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Eritreans are known for their hard work, dexterity, and resilience. These are noble traits that have contributed significantly to the attainment of their long cherished goal of national independence in 1991. However, Eritrean economy has had suffered an irreparable loss in all aspects particularly due to the liberation struggle and the border war. The people's economic construction efforts have been successful in generating small and medium-scale investments, and improving the quality of the country's infrastructure. The primary analysis of this book is to demonstrate the historic, socio-economic and political factors that contribute in the development of Eritrea. The book explores Eritrean economy and its challenges as well as prospects for development. It is with a great hope that this book imparts knowledge about the economic issues like, industrialization, privatization, agriculture and rural poverty, education and health, macroeconomic policy etc. It would be useful for the policy makers, researchers, faculty members and the students at the tertiary level.