Country Overview
Ethiopia's significant investment in infrastructure has helped it remain among the fastest growing countries in the world. The increased openness of public procurement and foreign investment policies have also attracted greater investment from foreign equity in local projects. Despite areas of marked improvement, Ethiopia still faces challenges to reform its broader regulatory, planning and financial systems.
See Full Overview Data
GDP per capita
995.7 USD
Population
99.7 million persons
Infrastructure quality
43.4 (0-100 best)
Infrastructure investment
17.9% of GDP
Infrastructure gap
5.6% of GDP

Driver Overview

This section shows a country’s rank, ranking change and score for each of the eight drivers. It also categorises each country’s driver performance on a scale from “Emerging” (score from 0-20) to “Global Leader” (score from 80-100).

Driver
Rank
Score /100
Emerging Aspiring Contender Top performer Global Leader
- No ranking change Ranking increase Ranking decrease

Rank

Score /100

Best practice

74
-
24.8
Emerging
74
-
40.4
Emerging
74
-
26.7
Emerging
55
4
53.6
Aspiring
68
2
51.9
Emerging
19
2
45.8
Top performer
59
5
22.7
Aspiring
63
4
23.3
Aspiring

Metric Overview

Strengths

Transparency in public procurement

Public procurement regulation in Ethiopia follows international best practices, recognising a range of procurement processes and ensuring access to information about tendering opportunities. Open bidding accounted for almost 95% of procurements in 2019.

Infrastructure investment

Investment in infrastructure is a priority under Ethiopia's Growth and Transformation Plans (GTP) I and II. As part of GTP II, the government is continuing to expand physical infrastructure through public investments.

Long term GDP growth trend

Ethiopia is one of the fastest growing economies in the world, with an average GDP growth of 9.9% a year from 2008 to 2018. This has been driven by economic reforms and public investment programs fostering growth in the private sector.

Transparency in public procurement

Public procurement regulation in Ethiopia follows international best practices, recognising a range of procurement processes and ensuring access to information about tendering opportunities. Open bidding accounted for almost 95% of procurements in 2019.

Infrastructure investment

Investment in infrastructure is a priority under Ethiopia's Growth and Transformation Plans (GTP) I and II. As part of GTP II, the government is continuing to expand physical infrastructure through public investments.

Long term GDP growth trend

Ethiopia is one of the fastest growing economies in the world, with an average GDP growth of 9.9% a year from 2008 to 2018. This has been driven by economic reforms and public investment programs fostering growth in the private sector.

Top Performing Metrics

Top Performing Metrics

This is defined by the metrics with the highest unweighted score out of 100. 

Low income country average

Funding capacity:
Long term GDP growth trend

Opportunities to Grow

Published infrastructure procurement guidelines

While its transparency in public procurement is excellent, Ethiopia does not publish infrastructure specific guidelines for procurement. Publishing guidelines makes contractors more aware of the government’s processes, expectations and requirements.

Published project pipeline

Ethiopia does not currently have a pipeline of infrastructure projects. The addition of an infrastructure pipeline could help provide infrastructure participants with a clear indication of prospective and confirmed infrastructure activity.

Post-completion reviews

Ethiopia does not undertake post-completion reviews for infrastructure projects. The implementation of post-completion reviews could help determine whether projects have achieved their objectives efficiently, and better identify areas of improvement.

Published infrastructure procurement guidelines

While its transparency in public procurement is excellent, Ethiopia does not publish infrastructure specific guidelines for procurement. Publishing guidelines makes contractors more aware of the government’s processes, expectations and requirements.

Published project pipeline

Ethiopia does not currently have a pipeline of infrastructure projects. The addition of an infrastructure pipeline could help provide infrastructure participants with a clear indication of prospective and confirmed infrastructure activity.

Post-completion reviews

Ethiopia does not undertake post-completion reviews for infrastructure projects. The implementation of post-completion reviews could help determine whether projects have achieved their objectives efficiently, and better identify areas of improvement.

Metrics to Improve

Metrics to Improve

This is defined by the metrics with the lowest weighted score out of 100, such that these metrics would have the greatest impact on the overall score.

For metrics that have binary outcomes (yes=100/no=0), no comparative income group average is reported.

Low income country average

Detailed Data

This section shows country data for each of the 41 metrics. The figures in brackets denote the change in score since InfraCompass 2017. 

Note that all data has been normalised on a scale of 1-100. For raw metric data, please download the complete InfraCompass 2020 dataset. 

Where relevant, some metric scores have been inverted, such that all metrics have positive relationships with good infrastructure outcomes. For example, since lower compliance costs make it easier to invest in infrastructure, the normalised value of ‘number of procedures to start a business’ has been reversed such that lower number of procedures are scored closer to 100, and higher numbers closer to 0. In other words, a score of 0 indicates a poor performance, rather than 0 number of procedures.

Governance Regulatory Permits Planning Procurement Activity Funding Financial
Driver
Rank
Score /100
Emerging Aspiring Contender Top performer Global Leader
- No ranking change Ranking increase Ranking decrease

Metric

Ethiopia

Low Income Countries Average

Source Link

28.2%

Recovery rate

The recovery rate is recorded as cents on the dollar recovered by secured creditors through reorganisation, liquidation or debt enforcement (foreclosure or receivership) proceedings.

27.3 (-1.9)
21.8

20.7%

Rule of law

World Governance Composite Indicator reflecting perceptions of the extent to which agents have confidence in and abide by the rules of society, and in particular the quality of contract enforcement, property rights, the police, and the courts, as well as the likelihood of crime and violence. The rule of law reflects whether the law imposes limits of power on the state, private sector and individuals.

41.4 (+1.3)
37.1

18.1%

Post-completion reviews

Whether the country conducts post-completion reviews on infrastructure projects to ensure the forecast outcomes are being achieved.

No
-

15.1%

Shareholder governance

Measures the governance practices that protect shareholders through three dimensions: the extent of shareholder rights index (shareholders’ rights and role in major corporate decisions), the extent of ownership and control index (governance safeguards protecting shareholders from undue board control and entrenchment), and the extent of corporate transparency index (corporate transparency on ownership stakes).

0.0
16.3

12.8%

Political stability and absence of violence score

Measures perceptions of the likelihood of political instability and/or politically-motivated violence, including terrorism. Estimate gives the country's score on the aggregate indicator, in units of a standard normal distribution i.e. ranging from approximately -2.5 to 2.5.

27.6 (+4.6)
34.0

5%

Infrastructure or PPP agency

Whether an infrastructure agency exists to coordinate an integrated approach to infrastructure delivery and policy.

Yes
-

Ethiopia

Low Income Countries Average

27.3 (-1.9)
21.8
41.4 (+1.3)
37.1
No
-
0.0
16.3
27.6 (+4.6)
34.0
Yes
-

Country Overview Data

Ethiopia's significant investment in infrastructure has helped it remain among the fastest growing countries in the world. The increased openness of public procurement and foreign investment policies have also attracted greater investment from foreign equity in local projects. Despite areas of marked improvement, Ethiopia still faces challenges to reform its broader regulatory, planning and financial systems.
GDP per capita

995.7 USD

Population

99.7 million persons

Infrastructure quality

43.4 (0-100 best)

Infrastructure investment

17.9% of GDP

Infrastructure gap

5.6% of GDP

GDP

91.2 USD billion

GDP growth rate

7.4%

GDP per capita growth rate

11.8%

Gini coefficient

35.0 (0-100 worst)

Gross Government Debt

59.0% of GDP

Inflation rate

14.6%

Summary credit rating

31.0 (0-100 best)

Unemployment rate

1.8%

Urbanisation ratio

21.0% of total population

Road connectivity

53.3 (0-100 best)

Quality of road infrastructure

3.0 (1-7 best)

Efficiency of train services

3.0 (1-7 best)

Efficiency of air transport services

3.3 (1-7 best)

Efficiency of seaport services

2.8 (1-7 best)

Electricity access

44.8% of population

Electricity supply quality

17.3% of output lost

Exposure to unsafe drinking water

69.8% of population

Reliability of water supply

3.8 (1-7 best)

Digital Adoption Index

0.3 (0-1 best)

Mobile-broadband subscriptions

13.9 per 100 population

Fixed-broadband Internet subscriptions

0.1 per 100 population