Abstract:
This study aims to assess and analyze the extent of the investment opportunities and challenges
in Tigray region. This study has extracted out more investment potential opportunities and
investigated the major challenges. The study was used both primary and secondary data sources
for gathering relevant information. The target population of the study was investors, government
offices, and participatory rural appraisal (PRA) in the study area. The Selection of the sample
was made by two stages of stratified sampling techniques; where the first stage units were
investment sectors and the second stage units were the investors. After stratifying investment
sectors, sample investors were selected using systematic random sampling techniques.
Government officials and participatory rural appraisals were selected using purposive sampling
method. Then to gatehr relevant data, person administered questionnaire, in-depth interview,
field observation, and focus group discussions were used. Descriptive data analysis method was
employed with the help of STATA 11 and statistical package for social science (SPSS) version
16. The study has found that the region of Tigray has huge potentials and opportunities for
investment indifferent economic sectors like in tourism and hotel, manufacturing/industry,
mining and construction. Even though investment environment is improving in the region there
are problems and challenges in the region related to financial access, marketing and market
linkage, infrastructures facilities, incentive provision, land provision process and bureaucracy.
