Ministry Projects 8.5pc Growth in GDP Next Year

Jun 14 , 2020


[ssba-buttons]

The Ministry of Finance has projected that Ethiopia's economy will grow by 8.5pc in the next fiscal year. Ahmed Shide, the minister of Finance, explained to the members of parliament that the growth is expected despite the impact of the Novel Coronavirus (COVID-19) pandemic. During the session, he tabled the budget bill to the parliament and also explained that the government expects the inflation rate in the coming fiscal year to be 9.8pc. This is despite the 19.8pc inflationary pressure that was registered in May. "With the planned fiscal and monetary policies as well as major actions to be taken to boost productivity," said Ahmed, "we expected the inflation rate to go down in the coming fiscal year." The administration also expects the value of imported goods to grow by 4.5pc. For the current fiscal year, the government planned on GDP growing by nine percent; however, due to the virus the government is expecting the growth rate to fall by two to three percentage points from what was expected.


Radar

Ethiopia, IFAD Sign 69.2m Dollar Deal to Promote Lowland Resilience

The Ethiopian Government and the International Fund for Agricultural Development (IFAD) have signed a 69.2 million dollar grant agreement to implement Phase II of the Lowland Livelihoods Resilience Project (LLRP II). The grant agreement was signed by Finance Minister Ahmed Shide and IFAD President Alvaro Lario. The project targets climate resilience and improved livelihoods for three million people in pastoral and agro-pastoral communities. Co-financed by the World Bank, LLRP II covers eight reg...


Radar

NBE Expands Diaspora Warning Over Unlicensed Remittance Firms

The National Bank of Ethiopia (NBE) has issued an expanded public warning targeting unlicensed remittance operators abroad, flagging four U.S.-based companies it says are undermining Ethiopia's financial regulations. The warning includes newly disclosed findings and specific cases that underscore growing concerns about illicit cross-border financial activity. Remittance flows remain a vital lifeline for Ethiopia's economy, supporting households and supplying critical foreign currency. But as...


Radar

Stricter Standards Unveiled for Public Auditors, Accounting Firms

The Accounting & Auditing Board of Ethiopia (AABE) has issued a new directive aimed at strengthening oversight and professional standards in the accounting and auditing sector. Grounded in the Financial Reporting Proclamation, the directive addresses long-standing regulatory gaps while preparing the sector for the country's emerging capital market. Key provisions introduce stricter licensing standards for public auditors, professionals permitted to audit public interest entities. Applican...