Encouraging results registered in controlling budget deficit, debt payment restructuring

Addis Ababa, November 23, 2023 (FBC) – The Government of Ethiopia has registered better achievements in controlling budget deficit and debt payment restructuring during the past three months of the Ethiopian fiscal year.

The Council of Ministers has been conducting a meeting to review the first quarter year performance in the presence of Prime Minister Abiy Ahmed (PhD).

Finance Minister Mr. Ahmed Shide stated that better achievements have also been registered in key macro-economic indicators.

According to him, Ethiopia has signed cooperation agreements with several development partners to work together in various development activities.

The agreements signed with partners are instrumental in accelerating the development programs being carried out by the government to benefit the people and the country, the minister added.

Regarding debt suspension, the country has reached an agreement with the Government of China.

With regard to the annual budget subsidies earmarked to regional states, they have been fully disbursed during the first quarter.

Ahmed further stated that the government has been working to properly control the budget deficit through treasury bills and market to fill the deficit instead of taking loans from the National Bank.

This would play a big role in easing inflation by controlling the money circulation in the market, he pointed out.

Planning and Development Minister, Fitsum Assefa said on her part that several measures have been taken to enable the people benefit from the macroeconomic achievements registered over the past years.

The government has been taking steps to ease the burden of inflation on citizens with low income by exempting taxes on basic consumer goods, she stated.

In this regard, Fitsum pointed out that the government has forgone 15 billion Birr it annually obtains from taxation for over the past three years in order to subsidize low income citizens, as reported by ENA.