Oromia

Oromia region surrounds Addis Ababa and produces the majority of Ethiopia's coffee—the country's signature export that earned $762.75 million in the first quarter of 2025 alone, a 47% increase over the prior year. The region's share of coffee sector employment grew from 35% in 1990 to 50% by 2023, making it the engine of Ethiopia's agricultural export economy. High-quality Arabica varieties from Sidamo and Yirgacheffe command premium prices in global specialty markets.

Yet Oromia simultaneously experiences armed insurgency that the federal government has failed to suppress. The Oromo Liberation Army continues guerrilla operations against federal and regional security forces, contributing to the 4.2 million internally displaced persons across Ethiopia. This creates a contradiction at the heart of Ethiopian development: the region that generates the most valuable agricultural exports also harbors persistent conflict that disrupts production and investment.

The region demonstrates how niche specialization in commodity production creates both opportunity and vulnerability. Ethiopia's coffee exports are projected to reach a record 7.8 million bags in 2025-26, supported by favorable weather and rejuvenated trees. But political instability in Oromia threatens this trajectory. The Kerchanshe Group's initiative to distribute 3 million improved seedlings to farmers attempts to boost productivity, but long-term agricultural investment requires security that the region currently lacks.