Keypoints:
- Ethiopia earned a record $10.7bn from exports in 2025/26
- Export earnings exceeded the government’s annual target
- Officials cite reforms, market access and higher forex inflows
ETHIOPIA has recorded its highest annual export earnings, generating $10.7bn during the 2025/26 fiscal year as the government says economic reforms, stronger market access and higher foreign exchange inflows lifted overseas trade.
The figures, announced by Ethiopia’s Ministry of Trade and Regional Integration, mark a significant milestone for an economy that has faced persistent foreign currency shortages while trying to strengthen competitiveness, attract investment and expand export capacity.
The latest results matter beyond Ethiopia. As one of Africa’s largest economies, stronger export earnings could improve regional trade, help finance imports and support investor confidence at a time when several African governments are seeking more foreign exchange from production rather than debt.
Export target exceeded
According to Trade and Regional Integration Minister Kassahun Gofe, Ethiopia’s export earnings surpassed the government’s annual target by 14 percent and were around 29 percent higher than the previous fiscal year’s performance.
Speaking during the ministry’s annual review of trade performance, Gofe said the achievement reflected progress in expanding export markets, improving trade facilitation and increasing foreign exchange inflows. He described the outcome as the strongest export performance in the country’s history.
The ministry said the government intends to continue measures aimed at increasing production, widening access to international markets and encouraging greater participation by exporters.
Coffee remains the leading export
Agriculture continued to underpin Ethiopia’s export sector during the year.
According to the Ethiopian Coffee and Tea Authority, coffee remained the country’s largest export commodity and generated record earnings during the fiscal year. The performance builds on Ethiopia’s record coffee export performance, which had already shown rising volumes and stronger receipts earlier in the export cycle.
Other major export products included gold, oilseeds, livestock and horticultural produce, illustrating the continued importance of agriculture and mining to Ethiopia’s external trade.
Officials have increasingly emphasised value addition alongside higher production as part of a broader strategy to improve export earnings and diversify the economy.
IMF-backed reforms continue
The record export performance comes as Ethiopia advances a four-year IMF-supported economic reform programme designed to strengthen macroeconomic stability, improve foreign exchange management and encourage greater private sector participation.
The reform agenda has included changes to foreign exchange policies, efforts to improve the investment climate and measures to increase the efficiency of trade and logistics. The government has presented these reforms as part of a longer-term strategy to build a more competitive, export-oriented economy.
While officials have linked the stronger trade performance to policy changes, they have also highlighted expanding market access and improved export facilitation as important contributors to the year’s results.
Regional significance
Ethiopia’s stronger export performance is being closely watched across East Africa, where governments are seeking to increase intra-African trade while expanding access to international markets.
Higher export earnings can improve the availability of foreign exchange needed to finance imports, support industrial development and strengthen external financial resilience. Continued growth could also enhance Ethiopia’s appeal to investors looking for opportunities in manufacturing, agribusiness, mining and logistics.
The figures also fit into a wider continental push to expand trade under the African Continental Free Trade Area, with AfCFTA trade gains gathering momentum as more countries move from ratification to implementation.
Challenges remain
Despite the record performance, Ethiopia continues to face broader economic challenges, including inflationary pressures, debt management and the need to diversify exports further beyond traditional commodities.
Maintaining the current momentum will depend on continued implementation of government reforms, favourable international market conditions and sustained investment in productive sectors.
The government has said it intends to build on the latest results by expanding production capacity, improving export competitiveness and creating additional opportunities for businesses participating in international trade.
For policymakers, the latest figures represent an important milestone rather than the end of the reform process. Sustaining higher export earnings over the coming years will be a key measure of whether Ethiopia’s broader economic transformation can deliver lasting improvements in growth, foreign exchange availability and investor confidence.
Recent projections placing the continent among Africa’s fastest-growing economies reinforce why Ethiopia’s export performance will remain closely watched by investors, regional governments and development partners.
