Background

Ethiopia has embarked on an ambitious economic reform program aimed at fostering sustainable growth, creating jobs, and improving economic stability. The second phase of these reforms focuses on three core areas: governance of state-owned enterprises (SOEs), private sector and entrepreneurship, and the financial sector. These efforts are essential to address the structural challenges that hinder economic progress and to create a more inclusive and robust economy.

Agence Française de Développement (AFD) has commissioned Triangle to conduct a comprehensive feasibility study to support these reforms. This study will assess the potential for a new project designed to provide targeted support to the second phase of Ethiopia’s economic reforms. The study aims to identify key areas for intervention, evaluate potential challenges, and outline the resources required to ensure the successful implementation and sustainability of the proposed project.

Triangle’s Assignment

The feasibility study will consist of two phases. Phase one involves conducting a diagnostics report on the governance of state-owned enterprises (SOEs), private sector and entrepreneurship, and the financial sector. Phase two focuses on project design, which entails creating detailed plans and specifications for AFD’s programming. The assignment includes a comprehensive needs assessment, stakeholder consultations, project design development, and risk assessment. Additionally, Triangle will identify the necessary resources for implementation and develop a monitoring and evaluation framework. The final deliverable will be a detailed feasibility study report with recommendations for project implementation.

Objectives

• To identify key areas of intervention that will support the successful implementation of the second program of economic reforms.
• To develop a comprehensive project design that outlines the objectives, activities, and expected outcomes of the proposed support project.
• To ensure alignment with national priorities through stakeholder consultations.
• To assess potential risks and develop mitigation strategies.
• To identify the necessary resources for project implementation.
• To develop a monitoring and evaluation framework.
• To prepare a detailed feasibility study report with recommendations for project implementation.

Research Approach & Methodology

• Literature Review: Conduct a thorough review of existing literature on Ethiopia’s economic reforms, public financial management, and private sector development.
• Needs Assessment: Carry out a comprehensive needs assessment through surveys, interviews, and focus group discussions with key stakeholders.
• Stakeholder Consultations: Organize consultations with government officials, private sector representatives, and development partners to gather input and ensure alignment with national priorities.
• Risk Assessment: Identify potential risks and challenges that could impact the implementation of the proposed project and develop mitigation strategies.
• Resource Identification: Determine the financial, technical, and human resources required to implement the proposed project.
• Monitoring and Evaluation Framework: Develop a framework to track the progress and impact of the proposed project.
• Feasibility Study Report: Prepare a detailed report that includes the findings of the needs assessment, stakeholder consultations, risk assessment, resource identification, and recommendations for project implementation.