AGP Executive Report

Food Safety Push: Ethiopia’s EFDA says unsafe food is still a major illness driver and calls for tighter collaboration across regulators, industry, labs, academia and development partners to improve food safety systems. Dairy Innovation: EIAR unveiled “Etittuu,” a probiotic starter culture to boost milk fermentation, cut reliance on imports and strengthen Ethiopia’s dairy value chain. Capital Markets Opener: Nigeria’s United Capital won Ethiopia’s first foreign investment banking licence, set to operate from Addis Ababa with over $1.5m capital. Solar Manufacturing Watch: Toyo announced a $357m, 1.5GW HJT solar cell plant in Houston, highlighting how U.S. policy incentives and supply-chain rules are shaping global solar investment plans. Ethiopian Airlines Growth: The carrier is weighing an order for 25 new narrow-body jets to expand domestic and regional connectivity, with decisions expected soon. Industrial Strategy: A new report says Ethiopia is shifting from building factories toward productivity, technology, domestic participation and higher-value industrial ecosystems.

Red Sea Access Push: Ethiopia’s election-week campaign for Red Sea access intensified, with officials repeating claims despite needing consent, aiming to pressure littoral states by normalising the narrative. Ethiopian Airlines Fleet Watch: Ethiopian Airlines says it will decide within three months on new regional and cargo aircraft orders, while higher jet-fuel costs from the Middle East conflict are squeezing margins. Capital Markets Milestone: Ethiopia’s Capital Market Authority granted Nigeria’s United Capital Group the country’s first foreign investment banking licence, paving the way for more foreign capital and expertise in Addis Ababa. Ethiopia’s BRICS Engagement: Ethiopia took part in the 11th BRICS Foreign Policy Dialogue in New Delhi, highlighting climate action, digital transformation, and infrastructure progress. YADEA Electric Mobility in East Africa: YADEA debuted in Kenya at Autoexpo Kenya 2026 with its Africa-focused KIFA commercial e-motorcycle, targeting battery swapping and faster rollout of green transport. Fuel Price Shock Debate: A regional energy piece warns that oil-import dependence is turning fuel price spikes into business and household crises across East Africa. South Africa Migration Tensions: Ramaphosa promised action on illegal migration concerns while distancing the government from vigilante immigration checks amid rising xenophobia. Nestlé Climate-Resilient Coffee: Nestlé is developing six high-yield, climate-resilient robusta varieties with Ivory Coast researchers to protect coffee farmers as climate risk rises.

Ethiopian Airlines Fleet & Fuel Pressure: Ethiopian Airlines says it will make decisions soon on new aircraft orders, but higher jet-fuel costs are biting hard after Middle East war disruptions. The airline says fuel costs jumped from about 40% of expenses to 54%, with supply now diversified (including Nigeria) and a longer Saudi contract; it is cutting costs, rationalizing routes, and using fares plus a fuel surcharge to protect profitability. A220 Order Decision: Ethiopian Airlines CEO Mesfin Tasew Bekele says the airline is likely to decide within three months on an order for 25 regional jets (Airbus A220, Embraer E-2, and Boeing 737 MAX 7) to expand domestic and regional connectivity. IMF Support for Ethiopia: The IMF says it is stepping up funding for at least four African countries affected by the US-Israel war on Iran, including Ethiopia, where staff will propose accelerated access to a $200m tranche alongside a $468m tranche cleared for release. Ethiopia Election & Governance: Coverage highlights Ethiopia’s 7th general election as peaceful and orderly, alongside broader claims of democratic momentum, economic reform, and regional leadership. Tigray Security Tension: A dissident authority in Tigray alleges a deadly drone strike near Shiraro, warning of renewed conflict risk. BRICS Diplomacy: Ethiopia participated in the 11th BRICS Foreign Policy Dialogue in New Delhi, emphasizing climate action (Green Legacy), digital and economic transformation, and green finance cooperation. Payments & Inclusion: EthSwitch reports EthioPay-IPS hit 1 million daily transactions, signaling momentum in Ethiopia’s digital payments push.

IMF Support for Ethiopia: The IMF says it is stepping up financing for at least four African countries affected by the US–Israel war’s spillovers, with Ethiopia set for accelerated access to a $200m tranche under its existing program, paving the way for a wider $468m disbursement this week. Green Mobility Push: Ethiopia’s move to ban traditional internal-combustion vehicle imports is creating early opportunities for investors in cleaner transport, with Nordic partners also signaling support for Ethiopia’s EV ambitions ahead of COP32. Payments & Inclusion: EthSwitch says EthioPay-IPS has surpassed 1 million daily transactions, processing over ETB 5bn, reinforcing momentum in Ethiopia’s digital payments ecosystem. Carbon Rights Framework: Ethiopia is drafting a centralized federal proclamation for carbon market ownership, setting the federal government as default owner of carbon rights unless contracts specify otherwise—reshaping how local forest owners and developers can trade credits. Regional Trade Lifeline: Coverage highlights how the Djibouti–Ethiopia corridor remains a shared economic engine, with most Ethiopian trade routed through Djibouti’s port activity. Security Watch: A deadly drone strike in Ethiopia’s Tigray region has raised fresh fears of renewed conflict, with tensions still linked to the incomplete peace process.

IMF & Ethiopia Macroeconomy: Ethiopia’s tight monetary policy has won IMF praise, paving the way for a near-$500m disbursement, after an IMF staff-level deal on the review and a reported $468m support package. Green Finance & Carbon Rights: Ethiopia is moving toward a centralized framework for forest carbon rights, with a draft proclamation set to make the federal government the default owner of carbon credits and mitigation outcomes, reshaping how communities and developers trade globally. E-Mobility & Investment: Nordic partners are backing Ethiopia’s EV ambitions ahead of COP32, while Ethiopia’s e-payments push continues as EthSwitch/ EthioPay-IPS hits 1m daily transactions and processes over ETB 5bn. Regional Trade & Diplomacy: Ethiopia and Canada have launched a new chamber of commerce to deepen commercial ties; Ethiopia and Pakistan agreed to forge a stronger parliamentary bond covering trade, investment, agriculture and aviation. Energy & Integration: GERD is highlighted as a catalyst for regional integration and cooperation across the Horn, with calls for more research to protect Ethiopia’s Nile water rights. Sports & Youth: Ethiopia’s U-17 women miss CECAFA due to financial constraints, despite World Cup qualification momentum. Business Climate: AU says it will adopt an austerity budget for 2027 amid staffing and budget shortfalls.

Ethiopia–Pakistan Diplomacy: Ethiopia and Pakistan agreed in Islamabad to forge a stronger parliamentary bond, aiming to deepen cooperation in trade, investment, agriculture, aviation and culture. Ethiopia–Canada Trade: Ethiopia and Canada launched a new chamber of commerce in Addis Ababa to boost business links and investment. Nile Basin Integration: At Assosa University, officials said GERD is not just an energy project but a tool for regional integration and cooperation across the Horn, calling for more research to protect Ethiopia’s Nile rights. Industrial Policy for Locals: Ethiopia’s IDPC will cut service fees and offer four years of free access to selected industrial parks to help domestic manufacturers scale up and create jobs. Digital Payments Push: EthSwitch reported hitting 1 million daily EthioPay-IPS transactions, signaling momentum in financial inclusion. Tech Skills Network: Afretec added Addis Ababa Science and Technology University as its 10th partner, expanding university collaboration for digital growth. E-mobility for Climate: UNECA said Ethiopia’s e-mobility strategy supports a low-carbon economy and reduces costly imported fuel dependence.

Tech & Infrastructure: Smart Hands Africa was appointed an authorised Services Partner for Supermicro, expanding post-sales installation, maintenance, break-fix support and consulting across multiple African markets including Ethiopia. Industrial Policy: Ethiopia’s Industrial Parks Development Corporation (IDPC) introduced reduced service fees and four years of free access to selected industrial parks for eligible domestic manufacturers, aiming to grow local firms and jobs. E-Mobility & Climate: UNECA says Ethiopia’s e-mobility strategy is cutting emissions and reducing dependence on imported fossil fuels, while improving energy security. Ethiopia Election & Diplomacy: Reports highlight large-scale voter participation and observer assessments of Ethiopia’s June 1 election, while Russia’s foreign ministry welcomed the process as peaceful and democratic. AfCFTA Implementation: Ethiopia and Togo are reviewing AfCFTA progress under AFIRM, focusing on legal and operational gaps that have slowed trade uptake. Regional Ties: South Sudan’s deputy mission head says both countries want to deepen cooperation with Ethiopia, including through connectivity projects. Payments & Inclusion: EthSwitch reported 1 million daily EthioPay-IPS transactions, signaling momentum in Ethiopia’s digital payments ecosystem. Global Finance: Ethiopia’s $1bn Eurobond restructuring talks reportedly failed again, raising pressure for alternative funding or faster domestic revenue mobilisation.

IMF Support for Ethiopia: The IMF says it has reached a staff-level agreement on the fifth review of Ethiopia’s $3.4bn ECF, paving the way for a further $468m disbursement, citing resilience despite Middle East war disruptions to fuel and fertiliser supplies. Digital Payments Push: EthSwitch reports EthioPay-IPS has hit 1 million transactions in a day worth over ETB 5bn, alongside The Asian Banker’s 2026 award for financial inclusion technology. BRICS Culture Track (Ethiopia Online): Ethiopia joined virtually as BRICS culture ministers met in Varanasi, focusing on the creative economy, copyright protection and ethical AI. Pastoral Livelihood Financing: Ethiopia’s House ratified ADB/IDA loan agreements for pastoral community food and livelihood improvements and the next phase of the Productive Safety Net Program, including $71.94m for climate-shock resilience. US Visa Processing Overhaul: A US memo says Africa visa processing hubs will be cut from nearly 50 to 20, with non-hub services limited—raising concerns for education and business travel. Ethiopia Election Context: Coverage highlights Ethiopia’s federal elections amid security disruptions and questions over inclusiveness, with economic and political implications for the next mandate.

IMF Deal for Ethiopia: Ethiopia has reached a staff-level agreement with the IMF on the fifth review of its reform program, paving the way for about USD 468 million in additional financing, with inflation easing and reserves/export performance improving despite external shocks from the Middle East war. Payments Milestone: EthSwitch’s EthioPay-IPS hit 1 million transactions in a single day worth over ETB 5 billion, alongside an international award for financial inclusion tech. Parliament Approves Key Financing: Ethiopia’s House ratified ADB/IDA loan agreements for pastoral community food and livelihood support and the next phase of the Productive Safety Net Program, targeting climate resilience and expanded safety nets. Local Capacity in Infrastructure: Ethiopia unveiled a plan to raise local contractor capability for international tenders—aiming to lift the share of qualified firms from about one-third toward 55%, then 80%—as foreign contractors have dominated major projects. BRICS Culture Track: Ethiopia joined BRICS culture working discussions in Varanasi on copyright protection and ethical AI in the creative economy. Ethiopia in the EV Race: Spiro’s USD 215m funding round highlights growing electric mobility expansion across Africa, including Ethiopia. Ethiopia–Uganda Business Links: Uganda’s embassy in Addis Ababa wrapped a 10-day familiarisation trip focused on tourism diplomacy and investment partnerships. Ethiopia Election Governance Debate: Commentary raised concerns that university leadership appointments and broader governance often fall short of merit-based rules in practice. Sports Disruption: DC United cancelled an Ethiopia national team match in Washington due to visa issues and Ebola-related safety concerns.

IMF & Macroeconomy: Ethiopia’s tight monetary policy earned IMF praise after a staff-level agreement for the fifth review, with inflation easing but risks rising from global uncertainty and Middle East-linked external shocks. Local Industry Push: Ethiopia unveiled an 80% local participation plan to cut reliance on foreign contractors, aiming to lift the share of capable domestic firms for international tenders. Ethiopia–Finland Talks: Ethiopia and Finland resumed formal political consultations after a 16-year gap, focusing on renewed economic cooperation and private-sector investment. EV Investment: Spiro secured $215m equity to expand battery-swapping EV infrastructure across Africa, with Ethiopia listed among planned new markets. Digital Health & Manufacturing: Stakeholders at Africa CDC’s forum in Lagos mapped digital health adoption and healthcare financing reforms, alongside a push for local medical product production to reach 60% by 2040. Ethiopia Election Fallout: Ethiopia’s election is expected to keep PM Abiy in power, but voting was suspended or disrupted in parts of Tigray and other regions amid security concerns and allegations of irregularities. Business Orders: B2B Software Technologies won a $162,754 order for Microsoft Dynamics 365 Business Central ERP implementation across Kenya and Ethiopia. Ethiopia–AU Diplomacy: The AU Permanent Representatives Committee opened its 52nd meeting in Addis Ababa, setting up preparations for mid-year coordination talks. Ebola & Sports: DC United canceled an Ethiopia national team match in Washington due to visa complications and heightened Ebola-related safety precautions. Mining & Nickel: MITHRA Metals advanced a nickel laterite initiative in southern Ethiopia through exploration licence renewals and drilling results.

Ethiopia Election Watch: IGAD’s Election Observation Mission released a preliminary report on Ethiopia’s 7th General Election, praising the electoral administration, reforms and peaceful participation of millions, while monitoring across seven regions and city administrations. Currency Pressure: The Birr looked calm at week’s end, but banks were still fighting over scarce dollars, with wide gaps between buyers and sellers showing stress under the surface. E-Mobility Investment: Norwegian investors signaled interest in Ethiopia’s e-mobility and green investment push as the Ethiopian Investment Commission met a Norwegian delegation on renewable energy and EV infrastructure opportunities. EV Expansion Across Africa: Spiro secured $215m equity to scale battery-swapping and EV infrastructure in multiple African markets, with plans that include expansion into Ethiopia. Regional Resilience Talks: BRICS Disaster Risk Reduction working group meetings in Odisha include Ethiopia among participating countries, focusing on financing, early warning systems and resilient infrastructure. Diplomacy & Trade: Ethiopia and Finland resumed formal political consultations after a 16-year gap, aiming to deepen economic cooperation and business partnerships.

Ethiopia Election Watch: Millions of Ethiopians cast ballots in the 7th general election, with 54 million registered voters and polling stations opening across the country as voters queued in Addis Ababa and beyond. Ethiopia Politics & Governance: PM Abiy said federal and regional leaderships returned to work immediately after voting, urging officials to keep pushing for 10.2% growth as the fiscal budget clock runs down. Ethiopia Debt & Finance: Eurobond holders say they will sue after rejecting Ethiopia’s latest restructuring proposal, escalating legal pressure following a failed negotiation round. Ethiopia Transport & Energy: Addis Ababa’s electric bus rollout continues after Ethiopia’s earlier ban on gasoline and diesel vehicle imports, with EV incentives and plans for cleaner public transport. Ethiopia Aviation & Trade Links: Ethiopian Airlines will launch thrice-weekly passenger flights from Addis Ababa to Port Louis, boosting tourism and business ties with Mauritius. Ethiopia Business Ecosystem: Carnegie Mellon’s Afretec network signed Addis Ababa Science and Technology University as its 10th partner, aiming to expand digital skills and tech collaboration. Regional Policy & Risk: AU calls for stronger African-led humanitarian financing and responses as displacement crises worsen across Sudan and eastern DRC. Global Market Signals: US plans to cut visa-processing locations in Africa to 20 hubs, including Addis Ababa, reshaping travel and business access.

Ethiopia Election Watch: Millions of Ethiopians voted in the 7th general election on June 1, with vote counting underway after polling delays and security disruptions in parts of Oromia and Amhara; the National Electoral Board signalled a final announcement by June 11. Urban Growth & Infrastructure: Prime Minister Abiy Ahmed inaugurated the 9.6-km Entoto–Kechene Medhanealem Riverside Development Project in Addis Ababa, urging leadership to stay focused on delivering 10.2% growth with the fiscal year closing on July 7. Clean Transport Push: Addis Ababa is going electric following Ethiopia’s gasoline and diesel vehicle import ban, with new electric buses already easing commutes and cutting pollution. EV Investment: Spiro secured $215M in equity to expand battery-swapping and EV energy infrastructure across African cities. Debt & Markets: Eurobond holders announced plans to sue after negotiations over Ethiopia’s $1bn Eurobond restructuring failed. US Visa Access: The US plans to cut Africa visa-processing sites from nearly 50 to 20 hubs, including Addis Ababa, reshaping how Ethiopian applicants travel for interviews. Digital Surveillance Risk: A report says a Chinese firm is developing AI tools to help authoritarian states predict potential dissidents, with exports reportedly reaching Ethiopia.

Ethiopia Election Watch: Ethiopia held parliamentary and regional elections on June 1, with more than 54 million registered voters and 52,000 polling stations nationwide, but voting was not held in Tigray due to “unfavorable conditions,” while some Addis Ababa and other districts faced delays after digital voter verification broke down and NEBE extended voting hours to clear queues. Political Legitimacy: Observers and analysts said the ruling Prosperity Party is widely expected to retain power, yet the bigger story is the competitiveness and inclusion of the process amid unrest and security constraints. Electric Mobility Push: Ethiopia is moving ahead with electrified transport, including Addis Ababa’s rollout of 100 electric buses after the government’s ban on importing gasoline and diesel vehicles, supported by tax breaks and local EV-related plans. EV Investment: Africa’s Spiro raised $215M to expand battery-swapping and EV infrastructure across multiple markets, including plans to enter Ethiopia. Trade & Aviation Costs: Traders in East Africa opposed proposed 16% VAT on aircraft spare parts in Kenya’s 2026 Financial Bill, warning it could raise freight costs and hit food security. Health & Vaccines: SK Bioscience won its first UNICEF influenza vaccine procurement contract, with deliveries planned to include Ethiopia among other countries. Regional Health Risk: Africa CDC warned that limited licensed Ebola vaccines for the Bundibugyo strain and intense cross-border movement could worsen spread across the region. BRICS DRR Meeting: Ethiopia will join BRICS disaster risk reduction talks in Odisha, India (June 3–5), focusing on financing and resilient infrastructure.

Ethiopia Election Watch: Polling opened across Ethiopia for the 7th general election with 54m+ registered voters and about 52,000 polling stations, but the process showed strain: NEBE extended voting past the 6pm deadline after digital verification failures and manual bottlenecks slowed queues, while security concerns kept some stations closed and others shut after incidents. Governance & Credibility: An IGAD election observation mission said it had not observed irregularities so far, praising electoral administration improvements and inclusivity, while civil society monitoring reported polling access across the country. Political Outlook: Multiple reports say PM Abiy Ahmed and the Prosperity Party are widely expected to win again, with voting not taking place in Tigray due to “unfavourable conditions.” Clean Mobility Investment: African EV platform Spiro secured $215m to expand battery-swapping and electric mobility infrastructure across markets including plans for Ethiopia. Public Health Risk: Africa CDC warned that lack of licensed Ebola vaccines for the Bundibugyo strain and intense cross-border movement could fuel regional spread, with Ethiopia listed among high-risk countries. Trade & Investment Links: Dubai Chambers held meetings in Addis Ababa to strengthen trade and investment ties with Ethiopia, including with the Ministry of Industry and Ethiopia’s investment bodies.

Ethiopia Election Watch: Ethiopia heads to the polls on June 1 for parliamentary and regional seats, with analysts expecting Prime Minister Abiy Ahmed’s Prosperity Party to win a landslide, but voting is blocked in parts of Amhara and all of Tigray due to instability, raising doubts about full participation and fair conditions. Business & Investment Outlook: Local business voices say the key upside is macro-policy predictability, with reforms like birr liberalisation, telecom and banking opening, and WTO accession talks expected to keep moving if the ruling party retains its mandate. Trade Diplomacy: Dubai Chambers held meetings in Addis Ababa with Ethiopia’s Ministry of Industry, the Investment Commission and Ethiopia’s sovereign wealth fund to expand industrial cooperation, investment flows and private-sector partnerships. Brand & Corporate Spotlight: Dangote Industries was named Africa’s Most Admired Brand for an eighth straight year in Brand Africa 100 rankings, reinforcing its industrial and employment footprint across sectors. Energy & Climate Finance: African leaders at an Addis Ababa climate summit pushed for “climate investment” over aid, while AfDB launched a clean cooking programme targeting energy access for about one million households. Immigration Enforcement: Ethiopia’s immigration authorities arrested 104 foreign nationals for offences during May, including Ethiopians among those detained.