Browsing: Ethiopia’s GDP

Ethiopia’s economy to fall to 2% in 2021 and recover to 8% in 2022

In 2020 gross reserves amounted to $3.1 billion which the reports said is like 2.5 months of imports and are not likely to provide a short term alternative source of development financing.

With Ethiopia expected to receive $1 billion in Eurobond in December 2024, expanding public debt in the context of large public expenditure requirements can limit the fiscal space which will lead to repayments risks. To address this challenge, the country will need to work on reforms in public finance and investments management so as to improve the efficiency of public expenditures, the report explained.

In order to contain the debt burden in the government has established the fiscal consolidation strategy ‘Home-Grown Economic Reform agenda’, which plans to expand public financing sourcing, suspend non-concessional borrowing, harness grants and concessional loan and restructure debts.…

The International Monitory Fund (IMF) predicts that the economic growth for Ethiopia in 2020 is 1.9 per cent while its growth in 2021 will be at zero.

This is from IMF’s Regional Economic Outlook of Sub Saharan Africa under the title, ‘A Difficult Road to Recovery.’ The report shows how African countries’ economies have been hit severely by the covid-19 pandemic.

According to the report, the economic growth of African countries in 2020 has significantly dropped due to the pandemic and estimates a worse forecast than the ones in its April reports.

The report further states that this year very few countries have has positive improvements in terms of growth while the rest are below zero and the majority are in negative performance.

According to the report,  in the Ethiopia budget for the year that ended on July 7, 2020, the county’s economic growth has shown a massive drop in …