USAID Partially Resumes Food Assistance

Oct 7 , 2023


[ssba-buttons]

USAID resumes food aid strictly for refugees in Ethiopia after more than four months of suspension due to alleged food diversions by officials. Meanwhile, a plan to mitigate the risk of diversions around the world by appointing a new agency coordinator to work for strengthened oversight reforms was ushered in by USAID, according to a statement released last week. The reforms are put in place to strengthen program monitoring and oversight, reinforce commodity tracking, and improve beneficiary registration processes in the food assistance structure. The federal government has relinquished responsibility for the dispatch, warehousing, and distribution of refugee food aid to USAID partners where about 20 million people are in need of food assistance. The majority are recovering from the devastation of the two-year civil war, compounded by drought and mounting economic challenges.


Radar

Dangote, EIH Break Ground on Mega Fertilizer Plant in Somali Region

Ethiopian Investment Holdings (EIH), the state's sovereign investment arm, has struck a deal with Dangote Group to build one of the world's largest urea fertiliser complexes in Gode, Somali Regional State. The 2.5 billion dollars project will see EIH hold a 40pc stake while Dangote keeps 60pc. With agriculture employing over 70pc of Ethiopians, the government hopes the factory will cut fertiliser costs, create jobs, and boost crop yields while positioning the country as a regional hub. Design...


Radar

CBE Capital Joins Nib Bank for Market Expansion

Nib International Bank has partnered with CBE Capital, the investment arm of the Commercial Bank of Ethiopia (CBE), to expand investment banking services and shore up its finances. The deal covers advisory services, seeking to strengthen Nib's balance sheet, attracting capital, and positioning the bank in a modernising financial sector. The partnership follows a difficult year for Nib, where net profit dropped 36pc to 957.9 million Br and deposits shrank, despite paid-up capital climbing to ...


Radar

Credit Cap Nears Lift-Off

The National Bank of Ethiopia (NBE) is preparing to lift its long-standing credit cap by September, unlocking 1.3 trillion Br in bank lending. The move, flagged by board member and State Minister of Finance Eyob Tekalegn (PhD), follows years of complaints from businesses that borrowing limits choked large-scale projects. Eyob told a local radio station the reform reflects rising investor appetite and improved economic conditions, though he admitted "financing has been the biggest bottleneck for...