Doing Business in Ethiopia 

Ethiopia Economic Research

KASI Provides Consumer Insights Into African Behavior 

Business Promotion in Ethiopia 

The Ethiopian Economy

Located in the horn of Africa, Ethiopia boasts one of the best performing economies in sub-Saharan Africa. The second largest market in Africa, the country is land-locked, but acts as a hub with some of the best access to the rest of the country from its points of entry.

The Ethiopian Agriculture

Ethiopia is heavily dependent on agriculture as this is the main force driving the country’s economy. Exports rely mostly on the production of coffee, but oil seeds and animal hides and skins are also in demand from the region. With a young trainable workforce, investors can look internally to hire employees as farming occupies 95 percent of agricultural production and employs around 85 percent of the workforce in Ethiopia, which due to poverty-stricken areas sits at about 60% nationally. The government has policies in place to ensure this piece of the economy stays strong and can fluctuate with the ever-changing business landscape.

The Ethiopian Infrastructure

The country’s infrastructure has steadily improved over the last few decades with the government investing big in improvement and development of connected, all-weather roadways and an updated railway system. These two components are crucial to the country’s success as a trade partner and the flow of their economy as the country as land locked.  The country is investing around $6 billion dollars in both roads and railways and started operating the railway system commercially in 2018. Ethiopia relies Djibouti for port access and an agreed upon peace with Eritrea in 2018 has opened doors for port access there as well. A strong economy and heavy investment in its infrastructure make Ethiopia and attractive location for any investors looking to grow their business.

The Ethiopian Tourism

The country is home to many natural wonders and national parks that drive the industry. In 2015, The European Council on Tourism and Trade awarded Ethiopia as the world’s best tourism destination for that year citing outstanding natural beauty, dramatic landscapes and ancient culture. Investors can have an upper hand with tourists as the hospitality industry has seen little improvement in recent years. There has been an influx of smaller hotels and venues as the result of a construction boom, but the country lacks an established frontrunner in the industry. 

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