US Pledges $230m for Multisector Development Projects

Ethiopia has received a 230-million-dollar grant from the United States through a partnership agreement for the development of agriculture, education, economic growth and good governance.

Donated through the United States Agency for International Development (USAID), the grant agreement was signed on May 8, 2020, between Admasu Nebebe, state minister for Finance, and Sean Jones, USAID mission director. The grant came a week after the United States donated 37 million dollars to help Ethiopia's effort to contain the potential spread of the Novel Coronavirus (COVID-19).

The financing aims at expanding Ethiopia’s capacity through programmes aimed at health, nutrition, education, agriculture, food security, democracy, governance and community resilience issues. USAID's help also aims at helping Ethiopia achieve its goal to become a middle-income country, according to a statement from the United States Embassy in Addis Abeba.

“The agreement is more than just money," said Jones. "This is about building upon the strong people-to-people partnership the two countries have shared for decades."

The development partnership agreement, which is signed yearly to support Ethiopia’s journey toward self-reliance, is provided as grants through local and international non-governmental organisations operating in Ethiopia, according to John T. Ice, spokesperson for the United States Embassy in Addis Abeba.

The development partnership between the two countries dates back to the 1950s before USAID was established in 1961. The partnership ranges from food and humanitarian assistance efforts to more forward-leaning investments.

In the past two decades, the United States' long-term investment in Ethiopia has amounted to more than 13 billion dollars in total assistance, with over four billion dollars in the last five years alone.

“The funding will be used to support Ethiopia’s transition to a more democratic, prosperous and resilient society with accountable institutions and private-sector-led growth,” said John.