Top 10 Largest Economies in East Africa (2025)

The countries below have the top 10 largest economies in East Africa. They are considered to be the economic powerhouses of the East African region and are responsible for a significant portion of the region’s GDP. Some of these countries like Kenya, Tanzania, and Ethiopia are considered as the most developed economies in the region while others are still developing. These economies are driven by different sectors such as agriculture, mining, manufacturing, and service sector.

Top 10 Largest Economies in East Africa, 2025

Ethiopia tops the list of largest economies in East Africa with a GDP of $2015.13 billion. Agriculture accounts for almost half of Ethiopia’s total GDP. The primary industries include mining and petroleum, Agriculture and more.

Kenya ranks as the second-largest economy in East Africa, with an economy that relies mainly on tourism, agriculture and construction.

1. Ethiopia – $205.13 billion

With a GDP of $205.13 billion, Ethiopia stands as one of the fastest growing economies in the world and is the largest economy in East Africa. Its economic growth has been mainly driven by the services and agriculture sectors. Ethiopia’s strategic location and government’s focus on industrialization and infrastructure development have made it an attractive destination for foreign investment and trade. The country’s youthful population, improving business environment, and expanding telecommunications sector further contribute to its economic dynamism.

2. Kenya – $104 billion

Boasting a GDP of $104 billion, Kenya holds the second-largest economy in East Africa and the 7th  largest economy in Africa. Nairobi serves as a major regional commercial hub, and the country’s economic growth is fueled by tourism, financial intermediation, agriculture, and construction. Kenya’s strong performance in tourism, higher education, and telecommunications has contributed to its steady economic expansion. Additionally, Kenya’s ambitious Vision 2030 development plan aims to transform the country into a newly industrialized, middle-income nation by 2030.

3. Tanzania – $79.61 billion

With a GDP of $79.61 billion, Tanzania ranks as the third-largest economy in East Africa and the eleventh largest in Africa overall. The country’s economy heavily relies on agriculture, which employs about half of its workforce. Tourism, mining, and natural gas exploration are also significant contributors to Tanzania’s economic landscape. Tanzania’s efforts to improve infrastructure, attract foreign investment, and develop strategic sectors have contributed to its steady economic growth.

4. Uganda – $56.31 billion

With a GDP of $56.31 billion, Uganda is the fourth-largest economy in East Africa. The country has experienced accelerated economic growth, supported by the services sector, mining output, and steady agricultural growth. Uganda’s ample natural resources, including fertile land and mineral deposits, play a crucial role in driving its economic progress. However, Uganda also faces challenges related to infrastructure development, education, and governance.

5. Mozambique – $17.85 billion

Mozambique’s GDP is $17.85 billion, and its economy is primarily driven by agriculture, industry, and services sectors. Fiscal reforms, including the introduction of a value-added tax and customs service reforms, have contributed to improved government revenue collection. The country’s natural gas discoveries have also provided potential for significant economic growth and foreign investment.

6. Rwanda – $13.7 billion

Rwanda has made remarkable strides in economic development, boasting a GDP of 13.7 billion USD. The government’s focus on technology, tourism, and agriculture has fostered a conducive business environment. Known as the “Land of a Thousand Hills,” Rwanda’s commitment to cleanliness and safety has made it a popular destination for eco-tourism and investment.

7. Somalia – $12.8 billion

Somalia’s economy, with a GDP of about $12.8 billion, is primarily driven by agriculture, livestock, and remittances from the diaspora. The nation is gradually recovering from years of instability, with improvements in security leading to increased trade and investment. The port city of Mogadishu is pivotal for trade, enhancing Somalia’s economic potential.

8. Malawi – $11.24 billion

Malawi, with a GDP of $11.24 billion, holds the tenth position among the largest economies in East Africa. Agriculture constitutes a significant portion of Malawi’s economy, and the country has made substantial investments in the sector. Additionally, the services industry also contributes to its economic growth. Despite facing challenges related to food insecurity and natural disasters, Malawi’s economy has shown resilience and potential for further growth.

9. South Sudan – $6.52 billion

South Sudan, with a GDP of approximately 6.52 billion USD, is the world’s youngest nation, having gained independence in 2011. The economy is heavily reliant on oil production, which accounts for the majority of government revenue and exports. Despite its vast natural resources, South Sudan faces significant challenges, including political instability and conflict, which have hindered economic growth and development.

10. Djibouti – $4.36 billion

Djibouti, with a GDP of approximately 4.36 billion USD, serves as a strategic maritime hub in the Horn of Africa. The country benefits from its strategic location at the Bab el-Mandeb Strait, facilitating global shipping routes. Djibouti’s economy is bolstered by logistics, port services, and foreign investments, making it an essential player in regional trade.

Top 10 Largest Economies in East Africa, 2025

Source: World Bank World Bank National Accounts Database.

Last Updated: January 2025.