Tech Ministry Falters as Audits Expose Mismanagement, Unmet Ambitions


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 and persistent project delays were discovered as major factors behind the poor performance, prompting Parliamentary committee chairs to demand explanations from senior Ministry officials. The audit's detailed review of financial practices painted an alarming picture. Among the irregularities were unauthorised contracts amounting to 8.4 million dollars and discrepancies of 1.6 million Br in payroll records. These financial missteps have drawn attention from policymakers and experts, heightening accountability concerns. Further complicating matters was the diversion of 50.2 million Br originally intended for a local project to an international company. The shift not only raised red flags about financial oversight but also brought into question the transparency of international transactions handled by the Ministry. Minister Belete Molla defended the transaction, insisting that all actions adhered strictly to established financial protocols, though scepticism persisted on the federal legislative floors. The audit findings have broader economic implications as Ethiopia strives toward innovation-led development. Federal legislators demanded that the Ministry submit a detailed remedial action plan within 15 days, pressing the urgency of improving management and accountability.

[ssba-buttons]

Radar

Construction Sector Faces 'Serious Trouble,' Minister Warns

The construction industry in Ethiopia is in "serious trouble," said Chaltu Sani, Minister of Urban & Infrastructure Development, citing major challenges with finance, competitiveness and material costs. Speaking at the opening of the BIG 5 Construct Ethiopia expo and the inaugural East African Infrastructure & Water Expo at Millennium Hall last week, Chaltu stressed the need for concerted efforts from government, private sector, and international partners to support the 67 billion dol...


Radar

Wegagen Bank, Gift Real Estate Partner to Promote Diaspora Homeownership

Wegagen Bank S.C. and Gift Real Estate Plc. signed a Memorandum of Understanding (MoU) on June 23, to offer housing loans for homebuyers, with a special focus on the Ethiopian diaspora. The agreement enables eligible diaspora members to access loans covering up to 80pc of a home's value at reasonable interest rates. The bank's Deputy CEO Kidane Gebreselassie noted the deal will promote the real estate sector and expand homeownership options. Founder and CEO of Gift Real Estate, Gebreyesus Igata...


Radar

Jimma University Signs Sports Science Agreement to Strengthen National Programmes

Jimma University has signed a four-party Memorandum of Understanding (MoU) with the Ethiopian Academy of Sciences, Derartu Tulu Sports Training & Research Institute, and the Oromia Youth & Sport Bureau to advance Ethiopia's sports science and training capacity. Signed on June 26, the agreement includes joint research, shared facilities, and hosting of national and international competitions. It is expected to strengthen youth development, public health, and national pride through coor...