Information and stories about Ethiopia

World Poverty Declines RapidlyOxford University’s poverty and human development initiative published a world poverty report.  As world poverty declines, the report notes that “never in history have the living conditions and prospects of so many people changed so dramatically and so fast.”  In fact, if some countries continue to improve at current rates, it is possible to eradicate acute poverty within 20 years.

The academic study measured new deprivations, such as nutrition, education, and health. By examining more than income deprivation, the study is able to convey the bigger picture.  The new methodology is entitled to the Multidimensional Poverty Index (MPI).  Past studies identify income as the only indicator of poverty.  This is a misrepresentation because multiple aspects constitute poverty.

The MPI measures poor health, lack of education, inadequate living standards, lack of income, disempowerment, poor quality of work, and threats from violence.  These factors provide a holistic look as world poverty declines.

Dr. Sabina Alkire and Dr. Maria Emma Santos developed the new system.   They named the system “multidimensional” because it is what people facing poverty describe.  “As poor people worldwide have said, poverty is more than money,” Alkire said.

This increased information and understanding better inform international donors and governments.  “Maybe we have been overlooking the power of the people themselves, women who are empowering each other, civil society pulling itself up,” Alkire said.  The new data could incentivize donors to provide assistance.  International and national aid contribute to declining rates.  Improvements to infrastructure, education, and healthcare help decrease poverty rates.  Trade has improved the economies of Ethiopia, Rwanda, and Sierra Leone.

Rwanda, Nepal, and Bangladesh experienced the greatest decrease in poverty rates.  It is possible that “deprivation could disappear within the lifetime of present generations.”  Close behind in the ranks of poverty reduction were Ghana, Tanzania, Cambodia, and Bolivia.

The study is supported by the United Nations’ recent development report.  The UN report stated that poverty reduction was “exceeding all expectations.”

Check out the MPI interactive world map for more details.

– Whitney M. Wyszynski

Source: The Guardian

Top Priorities for Africa in 2013The Africa Growth Initiative (AGI) at Brookings released a report of top priorities for Africa.  The AGI “brings together African scholars to provide policymakers with high-quality research, expertise, and innovative solutions that promote Africa’s economic development.”  The Foresight Africa report shows promising opportunities in Africa.  It outlines the top priorities for Africa in 2013.

Moving from “economic stagnation to above 5 percent GDP growth on average,” Africa is prospering.  Ethiopia, Ghana, Mozambique and Tanzania are some of the fastest-growing economies in the world, and African governments are embracing this growth by lowering transaction costs.  Africa’s economic growth is creating a new middle class.  This middle class means new markets for goods and services.  The Foresight Africa report notes that it is a prime time for investors.

Some African countries are mirroring Asian models and engaging their diasporas for economic and social development.  South Africa, for example, is using TalentCorp’s model.  TalentCorp is a partnership between the government, the private sector and the overseas diaspora.  The model aims to bring highly skilled Malaysians living abroad back to their home country.

Countries everywhere recognize the potential in harnessing Africa’s diaspora.  In 2011, the United States Congress proposed the African Investment and Diaspora Act.  The bill was designed to support African development.  Ghana and Kenya are on the cutting-edge and have already “established units within their respective governments to oversee diaspora affairs.”  AGI’s Foresight Africa report points to these examples as models for other countries.

Check out the full report for more information.

Whitney M. Wyszynski

Source: Brookings
Photo: Daily Maverick

Will Poverty End in Your Lifetime_opt
According to the Oxford University Poverty and Human Development Initiative, the poorest nations in the world may be brought out of poverty in twenty years if current rates of development continue – a sure sign that foreign aid and global relief programs are working.

Oxford released the study after the United Nations published a report documenting that poverty reduction drives were exceeding all expectations. The study also noted that this was the first time in history that poverty has been beaten back so dramatically and quickly.

This type of shining development is the effect of the investment of foreign aid and development projects in helping communities establish higher standards of living and the infrastructure to help sustain those standards of living. The UN pointed out that trade had become an important factor in improving conditions in impoverished countries such as Afghanistan, Sierra Leone, Rwanda and Ethiopia.

As Secretary of State Kerry pointed out during his first address, eleven of the top fifteen trading partners of the United States were once beneficiaries of foreign aid. If advocacy groups continue to work toward sustainable development in impoverished nations, it’s possible a few of these countries will make that list in the coming decades. Among the current countries pushing forward, Rwanda, Nepal, and Bangladesh are the countries in which poverty is declining the quickest, followed closely by Ghana, Tanzania, Cambodia and Bolivia. In the three former countries, if poverty continues to decline at this rapid rate, it is projected that the global community can eliminate poverty within the current generation’s lifetime.

– Pete Grapentien

Source: The Guardian

Why Investing in Africa is the Right MoveAccording to the International Monetary Fund (IMF), there is a 16 percent chance that global growth will dip below two percent this year. An unlikely contender as far as investment options are concerned, investing in Africa may be a lucrative opportunity for investors looking for solace in a declining global market.

Africa is notorious for being a troubled continent. However, as the economic problems begin to fade, stock markets are projected to rise, making Africa a prime candidate to overtake Asia in terms of economic growth by 2015.

The IMF has estimated that in the next five years, 10 out of the 20 fastest-growing economies will be in sub-Saharan Africa and two will be in North Africa. An example of exploding economic growth is Nigeria, where the average income has quadrupled since 2000. Sierra Leone, Ghana, Kenya, and Ethiopia are all seeing quick economic inclines as well.

While African markets are becoming more and more likely to expand rapidly in the next few years, making investing in Africa a lucrative choice, many investors are still reluctant to invest due to the lack of liquidity (ability to buy and sell) of African stock.

– Pete Grapentien

Source: The Telegraph

Books For Africa Teams Up With The Peace CorpsBy pairing with the Peace Corps and other nonprofits, Books for Africa has become the world’s largest shipper of donated books to the African continent. With its headquarters based in St. Paul, Minnesota, Books for Africa has shipped nearly 27 million books to 48 countries in the past 25 years.

In countries where few classrooms have suitable resources, Books for Africa ship libraries of new scholarly and leisurely texts as well as new law and human rights texts. Classrooms in countries such as Ghana, Ethiopia and South Africa are filled with avid learners whose parents have sacrificed greatly to provide them with an education but often lack adequate supplies.

While many classrooms have adequate textbooks to constitute as reading material, noted on project organizer, the establishment of reading centers such as libraries indulge the hope that “Ethiopian children and their families will be able to experience the joys of reading and literacy activities directly.”

– Pete Grapentien

Source Huffington Post

Geothermal_Energy_Ethiopia
In a new program, the World Bank is partnering with the Development Bank of Ethiopia to fund geothermal energy exploration in the country, which is extremely rich in geothermal resources that lay through the Great Rift Valley.

Up until recently, no geothermal energy projects have been pursued in Ethiopia due to high costs and lack of funding, but the new project will fund an initial $20 million to ignite such projects, with an additional $20 million to be given down the road. The agreement states that the World Bank will pledge $200 million towards developing Ethiopia’s energy infrastructure.

This is not the first energy investment the World Bank has made in Ethiopia; they gave $40 million to the country’s private sector for renewable energy pursuits last year. Initial funds will be put towards exploratory drilling to determine the potential of geothermal projects, and once more information is available, the World Bank will start accepting proposals from organizations and investors interested in developing geothermal projects and power plants within Ethiopia.

Other such geothermal projects have already been in the works by the African Development Bank, with geothermal programs slated for Kenya, Tanzania, and Djibouti. Professor Paul Younger of Glasgow University asserts that the promise for geothermal development in these areas of East Africa is great, with Kenya as the latest “success story.” Although projects in other areas are merely in the preliminary stages, Dr. Younger maintains that the energy industry in the region is developing quickly, and energy development in Eritrea and Uganda may even be possible in the future.

Along with rich geothermal resources, Ethiopia also has considerable hydropower potential of up to 45,000 MW, taking into consideration the great water and rainfall resources in the country. Hydropower already accounts for 86 percent of energy produced there, so officials recognize the need to diversify current energy sources and are aiming to harness the potential 5,000 MW of energy that geothermal technologies can offer. The country’s dependence on water resources for power are especially alarming in light of climate change issues, which include increasingly sporadic rainfall and drought conditions.

Although the country has come very far in energy development within the last few years, 85 percent of the population still lacks access to an affordable source of energy. The country is hoping to provide for the population and decrease dependency on hydropower through aggressive pursuits of renewable energy. As part of the five-year plan, Ethiopia is aiming to increase its energy portfolio fourfold by 2015.

Christina Mattos Kindlon

Source: The Guardian

Curbing Maternal Death In EthiopiaWhile Ethiopia’s health system has improved, women are still dying from common birthing complications that can occur before, during and after childbirth. The UN Population Fund (UNFPA) reports that approximately 25,000 maternal deaths occur annually.

Luwei Pearson, Chief of the Health Section at the UN Children Fund (UNICEF) in Ethiopia said, “There must be efforts to ensure that health facilities are not just available but that they are also functional by, for instance, fitting them with electricity and piped water.”

As of 2011, Ethiopia recorded 676 maternal deaths for every 100,000 live births. In 2005, there were only 673 maternal deaths recorded. Ethiopia aims to decrease its current maternal death rate to 267 as of 2015.

The five major causes of maternal mortality in Ethiopia are ruptured uterus, abortion complications, postpartum hemorrhage, puerperal sepsis, and preeclampsia/eclampsia.

The Ethiopian government has created steps to lower the rates of maternal death. These initiatives include the use of a scorecard to determine the effectiveness of the health system as well as the creation of a health extension program that has trained about 30,000 extension, health workers.

Currently, only 1% of expectant mothers deliver with the supervision of extension health workers. The Ministry of Health reports that these workers have individually helped 2,500 people. The number helped will increase as more extension health workers are trained.

Rural areas require particular attention as around 83% of Ethiopia’s 87.1 million residents reside in rural areas. There is a drastic difference between the percentages of babies delivered with the help of skilled personnel in urban versus rural areas with 45% in urban areas and only 3% in rural areas.

Health facilities must also be built in order to ensure hygienic birthing conditions in rural areas. The University of Addis Ababa determined in 2009 that in the rural Tigray Region, 80% of maternal deaths occur in the home and 50% were the result of failed transportation to a health facility.

“We are optimistic that [the] goal [of reducing child and maternal mortality] is achievable… because we have seen Ethiopia achieve a more than 40 percent reduction in child mortality [among children] under five in the last five years. We have seen sub-Saharan Africa achieve a 39 percent reduction,” said Rajiv Shah, administrator at the US Agency for International Development (USAID).

– Kasey Beduhn

Source: IRIN
Photo: World News Network