Ethiopia’s GDP has reportedly decreased to approximately 100 billion dollars due to external factors. The nominal GDP of Ethiopia, which reflects the total value of goods and services produced within the country, was valued at 207 billion dollars in June 2016. Within a span of three months, this figure has dropped significantly to 100 billion dollars.
This decline in external revenue occurred just one month after the nominal GDP was recorded at 207 billion dollars in June 2016. Following the reduction in external revenue, the GDP was reported to have fallen to 100 billion dollars by the end of September 2017, as highlighted by the Minister of Finance in a recent announcement regarding the government’s overall debt situation.
The decrease in Ethiopia’s GDP, when measured in dollars, is attributed to the implementation of a market-oriented external trade system, which became operational in July 2016, as indicated in the report.
Additionally, various related factors contributed to the GDP’s decline, with the government’s public debt rising from 32.9 percent in June 2016 to 50.3 percent by September 2017.
The government’s external debt level alone increased from 28.8 billion dollars to 31 billion dollars between June 2016 and September 2017, attributed to two main reasons, one of which is the market-oriented approach to external trade
Source: Reporter Amharic
