Empowering Ethiopia’s Entrepreneurial Ecosystem

The partnership between USAID’s Systems for Growth (MS4G) initiative and ANDE seeks to enhance business support services and facilitate investments to foster private sector growth and resilience in this East African country.

A New Era of Entrepreneurship

Ethiopia’s entrepreneurial spirit is driving a new era of economic growth. To accelerate this transformation, the Market Systems for Growth (MS4G) initiative, in partnership with the Aspen Network of Development Entrepreneurs (ANDE), is launching a groundbreaking activity to strengthen Ethiopia’s entrepreneurial ecosystem.

The Challenge

Entrepreneurs in Ethiopia often lack access to the high-quality business support services, investments, and networks they need to thrive. This work addresses these challenges head-on.

About MS4G
Market Systems for Growth (MS4G), a key activity under the USAID’s Catalyze framework, is dedicated to empowering and mobilizing the private sector to enhance food security and improve water, sanitation, and hygiene (WASH) outcomes in Ethiopia.

 

To achieve MS4G’s objective of fostering private enterprise growth, creating jobs, and increasing incomes in Ethiopia, ANDE will focus on strengthening the enterprise ecosystem to address systemic constraints of the Ethiopian market.

 

ANDE aims to actively involve, mobilize, and enhance the capabilities of ecosystem stakeholders, including private sector partners and business advisory service providers. The goal is to expand the availability and improve the efficacy of business support services, aligning them with international best practices.
Additionally, the initiative will help mobilize investments into proven business models and ultimately support private sector growth and job generation potential, as well as strengthen the resilience of Ethiopian small and growing businesses.
Ethiopia's Context

Ethiopia presents a complex operating environment for the MS4G activity. While the World Bank acknowledges Ethiopia’s impressive economic growth, ranking it among Africa’s fastest-growing economies, the country remains classified as one of the world’s poorest.

This paradox highlights the ongoing struggle for poverty reduction. Despite strides made in health, education, and food security over the past decade, as noted by USAID, Ethiopia faces significant challenges. Persistent food insecurity and a large, agriculture-dependent population expose vulnerabilities. Additionally, conflict and climate change have exacerbated these issues, creating a substantial humanitarian crisis documented in USAID’s reports.

This context underscores the critical need for the MS4G activity’s focus on strengthening Ethiopia’s private sector, particularly within the food security and WASH sectors. By empowering these sectors, MS4G aims to contribute to Ethiopia’s journey towards self-reliance, a goal echoed by USAID’s development initiatives.

Our Mission

To empower Ethiopian entrepreneurs

Our main goal is to broaden the accessibility and boost the quality of business support services, ensuring they align with international standards of excellence.
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    Mapping the Ecosystem Creating a comprehensive overview of Ethiopia’s entrepreneurial landscape, identifying gaps and opportunities.
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    Fostering Connections Connecting Ethiopian entrepreneurs and support organizations to global networks, knowledge, and resources.
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    Delivering Capacity Building Equipping Ethiopian business advisory service providers with the tools and expertise to deliver world-class support.
Key Challenges
  • Macroeconomic imbalances: Hinder private sector development and job creation.
  • Conflict: Disrupts lives and infrastructure, including the impact of the recent cessation of hostilities.
  • COVID-19 effects: While recovery is underway, lasting economic scars are expected.
  • Food insecurity: Exacerbated by droughts, conflict, and global inflation
  • Human capital: Low levels of development limit potential.
  • Job creation: Struggles to keep pace with the rapidly growing workforce.
  • Climate change: Poses a significant threat to development and is expected to cause major economic losses.
The Impact

By increasing the efficiency of Entrepreneurship Support Organizations, this activity will have a transformative impact on Ethiopia’s economy:

  • Stronger Businesses: Entrepreneurs will have the support they need to grow and innovate.
  • Job Creation: New and growing businesses will create jobs and drive economic development.
  • Increased Investment: Ethiopia will become a more attractive destination for private sector investment.
Ethiopia Coffee
Ethiopia Ecosystem Convening: Efficiency of Entrepreneurship Support Organizations

On May 15, As part of the MS4G initiative, this one-day event aims to boost the efficiency of support organizations for Ethiopian entrepreneurs, address challenges, and unlock opportunities within the country’s business landscape.

Ecosystem Convenings

Through public local and regional ecosystem convening events, ANDE will facilitate connections and collaboration on critical topics, such as access to finance, market-entry, business support best practices, digitalization, talent development, resilient food systems, youth entrepreneurship, and other essential issues.

Learn About our Convenings Program
Get Involved

Join us in supporting Ethiopia’s entrepreneurs. Whether you’re a business, investor, or supporter of economic development, there’s a place for you in this exciting initiative.

Contact us