Germany pledges financial support to productive social safety nets, conflict recovery in Ethiopia

Addis Ababa, November 17, 2022 (FBC) – Germany strengthens support to productive social safety nets and conflict recovery in view of progress and continued commitment towards peace in Ethiopia, said Ministry of Finance-Ethiopia.

The Ethiopian Minister of Finance Ahmed Shide has met with the German delegation led by the Director General for Africa of Germany’s Ministry for Economic Cooperation and Development, Birgit Pickel, and had a productive discussion on the recent peace accord and the two countries’ development partnership.

Both sides discussed the participation of the international community in possible future post-conflict and reconstruction efforts.

The Minister highlighted Ethiopia’s continued implementation of the Homegrown Economic Reform Agenda.

He emphasized the Ethiopian government’s full commitment to swiftly deliver implementation of the peace agreement and demonstrate tangible results on the ground.

To support the Government of Ethiopia, which faces a severe economic crisis Germany committed to increase its support to Ethiopia’s Productive Safety Net Programme for €30 million and contribute an additional €15 million Euros to the World Bank’s Response, Recovery, and Resilience for conflict-affected Communities Programme.

Both programmes will be implemented together with the World Bank and other partners.

The measures will be accompanied by technical cooperation to increase institutional capacity for local development, livelihood opportunities, and human rights for a total of €8 million.

Ms Pickel welcomed the agreement and expressed her hope that it opened a path towards durable peace.

She also stressed the importance of a quick restoration of basic services, full humanitarian access and accountability so that a peace dividend can be felt.

Germany also informed about its support for transitional aid measures provided through WFP and UNICEF for €30 and €35 million Euros respectively as part of Germany’s response to the drought crisis and food price inflation in Ethiopia.

The programmes aim at improving life standards and coping capacities of drought-affected communities by building, restoring, improving, and sustaining resilient systems and lifesaving services.