Ethiopia

Ease of Doing Business in

Ethiopia

This page summarizes Doing Business 2013 data for Ethiopia. The first table lists the overall "Ease of Doing Business" rank (out of 185 economies) and the rankings by each topic. It also lists the economy's distance to frontier (DTF)** measure. The rest of the tables summarize the key indicators for each topic and benchmark against regional and high-income economy (OECD) averages.

Economy Overview

Region Sub-Saharan Africa
Income Category Low income
Population 84,734,262
GNI Per Capita (US$) 400
Doing Business 2013 Rank Doing Business 2012 Rank Change in Rank
127 125 down -2

Doing Business 2013 DTF** (% points) Doing Business 2012 DTF** (% points) Improvement in DTF** (% points)
54.3 53.1 down 1.2
Topic Rankings DB 2013 Rank DB 2012 Rank Change in Rank
Starting a Business 163 163 No change
Dealing with Construction Permits 53 57 up 4
Getting Electricity 94 94 No change
Registering Property 112 116 up 4
Getting Credit 104 152 up 48
Protecting Investors 128 124 up -4
Paying Taxes 103 58 up -45
Trading Across Borders 161 160 up -1
Enforcing Contracts 50 48 up -2
Resolving Insolvency 117 93 up -24

Economy Profile

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Getting Electricity

Info

The challenges required for a business to obtain a permanent electricity connection for a newly constructed warehouse are shown below. Included are the number of steps, time, and cost.

DB 2013 Rank 94 DB 2012 Rank 94 Change in Rank 0
DB 2013 DTF** (% points) 72.9 DB 2012 DTF** (% points) 70.0 Improvement in DTF** (% points) up2.9
Indicator Ethiopia Sub-Saharan Africa OECD

The number of procedures to obtain a permanent electricity connection. A procedure is defined as any interaction of the company employees or the company’s main electrician with external parties.

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Procedures (number)
4 5 5

The number of days to obtain a permanent electricity connection. The measure captures the median duration that the electricity utility and experts indicate is necessary in practice, rather than required by law, to complete a procedure.

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Time (days)
95 133 98

The cost is recorded as a percentage of the economy’s income per capita. Costs are recorded exclusive of value added tax.

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Cost (% of income per capita)
2,544.3 4,736.9 93.0
No. Procedure Time to Complete Associated Costs
1 Submit application and await site visit from Ethiopian Electric Power Corporation (EEPCo) 14 calendar days ETB 225.0
2 Receive site visit from EEPCo engineer and await estimate 7 calendar days no charge
3 Receive estimate, make payment and receive internal wiring inspection 14 calendar days ETB 153,001.8
4 EEPCo conducts external connection, meter installation and electricity starts flowing 60 calendar days no charge

** The distance to frontier (DTF) measure shows the distance of each economy to the "frontier," which represents the highest performance observed on each of the indicators across all economies included in Doing Business since each indicator was included in Doing Business. An economy’s distance to frontier is indicated on a scale from 0 to 100, where 0 represents the lowest performance and 100 the frontier. Read more...

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