Ethiopia and the World Bank Group Friday signed a $907 million financing agreement aimed at financing Small and Medium Enterprises (SMEs), mitigating the spread of COVID-19, and increasing access to reliable electricity.
“$500 million of the fund as loan financing will be used to increase access to new and improved electricity services for households and small holder farmers through on-grid, off-grid and mini-grid solutions by leveraging public and private delivery modalities,” Minister of Finance Ahmed Shidie said after the signing ceremony.
$207 million of the fund is tailored to provide upfront financing for vaccine acquisition and deployment to enable affordable and equitable access and deployment of COVID-19 vaccines, it was indicated.
Ahmed pointed out that the project will support the government’s efforts to deliver the vaccine besides strengthening the vaccination and regulatory system.
The minister further stated that the third project alloted $200 million will be meant for credits to Small and Medium Enterprises (SME)s to help them ensure business continuity and jobs protection.
The World Bank remains an indispensable partner in supporting Ethiopia’s development efforts, Ahmed said, and added “these projects we are signing are further testimonies of the bank’s commitment to continue supporting development endeavors in the country.”
World Bank’s Country Director for Ethiopia, Ousmane Dione said the project represents the Bank’s continued support to the country’s national electrification program and is aligned with its commitment to support its resilient recovery from COVID-19.
MG/as/APA