Opinion | Russia and Ethiopia: Expanding Horizons of Economic Cooperation

September 25, 2025

Editor’s Note: The views expressed in this article are those of the author and do not necessarily reflect the editorial stance of FMC.

Russia and Ethiopia are bound by close, time-tested ties of friendship and mutual respect. The spiritual kinship and shared values of our peoples serve as a solid foundation for the development of multifaceted relations. Addis Ababa has always been, and remains, one of Moscow’s key partners on the African continent.

The current transformation of the world order which all of us are witnessing now, the shift toward a more equitable polycentric structure, and our joint efforts to counter neocolonial practices naturally bring our positions closer on most matters of the international agenda. This reciprocal movement, within the common aspirations of the global majority countries, is increasingly reflected in business activity.

Mutual business interest has increased significantly in recent years, as evidenced by the positive dynamics of economic indicators. In the first six months of the current year, trade turnover more than doubled compared to the same period last year, reaching 191.2 million USD. Our objective is to bring the scale of economic interaction in line with the high level of our bilateral political dialogue. We are not fully satisfied with current trade and investment figures, as they do not yet fully reflect the untapped potential of our two countries.

With a population of more than 130 million, Ethiopia represents a large and rapidly growing market. As Africa’s fifth-largest economy by volume, the country demonstrates impressive rates of development. In the past fiscal year 2024, GDP grew by 8.1%, reaching 205 billion USD, with an average annual growth of more than 6% in recent years. Ethiopia is also the third largest economy on the continent, after Egypt and South Africa, in terms of attracting foreign direct investment, which amounted to 3.9 billion USD in 2024.

Such potential attracts Russian companies, and there are already examples of fruitful cooperation. Software solution providers, notably Kaspersky Lab, are successfully operating in the Ethiopian market. The St. Petersburg Tractor Plant is actively working with local farmers, delivering universal tractors to the country. Our partnership is steadily being enriched with a high-tech component – active joint efforts are underway to establish a peaceful nuclear industry in Ethiopia. We highly appraise the Prime Minister of the FDRE Dr. Abiy Ahmed’s participation in the first international forum “World Nuclear Week,” opens in Moscow September 25, 2025, during which an Action Plan on building in Ethiopia a Nuclear Power Plant has been signed in presence of the leaders of our two countries.

Today, amid the accelerated fragmentation of the world economy, special attention is being paid to seeking pathways for ensuring mutual trade and investment, establishing independent settlement systems, payment and other mechanisms. Countries of the Global South and East are reducing the share of Western currencies in their mutual settlements.

No one wishes to suffer from sanctions imposed by the West against “unwelcome” states, taking advantage of their monopoly on financial markets. Within BRICS, Russia consistently promotes the use of national currencies in settlements and the creation of alternative payment instruments. The association is working to ensure uninterrupted payment flows.

This work, entrusted to the finance ministers and central bank governors of the member states, aims to protect economic ties from politically motivated pressure. We can already report positive results. By the end of last year, the share of the ruble and other friendly currencies reached 90% in Russia’s settlements with BRICS countries. We believe that progress in this direction will also promote increased business activity with BRICS partners, including Ethiopia.

The primary mechanism of bilateral cooperation is the Intergovernmental Russian-Ethiopian Commission on Economic, Scientific, Technical Cooperation and Trade. We plan to hold its 9th session before the end of the year, co-chaired by Minister of Economic Development Maxim G. Reshetnikov and Minister of Innovation and Technology Belete Molla.

The most promising sectors for joint projects have been identified: automotive engineering, chemical industry, transport, agro-industrial complex, information and communication technologies, and, of course, energy. On the eve of the Commission’s meeting, we also plan to organize an online forum for business circles.

Furthermore, several major international events, opening up new opportunities for the business communities of our countries, will soon take place in Moscow. Ethiopian companies are invited to participate in the International Forum “Russian Energy Week,” which will be held from October 15 to 17 at the Central Exhibition Hall “Manege” in Moscow.

Leading-edge Russian and international technologies in agriculture, and opportunities to connect with industry leaders, will be showcased at the agro-industrial exhibition “Golden Autumn,” which will also be held in Moscow from October 8 to 11. There are also plans to organize a series of major joint economic and cultural events in Addis Ababa. Comprehensive information and support are readily available from the Russian Trade Mission in Ethiopia.

I am confident that active participation in the mentioned events will impart powerful momentum to the implementation of our plans and make a significant contribution to the further strengthening of the multifaceted ties between Russia and Ethiopia.