Ethiopia's economic performance upbeat: Report

Source: ENA

http://www.telecom.net.et/~ena/Newsenglish/92936.1607.htm

Addis Ababa, July 16 (ENA)--Ethiopia has reportedly witnessed an encouraging economic performance, with a remarkable increase in real Growth Domestic Product (GDP).

According to the latest Economic Report on Africa (ERA 2002) that was released here on Tuesday, Ethiopia's real GDP growth averaged six percent a year during 1992-2001.

The report has further indicated that Ethiopia's exports grew by about five percent a year, annual inflation averaged about four percent and by 2000/01, investment had risen to 16 percent of GDP.

"--- and the positive trends are expected to continue, with GDP growth of 7.0 percent in 2001/02," it said.

The report said the sound economic policy that the country has been pursuing over the recent few years has much contributed to the leap in the economic arena.

Since 1992, the Ethiopian government has focused on reorienting the economy through market reforms, adopted agriculture-led industrialization as a central plank of its development programmed, it said.

Despite the good news on the macroeconomic front, the report said, Ethiopia remains one of the world's poorest countries, with per capita income of just 110 USD in 2001.

Rampant poverty, heavy external debt, lowest stocks of capital per worker, rising unemployment and the HIV/AIDS pandemic, among others, have still hampered the socio-economic transformation of the country.

Briefing local and foreign journalists on the report, Economic and Social Policy Division (ESPD) Director with the ECA, Patrick Asea said that Ethiopia's emerging sound economic performance could be exemplary for the East African countries, too.

The director has also lauded Ethiopia's Full Poverty Reduction Strategy Paper (F-PRSP), which he said was being prepared in a participatory fashion.

Africa is the only developing region to mark accelerated growth in 2001, reflecting better macroeconomic management, strong agricultural production, and the cession of conflicts in several countries, he said.

(END)