TY - BOOK ID - 135904997 TI - Ethiopia Economic Update, November 2012 : Overcoming Inflation, Raising Competitiveness. AU - Geiger, Michael. AU - Goh, Chorching. PY - 2012 PB - Washington, D.C. : The World Bank, DB - UniCat KW - Agriculture KW - Analysis of Economic Growth KW - Consumers KW - Debt KW - Depreciation KW - Developing Countries KW - Development Policy KW - Economic Development KW - Economic Forecasting KW - Economic Growth KW - Economic Management KW - Export Competitiveness KW - Export Development and Competitiveness KW - Financial Development KW - Financial Management KW - Fiscal & Monetary Policy KW - Fiscal Policy KW - Foreign Direct Investment KW - Gdp KW - Globalization KW - Gross Domestic Product KW - Household Income KW - Human Capital KW - Income Inequality KW - Income Tax KW - Industrialization KW - Inflation KW - Insurance KW - Investment Climate KW - Labor Market KW - Living Standards KW - Macroeconomic Management KW - Macroeconomics and Economic Growth KW - Market Forces KW - Marketing KW - Monetary Policy KW - Per Capita Income KW - Population Growth KW - Poverty Monitoring & analysis KW - Poverty Reduction KW - Price Volatility KW - Private Investment KW - Property Rights KW - Public Debt KW - Public Investment KW - Purchasing Power KW - Savings KW - Savings Rate KW - Slowdown KW - Surplus KW - Tax Reform KW - Trade and Integration KW - Transaction Costs KW - Wages KW - World Development Indicators KW - World Trade Organization UR - https://www.unicat.be/uniCat?func=search&query=sysid:135904997 AB - Since 2004 (Ethiopian Fiscal Year (EFY) 1997), Ethiopia has experienced strong and generally broad-based real economic growth of around 10.6 percent on average between then and 2011. Growth over the last nine years was far beyond the growth rates recorded in aggregate terms for Sub-Saharan Africa (SSA), which on average only reached 5.2 percent, less than half of Ethiopia's average real gross domestic product (GDP) growth rate during that period. Inspired by the East Asian experiences for a comparison of selected indicators and policies of Ethiopia and China/Korea), growth was induced through a mix of factors including agricultural modernization, the development of new export sectors, strong global commodity demand, and government-led development investments. The initial double digits growth rates have now manifested slightly lower but remain at high single-digit levels. The economy is expected to stabilize at around seven to eight percent in 2012, largely owing to improved performance in the agriculture sector. GDP growth is likely to stay around that margin up until 2016 (EFY 2008) driven by rising foreign investment and exports (Economist Intelligence Unit 2012). High inflation persists, but is on a slightly decreasing trend. Economic growth brought with it positive trends in reducing poverty, in both urban and rural areas. Ethiopia follows a strategy of increasing exports to facilitate growth. This is appropriate given the currently limited size of its domestic market and it is consistent with the development experience of some of the recently successful countries, particularly in East Asia. Export of goods growth is to a good extent driven by volume growth across a variety of product groups, which indicates that this growth is a result of recent efforts to increase and diversify the export base. Overall export and import developments result in a significantly increased trade deficit by 43 percent, up from USD 5.5 billion in 2010/11 to USD 7.9 billion. ER -