The Ethiopian economy is based on agriculture, which accounted, in 2009/10, for about 42 percent of the gross domestic product (GDP), 75.9 percent of foreign currency earnings. Generally, the; overall economic growth of the country has been highly associated with the performance of the agriculture sector.
In 2009/10, the industrial sector, which mainly comprises small and medium enterprises accounts for about 13 percent of GDP. The services sector accounts for about 46.1percent of GDP.
Real GDP grew by an average of 11.3 percent per year for the last seven consecutive years (2003/04-2009/10), which is the highest among the non-oil producing economies of Africa. The World Bank has also witnessed the double-digit economic growth registered in the last several years.
During 2006/07, 2007/08 and 2008/09, the general annual inflation was 15.8, 25.3 and 36.4 percents, respectively, and dropped to 2.8 percent in 2009/10. These were largely driven by the trend of the food component of price which showed 21 percent annual average growth during the indicated fiscal years. The budget deficit as a percent of GDP was only 1.3 percent in 2009/10.For more info read