Ethiopia’s GDP reaches 1.5tr birr
Ababa, 25 October 2014 (WIC) – The Ministry of Finance and
Economic Development (MoFED) announced that Ethiopia’s Gross Domestic Product
(GDP) has reached 1.5 trillion birr.
MoFED State Minister Dr. Abraham Tekeste said Ethiopia has continued
registering rapid economic growth during the last four years of the Growth and
Transformation Plan (GTP) period.
The country has registered an estimated 10.3 percent economic growth last
Ethiopian fiscal year (EFY).
Dr. Abraham stated that the country has registered a rapid and stable macroeconomic
growth in that it has managed to increase per capita income to 632 US dollars
from 558 US dollars in 2005 Ethiopian fiscal year, and inflation remained in
According to the State Minister, the economic growth was fair and has improved
the provision of social services and alleviated poverty.
Dr. Abraham stated that domestic saving reached 22.5 percent of the GDP, while
rate of investment and export of goods and services accounted for 40.3 and 11.7
percent of the GDP respectively.
In terms of the sector’s contribution to the economic growth, the State
Minister said the industry sector grew faster than agriculture and service
It registered 21.2 percent annual growth and agriculture and service grew by
5.4 and 11.9 percent respectively during the past Ethiopian fiscal year.
He said the country also showed some economic transformation from agriculture
to industry in that while the share of agriculture in the national economy
decreased from 42 percent in 2005 EFY to 40 percent in 2006, industry grew to
14 percent from 13 percent.
The service sector reached 46 percent from 45 percent during the stated period.
The EFY 2006 was the 11th consecutive year in which Ethiopia's economy grew on
average by 10.9 percent, and agriculture, industry and service registered 9,
13.8 and 12.2 annual growth, Dr. Abraham stated.
The low performance of exports in the economy, especially in the manufacturing
sector, was a challenge to the country during the period, the state minster
pointed out. (ENA)