DETERMINANTS OF EXPORT PERFORMANCE IN ETHIOPIA

Abstract

This paper identified some of the main determinants of export performance in Ethiopia for the period 1985-20118.To test empirically the relationship between export performance and its major selected determinants such as terms of trade, trade openness, real gross domestic product, real effective exchange rate, domestic credit and trade openness over a period. However, except these trade openness variables other variables were found to significantly affect the export performance of the country. On the other hand, out of the all variables significantly affected export are terms of trade, trade openness, and real gross domestic product affected export positively as expected. Especially when we look at the magnitude by which trade openness affected the dependent variable both in the positively and significantly. Terms of trade and real effective exchange rate were found negatively affect export of the country. It can be regarded as one of the key finding in this study. The study concludes with recommendations to increase share of export performance of Ethiopia. Last but not least, I would like to forward my warmest appreciation and great thanks to department of Economics material help to the success of my study