Economic Activities in Hawassa
Trade and Industry
Hawassa City has been envisaged as a center of mechanized agriculture in Emperor Hailesselasie Regime and Later in Dergue regime it was given an attention for industry. The establishment of regional planning commissions and the promotion of state–led industrial development in the 1980s under the socialist regime had contributed to the expansion of towns such as Hawassa, Bahir Dar and Dessie/Kombolcha. In this time factories such as Textile, Ceramics, Floor and others were established. This trend has been in constant growth and Hawassa is becoming an attractive center for industrialization.
Manufacturing MSEs reflect the largest category in Hawassa and Addis Ababa, which is a desirable condition. Enterprises engaged in construction constitute the second largest in Hawassa and the third largest in Addis Ababa. In Hawassa City, manufacturing enterprises accounted for 40% while those engaged in construction represented 22% of the total enterprises in the city. Enterprises engaged in service provision and trade activities are fewer compared to the other cities.With the inauguration of Hawassa Industry Park that is planned to employ more than 60,000 people and focus on export garment products will be reinforcing the current industrial development of Hawassa.
According to TripAdvisor, Hawassa city holds the sixth tourist destination in Ethiopia, Addis Ababa, Lalibela, Bahir Dar Mekelle and Gondar holding from first to fifth rank respectively. Lake Hawassa is the mover of the socio-economic engine of the city of Hawassa, both in the past and present. The city is an ever-emerging tourism destination with its particular offer on the southern route. The average number of days spent on domestic tourism by locals, was 2.4 the average days spent by foreign tourist at national level do not exceed seven, and this number is so lower than other neighboring countries
As the Regional Administrative seat of SNNPR, Hawassa hosts several events that attract the attention of tourists throughout the year. Big cultural, national events and conferences that boost interactional experiences are marked in the city. The celebration of the Sidama New Year draws huge numbers of people and tourists to the event. The climatic conditions of Wondo-Genet and Hawassa are suitably attractive to most of the tourists. Hawassa has continued with its magnificent representations of multi-ethnic cultural or linguistic practices, and lifestyles. The religious and cultural practices of the community represented the cultural components that received concerns.
As a capital of SNNPRS region and relatively central location in the southern part of the country have made Hawassa to be more business center than it has been in the past years. There are a number of Agents opening their districts in Hawassa to reach market in SNNPR and neighbor areas. This increases the business center role of Hawassa. Most nationwide larger business organizations have their districts in Hawassa this in turn increases business interaction in the city where by different investors come here to invest in different investment sectors to reach the growing market of the region and nearby areas. Business activities that supplement the growing business centeredness of Hawassa has been rising from time to time in areas such as medical services, educational institutions, hotels and resorts, financial institutions consultancy and related services are rising from time to time.