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Ethiopia: Supporting Drivers of Jobs and Economic Transformation through Next Generation Private Sector Development Policies


Country: Ethiopia

Duration: 2021-2022

Themes: Promoting Technology to Raise Productivity

Cross Cutting Themes: Gender, Digital

Anticipated Impact Areas: Productivity

The Challenge

Ethiopia faces challenges with limited innovation and technology advancement; factors which constrain the performance of general business functions, managerial capabilities, and total factor productivity. Although the country has initiated critical reforms aimed at structural transformation to boost the private sector, promote innovation, modernize the economy, and address vulnerabilities, the economic impact of the COVID-19 pandemic threatens this transformation and emphasizes the need to ensure the momentum of reform efforts endure.

The Mission

A C-JET funded grant is being implemented by the World Bank in Ethiopia to examine firm-specific constraints and gaps that affect technology adoption for general business practices and sector-specific production processes across diverse levels of complexity; from well-established and widely available technologies to cutting edge innovations. A report will be developed on challenges and opportunities for technology adoption in Ethiopia. Through these activities and more, this grant aims to support policies that will boost technology adoption and advancement and raise labor productivity and competitiveness of firms.