May 11, 2026
IMF Director Kristalia Georgieva tends to think that Ethiopia is in a better position
Borkena
Toronto – International Monetary Fund (IMF) Director Kristalina Georgieva is in Ethiopia again for a second time in a little over a year.
She arrived in the country on Monday and met with Ethiopian Prime Minister Abiy Ahmed.
“At a difficult time, Ethiopia is making impressive progress on an ambitious economic reform program. I reaffirmed the Fund’s strong support for that effort – and overall commitment to Ethiopia and the region,” She wrote on her X page.
She was making a reference to the macro-economic reform Abiy Ahmed Administration introduced in July 2024 following a reported series of “negotiation” with the IMF and World Bank.
The reform measures were, as notable Ethiopian economists believe, based on IMF conditions to arrange extended credit facilities to Ethiopia. In the same month the IMF announced a four-year US$3.4 billion in extended credit facility arrangement for Ethiopia.
Devaluation of the Ethiopian currency was among the conditions for the ECF arrangement. As part of the reform measure, a market based currency regime was introduced. Ethiopian Birr lost well over 100 percent of its value in six months. The World Bank released a report in April this year in which it stated that the Ethiopian Currency is the weakest in sub-Sahara Africa.
The IMF Director stated, as cited by state-owned media, Ethiopia achieved “robust economic growth” last year and that it is “entering the current global challenge from a position of strength.” The claim is that export earning and domestic revenue has shown growth. The IMF director described it as one that has “exceeded expectations.” Mounting tax pushed many out of businesses in Ethiopia and tens of thousands have cancelled business licenses, which is not reflected in the IMF’s director remark.
Also, reports of growing economic hardship from Ethiopia indicate that the cost of living crisis has reached an unprecedented label with millions unable to get a meal even once a day. Prime Minister Abiy claimed in a recent remark that the number of people who are in need of food aid has dropped to 3 million. However, reports from humanitarian organizations including OCHA indicate that well over 20 million people need emergency food aid in different parts of the country.
No detailed information is released regarding the IMF director’s latest meeting with Abiy Ahmed in Addis Ababa. Continued partnership appears to be among the issues discussed. The Ethiopian PM, as expected, painted a rosy picture of the meeting.
“Met with IMF Managing Director Kristalina Georgieva this morning and exchanged views on economic progress, partnership, and shared priorities. Grateful for the insightful conversation and continued engagement,” he wrote on his social media page.
__
Join our Telegram Channel : t.me/borkena
Like borkena on Facebook
Add your business to Ethiopian Business Listing / Ethiopian Business Directory
Join the conversation. Follow us on X (Formerly Twitter) @zborkena to get the latest Ethiopian News updates regularly. Subscribe to YouTube channel To share information or for submission, send e-mail to info@borkena.com
To Support Borkena : https://borkena.com/subscribe-borkena/ – one time support or small monthly options available. Inquire information about it : info@borkena.com