Ethiopia revises GDP upwards by 59.21%
By the AFREEQUE newsroom, based on Business Day Nigeria
Illustrative image · RDNE Stock project · Pexels · Licence PexelsEthiopia has raised the measured size of its economy by 59.21%, putting nominal GDP for 2024/25 at 24.03 trillion birrs, or $201.4 billion. The revision affects debt and tax revenue indicators in particular, according to a November report by Ethiopia’s Ministry of National Strategy.
Ethiopia’s Ministry of National Strategy has put the country’s nominal gross domestic product for the 2024-2025 financial year at 24.03 trillion birrs, or $201.4 billion, compared with 15.09 trillion birrs under the previous statistical base. The revision represents a 59.21% increase in the measured size of the economy, according to a report published in November by the ministry.
The new base could improve several fiscal indicators, particularly debt and tax revenue ratios, as Ethiopia restructures its debt and seeks to increase domestic revenue. The rise in nominal GDP does not, however, automatically mean an increase in household incomes, productivity or government revenue.
In South Africa, the revision of the national accounts by Statistics South Africa increased the estimated size of the economy by about 5% and reduced the debt-to-GDP ratio to 74.6%, according to the National Treasury. The South African government also expects a lower budget deficit following the revision.
