In enterprise, science, economics, and even relationships, there’s an oft-quoted expression that shapes a lot of what we do: context issues.
Put merely, it signifies that the house (or time, or circumstances) during which one thing operates impacts how the factor works. An amazing thought for a 15-year-old won’t work for a 5-year-old. Finest practices from 20 years in the past is perhaps irrelevant immediately. And a program that thrives in Nicaragua is perhaps a complete flop in Nigeria.
Having the ability to consider and reply to a given context is crucial for the success of an initiative. It’s one factor to know one thing works—and it’s one other to know that it really works right here, now, for this viewers.
As a corporation that works in 30 nations all over the world—one that’s always creating new packages and reaching new communities—Alternative Worldwide is aware of the significance of context. And a terrific instance of responsive, context-aware innovation is our work in Ethiopia.
The Context of Ethiopia
Ethiopia is the second most populous nation in Africa, with over 120 milllion residents. And with its central location within the Horn of Africa, surrounded by nations like Eritrea, Sudan, and Somalia which have lengthy struggled to take care of stability, Ethiopia hosts one of many largest refugee populations on the planet—greater than 800,000 folks.
This large inhabitants can also be extremely younger. The median age in Ethiopia is just 19.5 years—and about 40% of the inhabitants is below the age of 15. One other 30% is between the ages of 15 and 29.
This huge youth inhabitants presents each a problem and a possibility.
With a lot potential to study, develop, and lead, these younger folks might remodel the way forward for Ethiopia. However, educating such massive numbers of youngsters could be extremely costly. How can a rustic develop its instructional infrastructure to satisfy the rising demand of a booming youth inhabitants? And the way do you retain these youngsters at school, studying, as faculties grow to be more and more crowded?
As UNICEF famous, “Ethiopia can elevate itself out of poverty by guaranteeing youngsters have entry to training. [But] though most youngsters enroll at school, many don’t full their training: 85% make it previous Grade 5 and 54% previous Grade 8. Sixty-three p.c of scholars in decrease major faculties should not reaching the essential studying outcomes.”
That is the context. And this context issues.
Stepping right into a New Atmosphere
Alternative Worldwide is aware of find out how to assist bolster faculties and training programs—we’re business leaders with a decade of expertise piloting and scaling Training Finance.
We all know Ethiopia is a wealthy marketplace for assets like College Enchancment Loans and providers like EduQuality. Bolstering the low-cost non-public faculty sector in a rustic struggling to satisfy the tutorial demand of a booming inhabitants of youngsters makes good sense.
However context nonetheless issues.
Given Alternative’s mannequin of investing in present low-cost non-public faculties, Ethiopia’s relative shortage of personal faculties presents a problem. As well as, The regional battle that has led to a whole bunch of 1000’s of refugees and over 4 million internally displaced individuals makes it laborious to implement new operations with out nice threat. Lastly, authorities laws have traditionally restricted liquidity in banking—making progressive instruments like Training Finance harder to implement.
Our first step, earlier than implementing a single program, was to hear. In 2018, we printed a market data report primarily based on in-depth analysis of instructional wants in Ethiopia. We discovered that 83% of faculties can be interested by taking a mortgage for varsity enchancment and 87% of fogeys would borrow to pay for varsity charges.
The demand was there.
Whereas the pandemic delayed growth plans, in 2022 we performed one other relationship-building go to that yielded six new potential companions within the nation. Our work is just attainable with robust, mission-aligned companions, and we are able to’t wait to see these come to fruition.

Increasing Applications in a New Context
Now, we’re prepared for progress. We now have recognized demand. We now have recognized companions. And now we have a mannequin that works.
Enlargement occurs rigorously—knowledgeable by context in order that we’re assembly actual wants. And when carried out effectively, it has the potential to remodel the longer term.
As USAID reported in 2017, “The data, expertise, and capabilities of [Ethiopia’s] future working-age inhabitants will decide the extent to which it will possibly understand its demographic dividend and the related financial progress all Ethiopians want.”
Training Finance is one in every of Alternative’s most profitable initiatives—and one which has the potential to scale all over the world. As we introduce this highly effective mannequin to new cultures and communities, we achieve this with care and intention. We depend on analysis and relationship-building. And we keep in mind that our final purpose of EduFinance is to provide extra youngsters entry to high-quality training—that the “what” is mounted, however the “how” is essentially versatile. As a result of context issues.