How the conflict in Tigray is fraying Ethiopia’s finances

How the conflict in Tigray is fraying Ethiopia’s finances

The conflict in the north has cost $2.5bn, the dollar has sunk and international investors are staying away.

Before the election of Prime Minister Abiy Ahmed in 2018, Ethiopia’s economy was growing fast. But the conflict in the Tigray region, sanctions and the pandemic have strained the country’s finances.

Louw Nel, a senior political analyst at NKC African Economics, explains the economic and political challenges Abiy faces as the United States blocks access to finance.

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