Ethiopia's location is in Africa.
Addis Ababa ( አዲስ አበባ [ adˈdis ˈabəba ] , `` new flower '' ; Finfinne , [ - orofɪnˈfɪ́n.nɛ́ ] `` Natural Spring ( s ) '' ) or Addis Abeba ( the spelling used by the official Ethiopian Mapping Authority ) , is the capital and largest city of Ethiopia . Djibouti ( [ dʒɪˈbuːti ] ; جيبوتي , Djibouti , Jabuuti , Gabuuti ) , officially the Republic of Djibouti , is a country located in the Horn of Africa . Ethiopia . The country has begun to recover recently however , and now has the largest economy ( by GDP ) in East Africa and Central Africa . The Horn of Africa ( Geeska Afrika , Gaaffaa Afriikaa , የአፍሪካ ቀንድ yäafrika qänd , القرن الأفريقي al-qarn al - ` afrīqī , ቀርኒ ኣፍሪቃ ) ( shortened to HOA ) is a peninsula in Northeast Africa .