The IMF Reviews Ethiopia’s Debt Overhaul Measures – Africa.com
The lender’s executive committee has approved a second review of Ethiopia’s $3.4 billion financing package, leading to the disbursement of $250 million. The four-year plan, to be launched in July 2023, follows Ethiopia’s sweeping reforms, including floating the birr currency to address debt restructuring. The IMF commends progress in restoring debt sustainability and advancing negotiations on debt treatment under the Common Framework. The Ethiopian economy performed better than expected, inflationary pressures were lower than expected, and foreign exchange reserves grew faster than expected. Following the expedited review, the IMF will now adopt a standard six-month review cycle. However, some critics, including World Bank staff, have questioned the IMF’s debt assessment.
source: Reuters
