News about economic reform

At a national roundtable organized by the Forum for Social Studies (FSS) with the Center for International Private Enterprise (CIPE), experts warned that Ethiopia's economic reforms are entering their most consequential phase, but a gap between policy and implementation could erode public confidence and delay the benefits of a market-oriented economy. Berhanu Denu, an economist at Addis Ababa University, welcomed economic opening but cautioned that reforms could raise inflation and reduce household purchasing power. He called for targeted support for groups facing temporary hardship, predictable policies, sensible reform sequencing, and progress tracked through measurable indicators. Participants also flagged limited access to foreign currency, financing constraints and a weak investment environment as obstacles for businesses.