AGP Executive Report

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.

Ethiopia Election Watch: Ethiopia heads to the June 1 general election with NEBE reporting 54m+ registered voters, 42 parties and 10,934 candidates, while analysts and rights groups warn that insecurity and restrictions may limit genuine competition and turnout. Business Climate: With the Prosperity Party widely expected to renew power, local firms and investors are reading the vote as a signal for macro-policy predictability and continuity of reforms like birr liberalization, telecom opening and banking changes. Capital Market Reform: ECMA says it is pushing deeper capital-market integration by improving investor protection, financial literacy and regulation, including better links between investment platforms and payment systems. Trade & Investment Links: Dubai Chambers held talks in Addis Ababa with Ethiopia’s industry ministry, investment commission and sovereign wealth fund to expand industrial cooperation and investment flows. Climate Finance Push: African leaders at an Addis Ababa summit urged a shift from “climate aid” to “climate investment,” backing adaptation and renewable energy projects. Agroforestry & Soil Resilience: A new intra-Africa agroforestry drive targets climate mitigation through research and training, while broader reporting highlights soil degradation as a growing threat to farm productivity. Regional Energy & Logistics: Djibouti’s Damerjog oil depot plans hinge on Ethiopian financing via Ethiopian Investment Holdings, underscoring corridor-linked energy storage ambitions.

Election Watch: Ethiopia heads to its 7th general election on June 1 with NEBE reporting 54+ million registered voters and 10,934 candidates, while campaigning is winding down and security/fairness debates remain in the spotlight. Debt Restructuring: Ethiopia’s USD 1bn Eurobond talks hit a snag as bondholders rejected a revised proposal with a 12% haircut, pushing the government to explore alternatives. Trade & FX Rules: The National Bank of Ethiopia enacted a new “Franco Valuta” import framework (effective May 29) to regulate eligible users and curb illicit flows, while also easing logistics licensing for foreign entrants. Logistics Liberalisation: Ethiopia fully liberalized freight forwarding to allow foreign investors without local partnership limits, a move that’s drawing mixed industry reactions. Food Supply & Storage: Ethiopia opened a US$30m cold storage facility in Addis Ababa to cut post-harvest losses and stabilize supply for fruits, vegetables, and animal products. Energy Policy: A new energy policy targets full cost recovery by 2028 and shifts toward targeted subsidies, aiming to attract more private investment. Carbon Markets: Ethiopia amended forest carbon trading rules to strengthen decentralized ownership and advanced a carbon market proclamation to unlock climate finance. Coffee to China: China will allow eligible coffee beans from all 53 African countries with diplomatic ties starting July 20, streamlining phytosanitary access for exporters including Ethiopia. Regional Health Security: IGAD urged urgent preparedness against Ebola in the Horn, calling for cross-border surveillance and coordinated response. Governance & Accountability: Zambia’s deputy ambassador to Ethiopia, Tom Michelo, was arrested by the DEC over alleged investor fraud involving Chinese investors.

Ethiopia Election Countdown: Ethiopia’s 7th general election is set for June 1, with NEBE saying logistical preparations are complete and the country entering electoral silence as voters head to the polls amid ongoing violence risks and the absence of Tigray representation. Eurobond Restructuring: Ethiopia’s $1bn bond talks hit a wall as bondholders rejected a revised proposal, ending the restricted negotiation period without agreement. Capital Markets & Telecom: Ethio Telecom is set to begin share trading after verifying shareholders, as Ethiopia pushes deeper capital market reforms. Trade & FX Policy: The National Bank of Ethiopia allocated USD 200m for Q4 FX auctions, while reforms allow commercial banks to issue export permits for goods destined to China. Clean Energy Finance: Investors are eyeing East Africa’s clean energy, but startups say financing remains the biggest bottleneck. Ebola Watch: Ebola fears are rising across Central and East Africa, with Nigeria urging action and the DRC reporting a new outbreak linked to conflict and displacement. Regional Connectivity: Ethiopia opened Negelle Borana airport to expand domestic air links, supporting mobility and commerce. Business Deals: Allied Gold’s acquisition by Zijin Gold advanced with regulatory approvals, while Fancamp announced a spin-out arrangement for exploration assets.

Ethiopia Election Watch: Ethiopia heads to the polls on June 1, with NEBE saying election preparations are complete and electoral silence now in effect, but violence in parts of the country could still disenfranchise voters. Tigray Exclusion: Tigray is not represented in federal parliament for the 2026 vote, extending a political absence that critics say deepens mistrust and raises questions over whether the region is fully part of Ethiopia’s political system. Transport & EV Push: Ethiopia unveiled a National E-Mobility Strategy (2025–2030) to speed electric transport adoption, backed by regulatory reforms, charging expansion, local assembly and training plans. Capital Market Reform: Ethio Telecom has begun share trading on the Ethiopian Securities Exchange after verifying shareholders, a milestone for Ethiopia’s market reforms. Digital Entrepreneurship for Women: The UN Economic Commission for Africa launched a regional project to boost women’s digital entrepreneurship in Ethiopia and three other countries, targeting skills, finance management and policy support. Health & Climate Risk: A new study flags “cooling poverty” as a growing threat, with Ethiopia among highly vulnerable countries due to infrastructure and service gaps. Regional Business Context: China’s record solar component exports are surging into Africa, with Ethiopia among importers—an indicator of fast-moving clean-energy supply chains.

Ethiopia Election & Security: Ethiopia’s 7th general election enters a mandatory four-day campaign silence with 50.5 million registered voters, but NEBE says voting won’t happen in 46 districts across Amhara and Tigray due to insecurity and militia clashes—raising fresh concerns for stability and turnout. Debt Restructuring: Ethiopia’s bond talks hit another snag after international bondholders rejected a revised proposal, with the government offering a 12% loss; investors warn of legal action, keeping market access uncertain. Air Connectivity: PM Abiy Ahmed inaugurated Negele Borena Geda Airport in Oromia, with 3 weekly flights starting immediately, adding to Ethiopian Airlines’ growing domestic network. Digital & Skills Push: Ethiopia plans an AI university opening in 2027 to build local capacity for the Digital Ethiopia 2030 agenda, aiming to attract African students. Rural Finance & Food Security: Ethiopia urged scaled-up strategic financing for Africa’s rural transformation at IFAD14, linking agriculture, climate resilience, and rural finance to jobs and macro stability. Regional Risk Watch: Northern Ethiopia remains tense as Fano offensives disrupt election preparations, while IS resurgence in Somalia and M23 activity in DRC add to the wider security backdrop.

Ethiopia Election Watch: Ethiopians vote June 1 in parliamentary and regional polls, with Prime Minister Abiy Ahmed’s Prosperity Party widely expected to dominate despite unrest and insecurity; NEBE has suspended voting in parts of Amhara and Tigray, and Tigray will not vote. Debt Talks: Ethiopia says it will apply “comparability of treatment” in ongoing official creditor committee negotiations, committing not to offer better terms to other external creditors outside the agreed framework. Medical Tourism Push: Ethiopia is positioning itself as a regional medical tourism hub, citing upgrades to tertiary care, AI diagnostics, and expanded public and private hospital capacity. Agro-Processing Investment: Investors in Ethiopia’s food processing sector point to reforms and incentives, including “Made in Ethiopia,” as improving conditions for expansion and export entry. Ebola Shock in DRC: The WHO and DRC health authorities report suspected Ebola cases in eastern provinces have surpassed 1,000, prompting emergency border controls by neighbors. Trade & Market Access: China will allow eligible coffee beans from 53 African countries, including Ethiopia, under unified quarantine requirements from July 20, boosting export prospects for African producers. Regional Health Security: IGAD launched a $31.9m pandemic preparedness project across member states, backed by WHO and IFRC, to strengthen cross-border surveillance and response.

Ethiopia Election Watch: Ethiopia’s National Election Board says it has completed preparations for the June 1 general election, including candidate registration, voter logistics and ballot distribution, while analysts warn the vote is unlikely to be genuinely competitive amid conflict, shrinking civic space and opposition constraints. FX Liquidity: The National Bank of Ethiopia allocated USD 200m for Q4 foreign exchange auctions, to be used in June, aiming to stabilize the domestic market with fewer, larger interventions. Capital Markets Push: Ethiopia’s regulator ECMA faced a rush of filings ahead of deadlines, highlighting capacity strain as the Ethiopian Securities Exchange expands access and listings. Trade & Investment Links: Dubai Chambers held meetings in Addis Ababa with Ethiopia’s industry and investment bodies and Africa’s largest sovereign wealth fund to deepen bilateral trade and joint investment. China Market Access for Coffee: China will allow eligible coffee beans from 53 African countries with diplomatic ties to enter from July 20 under unified phytosanitary rules, a boost for Ethiopia’s export-driven coffee sector. Infrastructure & Connectivity: Ethiopian Prime Minister Abiy Ahmed inaugurated Negele Borena Geda Airport, expanding domestic air links and Ethiopian Airlines’ network. Public Services: Abiy also announced the Borena Water Supply Project, positioning it as a long-term drought and health solution for southern pastoral areas. Regional Risk: Coverage flags renewed security concerns in Tigray and wider instability that could spill into Amhara and Oromia, affecting business confidence and livelihoods.

Ethiopia’s Election Readiness: The National Election Board of Ethiopia says it has completed preparations for the June 1, 2026 seventh general election, including candidate registration, voter registration, special polling stations, and distribution of ballots printed abroad, with 19 debate forums planned across five languages. Domestic Aviation Push: Prime Minister Abiy Ahmed inaugurated the new Negele Borena Geda Airport, Ethiopia’s 24th domestic destination, with Ethiopian Airlines set to start three weekly flights to boost southern connectivity and commerce. Water Security for Borena: Abiy also flagged the Borena Water Supply Project as a long-term shift from emergency drought response, citing major pipeline and reservoir works to improve health and livelihoods. Capital Market Bottleneck: Ethiopia’s capital market reform hit a regulator strain as most ECMA filings arrived at the deadline, slowing reviews and highlighting capacity gaps. E-Mobility Strategy: Ethiopia launched its E-Mobility Strategy 2025–2030, targeting EV market growth, charging rollout, and fleet electrification to cut fossil fuel dependence. Regional Tensions—Red Sea Access: Ethiopia accused Egypt of trying to block its Red Sea access push, linking the dispute to wider energy security concerns. Health & Safety—Ebola in Congo: WHO warned that conflict in eastern DRC is worsening Ebola transmission and blocking humanitarian access. Clean Energy Trend: Across Africa, new power deals increasingly favor solar, wind and battery storage as faster, cheaper renewables gain ground.