Watch the news & stories in motion: Subscribe to WeeTracker on YouTube
Ethiopia was ranked as Africa’s fastest economy and one of the world’s fastest-growing in the world.
Ethiopia’s unforeseen rise has majorly been propelled by an increase in industrial activity, largely, investments in infrastructure and manufacturing. The manufacturing sector is burgeoning with a growth of more than 10 percent per year.
Close to 20 years ago, Ethiopia, was the third poorest country in the world and more than 50 percent of the population lived below the global poverty line.
And currently, it is one of the fastest-growing economies in the world. The country known to be Africa’s second-most populous had its poverty rate fall to 31 percent by 2011, according to World Bank.
A study by the Center for Global Development, a US nonprofit think tank, said that Ethiopia could be the African country that becomes the “New China.”
Addis Ababa, Ethiopia’s capital and largest city of Ethiopia is experiencing one of the fastest rates of urban growth in the world. Owed to the huge and numerous developments taking place, one would easily think that it is one big construction site.
The city known as the diplomatic capital due to the fact that the African Union is located there posted Africa’s highest average daily rate (ADR), according to the most recent 12-month data from STR.
From July 2018 to June 2019 the city registered an absolute average daily rate (ADR) of US USD 163.79 when measured in constant currency, which removes the effects of inflation. That figure was a 1.1 percent increase year over year.
“Addis Ababa continues to maintain high ADR levels when compared internationally,” said Thomas Emanuel, a director for STR.
“The city has multiple demand drivers, such as a growing economy, successful airline and its status as the diplomatic capital for Africa. Air connections and ease of access compared with other cities also factor in the equation for strong demand, which provides hoteliers with the confidence to maintain rate levels.”
Matthew Weihs, Managing Director, Bench Events noted that high-profile international meetings like AHIF hosted in Ethiopia has helped Addis to maintain its position as the city with the most expensive hotel accommodation in Africa.
“Our delegates will be looking carefully to see if the addition of a lot more high-quality accommodation and meeting space will depress room rates or help Addis become even more attractive as a destination.”
The next closest STR-defined markets in Africa were Accra, Ghana USD 160.34 and Lagos, Nigeria USD 132.51.
Featured Image Courtesy: Lonely Planet
Found the article interesting ? Follow us on Twitter to see what others are saying about it.
9500+ subscribers are getting our free newsletter on African technology, startups and innovators bi-weekly.
Made with ❤ in Africa