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Ethiopia has entered a pivotal phase in regulating the data- and algorithm-driven economy. Two developments define this moment: the adoption of Ethiopias first comprehensive Personal Data Protection Proclamation and the federal executives approval of a National Artificial Intelligence (AI) Policy.

Every business operating in Ethiopia — whether a domestic manufacturing company, a foreign-invested enterprise, a bank, or a multinational project developer — is ultimately subject to a single judicial institution that defines the boundaries of Ethiopian law with final and binding authority: the Federal Supreme Court Cassation Bench

Ethiopia's legal landscape underwent a decisive transformation in July 2024 when the House of Peoples' Representatives formally published Proclamation No. 1321/2024 — the country's first comprehensive personal data protection legislation. For decades, Ethiopian businesses, government agencies, and international organisations operating in the country processed personal information under a patchwork of sector-specific provisions and constitutional privacy guarantees that lacked enforcement teeth