MPs ratify Four Loan Agreements, Road Charters

ADDIS ABABA – Members Ethiopian Parliament on Wednesday ratified four loan agreements signed between Ethiopia and the World Bank’s International Development Association (IDA) in 2021.

The loan deals worth 1.13 billion US dollars were a subject of Council of ministers discussion which eventually approved and passed them to lawmakers for their ratification.

Members of Parliament, during their fifth special session for the year, deliberated on the draft agreements and ratified them unanimously

The newly acquired loans will finance Ethiopia’s efforts to achieve universal electricity access by 2025, create inclusive digital economy, strengthen its basic services delivery, and avail financial access to Small and Medium Micro Enterprises.

The agreements ratified are part of the government’s new loan strategy that has stipulated a borrowing scheme by shifting from commercial to concessional loans as well as using long-term loans to support projects, according to officials.

Meanwhile, the lawmakers also discussed two road charter draft proclamations – Africa Road Safety Charter and UN Road Traffic Convention – before ratifying them in full agreement.

Officials see the the Charter and the convention as key to set standards and guidelines in stipulating road safety provisions in the country.

Prior to their approval, minister of transport Dagmawit Moges said their ratification would “enhance the road safety standards of our country thereby mitigating the damages ensuing from road traffic accidents in Ethiopia”.

Finally, the House ratified the amended proclamation to revise the powers and functions of the House of Federation.