Ethiopia's Economy Booming because of Enabling Environment, Says UN Global Compact CEO

Addis Ababa, February 19, 2026 (ENA) –Emphasizing the growing potential of Ethiopia, United Nations Global Compact CEO and Executive Director Sando Ojambo said the economy seems to be booming because of the enabling environment created in the country.

Local private sector engagement is helping the economy to boom, she added, pointing at recent liberalizations in banking and telecommunications. 

“We have seen the liberalization of a couple of things. We have seen it in banking and telecommunications. So it looks like there is very strong engagement and good environment for private sector,” the CEO noted.

Ojambo further underscored the vital role of small and medium enterprises (SMEs) in promoting economic growth of the country. 

According to her, the engagement of young people and women in SMEs are key contributors to sustainable development in Ethiopia. 

The creation of favorable environment has been playing a critical role for the growth of private sector, she stressed.

The CEO, who has recently visited Addis Ababa, observed the significant development of the city, saying that there is lots of growth in the city.

“I've been in Addis a couple of times. I have to say there is lots of growth in the city, obviously booming, from real estate to restaurants to other things. I mean the economy seems to be booming.”

 In addition to Ethiopia, Ojambo noted that many of the world’s fastest-growing economies are in Africa, reflecting a vibrant and expanding private sector.

Underlining the importance of engaging with Africa's burgeoning private sector, she called for fostering investment opportunities, mobilizing domestic capital, and enabling Africans to invest more within their own continent.

The CEO mentioned the prevalent “risk perception’’ surrounding Africa, often labeled as un-investable. However, she argued that statistics tell a different story, emphasizing the need to shift this narrative by de-risking investments through patient and domestic capital.

She highlighted the key investment opportunities in sectors such as energy, infrastructure, and digital jobs, particularly pointing to Africa's youthful population as a significant asset. 

The CEO, expressing optimism about the political and business leadership in Africa, finally called for a collective movement away from dependency, noting that it is time for Africa to prioritize self-investment.