The aim of this research was to investigate how income inequality impacts the economic growth of Ethiopia by analyzing the various ways in which it influences economic growth. The study gathered an exclusive dataset from diverse secondary sources that ranged from 1981 to 2016. To examine the link between transmission channels, inequality of income, and growth, the study utilized a stepwise regression autoregressive distributed lag (ARDL) approach. The research concluded with four lines of reasoning, including political economy, innovation, fertility, and saving channels. According to the findings, inequality of income has a positive impact on innovative activities and total savings as measured by gross fixed capital formation, but it only has a negative and significant effect on economic growth through the channels of innovation and savings. While caution should be taken when generalizing the findings to other countries, this study offers valuable insights into the intricate link between income inequality and economic growth specifically in Ethiopia. The study recommends that policymakers implement targeted policies to address the different transmission channels through which income inequality affects economic growth, to comprehensively tackle this issue.

The study investigates the relationship between mobile banking adoption and the technical efficiency of commercial banks in Ethiopia. The research utilizes a stochastic frontier model and analyzes data from 2010 to 2022. Descriptive statistics, pairwise correlations, and regression analysis are employed to examine the impact of mobile banking on technical efficiency. The findings reveal a small but significant positive effect of mobile banking on technical efficiency, aligning with previous literature highlighting the benefits of mobile banking adoption. However, the results also suggest that other factors not accounted for in the model significantly influence technical efficiency. This study contributes to the understanding of the role of mobile banking in enhancing efficiency within the Ethiopian banking sector and emphasizes the need for further research to explore additional determinants of technical efficiency.

The study examined the impact of social, demographic, and economic factors on the economic empowerment of rural women in agricultural activities in Ethiopia's Dire Dawa region, using a mixed-methods research approach. The research team collected data from a sample of 419 women engaged in agricultural activities and used the proportional odds model (POM) and the partial proportional odds model (PPOM) to identify the factors associated with economic empowerment. The study found that age, property ownership, and education and training had a negative effect, while social networks and media had a positive effect on economic empowerment. The results also showed that women aged 40 and above had a lower likelihood of being economically empowered, and lack of property ownership and limited contact with extension agents hurt economic empowerment. The study recommended improving women's access to credit, land ownership, and training opportunities to promote gender equity and women's economic empowerment in the agricultural sector in Ethiopia. This study contributes to the literature by using a mixed-methods approach that integrated qualitative data with quantitative data, which has not been used before in Ethiopia. The findings provide important implications for policymakers and development practitioners in promoting gender equity and women's economic empowerment in the agricultural sector. The study highlights the need to address the challenges that women face in achieving economic empowerment, including limited access to credit, training, and land ownership. By improving access to these resources, policymakers and development practitioners can create an enabling environment that fosters women's economic empowerment and promotes gender equity in Ethiopia's agricultural sector.

This manuscript examines the effect of operating efficiency and non-interest income on bank profitability in the Ethiopian banking sector. Drawing on a comprehensive literature review and utilizing panel data from 15 banks over a specified period, we investigate the determinants of profitability and their implications for the Ethiopian banking landscape. The findings reveal that operating efficiency, measured through various indicators, positively influences bank profitability, aligning with prior research. Furthermore, the analysis highlights the complex relationship between non-interest income and profitability, indicating a significant but non-linear association. The study also underscores the role of bank size and leverage as important factors shaping profitability in the Ethiopian context. The results contribute to the existing literature by providing empirical evidence on the specific dynamics of the Ethiopian banking sector and offer valuable insights for policymakers and industry practitioners. By understanding the factors that drive bank profitability, stakeholders can formulate effective strategies to promote a sustainable and robust banking sector in Ethiopia. This manuscript provides a valuable contribution to the literature and offers actionable recommendations for enhancing the performance and profitability of banks in Ethiopia.

In this study, the relationship between savings, investment, and economic growth in Ethiopia between 1976 and 2018 was investigated. Stationary tests were conducted and it was found that all series became stationary after the first differences. When investment was considered the dependent variable, ARDL bounds testing results suggested that there was a long-term relationship. The coefficient of the error correction term revealed that 54.1% of any short-term disequilibrium would be adjusted annually. Causality results showed a short-term causal flow from economic growth to savings, a short-term and long-term causal flow from economic growth to investment, and short-run causality from investment to economic growth. The study discovered that savings had a significant effect on investment in the long run, while economic growth had a positive but insignificant effect. Therefore, this study concluded that savings and investments have an association with real GDP, and administrative support is needed to promote them to accelerate much-needed economic growth.