The International Development Association (IDA), the World Bank's lending wing that provides lower interest rates, and Ethiopia have signed a 250-million-dollar loan and grant agreement. The agreement was signed over a video call between the Minister of Finance, Ahmed Shide, and Carolyn Turk, the World Bank country director for Ethiopia, Eritrea, Sudan and South Sudan, who is based in Addis Abeba. The funding will be used for combating the Novel Coronavirus (COVID-19) and helping the country accomplish its Second Growth & Competitiveness Programmatic Development Schedule. Half of the loan is a grant, while the remaining is a loan. The agreement is set to encourage private sector participation and promote good governance. It is further expected to support the change and transition the country is currently undergoing, according to a statement from the World Bank. The World Bank plans to deploy up to 160 billion dollars over the course of over a year to help more than 100 countries. This is aimed at protecting the poor and vulnerable, supporting businesses and bolstering economic recoveries.
