The Government of the Federal Democratic Republic of Ethiopia and the Government of the Republic of Yemen, hereinafter referred to as the Contracting Parties;

Desiring to strengthen their traditional ties of friendship and to extend and intensify the economic relation between them and in particular to create favorable conditions for investments by investors of one Contracting Party in the territory of the other Contracting Party,

Recognizing the need to protect investments by investors of both Contracting Parties and to stimulate the flow of investments and individual business initiative with the view to promoting the economic prosperity of both contracting parties.

Aware of the need to establish an adequate Juridical framework which settle and guarantee promotion and reciprocal protection of investments between both Contracting Parties.

Have agreed as follows: