Addis Ababa- Professor Jeffrey D. Sachs said Ethiopia is well poised to sustain double digit economic growth for the coming more than 2 decades.
In an interview Monday at the Addis Ababa International Airport earlier his departure back to New York the Special Economic Advisor to UN Secretary General (UNSG) and Director of the Earth Institute at Columbia University Professor Jeffrey Sachs said Ethiopia´s 11 or 12 percent economic development year after year is among some of the fastest on earth.
Ethiopia´s phenomenal economic growth ignited by combination of the good policies, private investment and conducive global conditions is manifested across the country where there is construction of many new buildings and roads, farmers making a lot of money and buying new higher productive crops, and as a country Ethiopia exporting a lot of new crops, he added.
According to him Ethiopia is thus comfortably hovering to maintain about 12 percent economic growth for the coming 20 successive years while, in fact, world´s being in positive stipulations would have a significant role.
"I believe that Ethiopia can maintain 10 percent per year growth for many, many years to come. Indeed double digit economic growth for the next 20 years……. To accomplish that, of course, the world has to be in favorable terms. In other words there can´t be a global crisis that´s very severe."
Asked what international financial and aid institutes as well as donor countries should do to contribute to Ethiopia´s vibrantly growing economy the professor said that he has been frequently advising those monetary institutes and donor countries for years that "Ethiopia needs investments in roads, in powers, in schools and in clinics."
"This kind of investment is the essence of building a base for sustainable long term economic development" he added.
Stressing that those investments require financing, professor Sachs said he has been meeting with donor countries for many years to say give Ethiopia more help to finance these critical investments.
Reiterating that donor countries have not fulfilled their commitments to double aid to Africa by 2010, the professor said Ethiopia needs such funds now "to make these investments so that the economy can achieve a big increase in the future."
It´s to be recalled that Prime Minister Meles Zenawi has frequently stated that though it´s incontestable such funding from donor countries would play a pivotal role in assisting its economic boom; Ethiopia would become middle income country in 20 to 30 years with or without foreign aid.
In this regard the professor´s expert opinion based on his own calculation of per person income and population growths in Ethiopia is that if Ethiopia gets everything working right the average per capita income which doubles every seven years would be rising to roughly 8 times larger than today in about 21 years.
Commenting on Ethiopia´s infamous Agriculture Development Led Industrialization (ADLI) Economic Policy the UNSG Special Economic Advisor said "This is a good strategy that has been followed right now which is why the economic growth rate is consistently above 10 percent per year."
Ethiopia can attract large scale foreign investments across many sectors; but primarily in agriculture where there are opportunities to open lands for new high value agricultural commodities, agro processing, textile, leather good, food processing and exporting industries where Ethiopia could be major producer to the Middle East, for instance, which has a lot of money right now; he elaborated.
Further elaborating the lucrative areas, the professor said Ethiopia has a lot of potential "…for livestock products, for Ethiopian honey or for coffees that are of course world famous…….In tourism, in services, in electricity production and generation and in other infrastructure there is tremendous potential across many, many sectors. I think this a very exiting fact for foreign investors and I think they are going to be coming."
"I think people are beginning to see Ethiopia on the move and on the rise. And the ushering (of) the new Ethiopian Millennium was a big event for people to see here is a country that is starting to develop and starting to achieve a lot of interesting economic progress. And of course people are coming to know better all the wonderful culture and tourist potentials of this country as well. So I think this is a tremendous moment for Ethiopia. When a country achieves economic progress of 11 or 12 percent per year growth year after year after year, people say oh…what´s going on there? Let´s have a look. Let´s try to understand. Now this is the beginning of that. But I think the interest will rise. There is a lot of interest. China, India, the Middle East, Europe, the United States, I expect of the rise of interest to continue and to be strong." The economic expert concluded.
Professor Jeffrey D. Sachs was in Ethiopia for a five days visit. In his stay here, he held talks with Ethiopia´s Prime Minster Meles Zenawi, Deputy PM and Minister of Agriculture and Rural Development Addisu Leggese as well as Minister of Health Dr. Tewodros Adhanom.
To access the full interview use this URL Link:
http://www.waltainfo.com/Interview/2008/Jan/Jef.htm
Previously an American millionaire made a prety bold statement that with current economic growth trends and all the tremendous potentials just starting to be exploited Ethiopia could become the next China.
January 2008 Omer Redi
In an interview Monday at the Addis Ababa International Airport earlier his departure back to New York the Special Economic Advisor to UN Secretary General (UNSG) and Director of the Earth Institute at Columbia University Professor Jeffrey Sachs said Ethiopia´s 11 or 12 percent economic development year after year is among some of the fastest on earth.
Ethiopia´s phenomenal economic growth ignited by combination of the good policies, private investment and conducive global conditions is manifested across the country where there is construction of many new buildings and roads, farmers making a lot of money and buying new higher productive crops, and as a country Ethiopia exporting a lot of new crops, he added.
According to him Ethiopia is thus comfortably hovering to maintain about 12 percent economic growth for the coming 20 successive years while, in fact, world´s being in positive stipulations would have a significant role.
"I believe that Ethiopia can maintain 10 percent per year growth for many, many years to come. Indeed double digit economic growth for the next 20 years……. To accomplish that, of course, the world has to be in favorable terms. In other words there can´t be a global crisis that´s very severe."
Asked what international financial and aid institutes as well as donor countries should do to contribute to Ethiopia´s vibrantly growing economy the professor said that he has been frequently advising those monetary institutes and donor countries for years that "Ethiopia needs investments in roads, in powers, in schools and in clinics."
"This kind of investment is the essence of building a base for sustainable long term economic development" he added.
Stressing that those investments require financing, professor Sachs said he has been meeting with donor countries for many years to say give Ethiopia more help to finance these critical investments.
Reiterating that donor countries have not fulfilled their commitments to double aid to Africa by 2010, the professor said Ethiopia needs such funds now "to make these investments so that the economy can achieve a big increase in the future."
It´s to be recalled that Prime Minister Meles Zenawi has frequently stated that though it´s incontestable such funding from donor countries would play a pivotal role in assisting its economic boom; Ethiopia would become middle income country in 20 to 30 years with or without foreign aid.
In this regard the professor´s expert opinion based on his own calculation of per person income and population growths in Ethiopia is that if Ethiopia gets everything working right the average per capita income which doubles every seven years would be rising to roughly 8 times larger than today in about 21 years.
Commenting on Ethiopia´s infamous Agriculture Development Led Industrialization (ADLI) Economic Policy the UNSG Special Economic Advisor said "This is a good strategy that has been followed right now which is why the economic growth rate is consistently above 10 percent per year."
Ethiopia can attract large scale foreign investments across many sectors; but primarily in agriculture where there are opportunities to open lands for new high value agricultural commodities, agro processing, textile, leather good, food processing and exporting industries where Ethiopia could be major producer to the Middle East, for instance, which has a lot of money right now; he elaborated.
Further elaborating the lucrative areas, the professor said Ethiopia has a lot of potential "…for livestock products, for Ethiopian honey or for coffees that are of course world famous…….In tourism, in services, in electricity production and generation and in other infrastructure there is tremendous potential across many, many sectors. I think this a very exiting fact for foreign investors and I think they are going to be coming."
"I think people are beginning to see Ethiopia on the move and on the rise. And the ushering (of) the new Ethiopian Millennium was a big event for people to see here is a country that is starting to develop and starting to achieve a lot of interesting economic progress. And of course people are coming to know better all the wonderful culture and tourist potentials of this country as well. So I think this is a tremendous moment for Ethiopia. When a country achieves economic progress of 11 or 12 percent per year growth year after year after year, people say oh…what´s going on there? Let´s have a look. Let´s try to understand. Now this is the beginning of that. But I think the interest will rise. There is a lot of interest. China, India, the Middle East, Europe, the United States, I expect of the rise of interest to continue and to be strong." The economic expert concluded.
Professor Jeffrey D. Sachs was in Ethiopia for a five days visit. In his stay here, he held talks with Ethiopia´s Prime Minster Meles Zenawi, Deputy PM and Minister of Agriculture and Rural Development Addisu Leggese as well as Minister of Health Dr. Tewodros Adhanom.
To access the full interview use this URL Link:
http://www.waltainfo.com/Interview/2008/Jan/Jef.htm
Previously an American millionaire made a prety bold statement that with current economic growth trends and all the tremendous potentials just starting to be exploited Ethiopia could become the next China.
January 2008 Omer Redi
