Ethiopia, Italy Cement Strategic Partnership with Landmark Debt Restructuring Deal

Addis Ababa, March 18, 2026 (ENA) —Ethiopia and Italy have taken a major step in deepening their strategic partnership, signing a landmark bilateral debt restructuring agreement that supports Ethiopia’s economic reform agenda and recovery efforts.

The agreement was formalized by Ethiopia’s Finance Minister, Ahmed Shide and Giancarlo Giorgetti, Minister of Economy and Finance of the Italian under the framework of the Official Creditor Committee (OCC) as part of the G20 Common Framework for debt treatment.

The deal marks a significant milestone in Ethiopia’s ongoing efforts to stabilize its economy and restore debt sustainability amid a broader macroeconomic reform program.

Speaking at the signing ceremony, Minister Ahmed Shide praised Italy’s “constructive engagement and leadership,” noting its pivotal role in securing the Memorandum of Understanding reached in July 2025 and in bringing the bilateral agreement to fruition.

On his part, Italian Minister of Economy and Finance Giorgetti underscored that the agreement aligns with Ethiopia’s reform priorities while advancing Italy’s Mattei Plan for Africa, in which Ethiopia is identified as a key partner.

The agreement is expected to strengthen investor confidence, unlock further international support, and accelerate Ethiopia’s path toward sustainable economic growth.