World Bank's latest projection is far below the 8.7 % and 8 % projections made by the Ethiopian government and the Africa Development Bank respectively.
Even though the country is showing signs of recovery from the lowest rate achieved in 2021, the bank said that there are more obstacles before Ethiopia’s economy regains the nine percent growth rate recorded in 2019.
The Bank included Ethiopia in its latest Global Economic Prospects which covers up to 2023, unlike the International Monetary Fund, which blanked Ethiopia’s projection due to political uncertainties.
World Bank’s report projected Ethiopia’s growth rate to further climb to 6.5 percent by 2023.
According to the report, Ethiopia saw a sharp deceleration of growth to an estimated 2.4 % in 2020/21 fiscal year nearly below two-thirds of the pre-pandemic average, compounded by worsening security situation in the Tigray region.
On the other hand, the Government of Ethiopia’s growth report for 2020/21 was 6.3%.
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