The Contribution of Forests to National Income in Ethiopia and Linkages with REDD+

This report concludes that Ethiopian forests generated economic benefits in the form of cash and in-kind income equivalent to 111.2 billion Ethiopian Birr (ETB) (USD16.7 billion) or 12.86% of Gross Domestic Product (GDP) in 2012-131, considerably larger than previously thought. Of this, 6.09% of GDP is attributed to forest industries. The contribution of forest ecosystems to other sectors, articularly agriculture, is valued at 6.77% of GDP. In addition, 2.4 billion ETB was attributed to non-market benefits based on Ethiopians’ willingness to pay to maintain forests.