FORTUNE+ VIDEO SPONSORED CONTENTS ADVERTORIALS FORTUNE AUDIO Fortune Careers New TRADE AFRICA New

Fortune Logo

Ethiopia Secures $1.5b in World Bank Aid to Propel Economic Reforms

Jul 30 , 2024

The World Bank's board of executive directors has given the green light to a financial aid package for Ethiopia, to power the country’s economic reforms and accelerate its economy. The support, combining a one billion dollars grant and half a billion concessional credit, all under the sustainable and inclusive growth development policy operation.

These grant and credit come a few days after Prime Minister Abiy Ahmed’s (PhD) administration floated the Birr, and the International Monetary Fund (IMF) announced a credit facility of over three billion dollars. According to the World Bank statement today, the initiative is set to boost macroeconomic stability, ignite trade opportunities, and beef up social safety nets for vulnerable households during these transformative economic times.

"Successfully launching these reforms could unlock Ethiopia's full potential and create a path for more Ethiopians to thrive," said Maryam Salim, World Bank Country Director for Eritrea, Ethiopia, South Sudan, and Sudan.

She stated the importance of protecting impoverished communities from the costs of economic adjustments and enhancing their opportunities to participate in the economy.

World Bank targets several key areas, including financial security, fiscal transparency, and effective public spending. It seeks to improve the performance of state-owned enterprises and strengthen social welfare systems, all while laying the groundwork for a more “sustainable and inclusive growth model that tackles the root causes of Ethiopia's economic challenges.”

The World Bank disclosed it invests heavily in crucial sectors like health, education, social protection, and energy, with the International Development Association (IDA) committing to Ethiopia a 15.5 billion dollars, with nearly seven billion dollars “ready for immediate distribution.”

Over the next three fiscal years, the IDA is expected to roll out new commitments around six billion dollars, while the International Finance Corporation (IFC) anticipates about 2.1 billion dollars in investments.

Put your comments here

N.B: A submit button will appear once you fill out all the required fields.



Related Posts

Share This Post
Linkedin
Google+


Most read

Latest News

Editor's pick

Commentaries

How to Put Development Finance Back on Track

lobal growth this year is expected to slow to its lowest rate (outside of a crisis) s...

A New Vision for Development Cooperation

he global system of financing for development, including that of development cooperat...

Fineline

Leaders of the National . . .

Leaders of the National Election Board are in a charm offensive mood, of a sort. Last week, they organised a rare tour for members of the me...

When the country’s most. . .

When the country's most senior diplomats and envoys return back to their posts after two-week debriefings, they leave behind a point or two...

Editorial

Civil Society Feels the Squeeze as Reform Era Unravels

Jul 5 , 2025

Six years ago, Ethiopia was the darling of international liberal commentators. A year...

Soaring Taxes Fail to Plug Holes as Audit Reveals Enduring Waste

Jun 28 , 2025

Meseret Damtie, the assertive auditor general, has never been shy about naming names...

Expanding Federal Budget Tests Limits of Fiscal Discipline

Jun 21 , 2025

A well-worn adage says, “Budget is not destiny, but it is direction.” Examining t...

Desire to March to the Sea Should Spill Reason on the Way

Jun 14 , 2025

Yet again, the Horn of Africa is bracing for trouble. A region already frayed by wars...

Gallery

Parliament Approves New Cabinet Members

Oct 6 , 2021

Parliament Approves New Cabinet, Incorporates Opposition Leaders Lawmakers have approved today the nominations of 22 ministers, including three opposition leaders. Two MPs have voted against, while 12 abstained...

2020 in Posterity

Jan 5 , 2021

TIGRAY VOTES DESPITE "NULL & VOID" THREAT

Sep 9 , 2020

IN-PICTURE: LAUREATE'S RECEPTION  

Dec 14 , 2019

PM Abiy Ahmed (PhD) at a Gala Dinner Called for the Awarding of the Félix Houphouët-Boigny Peace Prize

May 6 , 2019

Faces, Voices of Addis Abeba

Apr 26 , 2019

Sunday With Eden

Rise Without Ruin

At times, the pursuit of opportunity quietly takes on a ruthless tone. Success begins to feel like a zero-sum game, where someone must lose...

Real Respect Shows Up First

A couple of weeks ago, I found myself at a social gathering where strangers and old acquaintances mix in a haze of small talk and light laug...

Life Matters

The Nuances of Baby Carrying

Each morning, just beyond the compound gates, a familiar image greets the day: a mother walking briskly with her baby snug in a front carrie...

The Quiet Roar Beneath the Calm

There is often a sense of awe when encountering someone who appears to have everything under control. Impeccably dressed, composed, and seem...