World Bank Approves 1.2 bln USD to Ethiopia

Addis Ababa October 31/2018 World Bank has approved 1.2 billion USD in grants and loans to speed up Ethiopia’s rapid economic growth. According to a statement issued yesterday, 600 million USD loan and 600 million USD grant is approved to support reforms undergoing in the financial sector and to improve the investment sector. The grant and loan is in response to the technical and financial support to the economic and political reform pledged made by the government to the board of executive directors of the bank. According to Nataliya Mylenko, World Bank Task Team Leader for the project said the grant and loan will directly goes to the government programs and planned reforms. The reform focusing on three pillars: maximizing finance for development, improving the investment climate and developing the financial sector; and promoting transparency and accountability, she noted. She added that the grant and loan will promote public-private partnerships (PPPs) which will not only improve efficiency in key sectors such as telecom, energy and logistics, but also mobilize private financing which will enable Ethiopia to maximize the finance. The bank also said the finance will be used to in the key sectors to institutionalize restructuring, introduce high quality services, reduce inefficiencies and inappropriate costs and improve financial capacity. Accordingly these will help to attract more foreign direct investment and enhance export revenue.