Ethiopia’s Council of Ministers on Friday approved the establishment of the Mademer Artificial Intelligence University, endorsed three major external loan agreements, and adopted a new national tourism policy during its 53rd regular meeting.
In a statement issued after the meeting held at the Office of the Prime Minister, the Council said it had unanimously approved a draft regulation establishing the Mademer Artificial Intelligence University as an autonomous institution under Proclamation No. 1294/2015.
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The university is expected to train young professionals in artificial intelligence and related fields and produce scholars deemed vital for the country’s long-term development. The regulation will take effect upon publication in the Federal Gazette.
The Council also approved a draft regulation outlining circumstances under which investors would be required to pay compensation. Officials said the measure is intended to create a more predictable investment environment and encourage large-scale projects in priority economic sectors that support Ethiopia’s growth agenda. The regulation will also take effect upon publication in the Federal Gazette.
In addition, the Cabinet endorsed three financial support agreements and agreed to forward them to the House of People’s Representatives for ratification, confirming they align with the country’s debt management policy.
The agreements include a $60.2 million loan from the Export-Import Bank of Korea to finance the National Power Expansion Project. The loan carries no interest, a 0.1% service fee, and is repayable over 40 years, including a five-year grace period.
A second loan of 80 million euros from the French Development Agency will support a Renewable, Integrated, Sustainable Energy and Digitalization Project. The loan carries a 1.2% interest rate, a 0.5% service fee, and a 20-year repayment period with a seven-year grace period.
The third agreement involves a concessional loan of 84.1 million Special Drawing Rights from the International Development Association to finance urban development and entrepreneurship initiatives. The loan is repayable over 30 years, including a six-year grace period, with a service charge applied to the outstanding balance.
The Council also approved a draft law revising the warehouse receipt system. Although Proclamation No. 372/1996 had introduced the framework, officials said implementation gaps and the absence of detailed regulations necessitated a new law to strengthen oversight and clarify operational procedures. The draft will take effect upon publication in the Federal Gazette with additional revisions incorporated.
Two draft agreements granting licenses for gold mining and iron ore production were also endorsed. The government said the projects are expected to boost foreign exchange earnings, create jobs and support environmental and community benefit commitments.
Finally, the Council unanimously approved a new tourism development policy, replacing the framework that had been in place since 2001. Officials said the revised policy addresses structural gaps, emerging sectoral changes and untapped potential, aligning the industry with the broader domestic economic reform agenda.
The tourism policy will enter into force upon approval.
