Ethiopia's digital economy is poised for significant growth, with the potential to contribute 1.3 trillion birr (about $10.9 billion) to the country's GDP by 2028, according to a new report by GSMA.
This growth is expected to create over a million new jobs and generate an additional 57 billion birr (about $468.7 million) in tax revenue. The report highlights the sector's ability to drive growth in key industries like agriculture and manufacturing, fueled by increased mobile internet connectivity. By 2028, over 50 million Ethiopians are projected to be connected to mobile internet, nearly double the current number.
However, a significant usage gap persists, with 76% of the population still not using mobile internet despite living within network coverage. Bridging this gap is crucial for Ethiopia's digital future. According to Xinhua, the report suggests that targeted policy reforms could shrink this gap to 66% by 2028, bringing millions more Ethiopians online.
Ethiopia has made significant strides in expanding its digital infrastructure, rolling out 2G and 3G networks and investing in advanced 4G network coverage. The country has also launched 5G in Addis Ababa and four regional cities.