ADDIS ABABE – Ethiopia and the United Kingdom have signed on Tuesday two grant agreements amounting to 105 Million Pound Sterling that will support various development programs in four regions.
Finance Minister of Ethiopia, Ahmed Shide and UK’s Minister for Africa, James Duddridge, signed the two grant deals in Addis Ababa on Tuesday.
According to the Ministry of Finance, the first grant agreement, amounting to £60mln, will be used for the implementation of phase two of land investment for the transformation program.
The program aims to bring transformative, systematic, and sustainable change in land certification and marketing systems in Amhara, Oromia, Tigray, and Southern Nations, Nationalities, and Peoples (SNNP) regional states.
The main outputs of the program are to grant 7 million land parcels, out of a total of 36 million uncertified, second-level land certification, and computerizing 103 woredas land administration systems where second-level certification has taken place.
“The ultimate objective and impact of the program is sustainable and inclusive growth derived from effective land governance and markets,” the Ministry of Finance said.
Specifically, this will be improved income for 1.2 million smallholder farms, particularly women and vulnerable groups, by at least 15%, it added.
The second grant, amounting to £45 million, will be channeled to Ethiopia’s economic transformation program, which is designed in line with out-ward oriented, manufacturing led sustainable and inclusive growth program of Ethiopia.
With the program, the government aims to support its vision of export-led manufacturing growth through foreign and domestic investments. The program will be implemented in Industrial Parks (IPs) built in Oromiya, Amhara, Tigray and SNNP regional states, according to the Ministry.