ABSTRACT
Ethiopia provides one of the clearest examples of a ‘developmental state’ in Africa. Drawing on a deeply entrenched experience of statehood, the present Ethiopian regime has embarked on an ambitious programme, depending on the central capture of ‘rents’, to fund a massive expansion especially in communications, education, and hydroelectricity. High initial rates of growth have been achieved. However, the political setting is tightly constrained and the state has not allowed the private sector freedom of action to generate the required levels of production. Ultimate success will depend on the capacity to transform a state that has itself been central to the development process.
