The demographic dividend: an opportunity for Ethiopia's transformation

Assefa Admassie, Ethiopian Economics Association
Seid Nuru, Ethiopian Economics Association
John F. May, Population Reference Bureau (PRB)
Shelley Megquier, Population Reference Bureau (PRB)

A new report from the Ethiopian Economics Association and the Population Reference Bureau explores the potential for a demographic dividend in Ethiopia. As mortality and fertility levels decline, Ethiopia’s working age population may grow in relation to the number of young dependents, opening a window of opportunity the accelerated economic growth known as a demographic dividend. Human capital investments and vigorous job growth are both crucial to a demographic dividend. The need to create an enabling environment for a demographic dividend warrants an exploration of Ethiopia’s development policies and frameworks. The research presents Ethiopia’s economic development frameworks. It takes stock of progress in demography, and especially fertility transition, economic growth and policies, as well as social sector outcomes and policies. The report explores new pathways to consolidate and expand ongoing development efforts. Findings include a focus on policies and funding that can enable the country to capture a demographic dividend.