Africa, with its diverse and rich cultural heritage, is a continent of rapid economic development. Among its many vibrant cities, there are several that stand out as the most developed. These urban centres boast impressive infrastructure, thriving economies, and a high quality of life for their residents.
Ethiopia’s recent decision to float its currency has sent shockwaves through the economy, underscoring the complexities of such a policy shift. While intended to foster a market-oriented system, the move has precipitated rapid currency depreciation, leading to heightened inflation and economic uncertainty.
The immediate impact on businesses has been profound. Exporters, once basking in the glow of a depreciated currency, now confront a myriad of challenges. Input costs have surged. Moreover, the instability of the exchange rate has made planning a daunting task.
Ethiopia has been grappling with a severe foreign exchange shortage for many years, fueling a thriving black market. The government’s frequent response – a crackdown on illegal currency trade – has solved the problem.
In this commentary reprinted from 7th Year • Nov.16 – Dec.15 2018 • No. 68 of EBR, Tekie Alemu (PhD), a retired associate professor of economics at Addis Ababa University, provided an in-depth analysis into the heart of the problem, exploring the intricate dynamics of supply and demand in Ethiopia’s foreign exchange market. From the role of the diaspora to the pitfalls of government intervention, the article offers a fresh perspective on this pressing economic issue. The assistant professor explains how a legalised foreign exchange market could inject efficiency and transparency into the system while empowering commercial banks to focus on their core competencies.
– in retrospect from EBR 68 published from 7th Year. November 2018.
Ethiopia’s ambitious Green Legacy Initiative aims to transform the nation into a green paradise. However, the looming threat of climate change and natural disasters casts a shadow over this vision. Forest insurance emerges as a crucial safety net. This commentary by insurance insider Fikru Tsegaye Wordofa delves into why Ethiopia urgently needs this financial safeguard. The article shows how forest insurance can protect the country’s invaluable green assets, bolster the economy, and contribute to a sustainable future.
Dehydration occurs when the body loses more fluids than it takes in. Symptoms range from thirst and headaches to severe complications such as kidney problems and even death. While staying hydrated seems straightforward, many underestimate its importance for a healthy life.
Experts stress magnesium’s crucial role in water absorption and advise increasing the intake of magnesium-rich foods. Moreover, a diet rich in fruits and vegetables can also contribute to hydration. By being aware of dehydration symptoms and taking preventive measures, such as maintaining adequate fluid intake and seeking medical help when needed, one can significantly reduce the risk of death from this silent killer. EBR’s Dr. Brook Genene delves into this issue with medical professionals, examining the various health threats it poses.
A remote village in Ethiopia’s Gofa Zone has been devastated by a catastrophic landslide that has buried hundreds of people alive. The tragedy has prompted a massive humanitarian response as survivors grapple with the loss of loved ones and the uncertainty of the future. The incident underscores the importance of investing in early warning systems and disaster prevention measures. EBR’s Samuel Getachew visits the area to speak to survivors, eyewitnesses and community leaders.
Ethiopia’s Olympic history is a tapestry woven with threads of triumph and adversity. From the legendary barefoot run of Abebe Bikila to the iconic unity displayed by Derartu Tulu and South African Elana Meyer in 1992 Barcelona Olympics, the nation has produced some of the greatest athletes of all time. However, the recent shadow of controversy has influenced the once-golden era. Internal strife, athlete dissatisfaction, and leadership disputes jeopardise Ethiopia’s Olympic dream.
This in-depth analysis By EBR’s Brook Genene delves into the heart of Ethiopian athletics, exploring the factors that have contributed to its past glories and the challenges that threaten its future. From the inspiring stories of Olympic champions to the current turmoil within the Ethiopian Olympic Committee and Athletics Federation, this article comprehensively looks at a nation grappling with its sporting identity.
Ethiopia’s central bank has imposed a credit cap to tame soaring inflation, but the measure has unintended consequences for businesses, especially exporters. While inflation has eased since the bank introduced the policy a year ago, the credit crunch stifles economic growth. Economists advise policymakers to strike a delicate balance. According to economists, targeted credit measures, support for SMEs, and fiscal discipline are crucial. By fostering a conducive business environment and prioritizing key sectors, Ethiopia can achieve both price stability and sustainable economic expansion, writes EBR’s Eden Teshome.
As a landlocked country, Ethiopia relies heavily on the ports of Djibouti and Eritrea for its international trade, with the Red Sea serving as a crucial maritime corridor. However, the ongoing crisis in the region, which began on October 7 with Hamas attacking Israel, is having significant ramifications for Ethiopia.
EBR’s Eden Teshome delves into the challenges faced by Ethiopian businesses amidst the escalating conflict between the Houthi rebels in Yemen and Israel’s retaliatory strikes in the Red Sea. Ethiopian importers and exporters are feeling the strain, from rerouting shipments and enduring longer transit times to dealing with skyrocketing freight rates and potential infrastructure bottlenecks. This piece explores how this regional security issue disrupts global maritime trade and forces Ethiopian firms to explore alternative markets and distribution channels.
Ethiopia’s media landscape is undergoing a seismic shift with the rapid growth of podcasts. This new medium has empowered diverse voices, creating a platform for everything from business advice to entertainment. Podcasts are increasingly popular among the youth, with YouTube becoming the preferred platform.
While the democratization of media is a positive development, there are potential challenges. The overreliance on video formats, often driven by advertising revenue, limits the reach of podcasts. Moreover, the lack of diversity in formats and the potential for misinformation and disinformation also raise concerns.
Despite these issues, podcasts’ impact is undeniable. They are filling a void in the media landscape, providing accessible and engaging content. Fostering a balanced ecosystem that promotes creativity and responsibility as the industry matures is crucial. By addressing the challenges and capitalizing on the opportunities, Ethiopia can harness the full potential of podcasts to inform, entertain, and empower its citizens. EBR’s Brook Genene looks at the rise of podcasts in Ethiopia and assesses the advantages and impacts of this trend.
Ethiopian Business Review
Tekie Alemu (PhD)
Fikru Tsegaye Wordofa
Dr. Brook Genene
Samuel Getachew
Eden Teshome