A new report by the Mo Ibrahim Foundation (MIF) reveals a significant disconnect between official governance data and public perceptions across Africa, with Ethiopia among the countries exhibiting notable disparities. The report, titled “Public Opinions on Governance in Africa,” analyzes data from the 2024 Ibrahim Index of African Governance (IIAG) and finds that 50% of public perception indicators do not align with official governance trends, particularly in areas such as Economic Opportunities, Social Protection, and Public Administration.

The IIAG, which assesses governance performance in 54 African countries, integrates citizens’ perceptions with official data and expert assessments to provide a comprehensive picture of governance effectiveness. However, this year’s findings highlight a growing divergence between these two data types, raising important questions about the lived experiences of citizens and their trust in government institutions.

Specifically, the report notes that perceptions of security and safety have declined in many countries, even in cases where official data indicates stability. This suggests that while governments may be making progress in certain areas, citizens are not necessarily feeling the positive impact on their daily lives.

One of the most concerning findings is the all-time low in public perceptions of economic opportunity, particularly in countries facing political instability and conflict. Ethiopia, along with Cameroon, Gabon, and Guinea, is cited as an example where citizens’ perceptions of economic opportunity are declining despite official data showing progress in these areas.

The report suggests that factors such as limited access to resources, corruption, and lack of transparency may be contributing to this divergence between official data and public sentiment. In Ethiopia, concerns about corruption and lack of economic opportunities are well-documented, with the country consistently scoring low on Transparency International’s Corruption Perceptions Index.

The MIF report emphasizes the importance of understanding these divergences and addressing the underlying issues that are driving them. By listening to the concerns of citizens and taking steps to improve governance in areas that matter most to them, African governments can build trust and create a more inclusive and prosperous future for all.

Ethiopia’s persistent struggle with corruption is casting a shadow on its path toward sustainable development, as revealed by the latest data from Transparency International. The country’s Corruption Perceptions Index (CPI) score for 2023 remained unchanged at 37 out of 100, with a ranking of 98 out of 180 countries. This score indicates a perceived level of public sector corruption, where 0 is highly corrupt and 100 is very clean.

While some Sub-Saharan African nations have demonstrated significant progress in combating corruption, Ethiopia’s stagnant score underscores the need for stronger anti-corruption measures to unlock its full potential. Transparency International’s report emphasizes that corruption is a major impediment to climate action, hindering efforts to reduce emissions and adapt to the effects of global warming.

A recent study by the Ethiopian Economic Association (EEA) reinforces these concerns, finding that public sector corruption in Ethiopia is increasingly high, with entrusted bodies systematically involved. The study also highlights that corruption in Ethiopia is an economy-wide problem, well-organized, and systematically operated.

Although Ethiopia’s forecasted trend is stationary, its level of Corruption Perception is 28.4 against a global average of 48.4. This demonstrates that it is essential to have accurate and up-to-date information on farmers and pastoralists. Despite efforts to promote transparency, Ethiopia faces challenges in areas such as press freedom, judicial independence and online services. The Ethiopian Media Council (EMC) is advocating for equitable distribution of commercial advertising (ad) revenue to ensure the financial independence of independent media institutions in the country, highlighting a significant imbalance in resource allocation.

To achieve sustainable progress and ensure effective climate action, Ethiopia must prioritize strengthening anti-corruption systems and promoting transparency and accountability across all sectors.

Ethio Telecom, Ethiopia’s state-owned telecommunications provider, has successfully thwarted more than 266,162 attempted cyber-attacks in the first half of its fiscal year, showcasing the effectiveness of its enhanced cybersecurity measures. This significant achievement underscores the company’s commitment to safeguarding its infrastructure against an increasingly complex cyber threat landscape.

Frehiwot Tamiru, CEO of Ethio Telecom, highlighted the company’s proactive approach in addressing these cyber threats. “By implementing new control mechanisms to counter cyber-attacks, we have managed to prevent any damage from these attempts,” he stated. The company’s robust cybersecurity strategy has been crucial in protecting against potential data breaches, service disruptions, and revenue losses.

The report indicates that Ethio Telecom not only excelled in cybersecurity but also demonstrated impressive financial performance during this period. The company earned $72.6 million in foreign exchange earnings, achieving 58.7% of its target. This included $67.36 million generated from international services and $5.24 million from Telebirr’s global money transfer service.

Despite facing economic challenges due to government macroeconomic policy reforms and a transition to a market-oriented foreign exchange system, Ethio Telecom reported a profit before interest, taxes, depreciation, and amortization (EBITDA) of 32.82 billion birr. The unaudited profitability margin increased to an impressive 55.6%, exceeding the target figure by 179.9%. Additionally, the company contributed significantly to the national treasury with a tax payment of 23.74 billion birr and repaid 15.4 million in foreign loans during the same period.

Frehiwot acknowledged that the depreciation of the currency has impacted the company’s reliance on foreign exchange for investments. In response, Ethio Telecom implemented a balanced price adjustment strategy aimed at maintaining service provision while ensuring high-quality services for customers. Notably, this strategy prioritized affordability for low-income users, with no price adjustments made for 43% of its services.

The company also reported substantial growth in its subscriber base, reaching a total of 80.5 million subscribers—an increase of 5.9 million or 7.9% compared to the same period last year. This growth reflects Ethio Telecom’s resilience and strategic competence despite prevailing economic difficulties.

Doraleh Container Terminal Management Company (SGTD), a leading regional port operator, has made a significant move to enhance operational efficiency with the arrival of 10 new rubber-tyred gantry (RTG) cranes.

These cranes, which will be commissioned soon, are anticipated to greatly improve the terminal’s capacity and service quality.

In a statement released earlier this week, SGTD highlighted that the addition of the new RTG cranes demonstrates its commitment to investing in infrastructure. “This reaffirms our dedication to increasing the terminal’s capacity, efficiency, and service quality.

The new cranes will reduce turnaround times, boost productivity for hinterland customers, enhance vessel performance, and expand container handling capacity,” the company stated.

The 10 RTGs are part of a larger initiative focused on increasing the terminal’s handling capacity.

This project involves the development of additional stacking and delivery yards for imports and exports, spanning over 20 hectares, as well as the integration of ITVs and RS/ECH systems.

With these upgrades, the terminal is now capable of handling 2 million twenty-foot equivalent units (TEUs), solidifying Djibouti’s position as a key regional hub for maritime trade.

This latest investment follows a USD 70 million expansion project completed a year ago, which included the addition of four gantry cranes and the expansion of the terminal’s stake yard.

This earlier upgrade allowed the port to accommodate larger vessels, such as the Triple E (3E) Class and Malaccamax ships, capable of carrying between 15,000 and 23,000 TEUs.

At that time, SGTD CEO Abdillahi Adaweh Sigad emphasized that the expansion was crucial to meet the increasing demand for transshipment services.

In a related development, Aboubaker Omar Hadi, Chairman of the Djibouti Ports and Free Zones Authority, recently met with a high-level Chinese delegation led by Hu Bin, China’s Ambassador to Djibouti, and Chen Hai, China’s Ambassador to Ethiopia.

The discussions centered on enhancing the commercial efficiency of the Ethio-Djibouti Railway (EDR) and optimizing its operations.

According to a statement from the authority sent to Capital, a key topic of the meeting was connecting the EDR to the Awash Oil Depot and Horizon Djibouti Terminal Limited, which handles 1.4 million tons of oil annually.

This connection is expected to streamline transport links between Djibouti’s logistics hubs and Ethiopia’s major trade routes.

“Additionally, the potential connection of the EDR to Nagad/Damerjog was discussed, which would further integrate the railway network with Djibouti’s industrial and energy sectors,” the statement added.

Chairman Hadi, who also serves on the EDR board, emphasized the importance of commercializing the railway’s operations to attract private sector involvement in logistics and services. This initiative is expected to enhance the efficiency and competitiveness of the EDR, benefiting both Djibouti and Ethiopia.