International Monetary Fund (IMF) Managing Director Kristalina Georgieva paid a working visit to Ethiopia, where she met with Prime Minister Abiy Ahmed (PhD) and senior federal officials. She also issued a joint statement with Finance Minister Ahmed Shide, addressing the country’s economic challenges and reform efforts.
During her remarks, Georgieva acknowledged the difficulty and time-consuming nature of Ethiopia’s economic reforms but urged patience and public support. “The reforms that Ethiopia has adopted are challenging and take time, but they will deliver significant results,” she said. Emphasizing the importance of national unity, she added, “Unity is essential to achieving the goals of these reforms.”
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She also highlighted the complexities of tackling inflation, noting that lowering inflation requires “strong monetary and fiscal policies, expanding the productive capacity of the economy, increasing exports and foreign exchange earnings, and empowering the private sector.”
On Ethiopia’s ongoing debt restructuring negotiations under the G20 Common Framework, Georgieva stated that the process is in its final stages and remains a priority in her discussions with Ethiopia’s creditors.
Regarding tax reforms under the IMF-supported program, she noted that Ethiopian authorities have identified substantial tax opportunities to strengthen the national budget.
Additionally, she pointed out that Ethiopia’s GDP growth had exceeded the IMF’s initial projections, according to ZeriReporter.
However, following her speech, some public reactions questioned whether her statements aligned with the economic reality on the ground.
Source: Tikvah Ethiopia
