Ethiopia Part 2: Monarchy to Communism to Democracy (1916-2000)
The Rise, the Fall, and the Rise again
Last time we discussed Ethiopia's evolution from the Aksumite state to a diverse empire that resisted European colonization. Italy claimed Libya, Somalia, and Eritrea but failed to capture Ethiopia. Emperor Menelik expanded Ethiopia and its borders were established in 1904. For part one, click here:
Emperor Halie Selassie (1916-1974)
In 1916, Emperor Halie Selassie (then called Ras, meaning “Head/Prince/Duke”, Tafari Makonnen) assumed power as Regent after the deposition of Emperor Lij Iyasu. Empress Zewditu held the religious authority while Ras Tafari governed politically as Regent.
In the 1920s, despite being independent, Ethiopia was largely perceived by Europe, Japan, and North America as an un-industrialized feudalistic backwater with a Rich Aristocracy, Nobels, and Clergy minority, 2M slaves/forced laborers, and a peasant majority. In 1920, there were only 12M people in Ethiopia, so one out of every sixth person was a slave/lower caste citizen. In 1924, Ras Tafari toured the Europe and the Middle East seeing Jerusalem, Alexandria, Paris, Luxembourg, Brussels, Amsterdam, and etc. and he realized how far behind Ethiopia was compared to the rest of the world.
Beyond Addis Ababa, Ethiopia lacked basic infrastructure. Halie Selassie initiated development projects, including electricity, roads, schools, hospitals, and the Bank of Ethiopia. He also abolished slavery in 1923 to qualify for League of Nations membership, hoping that membership would protect Ethiopia from Western Imperialism.
The Empress tried a coup in 1928, but Ras Tafari thwarted her and forced her to crown him King. Eventually, Ras Tafari was made Emperor Halie Selassie when the Empress died in 1930. Many Jamaicans people in Jamaica worshipped him, which Halie found strange.
By 1930, Halie aimed to modernize the economy at his own pace. He crafted a new constitution modeled off the Japanese constitutional monarchy, admiring a non-Western country with Western living standards. However, his constitution in 1931 nor his new one in 1955 allowed political parties. By 1931, Halie Selassie replaced the previous Central Bank of Abyssinia (Ethiopia’s name by the West, similar to how Iran was called “Persia”) and made it the Central Bank of Ethiopia. His modernization efforts were funded mainly by taxing the coffee his nation exported.
Italian Occupation
“This isn't a war, it isn't even a slaughter. It's the torture of tens of thousands of men, women and children with bombs and poison gas” — British eyewitness
In 1935, Italy under Mussolini brought Italy for round two against Ethiopia. Mussolini said he invaded to “end Ethiopian slavery” , but Ethiopian slavery was already abolished. Selassie left the nation to appeal to the League of Nations.
The League of Nations proved to be a feckless institution since no one helped Ethiopia. Ethiopia was conquered by Italy in 1936. The military differences were huge… Italians communicated through radio, Ethiopians communicated by foot soldiers.
Even during occupation, Ethiopians continued rebelling. Mussolini bombed hospitals and used chemical weapons on the Ethiopians. Nearly 100k Ethiopians died(Ethiopia’s population was 14.5M back then). Italy merged its holdings in Eritrea and Somalia to make Italian East Africa.
Mussolini's ambition to access Middle Eastern oil via Italian East Africa was thwarted by the UK and France. The Ethiopian anti-fascists, The Arbegnoch, means “Patriots” in Amharic, with British support, resisted Fascist occupation. Britain subsequently occupied Eritrea and Ethiopia to aid Halie Selassie in regaining control.
After WW2, the Soviet Union wanted Eritrea to be a Soviet trustee. Selassie did not want to share a border with communist Eritrea. He feared a communist Eritrea would topple Ethiopia just like the communists toppled the Czar in former Imperial Russia.
Halie Selassie requested from Britain, America, and France the incorporation of Italian, British, and French Somalia and Eritrea into Ethiopia. (French Somalia is modern day Djibouti) since he claimed these were all former territories of Ancient Ethiopia. Britain, France and America said “no” to Ethiopia taking, French, Italian, & British Somalia but “yes” to Eritrea. Ethiopia added Eritrea to its borders in 1943. This move was sanctioned by the UN since the UN didn’t think Eritrea had any state consciousness or a sustaining economy at the time. America allowed Ethiopia to unite with Eritrea, as long as America was allowed to make a communications base in Asmara, Eritrea and a naval facility in Massawa, Eritrea, to monitor potential Soviet espionage in East Africa & oversea red sea trade. Selassie agreed, and the Federation was official in 1952, sanctioned by Resolution 390 in the United Nations.
Per UN mandate, Eritrea was part of Ethiopia, but Eritrea had its own government, flag and language. Ethiopia was forbidden by the UN to forcefully intervene in Eritrea’s domestic affairs. Ethiopia was only responsible for Eritrea’s foreign affairs, defense, transportation, and finance.
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Post-occupation, Ethiopia pursued modernization efforts, implementing a mixed economy. Government-owned enterprises included the Commercial Bank of Ethiopia, Agricultural & Industrial Bank, Savings & Mortgage Corporation, and Imperial Savings and Home Ownership Public Association. Major private firms, predominantly foreign-owned, included Addis Ababa Bank, Bank of Napoli, and Bank of Rome, alongside various insurance companies.
Economy Measures
He increased taxes exports/imports and luxury goods
He courted foreign aid from the West and Communists. With aid, he erected 200 school buildings, mandated education, and he received foreign aid from Italy and Yugoslavia to build dams in Ethiopia. The American government funded the Addis Ababa airport, and the Soviet Union built a polytechnic institute.
He made Ethiopia’s first University of Ethiopia in 1950 - University Ababa University (Used to be Haile Selassie University) and sponsored his talented university students to study abroad
He hired technicians from both America and socialist Yugoslavia to make development plans from 1945-1957 This program was largely a failure since the Imperial government failed to collect sufficient statistical data on the population.
5 Year Plans: Ethiopia tried a Soviet style, 4 year plan to build roads, communication and food processing industry (1957-1961). The goal was 3.7% growth per year, but they achieved 3.2%.
He tried a second 5 year Plan (1962-1967): which resulted in more food processing, manufacturing, and telecommunications.He made a third 5 year plan (1968-1973) which resulted in improving peasant agriculture, agricultural education assistance, and manufacturing..
All of these plans failed to hit growth targets. By 1970s, Ethiopia was still 80% subsistence farms instead of having an industrialized workforce.
Foreign Policy
Ethiopia helped Americans in the Korean War and allowed American military bases on Ethiopian soil in return for more Western foreign aid.
Halie Selassie helped create the Organization of African Unity and made his country the organization’s headquarters. He became the first chairperson.
Issues:
Feudalism: Most Ethiopians (especially the South) were still landless peasants who paid exorbitant rents to live on lands by wealthy landlords. It was the “Gult System”. The North, where the old Christian Kingdom was had a communal ownership structure called “Rist System” The Ethiopian church also owned large amounts of land. People wanted land reform. Halie wanted to institute land reform, but the nobility opposed him. It would take a social revolution to institute such a policy. As a result, Ethiopia stayed a semi-feudal society, which gave grounds for a communist revolution.
Corruption: Critics accused Selassie of living lavishly while peasants suffered. He was said to have bred corruption through the political system
Autocracy: He suppressed political parties and opposition. Media was censored and controlled by the emperor. He banned Western journalists so they couldn’t criticize his country.
Famine: Unfortunately despite his modernization drive he was too focused on the urban people and neglected agriculture. In 1958, the Tigray suffered a famine killing 100K people. In 1972-1975, another famine struck the Wollo & Tigray people killing 200K.
Ethnic Subjugation: Selassie imposed Amharic language, Ethiopian Christianity, and culture on various clans like Somali, Oromo, Gambela, Haran, Tigray, Eritreans, and Afar, aiming for nationalist unity. Oromo language was banned, and Amharas were appointed in key government, court, and church positions.
Somalia: Independent since 1960, Somalia sought to annex the Ogaden region, predominantly Somali-populated. Their ambition extended to uniting all Somalis, including claims on Djibouti, Kenya, and Ethiopia. In 1963, Somalia was funding rebel movements in Ogaden, Ethiopia. As a result Ethiopia raided and subjugated the Somalis in Ogaden, Ethiopia. This led to the first Ethiopian-Somali border war. Somalia was ruled by a communist government funded by Egypt & the Soviet Union, while Ethiopia’s arms were provided by America. Ethiopia won, and made a military pact with Kenya, to defend themselves from Somalia’s quest to reunite all Somali people.
Eritrea: Selassie disregarded UN recognition of Eritrea's autonomy, dismantling its constitution. Ethiopia imposed Amharic, displacing Arabic and Tigrinya. The Eritrean flag was abolished, prompting emigration to Sudan and Saudi Arabia. By 1960, the Arab League supported Muslim Eritreans for strategic Red Sea oil trade. In 1962, Selassie annexed Eritrea with American backing, sparking a proxy war.
As African nations gained independence, the educated Ethiopian class, politicians, and military questioned the need for an Emperor. Selassie's monarchy was seen as outdated and corrupt. The university students wanted to abolish the monarchy and install a socialist state, similar to how the Soviet Union removed the Russian Monarchy. In 1960, an attempt to remove him failed, leading Selassie to tighten his grip on power, rather than enact democratic reforms.
In 1974, a communist military junta overthrew Halie Selassie, ending the over 3000-year-old Empire. This was driven by:
Famines: Halie Selassie straight up didn’t want the international community to know that he couldn’t feed his own population. Between 1972-1975, 200K people died of starvation. There was a drought in the Northern Provinces of Wollo and Tigray. This caused an international outcry and an outcry in the University of Addis Ababa.
By 1973, due to OPEC cutting oil production, oil became expensive. Oil, which affects every good (like shipping transport fuel) made every commodity more expensive, making Ethiopia have massive food shortages and famine. This, along with discontent among university students, labor leaders, peasants, and minorities, fueled mass protests.
Eritrean Conflict: The ongoing war with Eritrea contributed to instability and discontent.
Wide spread corruption, low wages for military, and inflation. In the 1970s, there were wide spread protests. Despite the fact that Ethiopia was never colonized and had a 3000 year old history, Ethiopia had one of the lowest incomes per capita in Africa. In 1973, the average Ethiopian made $86 a year. For comparison, Malawi: $122, Uganda: $137, Benin: $160, Cameroon: $180, Democratic Republic of Congo: $236, Zambia: $379,Nigeria: $517, and Ghana: $519. Life expectancy was 43 years and 145 infants died for every 1000 live births. There was still no developed highway or rail system when his rule ended.
Communist Revolution (1974-1991), Mengistu Hailie Miriam, Ethiopian Civil War
The Marxist military junta, called the Derg (means “The Committee”) overthrew the monarchy and ruled as a provisional government in 1974. They became a one-party communist dictatorship while making an ethnic based federation. The Derg called their socialism called “Ye-Itiopia Hibrete-sebawinet” (Ethiopian Socialism). They adopted Communism/Socialism based on what the leftist Ethiopian University students & graduates desired.
The Derg shifted military allegiance from the United States to the Soviet Union, while upholding Amharic culture. The regime was ruled by Mengistu Haile Mariam.
Under the communist regime, the government controlled nearly all economic sectors, leaving only wholesale and import/export trade in private hands. They established cement, textiles, food processing, and oil refineries, though these operated below capacity..
The good:
Land Reform: The Derg dismantled Ethiopian feudalism, redistributing land and abolishing tenant farming. All land became government-owned, with individuals allotted no more than 10 acres, including urban apartments. Small farms, which constituted 90% of farming output, provided employment for 80% of the population.
Massive increase in literacy. According to the Derg’s records, Imperial Ethiopia had under 10% literacy. the Derg made a national literacy campaign coordinating committee to raise literacy levels in rural environments. The Derg also sold coffee and gold to to receive East German and Soviet Union teachers to help their population. By the time the communists were about to leave power, over 60% were literate.
Healthcare expansion: Under the Derg there was a massive expansion of medical facilities: In rural areas brought by Cuba and Soviet Union. People dying of malaria and tuberculous fell drastically.
The controversial
The Derg removed American military bases and received arms from the Soviet Union
All private industry was owned by the government and the stock market was abolished. In 1975, the Derg nationalized 100 industries from foreign ownership, making the government own all large enterprise. The multinationals were quite upset, they felt they weren’t fairly compensated. It took 10 years for Ethiopia to pay off the investors.
Even though Ethiopia managed to make the workplace and managerial staff Ethiopian, there was a loss of ability for Ethiopia to learn and compete with the globe in manufacturing since Ethiopia became insulated. This also led to massive capital flight, barely any Western enterprise wanted to set up shop in Ethiopia in this era. No one wanted to invest in a country when the country takes people’s capital and factories without just compensation. Private investment declined from 65M Ethiopian birr to 12M by 1977. Eventually foreign investment barely happened at all.
The Really Controversial
Mass Murder: Between 1976-1978, The Derg then launched a “Red Terror” which murdered 700K Ethiopians. This brutal campaign included public displays of bodies in Addis Ababa, widespread torture, and purges. Victims included union leaders, fellow communists, and university students, as well as traders and shopkeepers. Political prisoners were routinely executed, a grim event referred to as "Bloody Sunday." Many left-wing leaders and socialists who initially supported the Derg fled the country.
The Somalia-Ethiopian War: In 1977, Somalia launched a full-scale invasion of Ethiopia, targeting the Somali-populated Ogaden region for annexation. Backed by the Soviet Union, East Germany, and Cuba, the Derg supported Ethiopia in repelling the Somalis. To acquire weapons, Ethiopia mortgaged its coffee and sugar exports to the Soviet Union and Cuba. Feeling betrayed, Somalia, also a communist country, sought American military support from Jimmy Carter. The conflict concluded in 1978.
Refugee Crisis & Famine: The Derg's severe human rights violations, lack of food, and the Somali-Ethiopian war, led to a 2.5M refugee crisis in Ethiopia. Although tenants owned land, the government was unable to increase farming production or productivity. The Derg’s agricultural policies decreased agricultural production. By 1983 to 1985, Ethiopia suffered a brutal famine killing over 1M. The famine was caused by drought conditions, locust & grasshopper plagues, and Derg’s ongoing wars with internal dissidents and Eritreans. The Derg refused to let foreign relief agencies distribute food to the starving people. This led to international outcry.
The Villagization & Resettlement Program: The Derg forcibly relocated 600K people from their villages and farms to the south, resulting in over 10K reported deaths. This controversial program aimed to provide access to basic services, education, healthcare, and arable land, but it proved highly unpopular and led to a decline in agricultural productivity. The ambitious goal was to relocate 30M people, but it was eventually halted due to widespread opposition.
.Collectivization of Agriculture: The Derg tried to collectivize farming with state owned farms and cooperatives, but they never really had the chance to collectivize farming. The forced peasants at gunpoint. Only 6% of cultivated land was allocated to the socialist farms. At one point cereal yield (kg per hectare) was lower than yields during Halie’s regime, which is bad since the population was growing.
Poor Economic Growth: Unlike the Soviet Union, Economic growth was almost non-existent in Ethiopia due to unstable political climate and disruption in farming and manufacturing.
Rebellions: During the communist regime, Ethiopia was embroiled in a widespread internal conflict. Frustrated with policies, various ethnic groups formed their own liberation organizations: Eritrea People’s Liberation Front (EPLF) for Eritreans, Tigray People’s Liberation Front (TPLF) for Tigray, Oromo Liberation Front (OLF) for the Oromo, and Somali Abo Liberation Front (SALF) and Afar Liberation Front (ALAF). In 1989, these groups united to form the Ethiopian People’s Revolutionary Democratic Front (EPRDF).
Ethiopia had many problems. Communist Ethiopia started to make market reforms and took its first IMF loan in 1981 of $67.5M.
By the late 80s, the Soviet Union was collapsing after the failure in Afghanistan and falling oil prices. In 1989 Eastern Europe revolted from communism and the Baltics left the Soviet Union. The Soviet Union couldn’t provide military aid to Ethiopia anymore.
The Communist Derg realized by 1990 that communism wasn’t leading to prosperity so they started to make market reforms. The communist government was toppled by the EPRDF in 1991 and Mengistu fled to Zimbabwe. The Ethiopian government has sentenced him to death for genocide of Ethiopia.
Transitional Government (1991-1995)
After communism's end, led by Meles Zenawi of the EPRDF, Ethiopia adopted a mixed socialist-capitalist system. Government owned banking, insurance, petroleum, land, mining, and chemical industries, while retail trade, road transport, and exports operated in a free market.
As per IMF and World Bank mandate, the Ethiopian government fired civil servants, and devalued their currency to try to boost exports (although this caused massive inflation). Ethiopia refused some IMF mandates like de-nationalizing land.
In 1993, all of the state farms and agricultural cooperatives were given to private farmers on a government owned lease.
Finally all wars were ended. A new constitution was made that allowed provinces to secede from Ethiopia. The reason for this was due to the previous rulers’ idea of Amharic supremacy has caused national strife. In 1993, 99% of Eritreans favored independence. This meant Ethiopia lost its red sea ports in Massawa and Assab. Ethiopia was now landlocked and it dissolved its navy. Some Ethiopians have argued this was a stupid constitution and has fomented the seeds for regional tribalism.
Ethiopia allowed democratic elections and the EPRDF won in 1995.
During this time Ethiopia was near bankruptcy again and borrowed nearly $80M dollars from the IMF between 1992 to 1999.
Eritrea-Ethiopian War (1998-2000)
Initially the countries had good relations and Ethiopia and Eritrea formed a currency union and a free trade zone. In addition, Ethiopia still could use Eritrean ports. However, Eritrea and Ethiopia couldn’t agree on what their border would be.
Both Ethiopia and Eritrea claimed that the town Badme was theirs. After the war ended, the UN gave Badme to Eritrea, annoying Ethiopia. With the war ending, Ethiopia lost access to duty free ports in Assab and Massawa, where Ethiopia sold 70% of its goods. As a result, Ethiopia had to trade using other nation’s ports, like Djibouti, but the fee is costly.
Next time we will discuss Ethiopia in the modern day and how Ethiopia has massively improved the living standards of its people after all this tumult.
Sources are linked!
I also read this PDF: Ethiopia a Country Study and watched these videos