Ethiopia Natural Resources: Hydropower, Blue Nile Water and Coffee

Recursos naturales de Etiopia 51 1

Ethiopia’s natural resources span water, forests, biodiversity and hydropower. Which of Ethiopia’s natural resources carry the most weight? In 2025 the country generated 32.2 TWh of hydroelectric power (Ember, 2025), led by the GERD dam on the Blue Nile, the largest in Africa, and it has 6,700 species of vascular plants, including coffee.

Ethiopia, in the Horn of Africa, is a nation rich in natural resources. From its mountaintops to its lowlands, the country has a great diversity of plants and animals, as well as a rich cultural history.

Known for its extensive forests, Ethiopia also has abundant water resources, including some of the largest rivers on the African continent. The region’s biodiversity is remarkable, with a wide variety of plant and animal species found nowhere else in the world.

What are Ethiopia’s natural resources? Where does the country’s wealth come from? What minerals does it have, and how does it rank globally? What is its water supply like, and which energy sources does it use? What variety of animals and plants lives in Ethiopia? How is its land used, and how does it protect its biodiversity?

Natural resources

Natural resources are materials or energy sources provided by or found on Earth that are useful to humans. Every product we manufacture is made up of natural resources.

  • Renewable resources: these can be restored by natural processes faster than the rate at which they are consumed. Examples include solar radiation, wind, hydroelectric power, water when used properly, and plant and animal life.
  • Non-renewable resources: once extracted, these are depleted and cannot regenerate. Examples include hydrocarbons, metals and minerals.

Examples of Ethiopia’s main natural resources

Ethiopia’s environmental scorecard

What international indicators say about conservation in the country.

Protected land area, 2013–2025Ethiopia has lost 1.5 points of protected territory.
2013 · 18.5%2025 · 17.0%
Protected land area17.0% of land area2025
Forest cover14.9% of land area2023
Threatened species198 mammals, birds, fish and plants2022
Renewable electricity95.4% of total generation2020
Land area1,128,499 km²2023

Water resources of Ethiopia

Ethiopia has 139 km³ of renewable freshwater resources, which placed it 52nd in the world ranking in 2020. This African country is home to two main rivers, the Blue Nile and the Awash, and its largest lake is Lake Tana.

These freshwater reserves are vital to the development and well-being of the Ethiopian population, as well as to the country’s agriculture and industry.

Average rainfall and soils of Ethiopia

Ethiopia has an average annual rainfall of 848 mm, which places it 86th in the world.

In general, Ethiopia’s soils vary with the actual moisture of each region: they are more fertile in areas with more rainfall and drier in areas that receive less rain.

Renewable electricity and hydropower production in Ethiopia

Ethiopia is committed to renewable energy: in 2025 it generated 33.4 TWh of electricity, all of it from renewable sources, and hydropower alone supplied 32.2 TWh (Ember, 2025). The country’s main hydroelectric plant is the Grand Ethiopian Renaissance Dam (GERD) on the Blue Nile, which began generating electricity in 2022 and is the largest hydroelectric plant in Africa.

Forest resources of Ethiopia

Ethiopia has substantial forest resources, and its main forest region is the Bale Forest. In 2023, the country’s forest area reached 168,495 km², or 14.9% of its land area (World Bank / The Global Economy, 2023).

Environmental performance and protection of Ethiopia’s natural resources

Ethiopia scored 36.3 on the Environmental Performance Index (2024), ranking 151st (EPI 2024, Yale). Protected areas make up 17.01% of the total territorial area, which shows the country’s commitment to environmental protection.

Natural parks of Ethiopia: the hidden wealth of natural resources

Biodiversity: animal and plant resources of Ethiopia

Birds of Ethiopia

Ethiopia has a great diversity of birds, with a total of 852 species according to 2025 data, which places it among the most diverse countries in the world (World Rainforests, 2025). It also had 18 endemic bird species in 2020.

However, it is also worth noting that 35 bird species are endangered. Among the most notable species is the northern bald ibis, an endangered bird whose migratory eastern population used to winter in the Ethiopian highlands.

Natural resources of Ethiopia

Fish and amphibians of Ethiopia

Ethiopia has 78 amphibian species (World Rainforests, 2025), which places it among the countries with notable diversity worldwide.

It also has 177 fish species (World Rainforests, 2025), 14 of which are threatened.

Its main amphibian species include the African clawed frog, while among fish the Nile tilapia stands out.

Mammals of Ethiopia

Ethiopia has a great diversity of wildlife, with a total of 316 mammal species (World Rainforests, 2025), 34 of which are endangered.

It also stands out for having 38 endemic mammal species, which places it 15th in the world. These figures show the importance of protecting and conserving Ethiopia’s natural resources, especially its wildlife; the country’s flagship mammal is the Ethiopian wolf.

Ethiopian wolf (Abyssinian wolf)

Reptiles of Ethiopia

Ethiopia has a great diversity of wildlife, especially when it comes to reptiles. With a total of 244 reptile species (World Rainforests, 2025), it is among the most diverse countries in the world.

Plants of Ethiopia

Ethiopia has a great diversity of vascular plants, with a total of 6,700 species recorded in 2020, placing it 29th in the world. Among them is the country’s flagship plant, coffee, which is one of the main sources of income and exports for the Ethiopian economy.

Ethiopia’s greatest natural wealth is not underground but up high: the Grand Ethiopian Renaissance Dam (GERD) on the Blue Nile, with 5,150 MW of installed capacity (International Hydropower Association, 2024).

The GERD and an almost entirely hydroelectric power mix

The dam, on the Blue Nile, has 13 turbines and 5,150 MW of installed capacity (International Hydropower Association, 2024). It was formally inaugurated on September 9, 2025, and Ethiopia’s electricity generation rose from 25.2 TWh in 2024 to 33.4 TWh in 2025 (Ember, 2025). About 96% of Ethiopia’s electricity comes from hydropower, according to Low Carbon Power (2023).

Africa’s water tower: the Blue Nile rises in the highlands

The real resource is highland water. The Ethiopian Highlands feed the Blue Nile, which rises in Lake Tana and supplies most of the Nile’s flow, according to Daedalus, MIT Press (2021). That is why the country is known as the water tower of Africa.

Birthplace of arabica coffee and Africa’s largest producer

Ethiopia is the birthplace of Coffea arabica and the continent’s largest coffee producer, with 496,200 tonnes in 2022, according to Wikipedia (2022). Coffee is its leading source of export earnings.

Organizations that protect or study Ethiopia’s natural resources

Frequently asked questions

What is the largest hydroelectric plant in Africa? The Grand Ethiopian Renaissance Dam (GERD), on the Blue Nile, with 5,150 MW of installed capacity, according to the International Hydropower Association (2024).

How does Ethiopia score on environmental performance? It ranked 151st with a score of 36.3 on the 2024 Environmental Performance Index, according to Yale EPI (2024).

Sources used

The World Bank reported in 2023 that the Grand Ethiopian Renaissance Dam is the largest hydroelectric plant in Africa.

Last updated: September 26, 2026

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