Economy - overview:
Ethiopia - the second most populous country in Africa - is a one-party state with a planned economy. For more than a decade before 2016, Ethiopia grew at a rate between 8% and 11% annually – one of the fastest growing states among the 188 IMF member countries. This growth was driven by government investment in infrastructure, as well as sustained progress in the agricultural and service sectors. More than 70% of Ethiopia’s population is still employed in the agricultural sector, but services have surpassed agriculture as the principal source of GDP.Ethiopia has the lowest level of income-inequality in Africa and one of the lowest in the world, with a Gini coefficient comparable to that of the Scandinavian countries. Yet despite progress toward eliminating extreme poverty, Ethiopia remains one of the poorest countries in the world, due both to rapid population growth and a low starting base. Changes in rainfall associated with world-wide weather patterns resulted in the worst drought in 30 years in 2015-16, creating food insecurity for millions of Ethiopians.The state is heavily engaged in the economy. Ongoing infrastructure projects include power production and distribution, roads, rails, airports and industrial parks. Key sectors are state-owned, including telecommunications, banking and insurance, and power distribution. Under Ethiopia's constitution, the state owns all land and provides long-term leases to tenants. Title rights in urban areas, particularly Addis Ababa, are poorly regulated, and subject to corruption.Ethiopia’s foreign exchange earnings are led by the services sector - primarily the state-run Ethiopian Airlines - followed by exports of several commodities. While coffee remains the largest foreign exchange earner, Ethiopia is diversifying exports, and commodities such as gold, sesame, khat, livestock and horticulture products are becoming increasingly important. Manufacturing represented less than 8% of total exports in 2016, but manufacturing exports should increase in future years due to a growing international presence.The banking, insurance, telecommunications, and micro-credit industries are restricted to domestic investors, but Ethiopia has attracted roughly $8.5 billion in foreign direct investment, mostly from China, Turkey, India and the EU; US FDI is $567 million. Investment has been primarily in infrastructure, construction, agriculture/horticulture, agricultural processing, textiles, leather and leather products.In the fall of 2015, the government finalized and published the current 2016-20 five-year plan, known as the Growth and Transformation Plan II, which emphasizes developing manufacturing in sectors where Ethiopia has a comparative advantage, such as textiles and garments, leather goods, and processed agricultural products. To support industrialization, Ethiopia plans to increase installed power generation capacity by 8,320 MW, up from a capacity of 2,000 MW, by building three more major dams and expanding to other sources of renewable energy. In 2017, the government devalued the birr by 15% to increase exports and alleviate a chronic foreign currency shortage in the country.
GDP (purchasing power parity): GDP (official exchange rate): GDP - real growth rate: GDP - per capita (PPP): Gross national saving: GDP - composition, by end use: GDP - composition, by sector of origin: Agriculture - products: Industries: Industrial production growth rate: Labor force: Labor force - by occupation: Unemployment rate: Population below poverty line: Household income or consumption by percentage share: Distribution of family income - Gini index: Budget: Taxes and other revenues: Budget surplus (+) or deficit (-): Public debt: Fiscal year: Inflation rate (consumer prices): Central bank discount rate: Commercial bank prime lending rate: Stock of narrow money: Stock of broad money: Stock of domestic credit: Market value of publicly traded shares: Current account balance: Exports: Exports - commodities: Exports - partners: Imports: Imports - commodities: Imports - partners: Reserves of foreign exchange and gold: Debt - external: Exchange rates:
$195.8 billion (2017 est.)
$180.5 billion (2016 est.)
$167.2 billion (2015 est.)
note: data are in 2017 dollars
country comparison to the world: 65
$79.74 billion (2016 est.)
[see also: GDP (official exchange rate) country ranks ]
8.5% (2017 est.)
8% (2016 est.)
10.4% (2015 est.)
country comparison to the world: 4
[see also: GDP - real growth rate country ranks ]
$2,100 (2017 est.)
$2,000 (2016 est.)
$1,900 (2015 est.)
note: data are in 2017 dollars
country comparison to the world: 206
28.9% of GDP (2017 est.)
32% of GDP (2016 est.)
31.3% of GDP (2015 est.)
country comparison to the world: 30
[see also: Gross national saving country ranks ]
household consumption: 70.5%
[see also: GDP - composition, by end use - household consumption country ranks ]
government consumption: 10.5%
[see also: GDP - composition, by end use - government consumption country ranks ]
investment in fixed capital: 41.9%
[see also: GDP - composition, by end use - investment in fixed capital country ranks ]
investment in inventories: -0.1%
[see also: GDP - composition, by end use - investment in inventories country ranks ]
exports of goods and services: 8.1%
[see also: GDP - composition, by end use - exports of goods and services country ranks ]
imports of goods and services: -31% (2017 est.)
[see also: GDP - composition, by end use - imports of goods and services country ranks ]
agriculture: 35.8%
[see also: GDP - composition, by sector of origin - agriculture country ranks ]
industry: 22.2%
[see also: GDP - composition, by sector of origin - industry country ranks ]
services: 42% (2017 est.)
[see also: GDP - composition, by sector of origin - services country ranks ]
cereals, coffee, oilseed, cotton, sugarcane, vegetables, khat, cut flowers; hides, cattle, sheep, goats; fish
food processing, beverages, textiles, leather, garments, chemicals, metals processing, cement
10.5% (2017 est.)
country comparison to the world: 9
[see also: Industrial production growth rate country ranks ]
52.82 million (2017 est.)
country comparison to the world: 14
[see also: Labor force country ranks ]
agriculture: 72.7%
[see also: Labor force - by occupation - agriculture country ranks ]
industry: 7.4%
[see also: Labor force - by occupation - industry country ranks ]
services: 19.9% (2013 est.)
[see also: Labor force - by occupation - services country ranks ]
17.5% (2012 est.)
18% (2011 est.)
country comparison to the world: 179
[see also: Unemployment rate country ranks ]
29.6% (2014 est.)
[see also: Population below poverty line country ranks ]
lowest 10%: 4.1%
[see also: Household income or consumption by percentage share - lowest 10% country ranks ]
highest 10%: 25.6% (2005)
33 (2011)
30 (2000)
country comparison to the world: 108
[see also: Distribution of family income - Gini index country ranks ]
revenues: $12.11 billion
[see also: Budget - revenues country ranks ]
expenditures: $14.63 billion (2017 est.)
[see also: Budget - expenditures country ranks ]
15.2% of GDP (2017 est.)
country comparison to the world: 185
[see also: Taxes and other revenues country ranks ]
-3.2% of GDP (2017 est.)
country comparison to the world: 122
[see also: Budget surplus (+) or deficit (-) country ranks ]
60.2% of GDP (2017 est.)
54.5% of GDP (2016 est.)
country comparison to the world: 74
[see also: Public debt country ranks ]
8 July - 7 July
8.1% (2017 est.)
7.3% (2016 est.)
country comparison to the world: 199
[see also: Inflation rate (consumer prices) country ranks ]
NA%
[see also: Central bank discount rate country ranks ]
13% (31 December 2017 est.)
12.2% (31 December 2016 est.)
country comparison to the world: 62
[see also: Commercial bank prime lending rate country ranks ]
$14.92 billion (31 December 2017 est.)
$14.56 billion (31 December 2016 est.)
country comparison to the world: 73
[see also: Stock of narrow money country ranks ]
$28.53 billion (31 December 2017 est.)
$28.21 billion (31 December 2016 est.)
country comparison to the world: 79
[see also: Stock of broad money country ranks ]
$39.26 billion (31 December 2017 est.)
$36.37 billion (31 December 2016 est.)
country comparison to the world: 71
[see also: Stock of domestic credit country ranks ]
$NA
[see also: Market value of publicly traded shares country ranks ]
-$6.592 billion (2017 est.)
-$7.206 billion (2016 est.)
country comparison to the world: 180
[see also: Current account balance country ranks ]
$3.076 billion (2017 est.)
$2.814 billion (2016 est.)
country comparison to the world: 124
[see also: Exports country ranks ]
coffee (27%, by value), oilseeds (17%), edible vegetables including khat (17%), gold (13%), flowers (7%), live animals (7%), raw leather products (3%), meat products (3%)
US 9.7%, Saudi Arabia 9.6%, Germany 8.5%, Switzerland 7.5%, China 5.1%, UAE 4.9%, Pakistan 4.4% (2016)
$16.76 billion (2017 est.)
$16.03 billion (2016 est.)
country comparison to the world: 82
[see also: Imports country ranks ]
machinery and aircraft (14%, by value), metal and metal products, (14%), electrical materials, (13%), petroleum products (12%), motor vehicles, (10%), chemicals and fertilizers (4%)
China 28.8%, US 8%, India 6.7%, Kuwait 5% (2016)
$3.147 billion (31 December 2017 est.)
$3.022 billion (31 December 2016 est.)
country comparison to the world: 103
[see also: Reserves of foreign exchange and gold country ranks ]
$29.09 billion (31 December 2017 est.)
$24.82 billion (31 December 2016 est.)
country comparison to the world: 82
[see also: Debt - external country ranks ]
birr (ETB) per US dollar -
23.6 (2017 est.)
21.732 (2016 est.)
21.732 (2015 est.)
21.55 (2014 est.)
19.8 (2013 est.)