Ethiopia has grown at an average rate of 10% since 2010. In 2012, Ethiopia was the 12th fastest growing economy in the world , managing to grow faster than other African countries such as Rwanda, Mozambique, Zambia, and Ghana, as well as China and India (World Bank, 2013).
Through a co-ordinated, prudent fiscal policy and a tight monetary policy, combined with a slowdown in global commodity prices, the Government has brought down inflation to single digits. Consumer prices have increased by only 5.7 percent in 2013 and are forecasted to grow by only 6.6 and 5.5 percent, respectively, in 2014 and 2015 (International Monetary Fund, 2014).
Growth forecasts of more than 7% from the International Monetary Fund and the African Development Bank place Ethiopia among the world’s growth leaders over the medium term.