored a willingness to engage even as the country grapples with security challenges. While the civil war that engulfed parts of Ethiopia ended in 2022, tensions remain high in the northern Tigray region and sporadic clashes continue in Amhara and Oromia. Gérard Wolf, president of Medef International, cautioned that conflict is not a deterrent for investment: “In places where the intensity of conflict is not extreme, we do not wait for a complete resolution before committing resources.”
The most high‑profile French entry slated for 2026 is the retail giant Carrefour, which will launch a partnership with Queens Supermarket, a subsidiary of the Midroc Investment Group owned by Ethiopian‑born Saudi billionaire Sheikh Mohammed Hussein Al Amoudi. The plan is to rebrand existing Queens stores under the Carrefour banner, with the first conversions expected by the end of June. Bernard Laurendeau, managing partner at consultancy Laurendeau & Associates, said the venture could generate jobs, transfer skills and open export channels for Ethiopian agricultural products, while integrating local entrepreneurs into global value chains.
These developments illustrate a strategic recalibration by French businesses, seeking to tap Ethiopia’s large consumer base and its ongoing market liberalisation despite a volatile security environment. As French firms deepen their foothold, the partnership could accelerate Ethiopia’s integration into regional and global supply networks, provided that political stability improves and the investment climate remains conducive. The next months will reveal whether the optimism of Paris and Addis can translate into sustained economic growth for both sides.
