Ethiopia
Federal Democratic Republic of Ethiopia
Amharic
Currency ETB
Civil law
AfCFTA • COMESA • IGAD
A large, rapidly growing market in the Horn of Africa with a diversified agriculture base and emerging light manufacturing. Policy resets since 2024 include a new interest rate based framework, steps to open banking, and the launch of a modern securities exchange to mobilise long term capital.
Overview
Ethiopia s growth story is anchored in agriculture, construction, and rising manufacturing with reforms to deepen private investment and exports. The AfCFTA is being operationalised and COMESA membership supports regional market access. Investor facing agencies include EIC for permits and facilitation and the Ministry of Revenues eTax for registrations and compliance.
Snapshot
Population
~127 M 2024 est.
World Bank country data
GDP current USD
$126.8 B 2022
World Bank WDI
GDP per Capita
$1,011 2022
World Bank WDI
Inflation y over y
13.6% Aug 2025
Ethiopian Statistics Service
Policy Rate
15.0% held Jun 2025
National Bank of Ethiopia MPC
Internet Use
~19.4% 2022
World Bank via TE
Electrification
~55% 2023
World Bank and WB feature
Market Note
ESX securities exchange launched
FT and official releases
Focus Sectors
Coffee and Agro processing
Horticulture and Floriculture
Construction Materials
Light Manufacturing and Textiles
Logistics and Dry Ports
ICT and Digital Services
Energy and IPPs
Mining and Gold
Tourism and Heritage
Trade
Top Export Partners 2022
- United States16.7%
- Saudi Arabia12.2%
- Somalia10.5%
- Germany8.3%
- Netherlands6.7%
WITS snapshot
Top Export Goods
Coffee
Gold
Oilseeds
Cut flowers
Khat and pulses
Top Import Partners 2022
- China32.3%
- United Arab Emirates10.1%
- India7.1%
- Saudi Arabia5.8%
- Turkey5.2%
WITS snapshot
Top Import Goods
- Motor spirit and refined petroleummajor share
- Palm oilfood and FMCG
- Nitrogen fertilisersurea and mixes
- Durum and other wheatfood security
- Vehicles and machineryindustrial
WITS and OEC 2022 2023
Finance and Capital Markets
Currency and Policy
- CurrencyEthiopian Birr ETB
- Policy rate15.0% NBE
- FX regimeManaged with auctions and reforms underway
NBE press and Reuters
Markets
- ExchangeEthiopia Securities Exchange ESX launched
- Capital flowBanking opening to foreign entrants phased
FT and NBE and Parliament releases
Regulations and Taxes
Start a Business
- Check name and draft MoA AoA — Ministry of Trade
- Investment permit — EIC online or desk
- Open bank and FX account — via NBE rules
- Tax registration and e invoicing — Ministry of Revenues eTax
- Sector license as required — line ministries
EIC and MoR and MoTRI
Key Taxes
- Corporate Income Tax30%
- VAT standard15%
- WHT Dividends10%
- WHT Interest10% typical
PwC WTS and VAT Proclamation 1341 2024
Talent
Median Age
~19.1 yrs
World Economics and UN
Adult Literacy
~52% latest available
World Bank UIS
Tertiary Enrolment
low teen share
World Bank UIS
Language
Amharic plus regional
Gov
Policy
- AfCFTARatified and tariff concessions regulation issued 2025
- MonetaryNew policy framework and MPC with 15% rate
- BankingLaw opening to foreign banks passed 2024
- EnergyGERD commissioning to lift power supply
AU and NBE and Reuters
Risks
- FX and external balanceParallel premium and hard currency access
- Security and logisticsPeriodic disruptions to transport and production
- Inflation pass throughAdministered price adjustments and weather
IMF and media monitoring
Resources
Ethiopian Investment Commission
EIC online registration
Trade license portal
Ministry of Revenues eTax
COMESA trade
WITS trade snapshot
OEC country profile
Links open in a new tab.
Data Notes
Population, GDP level and per capita from World Bank country data. Inflation August 2025 from the Ethiopian Statistics Service. Policy rate 15 percent per NBE press and MPC notes. Electrification progress from World Bank energy access features and WDI. Trade partners and top goods from WITS Ethiopia snapshot and OEC. Corporate tax 30 percent and VAT 15 percent per PwC Worldwide Tax Summaries and VAT Proclamation 1341 2024. ESX launch reported by international financial media. AfCFTA ratification and implementation steps confirmed by AU and tralac briefs.