The European Commission (EU) over the weekend provided €170 million financial assistance to Ethiopia.The latest assistance was announced by the visiting first female President of the European Commission Ursula Von Der Leyden after discussion with Ethiopian Prime Minister Abiy Ahmed in Addis Ababa on Saturday.
Ahmed Shide, Ethiopia’s Minister of Finance and the European Commissioner for International Partnerships Jutta Urpilainen signed the financing agreements in support of political and economic reforms.
Out of the total assistance, €100 million will be used to support Ethiopia’s transport and logistics sectors; boost regional competitiveness and facilitate its trade and economic integration with neighbouring countries.
€50 million of the fund will be allocated to support the government’s Health Transformation Plan for three additional years (2020-2022).
This programme aims to reduce inequalities, improve the quality of health facilities and reduce the financial barriers people face to access essential services.
Another €10 million will be used to ensure accountability and transparency during the 2020 elections in Ethiopia.
This programme specifically aims at strengthening the technical and administrative capacity of the National Electoral Board of Ethiopia, as well as its engagement with political parties, civil society and media.
Germany will also add €10 million to the programme, bringing the overall support for it to €20 million.
The other €10 million will be spent to improve the business climate in the country.
As part of the Africa-Europe Alliance for sustainable investment and jobs, the EU is promoting private investment and supporting trade creation, economic integration and value chain development in partner countries, including Ethiopia.
EU development cooperation portfolio in Ethiopia is one of the largest in Africa and in the world (€715 million for the period 2014-2020); and the country is also one of the major beneficiaries of the EU Emergency Trust Fund for Africa (€257.5 million for 2015-2018).
The EU is also providing humanitarian assistance to refugees and internally displaced people in the country.
EU humanitarian assistance to the country amounted to €381 million for the period 2014-2018.