FORTUNE+ VIDEO SPONSORED CONTENTS ADVERTORIALS FORTUNE AUDIO Fortune Careers New TRADE AFRICA New

Fortune Logo

Jan 5 , 2020

Ethiopia averaged 9.9pc annual GDP growth from 2008 to 2018, an impressive record by any standard. It has experienced uninterrupted and unprecedented expansion in the economy from six billion dollars in 1988 to 97 billion dollars it is projected to reach in 2020.

Before all foreign news stories about Ethiopia started with the sentence, “The reformist Prime Minister of Ethiopia who came from humble backgrounds . . .,” they started with, “One of the fastest-growing countries in the world . . .”


There was no falsity to that narrative. Ethiopia averaged 9.9pc annual GDP growth from 2008 to 2018, an impressive record by any standard. It has experienced uninterrupted and unprecedented expansion in the economy from six billion dollars in 1988 to 97 billion dollars it is projected to reach in 2020. Per capital income has surged seven times as well.


But growth brought with it almost as many problems as it solved - income inequality was the most evident of these. Ethiopia added two percentage points in the Gini-coefficient index in 2015, from 33 points five years earlier, showing an evident increase in the gap between the poor and wealthy. Economic inequality reared its ugly head higher and higher as growth sped along.


At the same time, as Karl Marx had predicted, it became clear to the economically disenfranchised that they were getting the short end of the stick and decided to rise up. Together with a range of social and political demands, income inequality became one of the catalysts in driving the anti-government movement that climaxed in April 2018.


PUBLISHED ON Jan 05,2020 [ VOL 20 , NO 1028]

How useful was this post?

Click on a star to rate it!

Average rating 0 / 5. Vote count: 0

No votes so far! Be the first to rate this post.



Related Posts

[ssba-buttons]

Put your comments here

N.B: A submit button will appear once you fill out all the required fields.

Editors' Pick

Exclusive Interviews

State Enterprises from Oracles to Apprentices

Dec 22 , 2024 . By TIZITA SHEWAFERAW

Charged with transforming colossal state-owned enterprises into modern and competitiv...

Agenda

Rising Costs, Inflation Threaten Insurance Industry

Aug 18 , 2024 . By AKSAH ITALO

Although predictable Yonas Zerihun's job in the ride-hailing service is not immune to...

Agenda

BREWING DISCONTENT

Jul 28 , 2024 . By TIZITA SHEWAFERAW

Unhabitual, perhaps too many, Samuel Gebreyohannes, 38, used to occasionally enjoy a couple of beers at breakfast. However, he recently swit...

Fortune News

Electric Vehicle Push Leaves Investors in the Lurch

Jul 13 , 2024 . By AKSAH ITALO

Investors who rely on tractors, trucks, and field vehicles for commuting, transporting commodities, and f...

Commentaries

Aid Retreat Signals a Broader Collapse of Global Compassion

In 2015, the United Kingdom's (UK) then-prime minister, David Cameron, stood before t...

Can the Conference on Financing for Development Succeed?

It is easy to be pessimistic about multilateralism nowadays. Recent international gat...

Fineline

Leaders of the National . . .

Leaders of the National Election Board are in a charm offensive mood, of a sort. Last week, they organised a rare tour for members of the me...

When the country’s most. . .

When the country's most senior diplomats and envoys return back to their posts after two-week debriefings, they leave behind a point or two...

Editorial

Desire to March to the Sea Should Spill Reason on the Way

Jun 14 , 2025

Yet again, the Horn of Africa is bracing for trouble. A region already frayed by wars...

Where the Roof Overhead Comes with a Ceiling on Hope

Jun 7 , 2025

Few promises shine brighter in Addis Abeba than the pledge of a roof for every family...

Courting Foreign Buyers of Properties While Land Remains State-Owned

May 31 , 2025

It is seldom flattering to be bracketed with North Korea and Myanmar. Ironically, Eth...

A Country on Life Support Must Not Neglect Its Healers

May 24 , 2025

Public hospitals have fallen eerily quiet lately. Corridors once crowded with patient...

Gallery

Parliament Approves New Cabinet Members

Oct 6 , 2021

Parliament Approves New Cabinet, Incorporates Opposition Leaders Lawmakers have approved today the nominations of 22 ministers, including three opposition leaders. Two MPs have voted against, while 12 abstained...

2020 in Posterity

Jan 5 , 2021

TIGRAY VOTES DESPITE "NULL & VOID" THREAT

Sep 9 , 2020

IN-PICTURE: LAUREATE'S RECEPTION  

Dec 14 , 2019

PM Abiy Ahmed (PhD) at a Gala Dinner Called for the Awarding of the Félix Houphouët-Boigny Peace Prize

May 6 , 2019

Faces, Voices of Addis Abeba

Apr 26 , 2019

Sunday With Eden

Before Help Can Be Summoned

Over the weekend, a parent shared the story of a friend's teenage son who died after unknowingly taking pills laced with fentanyl. “He was...

Tainted Trust Behind White Lies

Milk has long symbolized nourishment, growth especially for young children. In many families, including mine, it is more than a dietary stap...

Life Matters

The Curious Case of Barking Dogs

On multiple occasions, I have found myself watching the garbage collectors on their morning route, a subtle unease settling in. There is a s...

A Dangerous Beam in a Childs Hand

It was during an ordinary errand, shopping for socks, that an unexpected discovery occurred. A gleaming green beam drew my attention to a cu...