Ethiopia’s Kabana Design, led by entrepreneur Semhal Guesh, has been named the winner of the CBI Sustainable Business Award 2025, recognizing its exceptional commitment to sustainability, innovation and women’s empowerment. The award was announced during the Sustainable Business in Action webinar held on 7 October 2025, hosted by the Centre for the Promotion of Imports from Developing Countries (CBI).
This year’s competition, relaunched in a renewed format, aims to spotlight small and medium-sized enterprises (SMEs) that promote fair and inclusive trade through responsible social and environmental practices. Out of 62 applications from 21 countries, Kabana Design stood out among three inspiring finalists, SALID Agriculture Nigeria Ltd and Gorilla Highlands Coffee from Uganda, impressing the jury with its innovative approach to circular fashion and community impact.
Sustainability at the Heart of Kabana Design
Kabana Design’s journey is proof that sustainability and style can thrive together. Founded by architect-turned-entrepreneur Semhal Guesh, the Ethiopian leather brand combines creativity with a deep sense of social responsibility. The company sources 92% of its materials locally, supporting smallholders and reducing emissions linked to imports. Almost all its leather waste is upcycled into new products, from bags to furniture, making circularity a central part of its operations.
Beyond its environmental focus, Kabana’s model is built on inclusion and empowerment. The company provides fair wages and safe working conditions while creating jobs for women from vulnerable backgrounds, including those displaced by conflict or violence. Through training and stable employment, these women gain financial independence and the confidence to rebuild their lives.
Kabana Design also contributes to Ethiopia’s Green Legacy Initiative, engaging in tree planting and CO₂ monitoring along its value chain. These efforts showcase how a local enterprise can align business success with environmental responsibility, proving that sustainability is not a luxury but a viable path for growth.
During the award ceremony, the jury praised Kabana’s impact, noting that it “demonstrates how fashion can be both beautiful and beneficial to people and the planet.” The recognition comes with a tailor-made study visit to the Netherlands, where Kabana will gain access to valuable networks, Dutch importers and potential business collaborations.
Empowering Women and Redefining African Entrepreneurship
Behind Kabana Design’s success is Semhal Guesh, a young Ethiopian entrepreneur whose determination has made her a role model for women across Africa. Trained as an architect, Semhal brings design precision and structural thinking into her fashion work. Her vision is not only to grow her business but also to contribute to the development of Ethiopia’s leather industry, which she believes can play a major role in job creation and economic growth.
Semhal’s journey began in 2012 while she was still a student, crafting leather waste into bracelets in her spare time. After a few failed business attempts, she launched Kabana Design in 2017, turning her passion for design into a sustainable enterprise. What started as a small side project while working at an architectural firm soon became a full-time mission. Once she hired her first employee and witnessed the positive change it brought to that person’s life, she decided to leave her job and focus entirely on Kabana.
In just a few years, Kabana Design achieved remarkable growth, selling over 14,000 leather items in 2018 and nearly doubling sales the following year. The brand quickly gained recognition for its craftsmanship and ethical production. Semhal now aims to expand Kabana’s presence across Africa and Europe, showcasing the strength of Ethiopian-made fashion on the global stage.
Semhal’s leadership extends beyond her business. During the COVID-19 pandemic, she led a consortium of twelve companies that repurposed factories to produce personal protective equipment (PPE), saving more than 1,060 jobs. Her actions during that crisis demonstrated her belief that entrepreneurship should create solutions not just for profit but for people.
Her achievements have earned her several accolades. She was named Young Female Entrepreneur of the Year by UNDP and Global Entrepreneurship Week (GEW) in 2018, participated in the Obama Foundation’s Young African Leaders Initiative (YALI) 2020, and completed a leadership program on sustainable business management at the Swedish Management Institute. Semhal also served on the board of the Association of Women in Boldness (AWiB), helping connect women with ambition to opportunities that turn their ideas into action.
CBI’s Role in Building a Sustainable Future
The CBI Sustainable Business Award forms part of the organization’s broader mission to promote inclusive and sustainable trade across developing countries. By celebrating companies like Kabana Design, CBI highlights how small businesses can drive change in their communities while remaining competitive in international markets.
CBI supports SMEs in improving their economic, social and environmental sustainability, helping them export products and services to Europe and regional markets. This year’s award also recognized the contribution of the Embassies of the Kingdom of the Netherlands in Ethiopia, Uganda and Nigeria, which played a crucial role in supporting the finalists and ensuring the success of the program.
During the Sustainable Business in Action webinar, moderated by Anitra van der Kraan and hosted by Esther Verhaegh, speakers Marchel Gerrmann from the Ministry of Foreign Affairs of the Netherlands and Judith Arends, Managing Director of CBI, announced Kabana Design as the winner. They commended all finalists for their innovative efforts to integrate sustainability into their operations and encouraged more enterprises to follow their lead.
With initiatives like the Sustainable Business Award, CBI and its partners are demonstrating that trade can be both profitable and purposeful. By empowering SMEs to grow responsibly, they are helping to build economies that value people and the planet as much as profit.
A Celebration of Sustainable Progress
Kabana Design’s victory represents more than just a personal success story, it symbolizes the rising power of African entrepreneurship driven by sustainability and inclusivity. Through resilience, creativity and purpose, Semhal Guesh and her team have shown that ethical business can drive national development and global recognition.
As Kabana prepares for its study visit to the Netherlands, its journey continues to inspire others across Africa to rethink how business can contribute to a greener, fairer future. CBI’s renewed focus on sustainability, coupled with the dedication of entrepreneurs like Semhal, marks a promising step toward transforming trade together, one sustainable business at a time.
