Africa-Press – Ethiopia. Ethiopia’s adoption of a pragmatic political economy approach is driving robust economic expansion, with growth projected to accelerate into double digits, Prime Minister Abiy Ahmed revealed.
In a social media statement issued alongside the government’s third 100-day performance review, PM Abiy pointed out that the policy shift has already begun yielding tangible results.
“In response, we have adopted a new, pragmatic political economy approach. This shift has enabled the achievement of strong, double-digit growth momentum,” the Prime Minister noted.
According to the update, Ethiopia’s economy is currently growing at 9.2 percent, with projections indicating an increase to 10.2 percent in the coming year.
The government also outlined sector-specific targets, underscoring a broad-based growth strategy. “Sectorally, we are advancing targeted growth objectives: 7.9 percent in agriculture, 13.2 percent in industry, and 9.3 percent in services,” PM Abiy said.
The Premier further emphasized that the reforms are part of a wider effort to build a resilient and competitive economy. “These efforts reflect our commitment to building a more resilient, competitive, and inclusive economy,” it added.
Reflecting on past challenges, the statement acknowledged that Ethiopia’s economy had been constrained by structural weaknesses.
“We have moved away from an economy once characterized by a weak institutional and political framework that was not conducive to growth, limited private sector participation, and an ineffective regulatory environment,” he said.
It further highlighted that private sector competitiveness had been low, while state-owned enterprises were weighed down by inefficiencies and high debt burdens. Productivity challenges and vulnerability to climate change were also cited as major impediments to growth.
The government noted that the ongoing reforms are designed to address these bottlenecks while unlocking new opportunities for sustained economic transformation.
The 100-day review process, conducted periodically, serves as a mechanism to evaluate performance and align policy implementation with national development priorities.
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