Two of the rooms in the compound. Mine is on the right
My shower this morning
Last Thursday I moved into my very own Addis home. I share it with 4 others: 2 are away on holiday, 2 dogs and a guard. It’s noting special, but it is nice to be able to unpack and cook for myself. I got a pretty good deal and will be paying less then $300 a month for the rent, a maid, dinner cooked for me every weeknight, and a security guard. I am happy with my find yet it still does not warrant $300 a month for two reasons: 1. While the water is fairly reliable (which is such a big deal!), the water pressure is hit or miss when it comes to the shower. Today was my first bucket shower in Ethiopia. 2. The more important issue is that my rent costs so much. As I said before I feel like I got a great deal but we should all keep in mind that the average person in Addis Ababa makes from $50-$100 a month. My rent is $300 and that is a great deal.
Finally unpacked
I am living in Bole, which is an expat haven, something that certainly affects the high price. Yet, the main culprit for the high living costs is inflation. Ethiopia has got it bad. A friend from Addis and I were talking the other night about inflation and he said that 6 years ago, you could buy 3 eggs for 1 Ethiopian Birr. Now, he said, you can buy 1 egg for 3 Ethiopian Birr. He told a story about how his cousin, who now lives in the US, used to love coming back to Addis. She thought it was heaven because with the money she made in the US she could buy so much here. Now she can get less for $100 then she use to. High inflation of course has greatly affected this country which was recently called the 2nd poorest country in the world by an Oxford University report. (Here OXFAM explains Oxford’s Index http://oxfamblogs.org/fp2p/measuring-what-matters-the-latest-multidimensional-poverty-index-is-launched-today/)
View of the garden from my room
I would be wrong to blame all of the housing issues on the inflation, there are many reasons rental rates are so high, here are a few, yet they seem to all come back to inflation and good old supply and demand. Addis is the international hub for International NGOs working in Africa. The UN, African Union and countless embassies call Addis home. These organizations offer exuberant housing allowances for their employees. Most of these people are making dollars in a country where US currency goes along way (although not as far as it use to). All that, and needing to find a quick, easy, nice place makes people pay more in the ballpark of $2,000- $4,000 for a place that is definitely not worth that in Birr. Landlords know there is a constant stream of these employees who will pay these prices, so they keep their rents high, which then drives up the prices for the lower-range places like mine. A second reason is the boom in population Addis has experienced in recent years. Addis Ababa was founded as the capital in 1889-1891 and has only recently seen so many inhabitants. It just does not have the infrastructure to house so many people. Talking to people out and about you get a sense of how quickly the city is growing. I have asked many residents how many people live here and I have gotten anywhere from 2 million- 10 million people. A Google search will give you no current numbers, which may be why there is such confusion. Development is moving faster then the city is ready for and it is interesting to see.
A slum use to house thousands here. A well known hotel and empty field now take its place
A third reason for the highly inflated rents is because the government has been demolishing the slums. The administration is to provide government housing for displaced people, but in the mean time those who can afford other housing are desperate for shelter and will pay high prices while they wait. Rent prices keep increasing for many reasons. The rent prices are rising but the income of Addis residents in not necessarily doing the same. All of this is equals out to a tough housing situation here in Addis.
My house comes with these friends!
The last 2 ½ weeks have been very stressful without housing. As I walk along the roads of Addis I see all the men, women, boys, girls and elderly sleeping in the street or under a propped up tarp, I think about how much stress they must be under and how small my complaints are. I am no longer homeless in Addis Ababa, but many many many still are.
