Ethiopia ranks below the sub-Saharan African average in the 2012 Human Development Index, number 173 out of 187 countries. Over 39 percent of Ethiopians live below the poverty line, and development indicators drop significantly in the country’s least developed regions.
How We Are Helping?
UNCDF has been helping Ethiopia meet its development challenges by supporting local development finance and inclusive finance initiatives. In local development finance, UNCDF is a partner in the new UN Joint Programme Enhancing Public Service Delivery for Accelerating Outcomes in Ethiopia’s four Developing Regional States, which started in July 2011. UNCDF provides support to strengthen local governance, improve basic services, promote environmentally sustainable livelihoods, and develop a national strategy on gender. Specifically on gender, UNCDF’s Gender Equitable Local Development (GELD) programme is also active in Ethiopia.
In inclusive finance, UNCDF is piloting a joint programme with ILO to support the development of microinsurance services in association with microfinance savings and credit services. In addition, two UNCDF global inclusive finance programmes are operational in Ethiopia: the Least Developed Countries Fund for savings-led market leaders for inclusive finance (MicroLead), which aims to increase access to financial services for low-income populations in LDCs; and YouthStart, which aims to increase access to financial services for young people.