1. Imperial regime (1930-1974)

During the imperial regime, Ethiopia was a monarchy under Emperor Haile Selassie I. The economic system was characterized by a centralized and feudal structure. Land ownership was concentrated in the hands of a few wealthy landowners and the monarchy, while the majority of the population worked as tenants or sharecroppers. This system perpetuated significant inequalities and reduced agricultural productivity.

The imperial government pursued a policy of modernization and industrialization, but faced various challenges in effectively implementing these reforms. As a result, Ethiopia remained largely agrarian with limited industrial development during this period.

2. Derg regime (1974-1991)

The Derg regime came to power after a military coup in 1974 that overthrew Emperor Haile Selassie I. The Derg, led by Colonel Mengistu Haile Mariam, established a Marxist-Leninist regime and adopted a socialist economic system. Under this system, key industries, financial institutions, and land were nationalized, and the state assumed control of most economic activity.

The Derg government sought to redistribute wealth, eliminate social inequalities, and promote self-sufficiency in agriculture and industry. However, his policies were marked by inefficiency, mismanagement, and widespread corruption. As a result, during the Derg era, the economy experienced significant stagnation and recession.

3. EPRDF Prosperity Mode (1991 to present).

The Ethiopian People's Revolutionary Democratic Front (RANDF) took control after the Derg regime was overthrown in 1991. The REDFN carried out market economic reforms, moving away from the socialist model. The government introduced the Domestic Economic Reform Program to liberalize the economy, attract foreign investment and promote the development of the private sector.

During the reign of the EPRDF, Ethiopia saw significant economic growth with a focus on infrastructure development, agriculture, and industrial growth. The country has also attracted foreign investment, especially in sectors such as textiles, agriculture and manufacturing. In addition, special attention was paid to the expansion of education, health and poverty reduction programs.

It is worth noting that in 2018, Abiy Ahmed became prime minister and his government has continued further economic reforms and privatization efforts in a bid to open up the economy to more private investment and market forces.

Please be aware that economic conditions and policies may change over time and events beyond the scope of my last update in September 2021 may have shaped the economic system in Ethiopia under subsequent regimes.