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.
Further delays to the telecom sector reform drive and slow progress toward restructuring of external debt flow will amplify external pressures associated with the loss of trade benefits under the African Growth and Opportunity Act (Agoa). Furthermore, multi-year-high inflation, a drawn-out conflict and the associated repercussions to regional and international trade, failure to meet infrastructural development goals, and delays to establishing Ethiopia as a regional energy powerhouse, pose downside risk to growth. (Source: Ethiopia Annual Country Profile, published January 2022.)
Macroeconomic Data
(2021)
|
Fiscal Balance (as a % of GDP) |
-3.0 |
|
Consumer Price Index (% change y-o-y, avg) |
26.7 |
|
Current Account Balance (as a % of GDP) |
-4.2 |
|
Real GDP (annual % change) |
3.6 |
|
GDP per Capita, US$ |
718.1 |
|
Import Cover (months) |
1.75 |
|
Population, million |
117.9 |
| Total External Debt (as a % of GDP) |
35.3 |