Stakeholders discuss the role of macroeconomic reforms in Ethiopia’s sustainable economic transition

Addis Ababa, November 19, 2024 (FBC) – Key stakeholders are convening to examine the impact of macroeconomic reforms on achieving sustainable economic transformation in Ethiopia.

The consultative meeting features Planning and Development Minister Fitsum Assefa (PhD), Finance Minister Ahmed Shide, National Bank Governor Mamo Mihretu, along with other senior government officials and relevant stakeholders.

Fitsum underscored the significance of economic transformation for Ethiopia, highlighting that nations that have successfully implemented structural reforms consider factors such as sector potential, job creation, export trade volume, and technology development. She emphasized that enhancing the manufacturing sector and creating value-added job opportunities are critical for ensuring sustainable economic progress.

Reflecting on Ethiopia’s economic history, Fitsum noted that the country has previously operated under capitalism, command, and mixed market systems. However, she indicated that the current approach is grounded in pragmatic capitalism, aligning with contemporary economic policy frameworks.

The Homegrown Economic Reform initiative promotes private sector investment, government engagement in essential sectors, and improved land tenure systems. Fitsum pointed out that this new direction differs from past policies, as it has successfully reduced foreign debt and opened up new sources of domestic financing while prioritizing comprehensive sectoral economic development.

With the recent full implementation of the macroeconomic reform policy, the government is actively showcasing the successes of these reforms across various sectors.