The Growth Effect of Disruptive Technology in Ethiopia: With a Case Study of Digitalization in the Financial Sector

Alemayehu Geda

Working Papers from African Economic Research Consortium

Abstract: Ethiopia has witnessed excellent economic growth in the last decade and half. However, poverty and unemployment are still major problems. This is partly because this growth was not accompanied by structural transformation and failed to create sufficient employment, as a result (Alemayehu, 2022a). Fast and transformational growth is required to address these challenges. Disruptive technologies (DTs, hence forth) such as digitalization are crucial in this respect. DTs can bring about structural transformation of the economy, lead to global level of competitiveness and transform the economy and its various sectors and sub-sectors through technological leapfrogging. This is in particular important in the financial sector in Ethiopia which is at a very low level of development by the regional standard and, hence, the focus of this study.

Date: 2022-08
Note: African Economic Research Consortium
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