n Africa Conflict Monthly Monitor - Investment in conflict zones : Eritrea - ACMM exclusive

Volume 2014, Issue 09
  • ISSN :


Tensions with neighbouring Ethiopia, which once annexed the country but was eventually repelled by Eritrean forces, cloud economic development of this desert country on the Red Sea, populated by 6.3 million people. But border insecurity is less inhibiting for investor confidence than the country's command economy that is controlled by Eritrea's one political party, which dictates restrictive economic policies. The World Bank reports that Eritrea is the most difficult country in Sub-Saharan Africa in which to start a business and overall, is second only to Chad as a business-unfriendly environment.

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