Ethiopia House of Peoples’ Representatives (HoPR), the lower chamber of parliament, approved $1.5bn in financial agreements with the World Bank’s International Development Association (IDA) on Wednesday. These agreements are set to bolster the country’s economic reform efforts.
The financial package includes a $1bn grant and a $500 million concessional loan, designed to support Ethiopia’s broad reforms aimed at stabilising the economy, generating jobs, curbing inflation, and addressing foreign exchange shortages.
Government whip Tesfaye Beljige highlighted that the concessional loan is interest-free, comes with a six-year grace period, and has a repayment term of 38 years, aligning with Ethiopia’s loan strategy.
The agreements were signed on Tuesday by Ethiopian officials and World Bank representatives, marking a significant step towards economic stabilisation and growth.
