World Bank analysis recommends Ethiopia’s policy actions to support resilient recovery

The latest World Bank economic analysis shows that Ethiopia seems to have been spared from the worst outcomes and is showing some signs of recovery.
The eighth Ethiopia Economic Update, Ensuring Resilient Recovery from COVID-19, finds that despite the 4.1pct decline in merchandise exports, excluding gold, during the first half of the current fiscal year, most items (except garments) started to recover during October-December, 2020.
Services exports started to recover as well, and remittances rebounded strongly during the first half of the fiscal year, the report says, while foreign direct investment inflows continue to decelerate due to uncertainty.
“These early signs are a good indication that the Ethiopian economy is starting to recover from the COVID-19 crisis,” said Miguel Eduardo Sánchez Martín, World Bank senior country economist and lead author of the report.