Ethiopia forecasts faster growth next fiscal year
The East African nation, which is restructuring its external debt, is implementing far-reaching economic reforms backed by an International Monetary Fund (IMF) loan programme.
Finance minister Ahmed Shide told parliament that the government is forecasting economic growth of 8.9% in the fiscal year that runs from July 8 2025 to July 7 2026, up from an estimated 8.4% in the current fiscal year.
A budget deficit of 2.2% of gross domestic product (GDP) is expected versus 2.1% this fiscal year, while overall spending will be about 1.9-trillion birr (R248.16bn) next year, he said.
Ethiopia's export revenue over the past 11 months of this fiscal year stood at $7.2bn (R127.62bn), Ahmed said, up 118.2% from the previous financial year. Prime Minister Abiy Ahmed has told domestic media outlets in recent days that the country's coffee and gold exports have surged.
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