Rashmi Group to Invest USD 300 Million in Ethiopia Mining Sector Through New Strategic MoU
New Delhi, 21 May: Rashmi Group, a leading Indian steel and mining conglomerate, has announced a major expansion into Africa with a USD 300 million investment commitment in Ethiopia’s mining sector. The agreement was formalised during the “Invest in Ethiopia – High-Level Business Forum 2026” held in Addis Ababa, marking a significant step in India–Africa resource cooperation.
Strategic MoU Signed in Addis Ababa
The Memorandum of Understanding was signed between Rashmi Group CEO Sunil Kumar Patwari and Ethiopian representatives during the high-level investment forum. The agreement highlights growing international interest in Ethiopia’s mineral-rich regions and its evolving investment landscape driven by economic liberalisation reforms.
Focus on Gold Exploration and Mining Infrastructure
Under the proposed investment plan, Rashmi Group will focus on gold exploration activities and the development of mining and mineral processing infrastructure. The initiative is aimed at supporting Ethiopia’s expanding construction and industrial sectors while enhancing value addition within the domestic mineral supply chain.
Applications for Key Mining Regions
The company has also submitted applications for gold mining licenses in Ethiopia’s Gambela and Benishangul-Gumuz regions. These areas are known for significant gold deposits linked to geological formations within the Arabian-Nubian Shield, making them strategically important for large-scale mineral development projects.
Supporting Ethiopia’s Economic Reform Agenda
The investment aligns with Ethiopia’s Home-Grown Economic Reforms 2.0, a broader policy push aimed at increasing foreign investment, strengthening export capacity, and promoting private-sector-led growth. Mining is being positioned as a central pillar of Ethiopia’s long-term economic transformation strategy.
India–Africa Economic Cooperation Expands
Rashmi Group’s entry into Ethiopia reflects the broader strengthening of India–Africa economic ties. Industry voices have highlighted Africa’s vast untapped mineral potential and increasing openness to foreign investment, particularly in mining, metallurgy, and infrastructure development sectors.
Conclusion
The USD 300 million investment marks a significant step in Rashmi Group’s global expansion strategy while reinforcing Ethiopia’s position as an emerging mining hub. The partnership is expected to contribute to job creation, technology transfer, and deeper India–Africa industrial collaboration in the coming years.
