Ethiopia Construction Market Size, Trend Analysis by Sector, Competitive Landscape and Forecast to 2030 (H1 2026)

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The construction industry in Ethiopia is expected to expand by 8.9% in real terms in 2026, supported by the rising tourism and export activities, coupled with investments in the transport and renewable energy infrastructure projects. In early May 2026, the Ethiopian Prime Minister Abiy Ahmed announced that the country is on track to reach a record ETB1.5 trillion ($10 billion) in annual export revenue for the fiscal year (FY) 2025-26, which began on July 08, 2025, marking an increase from ETB1.2 trillion ($8.3 billion) in FY2024-25. The industry’s growth in 2026 will also be supported by investments in the tourism sector, which is a major contributor of the Ethiopian economy. According to the Ethiopian Ministry of Tourism, the country received 1.2 million international visitors in the first nine months of the current fiscal year that began on July 8, 2025. Additionally, the budget for the 2018 Ethiopian Fiscal Year (FY2025-26), which was approved in July 2025 is also anticipated to boost investments in the construction sector in the first half of 2026. Under its budget, the government has allocated ETB67 billion ($460 million) to healthcare sector and ETB115.5 billion ($1.4 billion) to the education sector.

Ethiopia’s construction industry is expected to expand at an average annual rate of 7.2% between 2027 and 2030, driven by investments in transport infrastructure, industrial, and renewable energy projects. Investments in the transport infrastructure sector will be driven by Ethiopia's 10-Year Development Plan, which is aimed at modernizing and upgrading its transport corridors and bolstering regional integration by 2030. Growth over the forecast period will also be driven by the country’s ETB4.4 trillion ($30 billion), six-year infrastructure initiative, which was released in September 2025. The initiative includes the development of several large-scale infrastructure projects including the construction of nuclear power plant, an oil refinery, a natural gas facility, an airport expansion program, and the construction of 1.5 million housing units by 2031. Growth will also be bolstered by country’s target of reaching 75% national electrification coverage by 2030. In line with this, the European Union (EU) announced an investment plan in mid-April 2026, worth ETB96.1 billion ($660 million), to expand electricity access to Ethiopia’s rural communities, including building 30,000km of transmission lines and 456,000km of distribution networks by 2030.

GlobalData’s Construction in Ethiopia – Key Trends and Opportunities to 2030 (H1 2026) report provides detailed market analysis, information, and insights into the Ethiopian construction industry, including:_x000D_
• The Ethiopian construction industry's growth prospects by market, project type and construction activity_x000D_
• Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the Ethiopian construction industry_x000D_
• Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.

Scope

This report provides a comprehensive analysis of the construction industry in Ethiopia. It provides:

• Historical (2021–2025) and forecast (2026–2030) valuations of the construction industry in Ethiopia, featuring details of key growth drivers.

• Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector

• Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.

• Listings of major projects, in addition to details of leading contractors and consultants

Reasons to Buy

Identify and evaluate market opportunities using our standardized valuation and forecasting methodologies_x000D_

Assess market growth potential at a micro-level with over 600 time-series data forecasts_x000D_

Understand the latest industry and market trends_x000D_

Formulate and validate business strategies using GlobalData's critical and actionable insight_x000D_

Assess business risks, including cost, regulatory and competitive pressures_x000D_

Evaluate competitive risk and success factors

Table of Contents

1 Executive Summary

2 Construction Industry: At-a-Glance

3 Context

3.1 Economic Performance

3.2 Political Environment and Policy

3.3 Demographics

3.4 Risk Profile

4 Construction Outlook

4.1 All Construction

– Outlook

– Latest news and developments

– Construction Projects Momentum Index

4.2 Commercial Construction

– Outlook

– Project analytics

– Latest news and developments

4.3 Industrial Construction

– Outlook

– Project analytics

– Latest news and developments

4.4 Infrastructure Construction

– Outlook

– Project analytics

– Latest news and developments

4.5 Energy and Utilities Construction

– Outlook

– Project analytics

– Latest news and developments

4.6 Institutional Construction

– Outlook

– Project analytics

– Latest news and developments

4.7 Residential Construction

– Outlook

– Project analytics

– Latest news and developments

5 Key Industry Participants

5.1 Contractors

5.2 Consultants

6 Construction Market Data

7 Appendix

7.1 What is this Report About?

7.2 Definitions

7.3 CRI Methodology

About GlobalData

Contact Us

Table

Table 1: Construction Industry Key Data

Table 2: Ethiopia, Key Economic Indicators

Table 3: Ethiopia, Commercial Construction Output by Project Type (Real % Change), 2021–30

Table 4: Ethiopia, Top Commercial Construction Projects by Value

Table 5: Ethiopia, Industrial Construction Output by Project Type (Real % Change), 2021–30

Table 6: Ethiopia, Top Industrial Construction Projects by Value

Table 7: Ethiopia, Infrastructure Construction Output by Project Type (Real % Change), 2021–30

Table 8: Ethiopia, Top Infrastructure Construction Projects by Value

Table 9: Ethiopia, Energy and Utilities Construction Output by Project Type (Real % Change), 2021–30

Table 10: Ethiopia, Top Energy and Utilities Construction Projects by Value

Table 11: Ethiopia, Institutional Construction Output by Project Type (Real % Change), 2021–30

Table 12: Ethiopia, Top Institutional Construction Projects by Value

Table 13: Ethiopia, Residential Construction Output by Project Type (Real % Change), 2021–30

Table 14: Ethiopia, Top Residential Construction Projects by Value

Table 15: Ethiopia, Key Contractors

Table 16: Ethiopia, Key Consultants

Table 17: Ethiopia, Construction Output Value (Real, $ Million)

Table 18: Ethiopia, Construction Output Value (Nominal, ETB Billion)

Table 19: GlobalData Construction Market Definitions

Table 20: GlobalData Construction Market Definitions

Table 21: Ratings, Scores and Definitions

Figures

Figure 1: Sub-Saharan Africa, Construction Output (Real % Change), 2024–30

Figure 2: Ethiopia, Construction Output by Sector (Real % Change), 2024–26 and 2027–30

Figure 3: Ethiopia, Risk Summary

Figure 4: Ethiopia, Risk Regional Comparison

Figure 5: Ethiopia, Construction Output Value (Real, $ Million, 2022 Prices and Exchange Rate), 2021–30

Figure 6: Ethiopia, Construction Output Value, by Sector (Real, $ Million), 2021–30

Figure 7: Ethiopia, Construction Projects Momentum Index

Figure 8: Sub-Saharan Africa, Construction Projects Momentum Index

Figure 9: Ethiopia, Commercial Construction Output by Project Type (Real, $ Million), 2021–30

Figure 10: Ethiopia, Commercial Construction Projects Pipeline, Value by Stage ($ Million)

Figure 11: Ethiopia, Industrial Construction Output by Project Type (Real, $ Million), 2021–30

Figure 12: Ethiopia, Industrial Construction Projects Pipeline, Value by Stage ($ Million)

Figure 13: Ethiopia, Infrastructure Construction Output by Project Type (Real, $ Million), 2021–30

Figure 14: Ethiopia, Infrastructure Construction Projects Pipeline, Value by Stage ($ Million)

Figure 15: Ethiopia, Energy and Utilities Construction Output by Project Type (Real, $ Million), 2021–30

Figure 16: Ethiopia, Energy and Utilities Construction Projects Pipeline, Value by Stage ($ Million)

Figure 17: Ethiopia, Institutional Construction Output by Project Type (Real, $ Million), 2021–30

Figure 18: Ethiopia, Institutional Construction Projects Pipeline, Value by Stage ($ Million)

Figure 19: Ethiopia, Residential Construction Output by Project Type (Real, $ Million), 2021–30

Figure 20: Ethiopia, Residential Construction Projects Pipeline, Value by Stage ($ Million)

Figure 21: Ethiopia, Headquarters of Key Contractors (% of Total Project Pipeline)

Figure 22: Ethiopia, Headquarters of Key Consultants (% of Total Project Pipeline)

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