Addis Ababa (Ethiopia Today), May 11, 2023: The International Monetary Fund is in discussions with Ethiopian authorities, and any new program would require creditors’ financial assurances, a spokeswoman for the global lender said on Thursday.
The IMF “welcomed” the progress toward restoring lasting peace in the East African country as well as the authorities’ “homegrown economic reform agenda,” spokeswoman Julie Kozack said in a press conference.
She added that any new program between the IMF and Africa’s second-most populous country “would require clear commitments from development partners and financing assurances from creditors under the G20 Common Framework.”
Ethiopia requested in early 2021 a debt restructuring under the Group of 20’s Common Framework, an initiative for restructuring government debt aimed at low-income countries. Progress was complicated by a two-year civil war that broke out in November 2020.
Reuters reported last month that Ethiopia was in talks to borrow at least $2 billion from the IMF.