ethiopia case study

Borders

Eritrea, Djibouti, Somalia, Kenya, South Sudan, Sudan

Languages

Amharic, Somali, Afar

Capital

Addis Ababa

Population

132.1 million (2024 - world bank) (most populous landlocked country in the world)

Location

East Africa/horn of Africa

Topography

Mix of high plateaus, mountains and dry lowlands, has Great Rift Valley

Highlands

Western/central areas get more rain, support coffee/wheat

Highlands challenge

Mountainous, challenging farming, 2 rainy seasons

Lowlands

Eastern areas are arid/semi-arid, suitable for drought-resistant grasses and livestock (goats)

Climate

Tropical, distinct rainy seasons

Hazards

Prone to drought

History

Never colonised, oldest independent African nation

Development

Emerging economy, LIDC country

Agriculture

Key crops include coffee, grains (wheat), livestock farming

Doctors/100,000 people

10 (2022)

GNP/capita (US$)

1,910 (2022)

Adult literacy

52% (2022)

Birth rate per 1000

32 (2022)

Life expectancy

67 (2022)

Debt

$10 billion

Diseases holding back development

AIDS/HIV

Low standards

Housing, sanitation and education

Lack of

Industrial development

Population in rural areas

85%

Drought example

2015

GDP per capita

900-1200 USD

Years spent in school

Average of 7.8

Death rate per 1000

5.9 per 1000 (2024)

Urban population

23.7% (2024)

Literacy rate

35.9% of ages 15+

Western highlands

Wettest region with 1 long rainy season (May-October), steep land up to 4500M

Central area

2 rainy seasons, 1 dry season, unreliable rainfall (400-800mm per year)

Eastern lowlands

2 rainy seasons and 2 dry seasons (June-September, December-February) but unreliable

Principal crops

Coffee, pulses (e.g., beans), oilseeds, cereals, potatoes, sugarcane and vegetables

Trade deficit in 2023

$14.27 billion

Rostow model

Predicts how a country's level of economic development changes over time

4 stages of Rostow

Primary, secondary, tertiary, quaternary

Ethiopia level of Rostow

Pre-conditions to Take-off

Pre-conditions to take off

Beginning to be able to trade and infrastructure/machinery improves

Millennium development goals

2000 with 189 countries, aiming to cut world poverty in half by 2015

Ethiopia and poverty reduction/economic growth

Significant GNI growth and falling poverty levels

Ethiopia and child mortality

Strong progress, partly due to Ethiopia's large cadre of trained health extension workers

Ethiopia and education

High public spending (over 65% in some sectors) on education, roads, water, and health drove improvements

Ethiopia and national ownership

Strong government commitment and pro-poor national strategy

Ethiopia and maternal health/gender

Progress lagged, link to reproductive health challenges

Ethiopia and gaps in development

Inequality of income and health

Ethiopia and hunger

Remains a challenge, highlights disconnects in food access

Children in primary education development

96% now, but 50% in 1990

2010s girls in secondary school

34%, barriers like early marriage, distance to school and poverty

% living in poverty development

49% in 2000, 29% in 2015

Malnourished children

40%

Population classed as food insecure

28%

Coffee as an export

28%

Total value of exports

US$ 3 billion

Hilton hotel positives

Job creation, tourism, new skills, stimulation of local economy

Hilton hotel negatives

Profits may go to TNC/home country, doesn't benefit poorest people

Aid

Assistance given from 1 country to another

Aid examples

Money, equipment, training and loans

Aid source

Foreign aid (other countries) or NGOs

Limitations of Rostow (development)

Development is uneven between regions (urban vs rural)

Limitations of Rostow (economic)

Growth doesn't automatically reduce inequality

Limitations of Rostow (agriculture)

Conflicts with Rostow's focus on industry

Limitations of Rostow (external factors)

Climate change, global prices etc slow progression

Infrastructure development example

Major road and rail investment

Railway example

Addis Ababa-Djibouti railway

Infrastructure development pros

Improves access to markets and international trade

Industrial park example

Hawassa Industrial Park

Industrialisation cons (jobs)

Provides jobs, but low wages + poor working conditions

Rural-urban migration cons

Creates pressure on housing and jobs

Sustainability issue (deforestation)

Fuel wood use, destruction of trees

Soil degradation issue

From over-farming

Climate change issue

Increasing drought frequency

Development measures

Economic/social/composite indicators

Economic indicator example

GNI per capita

Social indicator example

Life expectancy, literacy

Composite indicator example

HDI

Uneven development causes

Physical/historical factors, political stability and governance, trade and globalisation

Rostow's model

Linear model of economic growth

Rostow assumption

All countries follow the same development path

Criticisms of Rostow

Ignoring environmental limits, over-emphasising industrialisation, not accounting for inequality within countries

Ethiopia's Rostow stage

Ethiopia is at stage 2 of the Rostow model.

Ethiopia's trade balance

Negative trade balance and 80% work in agriculture.

Ethiopia's government spending

More government spending on healthcare, education and infrastructure.

Ethiopia's economic growth

Economy growing at 11%.

Ethiopia's exports

80% of exports from agriculture - low value, cheap goods.

TNC investment in Ethiopia

TNC's are starting to invest (Hilton hotel).

Ethiopia's job market

2.5 million now work in the tertiary sector e.g tourism.