Why is Ethiopia The World’s Fastest Growing Economy

Why is Ethiopia The World’s Fastest Growing Economy

The most recent numbers by the World Bank show that Ethiopia is the world’s fastest growing economy with a forecast showing that the GDP will grow by 8.3 percent in 2017. However, the global growth is projected to be a mere 2.7 percent. With this huge gap, it begs the question, what is Ethiopia doing that the rest of the world isn’t.

To answer your question, here are some of the things the guys in Ethiopia are doing:

  • Government’s spending on infrastructure

Transport system

While the rest of the world, in particular, African governments tries to repair existing infrastructure already in poor shape, the Ethiopian government is developing world-class roads, railway lines, and airports.

Power

Ethiopia doesn’t import power from other countries. By realizing that the best way to improve their economy starts from being self-sufficient, the country produces own electricity and is currently reaping its fruits power to most of its neighboring countries. As a Registered Massage Therapist Toronto, you can agree that power is critical for any work to take place. Ethiopia’s power plant meets its local power needs effortlessly.

Buildings

The buildings in Ethiopia are also a statement on their own. Rather than let citizens come up with housings of low standards, the government is developing upmarket houses for their citizens where the locals get to pay a certain percentage in the mortgage. This ensures that residential and commercial establishments meet the highest safety and architectural standards.

  • Ethiopia’s Hospitality

If there is a country you must visit in Africa, let it be Ethiopia – first, you will experience the best customer services when traveling. The people are so beautiful and welcoming. The hotel industry is booming with some of the best hoteliers in the world taking the business to this country. Again, you can blame the good infrastructure as well as the favorable political climate for this.

To boost the hotel industry and tourism, Ethiopia has breathtaking hotels which also serve as historical symbols. Itegue Taitu Hotel which is thought to be the first modern hotel in Ethiopia was built in the early 1900s and named after its founder, Empress Taitu Betul, the wife of Emperor Menelik II. It is a fine and cozy restaurant for dining and resting.

Jazzamba Lounge is the other historic hotel that has gained international recognition following Ethiopian Jazz scene’s revival in the 1960s and the early 1970s.

Addis Ababa has 12 international hotel brands, and it’s no wonder that Addis is the third Diplomatic City in the world after Washington and Brussels.

  • Government Commitment to lift its citizens from poverty

Unlike other countries in the world, the Ethiopian government dedicates between 65 -70 percent of its budget to the pro-poor development activities like health, agriculture, infrastructure, and education. As mentioned above, the housing, transport networks, and power are sufficient for all Ethiopian households. It is also worth mentioning that the telecommunication systems are well advanced in the country.

Final Thoughts

With all these going for the country and the peaceful political climate in the country, it is no wonder the country is growing faster than the rest of the world. It is, however, worth mentioning that all isn’t rosy. The government relied on borrowing for most of its infrastructure development increasing public debt.