Ethiopia learns from Singapore; decides to privatize profitable industries

The Ethiopian government that is currently going through a major political transformation has decided to also revolutionize the Ethiopian economy by privatizing major industries, including Ethiopian Airlines and Ethio Telecom. The new economic policy is intended to expedite economic growth, solve hard currency shortage, and provide investment opportunities to Ethiopian and foreign investors. Watch the announcement in the video below.

One of the reasons Ethiopia’s so-called “fastest economic growth” has not benefited 99 percent Ethiopians because almost all of the profitable industries are owned by the government. Government ownership of these profitable industries has not benefited the average Ethiopian. It has also been a major source of corruption. It has made government officials millionaires while Ethiopians continued to be subjected to abject poverty.

This new policy is perhaps the best economic news in Ethiopian history. If Ethiopia wants to create real wealth that benefits the average Ethiopian citizen, this is the way to go. Privatizing industries is how Singapore, UAE, and other countries have transformed themselves from 3rd world countries into prosperous nations within one generation.

In Singapore, for example, government manages only those industries that are not profitable for the private sector. As a result, Singapore is one of the richest countries in the world, richer per capita than even the United States.

With this new economic policy, Prime Minister Abiy Ahmed’s government is putting Ethiopia on a path of prosperity and political stability.

Ethiopia’s investors do not have to compete with government monopolies anymore.

Ethiopia’s youth do not have to migrate to other countries for economic opportunities.

Ethiopians in the Diaspora now have a huge incentive to invest in Ethiopian.

Ethiopia will finally have her own hard currency because Ethiopians will not find it necessary to take their money out of the country.

PM Abiy’s government has embarked on an economic policy that will finally result in the creation of real wealth that benefits average Ethiopians.