Ethiopia, as Africa's second most populous nation, has a large and
dynamic economy that has experienced significant growth in recent
decades. The country is in a period of transition, moving from a state-led
to a more market-oriented economy. However, it faces a number of
complex challenges that have impacted its recent performance. Ethiopia's
economy in 2025 is on a path of robust, albeit slowing, growth,
underpinned by ambitious government reforms. However, the path
forward is not without significant risks, including political instability, high
inflation, and a fragile external debt situation. The success of the
government's reform agenda and the continued support of international
partners will be crucial for maintaining economic stability and achieving
sustainable, long-term growth.
The Ethiopian economy is projected to experience strong growth in 2025,
although at a slightly slower pace than in 2024 and Forecasts vary
according to IMF: 6.6% and Ethiopian Government: 8.9%.
Agriculture: This remains the backbone of the economy, employing over
70% of the workforce. It accounts for a large portion of the country's GDP
and is a primary source of exports. Key agricultural products include
coffee (the most important export), oilseeds, pulses, and livestock.
However, the sector is largely subsistence-based and is highly vulnerable
to climate change, which has led to food insecurity and periodic droughts.
Services: The service sector has surpassed agriculture as the main
contributor to Ethiopia's GDP. It includes a variety of activities such as
trade, tourism, and telecommunications. State-owned enterprises like
Ethiopian Airlines and Ethio Telecom play a significant role in this sector's
growth.
Industry: While still in its early stages of development, the industrial
sector is a key focus of the government's economic reform agenda. It is
primarily composed of light manufacturing, including food processing,
textiles, and leather products. The government is investing heavily in
large-scale infrastructure and energy projects to support industrial
expansion.
The bakery products market in Ethiopia is experiencing steady growth,
driven by factors like population increase, urbanization, and evolving
consumer preferences. While the country's regulatory environment
presents some challenges, overall demand for both traditional and
modern bakery products, including bread, pastries, and cakes, is on the
rise.
A growing population and increasing urbanization are leading to a
greater demand for convenient and affordable food options, including
bakery products. Consumers are increasingly seeking healthier and more
convenient bakery options, including premium and specialized
products. Government initiatives focused on agricultural development
and food processing infrastructure are boosting the market by improving
supply chains and product quality.
Overall, the Ethiopian bakery market presents significant opportunities for
growth, particularly for businesses that can adapt to changing consumer
preferences, offer high-quality products, and navigate the regulatory
landscape.
The estimated population of Sheger City in Ethiopia is 2,111,769. Sheger
City, also known as Sheger City, is a newly established city in the Oromia
National Regional State, encircling the capital, Addis Ababa. It spans a
large area of 160,892.9 hectares.
