Managing Ethiopia’s Unsettled Transition Ethiopia’s charismatic new prime minister, Abiy Ahmed, has generated great excitement with initiatives breaking with the past. But he faces challenges as formidable as his promises are bold: he urgently needs to halt communal strife, smooth the road to elections and boost the ailing economy.

Executive Summary After four years of street protests, the ruling Ethiopian People’s Revolutionary Democratic Front (EPRDF) elected Abiy Ahmed Ali prime minister on 2 April 2018. For many Ethiopians Abiy is a breath of fresh air. He admits the ruling coalition’s shortcomings, pledges reform, preaches unity and has made peace with Ethiopia’s old foe, Eritrea. Yet if Abiy has raised enormous expectations, he also faces daunting challenges. Insecurity has intensified and proliferated across the country, with communal violence tearing at the multi-ethnic fabric of Ethiopian society. Regional leaders demand more power. The economy is on life support, with foreign debt in excess of $24 billion, many young people without jobs and an old guard resistant to reform. There are no easy fixes for these challenges, but Abiy can give himself the best odds by focusing on three priorities – working to stop communal conflict, preparing for 2020 elections and reforming the dangerously weak economy. The crisis that led to Abiy’s assumption of power was years in the making. Protests broke out in 2014 over discrimination against the Oromo – the country’s largest ethnic group – and spread to other groups, especially the Amhara, its second largest. Discontent with tough socio-economic conditions, as well as with the ruling party’s 27 years in power and its domination by a small, mostly Tigrayan, elite, was already widespread. The EPRDF, weakened by factional quarrels after the August 2012 death of strongman Prime Minister Meles Zenawi, struggled to contain the unrest. Meles’s successor, Hailemariam Desalegn, veered from cabinet reshuffles and political prisoner releases to crackdowns including new arrests of opposition leaders and demonstrators. In October 2016, a state of emergency brought temporary calm, but the protesters’ demands for political reform and socio-economic improvements still largely went unmet. On 15 February 2018, Hailemariam resigned. By then the EPRDF elite – and especially its Tigrayan component – had lost its grip. With power dispersed among the security sector’s upper echelons, who were divided over whether to reform or protect the status quo, the EPRDF proved unable to steer the battle for succession. The Oromo People’s Democratic Organization, one member of the EPRDF coalition, stepped most assertively into the breach. Backed – in a break from tradition – by the Amhara National Democratic Movement, another EPRDF party, it propelled the Oromo nominee, Abiy Ahmed Ali, into the premiership. At age 42, Abiy is considerably younger than the old guard and, with the sympathy of many protesters, he appears well suited to the task of assuaging the grievances of the country’s neglected groups

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