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How does the Grand Ethiopian Renaissance Dam affect the economic position of Ethiopia vis-a-vis

Sudan and Egypt?

I decided to do an empirical case regarding the Grand Ethiopian Renaissance Dam. This Dam is
currently work in progress but its already been a hot topic for a long time as the Dam will reportedly,
decrease the water flow in the Blue Nile and thereby negatively affect both Egypt and Sudan,
however, Ethiopia claims that the dam will not only benefit them but also Egypt and Sudan due to
reduced evaporation. So, how will this massive project affect the economic situations in the three
countries? On the one hand, it seems like Ethiopia will naturally benefit the most as it will be able to
control water flows and keep more water within its borders. Also, the Dam will create a lot of
electricity. However, as it is a very costly project which accounts to about 15% of the countrys GDP,
Egypts (and also Sudans) pressure on the project might actually cause economic issues in the
country. Similarly, Egypt and Sudan might also benefit from the project as any surplus energy created
by the dam can be sold to these countries for a bargain, while Ethiopia also claims that i twill
decrease water evaporation. Moreover,, the Dam might cause substantial environmental damage, to
the extent that certain researchers even doubt there will be much economic benefit to be made for
Ethiopia in the long term.

The approach for such a research would be very much aimed at economic analysis, however, due to
the pressure that mostly Egypt is capable of applying to Ethiopia, there will also be much focus on
the political game and potentially military game thats going on. Due to the high costs of the dam,
any delay or blockage of the Dam could lead to severe economic issues in Ethiopia hence, theres
also a possibility of Ethiopia being the biggest loser of the three countries.

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