DETERMINANT OF DELAY IN THE IMPLEMENTATION OF PRIVAT INVESTEMENT: A CASE STUDY OROMIA SPESIAL ZONE SURROUNDING FINFINNE

Abstract

the progress of the status of private investment in Ethiopia has remained slow. This study was conducted with the objective of investigating the microeconomic level determinants of private investment in the agro processing sector. The sample consisted of 63 private investors were selected from the total poplation of 170 using stratified random sampling method from implementation and operational status investments. The data were collected through structured questionnaires. The descriptive analysis and duration model were used as the main technique of data analysis so as to identify the main factors affecting private investment implementation delay. The findings of the study showed that access to infrastructure facilities, access to credit, and bureaucratic red tapes have a significant and negative impact on the investment implementation delay. However education level of the investors, access to land and corruption were found to have no significant impact on the investment implementation delay in the study. Finally, the study recommends that the zone administration, the regional government,the federal government other stake holders need to work hard towards improve private investment implementation, by considering aforementioned significant determinants of academic performance, The findings from this study have important implications for prospective business owners, lenders, and policy makers on how to improve private investment implementation and create conducive business environment.