Ethiopia, BADEA sign $49.5 million financing agreement

Addis Ababa, February 19, 2024 (FBC) – The Ministry of Finance and the Arab Bank for Economic Development in Africa (BADEA) signed 49.5 million dollars financing agreement, the Ministry revealed.

The objective of the agreement is to co-finance the Productivity Enhancement Support for the Integrated Agro-Industrial Parks and Youth Employment (PESAPYE) project which is playing a key role in strengthening government’s efforts to enhance productivity and create employment opportunities in Ethiopia.

The PESAPYE project, which is currently supported by the African Development Bank (AfDB) and the Ethiopian government, focuses on four Integrated Agro-Industrial Parks.

The agreement will support constructing an irrigation infrastructure spanning 8,000 ha within the Gidabo project area, covering Oromia and Sidama regions to enhance agricultural productivity and provide water resources critical for sustainable growth.

During the signing ceremony, Finance Minister Mr. Ahmed Shide expressed his appreciation for BADEA’s support and invited the BADEA President to join the Horn of Africa (HoA) initiative—a regional development Platform that the Finance Minister Ahmed chairs.

The agreement was signed by Mr. Ahmed Shide, Finance Minister of Ethiopia, and Dr. TAH, President of BADEA who is in Addis Ababa for the AU summit.