S1 Ep5: How Ethiopia reformed its economy

Ethiopia is one of Africa's most ambitious bets on export-led manufacturing. It’s also the site of one of the continent's boldest recent macroeconomic reform programmes.In this episode of the Ideas in Development series on growth, Oliver Hanney and Kartik Akileswaran speak with Mamo Mihretu, the tenth Governor of the National Bank of Ethiopia and a former senior economic advisor to the prime minister. Having viewed Ethiopia’s economic change through various lenses, Mamo explains why Ethiopia's industrial parks succeeded where others stalled, what it took to attract anchor investors, and how the central bank prepared, sequenced and executed reform under acute economic pressure.Our conversation ranges across the limits of debt-financed, public-investment-led growth; the institutions behind the industrial-parks programme; why the most credible, not the cheapest, wins investment; the macroeconomic foundations for a thriving economy; and the lessons for any government embarking on an ambitious growth agenda – diagnostics, sequencing, communication, and ownership.Read the show notes on our Substack: https://ideasindevelopment.substack.com/