Abstract:
Countries use tariffs and non-tariff measures to regulate imports, generate revenue, and protect local industries. This allows them to access the international market freely, but it also creates trade barriers. The doctrine of free international trade is debated due to competing interests, with high transaction costs potentially reducing competitiveness and a strong regulatory environment facilitating market economy transition. Ethiopia has modernized its legislation pertaining to multinational business transactions in recent years. Regarding trade, it has resumed WTO accession talks and jumped enthusiastically into the ambitious AfCFTA initiative. In the field of investments, despite slowing down the ratification of BITs since 2010, the country passed a new Investment Law that advanced the law. Regarding international relations, it adopted a thorough implementing legislation and ratified the New York Convention. This piece has provided a succinct analysis of these recent advancements. The frequent deviations from generally established standards and texts without immediately apparent justifications seem to be the most consistent feature unifying progress in each field. This can be seen in every area of law discussed above, including the notable delay in fulfilling WTO accession requirements, the quiet halt to BIT ratification efforts, and the non-trivial changes made to the legal text of some crucial New York Convention provisions in the new Arbitration Proclamation's taxonomy. Synchronous evolution is necessary for modernizing transnational economic laws since peaceful cohabitation of laws from different jurisdictions is the intended outcome. These regulations give multinational commercial activity the order and predictability they need. Local idiosyncrasies must support lawful, logical, assured and defendable economic, social, or other local objectives because they have the potential to hinder modernization and harmonization
