Macroeconomic performance indicates Ethiopia’s economy to grow by 7.9pct: Ministry

Addis Ababa, March 6, 2024 (FBC) – The better performance in most of the macroeconomic indicators of the second quarter of the fiscal year, would help the Ethiopian economy to grow by 7.9 percent, Planning and Development Ministry said.

In the presence of Prime Minister Abiy Ahmed, the Council of Ministers has commenced the second quarter performance review on Tuesday.

The review began with presentations on activities undertaken, focusing on four sectoral areas of governance and justice, social, and economic sectors, it was indicated.

Planning and Development Minister, Fitsum Assefa presented the economic performance report of the second quarter of the fiscal year.

In her report, she pointed out that Ethiopia’s economy grew by 7.2 percent in 2023.

The Minister has been quoted by ENA as saying that the country’s economy is also expected to grow by 7.9 percent in the current 2023/2024 Ethiopian fiscal year that started on July 8.

According to her, the performance recorded in the main macroeconomic sectors during the past six months indicates the projection will be attained.

For example, Fitsum indicated that a total harvest of 496.9 million quintals has been obtained over the past six months alone. It has increased by 65 million quintals compared to the same period last year.

She explained that this is one indicator that a 7.9 percent economic growth will be recorded.

Similarly, the minister added that 10 percent growth was recorded in the industrial sector.

In her report, she pointed out that the performance during the past six years is better in many aspects, particularly in the export sector. For instance, Ethiopia has earned over 4.5 billion US dollars from service export alone.

The Foreign Direct Investment (FDI) sector has also registered better performances.

On his part, Education Minister Professor Birhanu Nega presented the social sector performance report and he revealed better activities have been recorded in the spheres of education, health, women and social affairs as well as culture and sports.

For example, he pointed out that education for the generation movement alone has helped to improve the standard of more than 14,000 schools and built more extra schools in six months.

Minister of Justice, Gedion Timothewos said that Ethiopia has achieved considerable legislative activities in the justice system during the past six months.

Among the better performance witnessed in the sector, the minister mentioned that the transitional justice policy document was prepared in a participatory manner.

According to him, the document is expected to become effective as of its date of approval.