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United Nations Development Programme in Ethiopia

Annual Highlight for 2024

Foreword 


2024 marked a year defined by resilience and transformation amidst complex and overlapping challenges for Ethiopia. Political uncertainties, climate-induced shocks, and persistent inflation tested the nation’s resolve. Yet Ethiopia demonstrated extraordinary tenacity, and bold economic reforms, exemplified by the IMF agreement and structural adjustments, signaled a commitment to charting a sustainable path forward.

In this journey, UNDP Ethiopia stood shoulder to shoulder with the people and government of Ethiopia, delivering on our mandate to promote inclusive growth, advance climate action, foster peacebuilding, and drive sustainable development.

Guided by Ethiopia’s Ten-Year Development Plan and the 2030 Agenda for Sustainable Development, our work in 2024 was focused on four key pillars: economic recovery, climate resilience, innovation and governance reform and peacebuilding. These areas reflect the intersection of Ethiopia’s priorities with UNDP’s commitment to achieving the Sustainable Development Goals.

The year saw us breaking new ground. Together with our partners, we launched transformative programs that empowered communities, fostered innovation, and strengthened Ethiopia’s capacity to overcome pressing challenges. Among these, the successful launch of the world’s largest Disarmament, Demobilization, and Reintegration (DDR) programme, supported through the UNDP-managed multi-partner initiative for the National Rehabilitation Commission, stands out as a landmark achievement. Ethiopia’s first major nationwide inclusive national dialogue to deepen foundations for peace gained pace and widespread acceptance during the year.

Ethiopia’s active engagement at COP29, with UNDP’s support, underscored the nation’s leadership in addressing the climate crisis. We also marked a new chapter by joining a select group of offices pioneering the timbuktoo initiative—a pan-African movement placing technology and youth entrepreneurship at the forefront of innovative solutions for the continent.

Reflecting on 2024, we are profoundly grateful for the trust and collaboration of our partners—government institutions, civil society, the private sector, our sisters UN Agencies, and the international community. These partnerships remain the cornerstone of our success and the driving force behind our collective impact.

While challenges persist, Ethiopia has the opportunity to be firmly on a trajectory toward sustainable development and prosperity. UNDP Ethiopia remains steadfast in its commitment to working with all stakeholders to build a future of peace, dignity, and opportunity for all Ethiopians.


This report celebrates the milestones achieved in 2024, not only as isolated successes but as reflections of the collective spirit of partnership that fuels our endeavors. Together, we will continue to advance Ethiopia’s aspirations for a brighter future.

Thank you.


Samuel Doe
Resident Representative
UNDP Ethiopia

 

Country Context 

Building resilience

Ethiopia is a country at a crossroads, facing economic hardship, political challenges, and environmental concerns. Despite these difficulties, resilience, innovation, and determination are driving the nation forward. Through initiatives supported by UNDP, communities, entrepreneurs, and policymakers are working towards a future of inclusive growth, sustainable development, and lasting peace.

The Road to Recovery

Ethiopia has experienced significant economic turbulence in recent years. Inflation, supply chain disruptions, and external shocks have put immense pressure on businesses and livelihoods. However, with targeted support and policy interventions, the country is experiencing a remarkable economic rebound, with an 8.1% growth in 2024. This recovery is driven by strategic investments in structural transformation, digital innovation, and private sector engagement.

A key aspect of this transformation is the empowerment of entrepreneurs. Through financial aid, training programs, and mentorship, small businesses are finding ways to adapt and thrive. Digital startups, in particular, are seeing new opportunities in Ethiopia’s growing tech sector, contributing to employment and economic stability.

Building Bridges for Peace

Ethiopia’s progress is not only measured in economic terms but also in efforts to foster peace and stability. Years of political tension and conflict have created deep divisions, but initiatives like the National Dialogue and Peace Support Facility are working to bridge these gaps. These programs focus on community engagement, mediation, and reconciliation, helping people rebuild trust and work towards common goals.

The Disarmament, Demobilization, and Reintegration (DDR) programs are also playing a critical role in restoring stability. By reintegrating former combatants into society, supporting governance structures, and providing vocational training, these initiatives are laying the groundwork for a more peaceful Ethiopia.

A Green Future

Sustainability is at the heart of Ethiopia’s development agenda. The country is making strides in promoting renewable energy, climate resilience, and environmental conservation. The country is committing reducing reliance on traditional fuels and mitigating environmental impact.

Innovations in agriculture are also transforming rural communities. Solar-powered irrigation systems are improving food security and enabling year-round farming. Additionally, efforts to align Ethiopian coffee production with international environmental standards are ensuring long-term sustainability and market access.

Looking Ahead

Ethiopia’s journey is one of resilience, determination, and hope. While challenges remain, the commitment to economic reform, peacebuilding, and environmental sustainability is shaping a brighter future. By fostering innovation, strengthening institutions, and empowering communities, Ethiopia is paving the way for lasting development and progress.

As the nation continues on this path, the support of local and international partners will be crucial in ensuring that these initiatives lead to meaningful and sustainable change. The future of Ethiopia is being written through the actions of its people, and their stories of perseverance and transformation are a testament to the power of collective progress.
 

Ethiopia - Key facts and figures 

UNDP in Ethiopia

In 2024, UNDP Ethiopia focused on three critical areas to support the nation’s development goals: promoting sustainable economic recovery, enhancing resilience to conflict and climate challenges, and fostering inclusive governance. 

Economic recovery efforts included robust support for MSMEs, innovative financing mechanisms, and strengthening Ethiopia’s financial systems.

Resilience-building initiatives addressed the impacts of climate change and conflict through early warning systems, land rehabilitation, and comprehensive reintegration programs for ex-combatants. 

Inclusive governance was advanced through national dialogue, peacebuilding efforts, and targeted support for marginalized groups, ensuring no one is left behind. 

These integrated interventions contributed significantly to Ethiopia’s path toward sustainable and equitable development.
 

UNDP's Role in the UN Country Team

The Country Office plays a leading integrator role in the UN system where it focuses on providing cutting-edge policy advice to the UN country team (UNCT) and Government of Ethiopia (GoE) about the impacts of the reforms on vulnerable groups and accompanying mitigation measures. UNDP also organizes UN interagency-led studies on sustainable development trends and mobilizing climate finance; macro/ micro risks and credit rating negotiations; and GoE SDG data and tracking system.

UNDP leads on the HDP nexus through key themes such as DDR, National Dialogue, elections, and the development of multi-year resilience strategies.

The CO plays a leading role in two major emerging Joint Programmes – Transitional Justice a key element within the Pretoria Agreement and also working on SSC with the Government of Azerbaijan to modernize the Ethiopia public service through digitization1. UNDP is also partnering with the UNHCR and IOM on durable solutions and early warning systems development. UNDP will use these platforms to champion joint programming to foster One UN.

For the upcoming elections, UNDP will be engaging with other UN Agencies such as UN Women (inclusion), UNESCO (media), and the RCO (addressing hate speech/mis/ disinformation more robustly).

 

UNDP in Ethiopia 2024 Key Facts and Figures

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UNDP Ethiopia's Top 20 Development Partners in 2024

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Economic Recovery and Inclusive Growth

 

Ethiopia’s 8.1% GDP growth in 2024 underscores its resilience and strategic economic reforms. The service sector led the way, with industry contributing 27% and agriculture 33% to GDP—a testament to the strength of Ethiopia’s diversified economic drivers.

UNDP played a pivotal role in facilitating Ethiopia’s four-year USD 10.5 billion IMF program, creating pathways for fiscal stability and economic renewal. The Integrated National Financing Framework (INFF) further strengthened Ethiopia’s ability to mobilize and strategically allocate financial resources toward national priorities.

Support for over 4,000 micro, small, and medium enterprises (MSMEs) brought grants, technical assistance, and business development services to life, particularly for women and youth entrepreneurs. 

Tailored incubation programs propelled 92 ICT-based businesses, 58% of which were led by women, equipping them with mentorship, funding, and market opportunities.

UNDP’s commitment to innovation was evident through its backing of Ethiopia’s first Regulatory Sandbox under the Ethiopian Capital Market Authority, fostering inclusive growth and new financial products.
 

In Ethiopia, our work around building resilient livelihoods went hand-in-hand with fostering inclusivity. UNDP’s targeted interventions emphasized economic empowerment and access to essential services for vulnerable communities.

Sixty-two percent of MSMEs supported by UNDP were women-led, driving economic empowerment and innovation. 

Tailored incubation programs propelled 92 ICT-based businesses, 58% of which were led by women, equipping them with mentorship, funding, and market opportunities.
 

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Climate Action and the Environment

 

Ethiopia made strides in addressing climate challenges through resilience-focused interventions. UNDP facilitated access to climate information for over 10 million people, bolstered sustainable land management, and promoted green energy transitions.

Over 1,121 hectares of degraded land were restored, boosting biodiversity and food security. Ethiopia met international environmental commitments, eliminating 77.9 Mt of PCB waste while facilitating access to clean cooking technologies for 3.8 million people. 

UNDP continued to promote south-south cooperation around promoting access to clean and affordable energy to household and productive sectors. 1.4 million people were targeted through this intervention, with women representing 60% of the beneficiaries. UNDP also collaborated with local stakeholders and supported training for 88 women facilitators, enabling them to lead clean energy adoption, benefiting 13,000 individuals. 

Moreover, UNDP is supporting Ethiopia to address compliance with the EU Deforestation Regulation and preserve 30% of Ethiopia’s coffee export market, reinforcing sustainability in key economic sectors.
 

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Governance and Peacebuilding 

Governance and Peacebuilding

UNDP’s work in governance and peacebuilding supported Ethiopia’s path toward reconciliation and stability. 

Support to the Ethiopian National Dialogue Commission continued in 2024. The Commission engaged over 105,000 citizens, ensuring inclusive participation from marginalized groups and fostering national reconciliation.

Initiatives under the Peace Support Facility revitalized 125 government offices, trained 12,562 individuals in rule of law and governance, and delivered psychosocial support to 10,651 people.

The National Demobilization and Reintegration Programme (NDRP) processed 6,055 ex-combatants (71% male, 29% female), offering tailored support to vulnerable groups. Through reintegration mapping, 62 reintegration projects worth USD 164 million were identified, prioritizing sustainable livelihoods for 192,426 unemployed ex-combatants.

Efforts to foster peace were strengthened by the Women and Youth Peace and Security National Action Plan, integrating gender-sensitive frameworks into decision-making.
 

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Leave No One Behind 

Empowering Marginalized Groups

Leaving no one behind, UNDP worked with displaced communities to deliver durable solutions to address the needs of over four million internally displaced persons (IDPs). 

Through our peace support intervention for northern Ethiopia, labor-intensive projects created opportunities for 1,224 IDP returnees.

Partnerships also advanced digital inclusion through Ethiopia’s Digital Planning, Monitoring, and Evaluation System, strengthening data-driven governance.


 

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Looking Ahead

Looking Ahead

UNDP Ethiopia’s priorities for 2025 include advancing climate finance, scaling renewable energy initiatives, strengthening disaster preparedness, and enhancing inclusive governance. 

Building on 2024 achievements, UNDP remains committed to fostering resilience, equity, and prosperity across Ethiopia.

Through innovative solutions and strong partnerships, UNDP is helping Ethiopia create a sustainable future—one where every community thrives, and no one is left behind.

Read UNDP Ethiopia's New Country Programme Document 2025-2030