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Country Focus Economy Economy & Banking Reports & Indices

World Bank's Ethiopia portfolio stands at 15.82 billion dollars across 43 operations

The World Bank's country overview for Ethiopia records the state of its lending and of the government's reform programme.
As of 23 March 2026, the total World Bank portfolio in Ethiopia had 43 operations and 15.82 billion dollars in commitments, including 12.5 billion dollars from the International Development Association.
Since FY 2015, IDA has committed over 25 billion dollars to Ethiopia.
The government began a comprehensive macroeconomic reform in July 2024. It moved to market set exchange rates, eased some current account restrictions and adopted an interest rate based monetary policy.
The gap between the official and parallel exchange rates narrowed from over 100 per cent to about 15 per cent, though surrender requirements on exporters still encourage parallel market use.
The overview cites a GDP growth rate of 9.2 per cent in FY2024/25, with per capita GDP of 979 dollars.
Poverty fell from 39 per cent to 24 per cent between 2004 and 2016, then rose from 27 per cent to 32 per cent over 2016 to 2021.

World Bank portfolio: $15.82 billion Number of operations: 43 GDP growth, FY2024/25: 9.2% Per capita GDP: $979
Why it matters for exams: Ethiopia is one of the largest IDA borrowers, and the narrowing of the official to parallel exchange rate gap is a textbook measure of exchange rate reform.
Kerala PSCUPSC
17 October 2026 Source: World Bank

In plain words

Parallel market Parallel foreign exchange market — An unofficial market where a currency trades at a rate different from the bank rate.

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