Ethiopia Approves Close to 2-trillion Birr Budget for Upcoming 2018 Ethiopian FY

Addis Ababa, July 3, 2025 (ENA) -- Ethiopia’s House of People’s Representatives has unanimously approved 1.93 trillion Birr budget for the upcoming 2018 Ethiopian Fiscal Year.

The budget has been approved at the 42nd regular session of the House of People’s Representatives held today in the presence of Prime Minister Abiy Ahmed, where he responded to questions regarding the performance of the 2017 Ethiopian fiscal year.

Out of the overall budget, 1.2 trillion Birr is allocated for recurrent expenditure, 415 billion Birr for capital expenditure, 315 billion Birr for subsidies to regional states, and 14 billion Birr for regional support to achieve the Sustainable Development Goals.

A total of 1.5 trillion Birr is projected to be collected in the 2018 fiscal year as revenue. Of this amount, 1.1 trillion Birr, which constitutes 73 percent, is expected to be sourced from tax revenue, 236 billion Birr from development partners, with the remainder coming from project support and other revenue sources.

The budget that aims to achieve the national goals, namely protecting national security, boosting production and productivity, and providing assistance for citizens displaced by natural and man-made disasters.

It is prepared based on the 2018-2022 EFY mid-term macroeconomic and fiscal framework and the program budget permanence evaluation of 2017 EFY, it was learned.

The federal government has held detailed discussions over the past month with stakeholders and citizens on the draft budget for the 2018 fiscal year.