Ethiopia Receives $70 Million World Bank Loan to Improve Governance


Ethiopia Receives $70 Million World Bank Loan to Improve Governance

The Ethiopian government has secured a 70-million-dollar concessional loan from the World Bank to support its efforts to modernize public administration and improve financial management. The loan will be used to implement the Governance Modernization to Enable Efficient Service Delivery Project, which aims to enhance the government's capacity to mobilize and manage its financial and human resources. The project will focus on three key areas: strengthening public administration through data-driven HR practices and competency-based recruitment, improving domestic revenue mobilization through enhanced taxpayer services and technology, and advancing public financial management by scaling up digital solutions and addressing process deficiencies. The agreement was signed virtually by Ethiopian Finance Minister Ahmed Shide and Maryam Salim, the World Bank's new Country Director for Ethiopia. The agreement comes on the heels of an IMF delegation’s recent visit to Addis Abeba which praised the Ethiopian authorities for their efforts and recommended the disbursement of a separate 345 million dollars in financing, upon the Executive Board’s approval.


Radar

Tech Ministry Falters as Audits Expose Mismanagement, Unmet Ambitions

The Ministry of Innovation & Technology is under scrutiny after an audit revealed lapses in project management and financial oversight. This raised questions about governance standards within a Ministry central to the country's tech-driven growth ambitions. According to the Federal Auditor General, the Ministry has completed only 11pc of its planned projects with its overall financial administration standing at 37.4pc for a year-long project that commenced in 2022. Budget mismanagement an...


Radar

Central Bank Keeps Lending Lid Tight as Inflation Squeezes Economy

The Central Bank has reaffirmed its decision to maintain an 18pc cap on credit growth, reinforcing a commitment to tighter monetary policy during persistent inflation and economic uncertainty. The National Bank of Ethiopia's (NBE) monetary policy committee cited ongoing concerns over inflation, which stood at 19.9pc year-on-year (YoY), and liquidity imbalances as reasons to uphold the restriction on lending. Bankers and analysts interpret this move as evidence of regulators' determination to...


Radar

Ethio Telecom Expands Services with DStv Streaming

Ethio telecom enters the entertainment pool with bundled DStv streaming services through high-speed broadband internet and mobile data packages. The partnership with MultiChoice Ethiopia aspires to merge the telecom's fiber broadband and mobile network with DStv's content. Subscribers can access DStv channels through mobile data or fiber broadband bundles, with discounts of up to 35pc through Telebirr or My Ethiotel (*999#) and up to 26.5pc at sales centers for fiber broadband bundles. Acc...