The Geoeconomics of a Geographical Prison: Ethiopia's Red Sea Strategy and the Political Economy of Port Dependence

13 Jan 2027, 08:30

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Despite being Africa’s second most populous state, Ethiopia remains trapped in a 'geographical prison'. Relying on Djibouti’s Port of Doraleh for 95% of its trade incurs an annual financial hemorrhage exceeding $1 billion, severely constraining its economic growth. While traditional analyses frame Ethiopia's quest for Red Sea access, particularly regarding Eritrea’s Assab port, through the lens of military strategy and territorial disputes, this paper adopts an International Political Economy (IPE) approach. It argues that Ethiopia’s maritime strategy is fundamentally driven by the geoeconomic necessity to break logistical bottlenecks, rather than classical military expansionism. By examining the political economy of port dependence, UAE-backed modernisation efforts in Assab, and the structural costs of landlockedness, this study conceptualises sovereign access to maritime infrastructure as a critical form of state power. Ultimately, this research makes an empirical and conceptual contribution to IPE literature by illustrating how the commodification of port access and the financial burdens of geography are reshaping alliances, exacerbating economic fragilities, and redefining the security architecture of the Horn of Africa.

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