EFFECTS OF CUSTOMS FUNCTION AUTOMATION ON REVENUE COLLECTION IMPROVEMENT: CASE OF ETHIOPIAN REVENUES AND CUSTOMS ATHORITY

  • Hiluf Berhe ABRAHA
Keywords: revenue collection improvement, The Ethiopian Revenues and Customs Authority, Customs functions automation

Abstract

The Ethiopian Revenues and Customs Authority (ERCA) is the body responsible for
collecting revenue from Customs duties and domestic taxes. In addition to raising revenue,
the ERCA is responsible to protect the society from adverse effects of smuggling. This
research confirms the key idea stated at United Nations conference on trade and
development in 2016 as for the role of Customs functions automation and its aim to
effectively improve revenue collection. In the study, the author used general scientific
methods: analysis, synthesis, comparison, generalization. The study also adopted
quantitative research approach and descriptive research methods, combat fraud, provide
statistical information, encourage international trade, speed up Customs clearance and
minimize administrative cost.
However, from ERCA annual reports, from media and personal observations, the
researcher underlines the authority was ineffective in Customs functions automation due to
different challenges. Thus, the objective of the study is to look into the effects of Customs
functions automation in ERCA on revenue collection improvements. To achieve the
objective, a 24-year revenue collection quantitative data were collected.
The collected data was analyzed by both descriptive and inferential statistics (simple
leaner regression analysis) with SPSS Version 21.0 tool.
In conclusion, the author indicates a positive relationship among Customs functions
automation and revenue collection enhancement. As ERCA atomize one Customs function,
revenue collection ability increases by $2.17. Thus, the author recommended that the
Authority should concentrate on effective Customs functions automation.

Author Biography

Hiluf Berhe ABRAHA

Ethiopian Civil Service University

References

1. Federal Negarit Gazzeta 2008, Ethiopian Revenues and Customs Authority
Establishment Proclamation No. 587/2008, A ddis A baba-Ethiopia 14th year, No 40, 14 July,
2008
2. Teweldeberhan Wgebriel 2011, Challenges of Customs on Trade Facilitation in
Ethiopia: The case of Customs clearance in ERCA: a thesis submitted to the school of
graduate studies of Addis Ababa University in partial fulfillment of the requirements for the
degree of Master of Science in Accounting and Finance, viewed 30 December 2015,
www.scribd.com/doc/116399300/Teweldeberhan-Wgebriel
3. World Customs Organization 2007, Compendium of integrity best practice
4. World Customs Organization 2003, Revised A rusha Declaration: Declaration of
the Customs Cooperation Council concerning good governance and integrity in Customs
5. Reader for advanced Customs management (M-02), available at Ethiopian Civil
Service University library
6. World Customs Organization 2007, Integrity development guide
7. Tanzania 7 July1993 (81st/82nd Council session) and revised in June 2003
(101st/102nd council session), viewed 29 September 2015, www.Customs.bg/
document/3107
Published
2017-12-31
How to Cite
ABRAHA, H. B. (2017). EFFECTS OF CUSTOMS FUNCTION AUTOMATION ON REVENUE COLLECTION IMPROVEMENT: CASE OF ETHIOPIAN REVENUES AND CUSTOMS ATHORITY. Customs Scientific Journal CUSTOMS, 7(2), 25-30(engl.); 105. Retrieved from https://ccjournals.eu/ojs/index.php/customs/article/view/753
Section
IMPLEMENTATION OF THE WCO STANDARDS