By LJDemissie
June 25, 2025
Yesterday, Addis Media Network (AMN) — affiliated with the Addis Ababa City Administration, led by Mayor Adanech Abiebie— reported that Jimma’s revenue grew from about 280 million birr in 2010 E.C. (2017 to 2018 G.C.) to nearly 4 billion birr in 2017 E.C. (2024 to 2025 G.C.). That represents a more than 1,300% (14-fold) increase over seven years. The report credits this to strong cooperation between the people of Jimma, local investors, and the government. But before we celebrate, let’s take a closer look at what these numbers really mean.
What Is Revenue, and Why Should We Care?
Revenue is the money a city earns—usually from taxes, fees, and services. More revenue can mean better roads, schools, and hospitals. So, at first glance, this sounds like great news for Jimma.
But Wait—What About Inflation and Currency Value?
Here’s the catch: while Jimma’s revenue figures may look impressive at face value, they exist in a context where the birr’s value has eroded significantly. Between 2017 G.C. and 2025 G.C., the birr lost about 85% of its value against the U.S. dollar—meaning it takes far more birr today to buy the same imported goods. Meanwhile, domestic inflation has also surged. What 1 birr could buy in 2010 E.C. might now in 2017 E.C. cost 4 to 5 birr—and in some cases, even 6 or 7—mainly due to rising prices and currency devaluation.
So while the nominal revenue jumped, the real purchasing power behind that growth tells a more modest—and more complicated—story. In economics, nominal revenue refers to the total revenue a business, government, or economy earns without adjusting for inflation. It’s measured in current prices at the time of the transaction.
To put it plainly: if you had 1 U.S. dollar in Ethiopia in 2010 E.C., by 2017 E.C., its purchasing power would only be worth just 15 cents in U.S. value. That’s not progress—it’s erosion. And if that kind of erosion isn’t factored into revenue comparisons, the numbers can wildly distort reality.
So, if we don’t adjust for inflation, the revenue growth might not be as big as it seems. It’s like if your coffee allowance went from 10 birr to 100 birr, but a cup of coffee cost 2 birr in 2010 E.C. now in 2017 E.C. costs 20 birr. You’re not richer—you just need more money for the same stuff.
Inflation-Adjusted Growth: A Reality Check
Let’s do a rough adjustment. If we account for an 85% loss in value, the real value of 4 billion birr in 2017 E.C. is closer to 600 million birr in 2010 E.C. terms. That’s still growth—but not a 14-fold increase. It’s more like a doubling, which is far more modest and realistic.
This matters because real growth reflects actual improvements in people’s lives—not just bigger numbers on paper.
What’s Driving the Growth?
Addis Media Network (AMN) says the growth is due to:
- Corridor development projects that improve roads, housing, and public spaces
- Public-private partnerships where businesses and government work together
- Community involvement, with residents actively supporting local development
These are all important efforts—but we still need to ask how much of the revenue growth is real, and how much is just the result of rising prices.
Why Distorted Numbers Are Dangerous
When state-owned or affiliated media present inflated or misleading economic data—a pattern all too common in Ethiopia over the past three decades—it distorts public understanding and undermines trust in official narratives:
- Public trust erodes. People stop believing official reports
- Policy falters. Decisions are made on faulty assumptions
- Stability frays. Economic frustration builds beneath the surface
In Ethiopia’s case, where political tensions and economic hardship already run high, credibility matters more than ever. State-owned or affiliated media that overstates a government’s success risks undermining the very peace it seeks to preserve.
The Need for Real Economists, Not Rebranded Voices
Ethiopia needs qualified economists—trained professionals with evidence-based expertise—to guide public debate. Instead, figures like Zemedeneh Negatu, a business consultant and inactive CPA, are promoted as “top economists” by state media after PM Abiy Ahmed took office. Sidelining independent economists who offer balanced analysis, elevating non-experts weakens Ethiopia’s ability to tackle real economic challenges.
In today’s meetings with state-owned and private media representatives from across the country, Prime Minister Abiy urged his audience to speak the facts and truth from Ethiopia’s perspective. He emphasized that building an informed citizenry requires informed analysis. He called on the media to demand clarity, honesty, and the inclusion of qualified voices in shaping Ethiopia’s economic future. He also encouraged journalists to address the six “W” questions in their reporting.
Rebranding by Design? The Curious Case of Zemedeneh Negatu’s “Economist” Persona
In May 2012, Zemedeneh Negatu authored an article for New African Magazine titled “Ethiopia: From Bankrupt to Middle-Income“. In it, he projected that Ethiopia’s GDP would reach $472 billion by 2025—a figure nearly 290% higher than the IMF’s 2025 forecast — a figure nearly three and a half times higher than the IMF’s 2025 estimate of around $130 billion. At the time, Zemedeneh was not publicly referred to as an economist, yet the confidence and scale of his macroeconomic forecasting hinted at ambitions beyond advisory work.
Fast forward to January 2015: In his Amharic language interview “Who Is Who Interview with Ato Zemedeneh Negatu” on Balageru Idol, Zemedeneh shared that during his first year of college in Canada, I declared economics as my major. Later, after moving to the United States, he pursued a degree in business administration with a focus on finance and accounting, while also taking elective courses in economics. It’s a field I’ve always been interested in—I enjoy it, and I believe I have a natural inclination for it.
By February 2017, however, his public profile began to shift in a more deliberate way. when The Reporter published an article titled “Business guru Zemedeneh part ways with EY, assumes new role beyond advisory” Zemedeneh had been serving as EY Ethiopia’s Managing Partner before his departure. While the official narrative framed it as a strategic transition, the timing and tone suggested internal restructuring—and a departure not entirely free of friction.
What followed appears to be a carefully choreographed shift. By February 2019, during an Amharic-language interview on taxation—a core component of macroeconomic policy—broadcast by the state-owned EBC TV, Zemedeneh was introduced as “የምጣኔ ሀብት ባለሙያ,” a term widely understood as “economist.” This wasn’t just a semantic slip. By placing him in a discussion centered on national fiscal policy, and framing him as a macroeconomic expert, state media helped cement his rebranded persona in the public imagination.
Whether he explicitly claimed the title or allowed it to accrue by implication, the transformation was unmistakable. From business strategist to top national economic voice, Zemedeneh’s rebranding didn’t just happen—it unfolded with precision, planting seeds since 2009 in his interview “Who Is Who Interview with Ato Zemedeneh Negatu” with Balageru Idol and harvesting credibility by 2019.
Who should be held accountable for not adjusting Jimma’s revenue figures for inflation and rebranding Zemedeneh as Ethiopia’s top economist?
Addis Media Network (AMN) (and state-affiliated media): As the outlet broadcasting unadjusted figures without caveats, AMN bears immediate responsibility. Failing to account for inflation—despite an 85% depreciation in the birr—is a glaring distortion of economic reality. This reflects failure both in journalism and basic economic analysis.
Jimma’s local administration and finance office: These offices likely supplied or validated the nominal figures (raw, unadjusted numbers). If they knowingly presented these as real growth without context, they misled both the public and national audiences.
Federal oversight ministries—especially Finance and Planning & Development: Led by Minister Eyob Tekalign Tolina and Minister Fitsum Assefa Adela, respectively, these institutions are charged with standard-setting and economic stewardship. Their silence—or worse, complicity—in failing to flag such analytical omissions enables systemic misinformation.
The Office of the Prime Minister and the Government Communication Service: Under Prime Minister Abiy Ahmed and Government Communication Service head Legesse Tulu, the administration has used economic claims to showcase progress. When such claims are based on unadjusted figures—especially after PM Abiy’s public calls for “truth” and “clarity”—the gap between rhetoric and reality becomes a case of institutional duplicity.
Ethiopian Media Authority, Federal Ethics & Anti-Corruption Commission and other Ethiopian watchdog institutions: These oversight bodies are mandated to uphold transparency and ethical reporting. Their inaction in the face of misrepresented data allows public misinformation to persist and undermines trust in the broader governance framework.
Authors’ Note: The author acknowledges the economic progress Ethiopia has made under Prime Minister Abiy Ahmed’s administration and holds in high regard the contributions of Minister Eyob Tekalign Tolina and Minister Fitsum Assefa Adela. The author also recognizes Zemedeneh Negatu’s role in establishing and leading EY Ethiopia.
However, this article takes issue with Zemedeneh’s pattern of exaggeration, misrepresentation, and self-promotion under the guise of economic expertise—particularly when such portrayals come at the expense of Ethiopia’s broader macroeconomic discourse. Such conduct risks distorting public understanding, undermining trust in qualified professionals, and alienating Ethiopia’s trained economists from meaningful engagement with their government.
This critique is not personal—it is a call for accountability, clarity, and the elevation of evidence-based voices in shaping Ethiopia’s economic future.
The writer, LJDemissie, can be reached at LJDemissie@yahoo.com or @LJDemissie on X.
