June 27, 2022 (ENA) The government has set a direction to rebuild properties damaged during the conflict waged by TPLF and its allies in collaboration with development partners, Finance State Minister Eyob Tekalegn said.Thank you for reading this post, don't forget to subscribe!
It is to be recalled that the House of People’s Representatives (HPR) during its 11th session on June 7, 2022 referred the 786.6 billion Birr draft budget bill for the 2015 Ethiopian Fiscal year to the Plan, Budget and Finance Affairs Standing Committee.
During a public hearing on the draft budget bill today, Finance State Minister Eyob Tekalegn said based on the government’s direction to rebuild the damaged properties during the conflict waged by the terrorist TPLF and its allies, 20 billion Birr has been allocated in the draft budget and the World Bank signed 300 million USD financing agreement to support the rebuilding effort.
“The government’s direction is to rebuild the huge damage caused by the war waged by TPLF and its allies in some parts of the country. In this regard, the rebuilding works underway on educational and health institutions has gone a long way. In general, we have allocated 20 billion Birr budget that will be financed from treasury,” Eyob said.
“Development partners such as the World Bank started to support us with a financing of 300 million USD,” he added.
According to the state minister, the ministry of Finance is coordinating a secretariat on the efforts to rebuilding back better.
Out of the total 786.6 billion Birr draft budget for the coming fiscal year, 345.1 billion Birr is allocated for recurrent spending, 218.1 billion Birr for capital expenditure, 209.4 billion Birr for subsidy to regions, and 14 billion Birr for implementation of sustainable development goals, it was learned.
Eyob stated that the draft budget prioritizes on debt payment, strengthening the security forces and rebuilding.
Meanwhile, Eyob pointed out, the government is also working to strengthen development projects in the regions in addition to the subsidy budget to the regions through the matching fund framework and the projects of the SDGs.
Accordingly, the budget for the matching fund framework has increased from 6 billion Birr since its inception last year to 8 billion Birr for the coming fiscal year, Eyob added.
“The government set direction to further strengthen this and we increased it to 8 billion Birr,” the state minister stated.
“There are SDG projects working in the regions, and agro-industry projects. On the other hand, we have matching fund established last year in which the federal government and regions contribute 50 percent each to develop small scale irrigation and to bring meaningful change in agriculture,” he added.