Ethiopia has seen a significant boost in foreign exchange availability following the implementation of macroeconomic reforms, with key figures pointing to economic progress. Reflecting on the country’s economic progress during a public forum organized by the Prime Minister’s Office, Minister of Planning and Development, Dr. Fitsum Assefa, shared that exports have surged by 102% in the past seven months compared to the same period last year. Additionally, USD3.9 billion has been received from development partners, and remittances have risen by 14% compared to the previous year.

Dr. Fitsum further explained that the National Bank of Ethiopia’s foreign exchange auction system has facilitated USD5.1 billion in foreign exchange purchases by banks, with USD4.4 billion sold and a USD720 million surplus remaining in the banking system. This surplus, she noted, has resolved concerns about foreign exchange availability for viable investments.

The Minister also highlighted a 20% increase in the supply of capital goods for manufacturing compared to the same period last year. Through the Ethiopian Manufacturing Movement, 395 factories that had previously halted production due to national and international challenges have resumed operations. Dr. Fitsum emphasized that foreign exchange is no longer a structural problem for Ethiopia’s industries, paving the way for continued investment and growth.



 

The U.S. Department of State has issued an updated travel advisory for Ethiopia, maintaining a Level 3 status—”Reconsider Travel.” This level indicates that the country presents significant risks that travelers should carefully consider before making travel plans. The U.S. government uses a tiered system to categorize countries based on their safety for U.S. citizens, with the advisory levels ranging from 1 to 4.

Level 1, “Exercise Normal Precautions,” is assigned to countries considered generally safe for travel. In these countries, U.S. citizens are advised to stay aware of their surroundings and take basic safety precautions. Countries with a Level 1 status typically experience stable political situations, low crime rates, and minimal health risks.

Level 2, “Exercise Increased Caution,” is issued when there are specific concerns in a country, such as political instability or heightened crime rates, but these factors do not pose an immediate threat to travelers. While these countries are still generally safe, travelers are encouraged to remain informed and avoid specific regions where risks may be present.

Ethiopia’s travel advisory falls under Level 3, “Reconsider Travel,” due to ongoing security risks. The U.S. Department of State highlights concerns over armed conflict and civil unrest in regions like Amhara and parts of Oromia, where clashes between government forces and local militias have caused instability. There are also concerns about crime, including kidnappings, in areas such as Gambela and Benishangul Gumuz. Additionally, border areas with Eritrea, Sudan, and Somalia are flagged due to potential threats from terrorism and landmines.

Countries placed under Level 4, “Do Not Travel,” are considered extremely dangerous, and the U.S. government advises against all travel to these locations. This level is reserved for countries experiencing active armed conflict, widespread violence, or serious health crises that pose significant risks to travelers.

While Ethiopia remains under a Level 3 advisory, officials have repeatedly criticized these warnings, arguing that they misrepresent the current situation and harm the country’s tourism industry.




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