Demographic dividend in Ethiopia: a challenge or opportunity? A comparative analysis with East Asian tigers and East African neighbours

Gizachew Balew Jembere, Seoul National University
Youngtae Cho, Seoul National University

Africa is expected to enjoy economic development from a growing labor force in the coming decades. This study will compare the changing age structure in Ethiopia with East African neighbors and East Asian tigers. The 2012 UN population projection was used to review population structure and its economic implications. The population dividend for east African countries shows a positive trend for an average 65 years, longer than East Asia, 40 years. By 2015 Ethiopian labor force will grow at a rate of 3.9%, higher than 2.7% per year for consumers. A 1.1 child support ratio in 1990, will increases to almost 18 and 26 working groups per 10 children in 2030 and 2050 respectively, opening an opportunity for economic development. East Africa will enjoy a growing labor force that need investment in fertility regulation and job creation to get the maximum use out of it