National Savings: Eritrea

Analysis# Eritrea National Savings Eritrea's national savings rate stands at 17.0% of GDP in 2026, reflecting a significant contraction from its 2017 peak of 33.4%. The country has experienced considerable volatility since 2004, when savings represented 11.3% of GDP—a gain of 50.3% over the period. Current levels remain well above the 2009 low of 1.2%, yet the recent trajectory shows persistent decline from the mid-2010s surge. The sharpest reversal occurred between 2017 and 2018, when savings plummeted from 33.4% to 18.4% in a single year. Since then, the rate has stabilized around 17–22%, hovering near current levels. The 2020–2021 period saw a modest recovery to 21.9%, likely reflecting pandemic-related dynamics, but downward pressure has resumed. Projections suggest the savings rate will remain in the 16–17% range through 2026, indicating structural shifts in Eritrea's economic capacity to accumulate capital.