The need to establish a workable, modern and institutionalized commercial arbitration in Ethiopia

Ethiopia overhauled its arbitration laws with the enactment of the Civil Code and Civil Procedure Code as of 1960 and 1965 respectively. It also puts these laws in to practice on commercial disputes for more than half a century. However, these arbitration laws are sketchy and do not cope with the emerging modern laws and practices in international commercial arbitration. As a result, Ethiopia is not gifted with workable, modernized and institutionalized commercial arbitration. It stands to the rear of commercial arbitration which is underpinned in diverse legal systems, used widely by many participants and acknowledged as relevant dispute resolution, particularly on commercial matters in many jurisdictions. Commercial arbitration serves justice, satisfies the interest of business bodies, and more importantly, places significant impact on the economy of a country. Thus, the government and other stakeholders need to work and change the situation. This article attempts to shed lights on the contribution of effective and institutionalized commercial arbitration for the economy of Ethiopia.Keywords: Arbitration, Commercial arbitration, Commercial dispute, Economy, Ethiopia, institutionalize