In-Depth Analysis
Ethiopia
The East African giant is the second-most populous nation on the continent after Nigeria and, despite its commendable economic growth performance, remains one of the poorest nations on earth. Under the ambitious reform programme first revealed in 2018, Ethiopia seeks to escape the poverty trap via development towards becoming a regional energy powerhouse and manufacturing hub.
The Telecom reform process commenced after numerous delays as Ethiopia awarded a foreign operator license, but celebration was muted as poor bidding behaviour illustrated the erosive impact of rising trade and reputational risks. Also, Ethiopians turned to the polls against a backdrop of worsening distrust between regional states, rising support for ethno-nationalist parties, deepening reputational scars and a haphazard inoculation campaign. Substantial short-term risks aside, high potential exists in the clean energy industry, while stepwise sectoral reform should receive an added jolt from policy overhaul. (Source: Ethiopia Quarterly Update, published July 2021.)
Macroeconomic Data
(2020)
|
Fiscal Balance (as a % of GDP) |
-2.9 |
|
Consumer Price Index (% change y-o-y, avg) |
20.4 |
|
Current Account Balance (as a % of GDP) |
-3.0 |
|
Real GDP (annual % change) |
3.3 |
|
GDP per Capita, US$ |
800.9 |
|
Import Cover (months) |
2.12 |
|
Population, million |
115.0 |
| Total External Debt (as a % of GDP) |
35.1 |