Ethiopia Achieves Double GDP by Implementing Multi-sectoral Economic Approach: PM Abiy

Addis Ababa November 14/2023 (ENA)Ethiopia has doubled its GDP over the past five years from around 84 billion USD to about 164 billion USD by following multi-sectoral economic approach, Prime Minister Abiy Ahmed said.

Responding to questions forwarded to him by members of parliament during 4th regular session of the House of Peoples’ Representatives (HPR) today, Abiy said that macroeconomic stability is one of the main priorities of the Homegrown Economic Reform Agenda.

Stating that there has been macroeconomic imbalance in the country, he said stabilizing the macroeconomy was one of the targets of the homegrown economic agenda. 

Modernizing and improving the business environment, increasing productivity of various sectors, increasing the capacity of the government are also among the pillars of the homegrown economic agenda.

During the past five years, there have been various man-made and natural challenges in Ethiopia and in other parts of the world including conflicts, COVID-19, pressure of fluctuation of the international trade system among others, he pointed out. 

By following multi-sectoral economic approaches, for the first time in the country’s history, our GDP has grown double amid the aforementioned challenges, he affirmed. 

The premier recalled that Ethiopia’s GDP was about 84 billion USD by the time he came to power, adding the country’s GDP has now reached about 164 billion USD.   

The per capita income has also reached 1549 USD from 882 USD five years ago which registers double growth, it was indicated. 

In addition, the premier noted that Ethiopia is one of the few countries from Africa and around the world that are registering fast economic growth.  

Regarding industry, the sector registered 6.9 percent growth last Ethiopian budget year as the electric sector has registered the highest growth more than 12 percent. 

Similarly the construction and manufacturing sectors registered 7.1 percent and 7 percent respectively during the stated period. 

Manufacturing is one of the critical sectors for the nation, Prime Minister Abiy stressed and added the total production capacity of the total factories were around 47 percent, but now it reaches 55 percent increasing by 8 percent due to the activities launched by Ethiopia Tamirt Movement. 

Recall that the country has achieved 7.5 percent economic growth last fiscal year by overcoming various challenges.

During the current fiscal year, the nation has set a target of increasing the overall economic growth to 7.9 percent by strengthening the efforts being made in multifaceted sectors, it was learned.