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House endorses federal subsidy, budget allocation motion

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Addis Ababa, October 10, 2018 (FBC) – The House of Federation (HoF) yesterday endorsed federal subsidy and budget allocation for states for the year 2018/19.

After taking much deliberation, the House passed the motion put forward by the Federal Subsidy and Budget Allocation Affairs Standing Committee with two abstain, according to EPA.

On the occasion, Hailu Iffa Chairperson of the Committee said the Standing Committee had achieved admirable results in terms of infusing the budget allocation with detailed legal framework, and solving the problems that arise in relation to formula designed to allot revenues to the regions.

“Despite the good works done by the Committee, especially when we take into account the Committee’s lack of manpower and the work’s complexities,” he said, “there is still huge room for improvement, especially by building the capacity of the standing committee.”

Keria Ibrahim, Speaker of the Ethiopian House of Federation (HoF), for her part said that works need to be done in terms of having a clear and transparent formula that disburse a fair share of public infrastructures to regions.

She pointed out that satisfactory results has been gained in the past few years in making public infrastructure accessible to various corners of the country, but works remain to be done when it comes to making sure that the distribution is fair.

Adding on this, Keria said that fairness does not mean building dams in every region, as the infrastructures that are built should be reasonable. “All in all, I believe we will remedy this issue next time.”

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