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Sida's work in Ethiopia

While Ethiopia has experienced significant economic and democratic development, the country remains one of the world’s poorest. Sida’s development cooperation with Ethiopia contributes to strengthening respect for human rights, increasing the country’s resilience to climate change and creating the preconditions for people to improve their standard of living.

Sida’s support to Ethiopia 2019

Total development assistance

712 M SEK

Development cooperation

492.3 M SEK

Humanitarian assistance

222 M SEK

Progress has been made

Poverty has declined

Poverty has declined from 46% in 1995 to 24% in 2015, according to the World bank. Ethiopia has one of Africa’s most rapidly growing economies.

Small steps towards democracy

The country has taken several strides towards more democratic government, including a 2019 change to electoral legislation that facilitates free and democratic elections in which the political opposition can participate. In 2018, a historic peace treaty was signed between Ethiopia and neighbouring country Eritrea.

Halved maternal mortality

Maternal mortality has more than halved since 2000 and access to prenatal care has increased.

Challenges remain

Deep inequality

Despite this progress, Ethiopia remains one of the poorest countries on earth and inequality is rife. The country was ranked 173rd out of 189 countries in the 2019 UNDP Human Development Index.

Deficient democracy

Shortcomings remain in terms of democracy and human rights. All five of the elections thus far held in Ethiopia have been disputed and criticised. Discrimination and violence based on gender and sexual orientation are common and child labour remains a problem.

The pandemic leads to unemployment

Unemployment has risen due to COVID-19, particularly among women and young people. The pandemic also caused the postponement of the election scheduled for August 2020 until 2021.

Development cooperation in Ethiopia

With a population of over 105 million, Ethiopia is Africa’s second most populous country after Nigeria. Despite economic and democratic progress, the land remains one of the poorest on earth. 

After taking power in 2018, Prime Minister Abiy Ahmed and his government have implemented important reforms, including strengthening democracy, the rule of law and respect for human rights. 

Ethiopia is deeply scarred by local ethnic conflicts, as well as regular droughts, floods and desert locust infestations that destroy crops and livelihoods.

Updated: 31 March 2021