World Bank Approves $550m Loan For Ethiopia

World Bank Approves $550m Loan For Ethiopia
World Bank Approves $550m Loan For Ethiopia

The World Bank’s Board of Executive Directors last week approved a total of $550 million for Ethiopia.

The Bank approved the stated sum to support the country’s efforts to improve the livelihoods of pastoralists and its ongoing power sector reforms.

Accordingly, it approved $350m ($70m grant $280m credit) from the International Development Association (IDA) in support of the country’s efforts to improve the livelihoods and resilience of 2.5 million pastoralists and agro-pastoralists in low land areas.

The Low lands Livelihood Resilience Project approved today (May 23, 2019) will help to improve the livelihoods and resilience of pastoral and agro-pastoral communities in Ethiopia by addressing their binding constraints, the Bank said in a statement.

“The project will put communities in charge of their own development priorities by enabling them to identify, lead and manage local development initiatives,” said Carolyn Turk, World Bank Country Director for Ethiopia, Sudan and South Sudan.

According the statement, the project will reduce long-term environmental degradation and communities’ vulnerability to climate change related droughts.

It will also facilitate access to crucial social services such water resources to communities, upgrade veterinary facilities and help construct key infrastructure such as bridges roads, livestock markets, small scale irrigation schemes.

The project will support the introduction of technologies that improve animal productivity (i.e. milk and meat production). Furthermore, it will improve market linkages and commercialization by facilitating the development of partnerships between private companies and groups of producers.

Similarly, the bank approved $200m Renewable Energy Guarantees Program (REGREP) to mobilize International Development Association (IDA) guarantees under a Multi-phased Programmatic Approach (MPA).
The program will support the Government of Ethiopia’s ongoing power sector reforms and leverage private sector financing for renewable energy generation.

REGREP will support the development of over 1,000 MW of greenfield solar and wind energy Independent Power Producer (IPP) projects in Ethiopia, including the World Bank Group Scaling Solar initiative.

The Ethiopia REGREP approved today (May 23, 2019) marks the first IDA guarantees under deployment in Ethiopia.

Enabled by the 2018 Public-Private Partnership Proclamation, this program reflects a new way of doing business in the energy sector in Ethiopia – transitioning from continued public-financing towards private sector-led competitively tendered procurement of new renewable generation capacity.

“With the support of the World Bank Group, this program will create a platform for much-needed private sector participation in the crucial energy sector by lowering the risks of investing in Ethiopia,” said Carolyn Turk, World Bank Country Director for Ethiopia, Sudan and South Sudan.

“The program has the potential to leverage over $1.5 billion in private sector investment,” she added.

Like it? Share with your friends!

What's Your Reaction?

hate hate
confused confused
fail fail
fun fun
geeky geeky
love love
lol lol
omg omg
win win
Solomon Yimer


Your email address will not be published. Required fields are marked *

Choose A Format
Personality quiz
Series of questions that intends to reveal something about the personality
Trivia quiz
Series of questions with right and wrong answers that intends to check knowledge
Voting to make decisions or determine opinions
Formatted Text with Embeds and Visuals
The Classic Internet Listicles
The Classic Internet Countdowns
Open List
Submit your own item and vote up for the best submission
Ranked List
Upvote or downvote to decide the best list item
Upload your own images to make custom memes
Youtube, Vimeo or Vine Embeds
Soundcloud or Mixcloud Embeds
Photo or GIF
GIF format