Ethiopia, EU Sign Financing Deals Worth $188mln

ADDIS ABEBA – European Union and Ethiopia signed on Saturday four financing agreements worth a total of €170 million or approximately 188 million US dollars.

Prime minister Abiy Ahmed and the newly approved president of the European Commission, Ursula von der Leyen, presided over the signing of the agreements between Ethiopia and the commission on Saturday.

Minister of Finance Ahmed Shide and European Commissioner for Int’l Partnerships Jutta Urpilainen “signed the agreements in support of political and economic reforms”, the PM office said.

Of the total financing, €100 million is a direct budgetary support while €50 million will go to support the health sector.

The €10 million support accountability and transparency during the 2020 elections while the remaining €10 million will finance efforts to improve the business climate in the country.

The agreements were signed in Ethiopia where Ursula made her first visit outside the EU as president of the Commission this week. 

The president congratulated prime minister Abiy for winning this year’s Nobel Peace Prize.

“You’ve shown to the continent and to the world that any conflict can be brought to an end. Peace with Eritrea has been a game-changer for the entire Horn and for Africa,” she added.

Ursula also affirmed that strengthened cooperation between the Commission and Ethiopia will continue.

The EU’s development cooperation with Ethiopia is one of the largest in Africa and in the world – amounting to €815 million for the period 2014-2020.