Ethiopia
This Systematic Country Diagnostic (SCD) identifies the binding constraints to reducing extreme poverty and promoting shared prosperity in Ethiopia. Achieving those goals requires a two pronged strategy of building on the strengths of past performance as well as introducing new elements. Progress in rural livelihoods drove poverty reduction in the past and will likely do so in the future. In addition, faster, and more inclusive, private sector-led structural change and ‘getting urbanization right’ are essential going forward. The report identifies two key challenges to sustainable progress: Ethiopia needs sustainably financed infrastructure that enables private investment to flourish and reduces reliance on public borrowing. It must also strengthen feedback mechanisms that inform policymakers of what works and what doesn’t so that the aspirations of a rapidly rising and better-educated working-age population can be met. The report is structured in two parts: Part A analyses the past and Part B identifies priorities for the future.
Summary: | This Systematic Country Diagnostic (SCD)
identifies the binding constraints to reducing extreme
poverty and promoting shared prosperity in Ethiopia.
Achieving those goals requires a two pronged strategy of
building on the strengths of past performance as well as
introducing new elements. Progress in rural livelihoods
drove poverty reduction in the past and will likely do so in
the future. In addition, faster, and more inclusive, private
sector-led structural change and ‘getting urbanization
right’ are essential going forward. The report identifies
two key challenges to sustainable progress: Ethiopia needs
sustainably financed infrastructure that enables private
investment to flourish and reduces reliance on public
borrowing. It must also strengthen feedback mechanisms that
inform policymakers of what works and what doesn’t so that
the aspirations of a rapidly rising and better-educated
working-age population can be met. The report is structured
in two parts: Part A analyses the past and Part B identifies
priorities for the future. |
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