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Ethiopia

City view of Addis Ababa, the capital of Ethiopia

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Overview

A rising nation facing big challenges

Ethiopia is still one of the least developed countries in the world, but its government is pursuing an ambitious strategy of industrialisation in order to create jobs and, thus, a better future for the young generation.

However, the country is still facing structural problems that are hampering development, especially recurring periods of drought, a high rate of population growth and poorly developed infrastructure. Climate, vegetation and frequency of rainfall vary greatly from region to region.

Moreover, Ethiopia is one of the countries that have taken in the largest numbers of refugees worldwide. At present, there are more than 920,000 registered refugees and asylum seekers in Ethiopia for whom the government has to provide services – mainly from neighbouring South Sudan, Somalia, Eritrea and Sudan (as at May 2018).

Development cooperation

Germany is currently supporting programmes in Ethiopia in the priority areas of vocational education, food security and agriculture, and conservation and sustainable use of natural resources (biodiversity).

Germany is also supporting the refugees hosted by Ethiopia, as well as their host communities, and is helping to foster employment-generating, sustainable private sector development (social and environmental standards in the textile sector, special initiative on training and job creation). And Germany is helping to strengthen Ethiopia's health system by supporting immunisation campaigns carried out by Gavi, the Vaccine Alliance.

Scroll down to get detailed information about the situation in Ethiopia and Germany's development engagement in the country.

Straight to:

Priority areas of cooperation with Ethiopia

Development facts and figures from Ethiopia

Wind energy laboratory in Ethiopia

Press release 30.10.2018

German Development Ministry expands reform partnerships: Launch of negotiations with Ethiopia, Morocco and Senegal

Federal Minister for Development Gerd Müller, Tobias Fischer (H&M) and M.A. Rahim (DBL Group) at the signing of a letter of intent to create a TVET centre for the textile industry in Ethiopia

Press release 04.04.2017

Development Minister Müller launches TVET centre for the textile sector in Ethiopia

Minister Müller visiting Ethiopia: villagers in the Somali region

Press release 03.04.2017

Catastrophic drought in the Horn of Africa – Development Ministry pledges further 100 million euros

Parliamentary State Secretary Thomas Silberhorn making a speech at a warehouse run by UNICEF in Addis Abeba, Ethiopia.

Press release 22.04.2016

Silberhorn pledges 10 million euros for UNICEF's work to help the hungry in Ethiopia

13-year-old Momina Ali has to take a day off from school to look for water.
Political situation

Governance and human rights

All members of parliament belong to the governing coalition, the Ethiopian Peoples' Revolutionary Democratic Front (EPRDF). Domestically, the scope for political action is limited. In response to protests against the government in 2015 and 2016, the government declared a state of emergency (October 2016 to August 2017 and February 2018 to June 2018).

In early 2018, Abiy Ahmed, a reform-oriented politician, was appointed Prime Minister. He has started to pursue efforts for internal and regional reconciliation (especially with Eritrea). As a result, a sense of a new beginning has emerged in the country, and people are hoping for reforms.

The Corruption Perceptions Index (CPI) of the non-governmental organisation Transparency International ranks Ethiopia 107th out of the 180 countries that were assessed (2017).

Human rights

The human rights situation is difficult. There are several laws that curtail civil liberties. Arrests, including of opposition politicians and journalists, based on an anti-terrorism law, give cause for concern.

However, there have been steps in the right direction: thousands of imprisoned opposition supporters, journalists and bloggers have been released since early 2018, and the state of emergency was lifted in June 2018.

Freedom of the press and freedom of speech are significantly restricted, as is civil society organisations' scope for action.

Despite a constitutional ban on discrimination and the government's active policy on women, women's rights in Ethiopia are not consistently upheld.

Armed conflicts

There are militant liberation movements operating in Ethiopia, which the government regarded as terrorist organisations until recently. They include sections of the Ogaden National Liberation Front (ONLF). Another group, the Oromo Liberation Front (OLF), is seeking to establish an independent Oromo state. Both movements have committed several terrorist attacks. Prime Minister Abiy's government has revoked the terrorist status of these organisations and seeks to settle the conflicts peacefully.

Women workers in a textile factory in Ethiopia
Social situation

Focus on development is yielding results

The current government has extremely ambitious reform plans for modernising the state and reducing poverty. Over the last few years, Ethiopia has made enormous progress. According to World Bank figures, the proportion of people in extreme poverty dropped from 67.1 per cent (1995) to 26.7 per cent (2015; more recent data not available). Child mortality fell by almost 70 per cent between 1995 and 2016. The proportion of people with access to safe drinking water has risen significantly. The school enrolment rate was 85 per cent in 2015 (1995: 22 per cent).

However, the high level of population growth is putting pressure on the environment and the country's resources. For more than 20 years now, the population has grown by at least 2.5 per cent a year.

In order to reduce youth unemployment, the government wants to improve training opportunities and create jobs through economic development. 

Tramway in Addis Ababa, Ethiopia
Economic situation

Modernisation needed in the agricultural and infrastructure sectors

Between 2005 and 2015, Ethiopia's economy grew by an average of ten per cent a year. In 2016, the growth rate was slightly lower (7.6 per cent). The International Monetary Fund (IMF) expects a rate of 8.5 per cent for 2018 (as at April 2018).

Ethiopia wants to achieve the status of a middle-income country by 2025. The government places a strong focus on development. Through its five-year Growth and Transformation Plan II (2016 to 2020), it is following a course for growth based on a state-controlled economy with clear objectives: the development of manufacturing industries, export orientation and agricultural industrialisation.

Although some reforms have been implemented, the state still exerts a huge influence on the economy. In important sectors (e.g. telecommunications, aviation, energy), state-owned enterprises and enterprises with close ties to the governing party either exercise a monopoly or are market leaders. Private ownership of land is prohibited under the constitution. It has been impossible for the private sector to develop under these circumstances.

Agriculture is the mainstay of the Ethiopian economy. It provides work for nearly 70 per cent of the workforce and generates roughly 37 per cent of the country's gross domestic product (GDP).

Wind energy laboratory in Ethiopia
Development potential

Agriculture, mineral resources and renewable energy

Ethiopia has great development potential. Among other things, there is enormous scope for boosting agricultural productivity. The country also has mineral reserves such as gold, tantalum ore, phosphorus, iron, salt, potassium carbonate, sodium carbonate, gemstones and coal. Great hopes are being placed in the discovery of gold and oil deposits in the Ogaden Basin.

In addition, Ethiopia has environmentally friendly energy sources such as hydropower and geothermal energy. Several years ago, the country started operating three new large hydropower plants and more than doubled its installed capacity as a result. Further power plants are either under construction or in the planning stage. Ethiopia exports power to neighbouring Djibouti and to Kenya and Sudan.

Improvements in power generation and infrastructure are also intended to benefit tourism, a new sector with growth potential.

Scientists in a wind energy laboratory in Addis Ababa, Ethiopia
Further reading

BMZ publications

German development cooperation with Ethiopia

Ethiopia is one of Germany's development cooperation partner countries, meaning that there is a programme of close cooperation based on intergovernmental agreements. In 2017, the German Development Ministry (BMZ) pledged a total of 215.6 million euros to Ethiopia for the period 2018 to 2019. This includes funding under transitional development assistance and from the special 'ONE WORLD – No Hunger' initiative and the special initiative on displacement.

Since 2017, development cooperation has focused on three priority areas:

  • Vocational education
  • Agriculture and food security
  • Conservation and sustainable use of natural resources (biodiversity)

Beyond these priority areas, Germany is providing assistance for refugees living in Ethiopia and for their host communities. In order to improve the living conditions and economic opportunities of both groups, support is being given, in particular, to activities concerned with food security, preventive health care, water and sanitation, and vocational training.

Germany is also helping Ethiopia to foster employment-generating, sustainable private sector development. The focus is on improving social and environmental standards in the textile sector and on activities under the special initiative on training and job creation. Furthermore, Germany is helping to strengthen Ethiopia's health system by supporting immunisation campaigns in cooperation with Gavi, the Vaccine Alliance.

  • Vocational school in Mekele (Ethiopia)
    Vocational education

    An investment in the future

    In recent years, Ethiopia has made enormous progress in the education sector – in terms of both the quality and the quantity of what is on offer. Germany is supporting Ethiopia in making vocational training and higher education teaching and research more practice-oriented.

  • Drip irrigation on a field in Ethiopia
    Food security

    Agriculture

    The Ethiopian government has set itself the goal of guaranteeing long-term food security for the country's people. Farmers are being helped to diversify their production and use water resources responsibly. Tillage, harvesting and irrigation methods tailored to Ethiopia's soils are being developed.

  • By afforestation, erosion is to be reduced in a washed out river bed in the village of Abdi Buch in Eastern Ethiopia.
    Biodiversity

    Conservation and sustainable use of natural resources

    Ethiopia is one of the most biodiverse countries in the world. It is home to a great variety of animals and plants, and lies within two areas which are considered biodiversity hotspots of global significance.

Vocational school in Mekele (Ethiopia)
Vocational education

An investment in the future

Germany is supporting Ethiopia in improving the quality of vocational education and in making it more practice-oriented.

German experts are advising the Ministry of Education and its downstream authorities on managing the ongoing reforms and on working together with Ethiopia's private sector. Related efforts include the systematic use of labour market data in educational planning. Activities are also under way to improve vocational teacher training in Ethiopia, both at the central level and across the country.

Special attention is being given to jobs in which women are particularly interested.

The activities under the special initiative "Tackling the root causes of displacement, reintegrating refugees" focus on vocational training for refugees and for locals from host communities. This is helping to improve the economic situation of both groups, thus reducing push factors that force both refugees and locals to migrate.

The vocational education programme has already reached over 350,000 vocational school students and more than 750,000 higher education students. By the beginning of 2018, over 8,200 vocational school teachers had received training, benefiting more than 900 vocational schools. Another 5,100 vocational education teachers and small-scale entrepreneurs had received training on business management, technology transfer, teaching methods and other topics.

So far, 121 enterprises have been included in efforts to provide practice-oriented vocational education. Their participation is the first step towards the envisaged introduction of a cooperative vocational education system.

Pupils in a primary school in a village in the Somali region of Ethiopia

BMZ publications on education and training

Drip irrigation on a field in Ethiopia
Food security

Agriculture

The Ethiopian government has set itself the goal of guaranteeing long-term food security for the country's people. Farmers are being helped to diversify their production and use water resources responsibly. New crop varieties and improved seeds are being introduced; farmers are being taught methods of biological erosion control; and tillage, harvesting and irrigation methods tailored to Ethiopia's soils are being developed.

Through these measures some 580,000 hectares of degraded land have been rehabilitated and made fit for use again, benefiting some 345,000 households. In the regions receiving assistance, agricultural output has increased by about 40 per cent, leading to higher incomes for farmers.

Ethiopia is a focus country of the special 'ONE WORLD – No Hunger' initiative. Among other things, a Green Innovation Centre was set up, which provides training on ways of increasing productivity. Support is also being provided to projects to enhance drought resilience and to protect and rehabilitate farmland and pastureland.

Furthermore, the German government is advising the Ethiopian authorities on improving the institutional and legal environment.

By afforestation, erosion is to be reduced in a washed out river bed in the village of Abdi Buch in Eastern Ethiopia.
Biodiversity

Conservation and sustainable use of natural resources

Ethiopia is one of the most biodiverse countries in the world. It is home to a great variety of animals and plants, and lies within two areas which are considered biodiversity hotspots of global significance. In the past, Ethiopia's biodiversity has declined dramatically as a result of land settlement, intensive grazing and large-scale investments in the agricultural sector.

The focus of development cooperation in this priority area is on harmonizing the conservation of natural resources with their sustainable use.

There are capacity building activities for administrative agencies responsible for selected national parks and biosphere reserves, and assistance is provided with regard to the development of sustainable park use strategies and forest use plans. The BMZ has helped, for example, to train park staff, and sustainable value chains have been developed for coffee, honey and myrrh, which has created alternative sources of income for local people.

Activities in this priority area are closely linked with the projects on sustainable land management and improved drought resilience.

See also

Map of Ethiopia

This map does not necessarily reflect the official position of the German government in terms of international law.

Ethiopia

Development facts and figures

  Ethiopia Data for Germany
Country namea16180138 Federal Democratic Republic of Ethiopia Federal Republic of Germany
Capitala16180110 Addis Ababa, approximately 3.6 million inhabitants Berlin, 3.7 million inhabitants
Surface areaa16180096 1,104,300 sq km (2017) 357,380 sq km (2017)
Ranking Human Development Index (HDI)a16180124 173 of 189 (2017) 5 of 189 (2017)
http://data.worldbank.org/indicator/AG.SRF.TOTL.K2

Surface area

Surface area is a country's total area, including areas under inland bodies of water and some coastal waterways.

http://hdr.undp.org/en/statistics/

Ranking Human Development Index (HDI)

The United Nations Development Programme (UNDP) publishes a Human Development Report once a year. The Human Development Index (HDI) contained in the Report records average figures for a country in fundamentally important fields of human development. These include, for example, life expectancy at birth, level of education and per capita income. From a large number of such individual indicators a ranking is calculated. Using this ranking it is possible to establish the average development status of a particular country.

http://data.worldbank.org/indicator/SP.RUR.TOTL.ZS

Population living in rural areas (% of total)

Rural population refers to people living in rural areas as defined by national statistical offices. It is calculated as the difference between total population and urban population.

http://data.worldbank.org/indicator/SP.DYN.LE00.IN

Life expectancy

Life expectancy at birth indicates the number of years a newborn infant would live if prevailing patterns of mortality at the time of its birth were to stay the same throughout its life.

http://data.worldbank.org/indicator/SP.POP.65UP.TO.ZS

Population ages 65 and above (% of total)

 

http://data.worldbank.org/indicator/SP.POP.0014.TO.ZS

Population ages 0-14 (% of total)

 

http://www.bmz.de/en/index.html

Volume of German development cooperation

Funds for development cooperation (Technical and Financial Cooperation) committed by the Federal Republic of Germany under intergovernmental agreements.

http://data.worldbank.org/indicator/DT.ODA.ODAT.CD

Total amount of ODA received

Net official development assistance (ODA) consists of disbursements of loans made on concessional terms (net of repayments of principal) and grants by official agencies of the members of the Development Assistance Committee (DAC), by multilateral institutions, and by non-DAC countries to promote economic development and welfare in countries and territories in the DAC list of ODA recipients. It includes loans with a grant element of at least 25 percent (calculated at a rate of discount of 10 percent). Data are in current U.S. dollars.

http://data.worldbank.org/indicator/DT.ODA.ODAT.PC.ZS

Amount of ODA received per capita

Net official development assistance (ODA) per capita consists of disbursements of loans made on concessional terms (net of repayments of principal) and grants by official agencies of the members of the Development Assistance Committee (DAC), by multilateral institutions, and by non-DAC countries to promote economic development and welfare in countries and territories in the DAC list of ODA recipients; and is calculated by dividing net ODA received by the midyear population estimate. It includes loans with a grant element of at least 25 percent (calculated at a rate of discount of 10 percent). Data are in current U.S. dollars.

http://data.worldbank.org/indicator/SN.ITK.DEFC.ZS

Undernutrition

Population below minimum level of dietary energy consumption (also referred to as prevalence of undernourishment) shows the percentage of the population whose food intake is insufficient to meet dietary energy requirements continuously. Data showing as 2.5 signifies a prevalence of undernourishment below 2.5%.

http://data.worldbank.org/indicator/SI.POV.NAHC

Population living below the national poverty line (% of total)

National poverty rate is the percentage of the population living below the national poverty line. National estimates are based on population-weighted subgroup estimates from household surveys.

http://data.worldbank.org/indicator/SI.POV.DDAY

Population living in absolute poverty (% of total)

The percentage of the population living on less than 1.90 US dollars a day at 2011 international prices. The World Bank last changed the definition of this poverty line in October 2015. Previously, it was defined as the percentage of the population living on less than 1.25 US dollars a day at 2005 international prices. Five countries (Bangladesh, Cambodia, Cape Verde, Jordan and Laos) still use this older definition.

http://data.worldbank.org/indicator/SE.PRM.CMPT.ZS

Children who complete primary school (% of total)

Primary completion rate is the percentage of students completing the last year of primary school. It is calculated by taking the total number of students in the last grade of primary school, minus the number of repeaters in that grade, divided by the total number of children of official graduation age.

When using this method of calculation the result may be greater than 100 per cent for some countries. This just means that the number of children completing their primary school education in that particular school year was higher than the number of children who were of official school leaving age.

http://data.worldbank.org/indicator/SE.PRM.NENR

Proportion of school age children attending primary school

Net enrollment ratio is the ratio of children of official school age based on the International Standard Classification of Education 1997 who are enrolled in school to the population of the corresponding official school age. Primary education provides children with basic reading, writing, and mathematics skills along with an elementary understanding of such subjects as history, geography, natural science, social science, art, and music.

http://data.worldbank.org/indicator/SE.ADT.LITR.ZS

Literacy rate

Adult literacy rate is the percentage of people ages 15 and above who can, with understanding, read and write a short, simple statement on their everyday life.

http://data.worldbank.org/indicator/SE.XPD.TOTL.GD.ZS

Public spending on education

Public expenditure on education consists of current and capital public expenditure on education includes government spending on educational institutions (both public and private), education administration as well as subsidies for private entities (students/households and other privates entities).

http://data.worldbank.org/indicator/SE.PRM.ENRL.TC.ZS

Number of pupils per teacher at primary school level

Primary school pupil-teacher ratio is the number of pupils enrolled in primary school divided by the number of primary school teachers (regardless of their teaching assignment).

http://data.worldbank.org/indicator/SH.IMM.IDPT

Immunization, diphtheria, pertussis, and tetanus (DPT) (% of children ages 12-23 months)

Child immunization measures the percentage of children ages 12-23 months who received vaccinations before 12 months or at any time before the survey. A child is considered adequately immunized against diphtheria, pertussis (or whooping cough), and tetanus (DPT) after receiving three doses of vaccine.

http://data.worldbank.org/indicator/SH.STA.BRTC.ZS

Births attended by skilled health staff (% of total)

Births attended by skilled health staff are the percentage of deliveries attended by personnel trained to give the necessary supervision, care, and advice to women during pregnancy, labor, and the postpartum period; to conduct deliveries on their own; and to care for newborns.

http://data.worldbank.org/indicator/SH.STA.ANVC.ZS

Pregnant women receiving prenatal care (%)

Pregnant women receiving prenatal care are the percentage of women attended at least once during pregnancy by skilled health personnel for reasons related to pregnancy.

http://data.worldbank.org/indicator/SH.DYN.MORT

Under-five mortality rate (per 1,000 live births)

Under-five mortality rate is the probability per 1,000 that a newborn baby will die before reaching age five, if subject to current age-specific mortality rates.

http://data.worldbank.org/indicator/SH.STA.MMRT

Number of mothers who die during pregnancy or childbirth (per 100,000 live births)

Maternal mortality ratio is the number of women who die during pregnancy and childbirth, per 100,000 live births. The data are estimated with a regression model using information on fertility, birth attendants, and HIV prevalence.

http://data.worldbank.org/indicator/SH.DYN.AIDS.ZS

HIV/AIDS prevalence among the 15-49 age group

Prevalence of HIV refers to the percentage of people ages 15-49 who are infected with HIV.

http://data.worldbank.org/indicator/SH.XPD.PUBL.ZS

Public health spending as a percentage of gross domestic product

Public health expenditure consists of recurrent and capital spending from government (central and local) budgets, external borrowings and grants (including donations from international agencies and nongovernmental organizations), and social (or compulsory) health insurance funds.

http://data.worldbank.org/indicator/IS.ROD.PAVE.ZS

Roads, paved (% of total roads)

Paved roads are those surfaced with crushed stone (macadam) and hydrocarbon binder or bituminized agents, with concrete, or with cobblestones, as a percentage of all the country's roads, measured in length.

http://data.worldbank.org/indicator/IT.NET.USER.ZS

Individuals using the Internet (% of population)

Internet users are individuals who have used the Internet (from any location) in the last 3 months. The Internet can be used via a computer, mobile phone, personal digital assistant, games machine, digital TV etc.

http://data.worldbank.org/indicator/IS.VEH.PCAR.P3

Passenger cars (per 1,000 people)

Passenger cars refer to road motor vehicles, other than two-wheelers, intended for the carriage of passengers and designed to seat no more than nine people (including the driver).

http://data.worldbank.org/indicator/IT.CEL.SETS.P2

Mobile cellular subscriptions (per 100 people)

Mobile cellular telephone subscriptions are subscriptions to a public mobile telephone service using cellular technology, which provide access to the public switched telephone network. Post-paid and prepaid subscriptions are included.

http://data.worldbank.org/indicator/SH.H2O.SAFE.ZS

Percentage of the population with sustainable access to safe drinking water

Access to an improved water source refers to the percentage of the population with reasonable access to an adequate amount of water from an improved source, such as a household connection, public standpipe, borehole, protected well or spring, and rainwater collection. Unimproved sources include vendors, tanker trucks, and unprotected wells and springs. Reasonable access is defined as the availability of at least 20 liters a person a day from a source within one kilometer of the dwelling.

http://data.worldbank.org/indicator/SH.STA.ACSN

Improved sanitation facilities (% of population with access)

Access to an improved water source refers to the percentage of the population with reasonable access to an adequate amount of water from an improved source, such as a household connection, public standpipe, borehole, protected well or spring, and rainwater collection. Unimproved sources include vendors, tanker trucks, and unprotected wells and springs. Reasonable access is defined as the availability of at least 20 liters a person a day from a source within one kilometer of the dwelling.

http://data.worldbank.org/indicator/AG.LND.AGRI.ZS

Land under cultivation (% of total land area)

Agricultural land refers to the share of land area that is arable, under permanent crops, and under permanent pastures. Arable land includes land defined by the FAO as land under temporary crops (double-cropped areas are counted once), temporary meadows for mowing or for pasture, land under market or kitchen gardens, and land temporarily fallow. Land abandoned as a result of shifting cultivation is excluded. Land under permanent crops is land cultivated with crops that occupy the land for long periods and need not be replanted after each harvest, such as cocoa, coffee, and rubber. This category includes land under flowering shrubs, fruit trees, nut trees, and vines, but excludes land under trees grown for wood or timber. Permanent pasture is land used for five or more years for forage, including natural and cultivated crops.

http://data.worldbank.org/indicator/ER.LND.PTLD.ZS

Land classified as conservation areas (% of total land area)

Terrestrial protected areas are those officially documented by national authorities.

http://data.worldbank.org/indicator/AG.LND.FRST.ZS

Forested land (% of total land area)

Forest area is land under natural or planted stands of trees of at least 5 meters in situ, whether productive or not, and excludes tree stands in agricultural production systems (for example, in fruit plantations and agroforestry systems) and trees in urban parks and gardens.

http://data.worldbank.org/indicator/EN.ATM.CO2E.PC

Level of carbon emissions per capita (in tons)

Carbon dioxide emissions are those stemming from the burning of fossil fuels and the manufacture of cement. They include carbon dioxide produced during consumption of solid, liquid, and gas fuels and gas flaring.

http://data.worldbank.org/indicator/EG.USE.ELEC.KH.PC

Power consumption per inhabitant

Electric power consumption measures the production of power plants and combined heat and power plants less transmission, distribution, and transformation losses and own use by heat and power plants.

http://data.worldbank.org/indicator/SL.AGR.EMPL.ZS

Jobs in agriculture (% of total)

Employees are people who work for a public or private employer and receive remuneration in wages, salary, commission, tips, piece rates, or pay in kind. Agriculture corresponds to division 1 (ISIC revision 2) or tabulation categories A and B (ISIC revision 3) and includes hunting, forestry, and fishing.

http://data.worldbank.org/indicator/EG.IMP.CONS.ZS

Energy imports (% of total energy consumption)

Net energy imports are estimated as energy use less production, both measured in oil equivalents. A negative value indicates that the country is a net exporter. Energy use refers to use of primary energy before transformation to other end-use fuels, which is equal to indigenous production plus imports and stock changes, minus exports and fuels supplied to ships and aircraft engaged in international transport.

http://data.worldbank.org/indicator/SL.TLF.0714.ZS

Child labour (% of children aged 7 to 14)

Economically active children refer to children involved in economic activity for at least one hour in the reference week of the survey.

http://data.worldbank.org/indicator/SL.UEM.TOTL.ZS

Unemployment rate

Unemployment refers to the share of the labor force that is without work but available for and seeking employment. Definitions of labor force and unemployment differ by country.

http://data.worldbank.org/indicator/BX.KLT.DINV.CD.WD

Foreign direct investment, net inflows (BoP, current US$)

Foreign direct investment are the net inflows of investment to acquire a lasting management interest (10 percent or more of voting stock) in an enterprise operating in an economy other than that of the investor. It is the sum of equity capital, reinvestment of earnings, other long-term capital, and short-term capital as shown in the balance of payments. This series shows net inflows (new investment inflows less disinvestment) in the reporting economy from foreign investors. Data are in current U.S. Dollars.

http://data.worldbank.org/indicator/DT.DOD.DECT.CD

Total foreign debt

Total external debt is debt owed to non-residents repayable in foreign currency, goods, or services. Total external debt is the sum of public, publicly guaranteed, and private nonguaranteed long-term debt, use of IMF credit, and short-term debt. Short-term debt includes all debt having an original maturity of one year or less and interest in arrears on long-term debt. Data are in current U.S. dollars.

http://data.worldbank.org/indicator/NY.GNP.ATLS.CD

GNI (current US$)

GNI (formerly GNP) is the sum of value added by all resident producers plus any product taxes (less subsidies) not included in the valuation of output plus net receipts of primary income (compensation of employees and property income) from abroad. Data are in current U.S. dollars. GNI, calculated in national currency, is usually converted to U.S. dollars at official exchange rates for comparisons across economies, although an alternative rate is used when the official exchange rate is judged to diverge by an exceptionally large margin from the rate actually applied in international transactions. To smooth fluctuations in prices and exchange rates, a special Atlas method of conversion is used by the World Bank. This applies a conversion factor that averages the exchange rate for a given year and the two preceding years, adjusted for differences in rates of inflation between the country, and through 2000, the G-5 countries (France, Germany, Japan, the United Kingdom, and the United States). From 2001, these countries include the Euro area, Japan, the United Kingdom, and the United States.

http://data.worldbank.org/indicator/NY.GNP.PCAP.CD

GNI per capita (current US$)

GNI per capita (formerly GNP per capita) is the gross national income, converted to U.S. dollars using the World Bank Atlas method, divided by the midyear population. GNI is the sum of value added by all resident producers plus any product taxes (less subsidies) not included in the valuation of output plus net receipts of primary income (compensation of employees and property income) from abroad. GNI, calculated in national currency, is usually converted to U.S. dollars at official exchange rates for comparisons across economies, although an alternative rate is used when the official exchange rate is judged to diverge by an exceptionally large margin from the rate actually applied in international transactions. To smooth fluctuations in prices and exchange rates, a special Atlas method of conversion is used by the World Bank. This applies a conversion factor that averages the exchange rate for a given year and the two preceding years, adjusted for differences in rates of inflation between the country, and through 2000, the G-5 countries (France, Germany, Japan, the United Kingdom, and the United States). From 2001, these countries include the Euro area, Japan, the United Kingdom, and the United States.

http://data.worldbank.org/indicator/NE.EXP.GNFS.ZS

Exports of goods and services (% of GDP)

Exports of goods and services represent the value of all goods and other market services provided to the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments.

http://data.worldbank.org/indicator/NE.IMP.GNFS.ZS

Imports of goods and services (% of GDP)

Imports of goods and services represent the value of all goods and other market services received from the rest of the world. They include the value of merchandise, freight, insurance, transport, travel, royalties, license fees, and other services, such as communication, construction, financial, information, business, personal, and government services. They exclude compensation of employees and investment income (formerly called factor services) and transfer payments.

http://data.worldbank.org/indicator/FP.CPI.TOTL.ZG

Inflation

Inflation as measured by the consumer price index reflects the annual percentage change in the cost to the average consumer of acquiring a basket of goods and services that may be fixed or changed at specified intervals, such as yearly. The Laspeyres formula is generally used.

http://data.worldbank.org/indicator/DT.TDS.DECT.EX.ZS

Debt service as percentage of exports of goods and services and net income from abroad

Total debt service is the sum of principal repayments and interest actually paid in foreign currency, goods, or services on long-term debt, interest paid on short-term debt, and repayments (repurchases and charges) to the IMF. Exports of goods and services includes income and workers' remittances.

http://data.worldbank.org/indicator/NV.IND.TOTL.ZS

Industry, value added (% of GDP)

Industry corresponds to ISIC divisions 10-45 and includes manufacturing (ISIC divisions 15-37). It comprises value added in mining, manufacturing (also reported as a separate subgroup), construction, electricity, water, and gas. Value added is the net output of a sector after adding up all outputs and subtracting intermediate inputs. It is calculated without making deductions for depreciation of fabricated assets or depletion and degradation of natural resources. The origin of value added is determined by the International Standard Industrial Classification (ISIC), revision 3.

http://data.worldbank.org/indicator/NV.AGR.TOTL.ZS

Agriculture, value added (% of GDP)

Agriculture corresponds to ISIC divisions 1-5 and includes forestry, hunting, and fishing, as well as cultivation of crops and livestock production. Value added is the net output of a sector after adding up all outputs and subtracting intermediate inputs. It is calculated without making deductions for depreciation of fabricated assets or depletion and degradation of natural resources. The origin of value added is determined by the International Standard Industrial Classification (ISIC), revision 3.

http://data.worldbank.org/indicator/NV.SRV.TETC.ZS

Services, etc., value added (% of GDP)

Services correspond to ISIC divisions 50-99 and they include value added in wholesale and retail trade (including hotels and restaurants), transport, and government, financial, professional, and personal services such as education, health care, and real estate services. Also included are imputed bank service charges, import duties, and any statistical discrepancies noted by national compilers as well as discrepancies arising from rescaling. Value added is the net output of a sector after adding up all outputs and subtracting intermediate inputs. It is calculated without making deductions for depreciation of fabricated assets or depletion and degradation of natural resources. The industrial origin of value added is determined by the International Standard Industrial Classification (ISIC), revision 3.

http://data.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG

GDP growth (annual %)

Annual percentage growth rate of GDP at market prices based on constant local currency. Aggregates are based on constant 2000 U.S. dollars. GDP is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources

Further information

Here you can find a selection of websites with development policy background information on Ethiopia.

BMZ glossary

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