AMECO AFRICA
Addis Ababa, 05 November 2026.Ethiopia’s economy is now officially larger than previously measured. A rebasing of the country’s gross domestic product (GDP) puts it at $210.7 billion, making Ethiopia the third largest economy in Sub-Saharan Africa.
The update replaces a baseline that had remained unchanged since 2015/16. The modernized baseline for fiscal year 2025/26 captures trillions of birr in economic activity that was previously unrecorded, including digital finance, irrigated winter wheat, corridor development and capital markets.
The rebased figures show a balanced economic structure: services account for 35.91 percent of GDP, agriculture for 31.57 percent and industry for 30.2 percent.
Although a statistical revision does not immediately change the cost of living, it carries significant benefits. The recalibration improves the debt-to-GDP ratio, strengthens the country’s creditworthiness, and opens new opportunities to expand the tax base and shape evidence-based policy.
