Analysis the impact of export, import and exchange rate in the economic growth of Ethiopia
Abstract
Despite encouraging improvements in recent decades, Ethiopia's export performance has typically been portrayed as poor compared with other sub -Saharan African countries. Study analysis the impact of export, import and exchange performance of the country by using an econometric model for the period 2013/14- 2017/18. This study tried to review the export, import, and exchange rate impact on long run and short run shocks in GDP; Using structural vector auto regression model approaches. The findings of the study revealed that in the long run export performance has found to be positively influenced by real effective exchange rate, openness, RGDP of home country but The deficit in merchandise trade widened change relative import to export mainly due to the significant growth in total import bills coupled with low performance in the growth of total export. . Based on the findings, the study highlighted the pertinence of economic growth and emphasized the role played by the exchange rate in maintaining the balance between imports and exports. The study recommended that both currency value and economic growth should be given urgent attention in order to revive the deteriorating economy of Ethiopia.
How to Cite This Article
Mathewos Chafa, Derese Balcha (2022). Analysis the impact of export, import and exchange rate in the economic growth of Ethiopia . International Journal of Multidisciplinary Research and Growth Evaluation (IJMRGE), 3(5), 465-469.