Ethiopia has successfully implemented policies to reduce inflation and rebuild external reserves. Fiscal policy aims to continue the strong focus on physical and social infrastructure investment while raising the revenue effort. The recent reframing of monetary policy to adopt a reserve money...

Facing declining reserves and high inflation, Ethiopian authorities have implemented an effective macroeconomic adjustment package supported by the IMF under the rapid-access component of the Exogenous Shocks Facility. The global recession is putting renewed pressure on the external position,...

Ethiopia showed commendable performance under the Poverty Reduction and Growth Facility (PRGF) Arrangement. Executive Directors appreciated this development, and emphasized the need to strengthen fiscal and monetary policies, enhance revenues, strengthen public expenditure management, and...

Recent economic developments have been adversely affected by the severe drought. The mission and the authorities updated the macroeconomic framework for 2003/04 and the medium-term in light of recent developments and the latest World Economic Outlook (WEO) price projections. The fiscal strategy...

This paper assesses Ethiopia’s Second Review Under the Three-Year Arrangement Under the Poverty Reduction and Growth Facility (PRGF), and Requests for Augmentation of Access and for Waiver of Performance Criterion, and Second Annual Program. Performance under the first annual PRGF-supported...

Ethiopia’s request for disbursement under the rapid-access component of the Exogenous Shocks Facility is examined. The authorities have embarked upon a tightening of monetary and fiscal policies to facilitate necessary rebuilding of foreign exchange reserves. Wheat has been imported on an...