IMF Calls for Formation of Creditor Committee

Jul 11 , 2021


The International Monetary Fund (IMF) has called for the swift formation of a creditors committee that will be in charge of reviewing Ethiopia's credit restructuring request, according to a statement issued last week by Gerry Rice, spokesperson for the fund. “The IMF strongly encourages the swift formation of the creditor committee for Ethiopia to enable the timely delivery of the debt operation that Ethiopia is requesting," reads the statement In November 2020, G20 nations made the decision to form a common framework for restructuring government debts to help ease the burdens of developing economies that have been hampered by the COVID-19 pandemic and are at high risk of default. Although Ethiopia requested restructuring before the G20 over five months ago, a creditors committee has not yet been formed. Ethiopian government bonds are due for repayment by 2024.


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Parliament Nods for Cabinet Appointments

Federal legislators have approved five cabinet-level positions last week with a member of Parliament (MP) voted against and two abstentions were counted. Gedion Timotheos (PhD) leads the charge as the new minister of Foreign Affairs, filling in Taye Asqeselassie's shoes, where he stayed briefly before becoming the country's president. With law degrees from Addis Abeba and Central European universities, Gedion was previously Attorney General and Minister of Justice. Joining him in the redev...


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Abyssinia Group Eyes Expansion with IFC Funding

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Fitch Acknowledges Easing Financial Pressures, Enhanced Macroeconomic Stability

Fitch Ratings has upgraded Ethiopia's Long-Term Local-Currency Issuer Default Rating (LTLC IDR) to 'CCC+' from 'CCC-', citing easing financing pressures, improved macroeconomic stability, and increased confidence that local-currency obligations will not be part of the ongoing debt restructuring. This positive development comes as the government implements key reforms and secures renewed concessional external financing. The ratings agency has taken note of the introduction of a market-based ex...


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