This strategy encourages stimulation of local markets, thereby pushing a modernist idea that development comes from within. The result: productivity increases and people become more skilled in their different cottage industries.

The Ethiopian floriculture industry has proven to be a promising sector that ensures steady economic growth and has strong foreign investment potential.

Floriculture is a labour-intensive industry; and as a result has had the biggest impact in terms of employment creation specifically for uneducated/skilled workers - creating more than 100,000 jobs in five years.

There has been a significant infusion of foreign capital inflows in this industry across the country from India, Singapore, China, Malaysia and other sources. The biggest market for the Ethiopian rose is the Dutch auction, with accounts for about 70% of the total volume of Ethiopian rose exports.

With a reputation as the second largest flower exporter in Africa, making $371 million this 2014 fiscal year, Ethiopia has the potential to increase to $550 million by 2016. Its trading industry looks promising, and the government would do well to develop its extractive sector in a way that it yields sustainable economic benefits to the country, as agriculture accounts for 60% of Ethiopia’s GDP.

Source: PwC