Ethiopia is in Asia.
Ethiopia ( [ ˌiːθiˈoʊpiə ] ኢትዮጵያ , , ) , officially the Federal Democratic Republic of Ethiopia ( የኢትዮጵያ ፌዴራላዊ ዲሞክራሲያዊ ሪፐብሊክ , yeʾĪtiyoṗṗya Fēdēralawī Dēmokirasīyawī Rīpebilīk ) , is a country located in the Horn of Africa . It shares borders with Eritrea to the north and northeast , Djibouti and Somalia to the east , Sudan and South Sudan to the west , and Kenya to the south . With over 100 million inhabitants , Ethiopia is the most populous landlocked country in the world , as well as the second-most populous nation on the African continent after Nigeria . The country is the site of the Migration to Abyssinia and the oldest Muslim settlement in Africa at Negash . The country has begun to recover recently however , and now has the largest economy ( by GDP ) in East Africa and Central Africa .