Ethiopian Business ReviewA debt-to-GDP ratio is an economic term that contrasts a country’s public debt with its gross domestic product (GDP), which measures the total worth of all the goods and services it produces. The debt-to-GDP ratio, which is stated as a percentage and provides a quick estimation of a country’s capacity to repay its current debts, is frequently used to assess the stability and health of a country’s economy. It is commonly estimated along with metrics like GDP per capita, GDP growth, GNP, and GNI per capita, which relates to one another.
Hemen AsmareThe traditional tattoo (Nikisat) has a long history in Ethiopia. Legends have it Ethiopians started tattooing with the introduction of Christianity millennial ago. Traditional tattoo (Nikisat) is one of the ways women in Ethiopia express their beauty, especially in Gondar, Gojjam and Tigray. Mothers and young women look beautiful by tattooing different designs on their necks, foreheads, gum and hands. Even though the old tradition of inking bodies is fading, a contemporary tattoo practice is on the rise as a culture and a business, mainly in the capital, writes EBR’s Hemen Asmare.
EBRAfter deepening for two decades, Africa-China’s economic relations are entering a new phase, owing to a variety of global, bilateral, and domestic factors. While China will remain a key player on the continent, African governments will need to keep their options open and be more mindful of a wider set of interests.
Ethiopia is joining the ranks of developing nations that have ramped up their efforts towards digitalization in recent years. With a staggering youth population of 41 million people aged 10 years and above, the country is poised to take advantage of this workforce to foster growth in its digital economy.
Eden TeshomeThe practice of sending older people and those who need special care to specialized centres are rare in Ethiopia. Instead, they remain at home, depending on their loved ones. Caregiving for the elderly and long-term patients usually remains the responsibility of family members. The practice has been tied so closely to African tradition that there is even a saying that “Because you [i.e., the child’s older parents] have taken care of me to grow teeth, I will take care of you till your teeth fall out. As young men and women now would rather spend their day at their schools and jobs than take care of the elderly and sick, this tradition seems to be changing slowly but surely, writes EBR’s Eden Teshome.
There is a saying that states that everyone is impacted by gender disparity, which is accurate. Any community forbidding women from working merely ensures that it will always be impoverished. In many societies around the globe, women outnumber men. Denying women the chance to work means simply that they will be unable to contribute to creating wealth. Instead, they would be totally reliant on the men, turning into liabilities rather than the contributing members of society they should be.
The United Arab Emirates was recognized as the top nation for entrepreneurs, followed by Saudi Arabia and Taiwan, according to the yearly Global Entrepreneurship Monitor (GEM) research, which was conducted by Aston Business School.
The Center for the Advancement of Rights and Democracy (CARD) reported that the Ethiopian government’s restrictions on internet access have caused significant economic damage to the country. According to the center, the government’s illegal actions have resulted in economic losses exceeding USD 140 million over a period of five months.
Bamlak FekaduFor the past four years, the hospitality industry has been suffering from the impacts of political instability. It has been heavily affected by the COVID-19 pandemic, which caused the local hospitality industry loses over 50Pct of its market. Ethiopia’s hospitality sector is adjusting to taking a share of the recovering market, with travel restrictions gradually easing and vaccination rates rising reflected in higher occupancy rates, as many hotels offer flexible cancellation policies and discounted rates to entice travellers back to their properties.
Despite ongoing marketing challenges, hotels are investing in new technologies and safety measures to provide their guests with a safe and comfortable experience, critical in rebuilding consumer confidence and trust, writes EBR’s Bamlak Fekadu.
Execution, Literacy Challenging Transformation
Ethiopia’s economy has been affected mainly by peace and security challenges. Shortage of forex, dwindling industrial outputs, and inflation, among other challenges, have stood on the economy’s throat, leaving it gasping for air. Amidst these dark moments in the economy, Prime Minister Abiy Ahmed’s (PhD) administration has shown a solid commitment to one thing: digital transformation. Last month, the Ministry of Transport and Logistics implemented a digital payment system at fuel retail, banning cash payments throughout Addis Ababa. Since the announcement, operational gas stations have been chaotic. Despite the multi-facet advantages of digital payment, enough preparations to work on the digital literacy of the public are necessary for a seamless transition into the modern way of payment. Moreover, the details of the execution of the digital transformation need to be well thought out, writes EBR’s Bamlak Fekadu.
