Ethiopia’s export revenue hits $2.9bn-Official
Ethiopia has earned $2.9 billion in revenue from export trade during the country’s last fiscal year which ended on July 8, 2017, a top government official said
The revenue has seen $1.1 billion lower than the targeted $ 4 billion, Asefa Mulugeta, Director General of Export Promotion at the Ministry of Trade, said in a briefing on Thursday.
The International Monetary Fund (IMF) on Wednesday announced that Ethiopia’s economy showed strong resilience in 2016/17 amid continued weak global prices for the country’s key exports and re-emergence of drought coenditions in parts of the east African nation.
IMF’s preliminary findings revealed the country’s exports have been stagnant due to weak global commodity markets and delays in completion of key related projects.
The director attributed the low performance to low agricultural outputs, contraband trade, global trade volatility and low performance of the manufacturing sector.
He said the performance of the sector is expected to improve this fiscal year because the industrial parks built in the country have been commencing production with their full potential.
According to IMF’s report, in the short term the current account deficit in the country remains high, and indebtedness and associated risks increases.
Thus, until past investments in infrastructure and logistics pay off and exports take off, macroeconomic and financial policies should aim at reducing external imbalances and liabilities, IMF advised.