Following the estableshment of the new government of the Federal Democratic Republic of Ethiopia (FDRE), yesterday for a new five-year term of 6th working time, the president of EDRE, Sahlework Zewdie presented her opening speech during the first joint session of the two Houses of the country, the House of Federation (HOF) and House of People’s Representatives (HPR).
The president, in her opening speech, raised myriads of issues to be undertaken by the new government in the new budget year of the country and the ruling period of the government for the coming five years as well. Economic issue was among the focus areas assessed by the president’s speech.
While pointing out the duties ahead of the new government in terms of economy, she cited the successes and challenges of the last budget year. As per this, she said that it was possible to stop the plummeting journey of the economy during the 2020/21 budget year. In this regard the home- grown economic reform played crucial role so that it helped the nation’s economy to withstand natural and man- made challenges which hurt the economy.
Despite the successes gained, inflation and economic crises still continued hurting citizens’ life which needs urgent solutions. In particular, reversing the sky rocketing inflation needs much effort to be exerted from the new government and the stakeholders. In this regard, concerted effort must be exerted in order to bridging the huge gap witnessed between demand and supply which is responsible for the aggravating inflation, she stressed.
In line with this, the government should pay much attention to achieve multifaceted economic growth that serves pick the citizens out of poverty and secure food self sufficiency during the already began budget year. Improving agriculture, the back bone of the economy and main provider of food items but mostly remained traditional and rain fed yet, ought to be among the prior issues of the government, she underlined.
In addition to this, as to the president, systematic management and corrective measures towards the distorted trade system is essential in order to stabilize market system.
She further stated that better monetary and fiscal policy will be introduced to redress inflation. To this end, efforts will be exerted to collect 600.9 billion Birr in the form of revenue in this budget year and out of this 83 percent of it will be generated from tax income. In addition, the government will allocate 5.25 billion Dollar for the importation of various commodities in the budget year.
According to the president, it is planned to produce 592 million quintals of grain during 2021/22 budget year. Reforming the agricultural sector takes the lion’s share for the achievement of this plan. The agricultural sector, thus, will be arranged to go in line with the other sectors and to meet the demands of the industries. Supplying agricultural products to foreign markets will also continue aiming to earn more foreign currency.
Mining sector that registered its best outcome during the last budget year, will also obtain much attention of the new government. On top of providing to the foreign market, minerals’ products will be supplied to domestic markets and serve as inputs to industries. Measures also will be taken to contain some clandestine military activities by insurgents in the place were mining activities are carried out. Traditional and small- scale mining industries will also be encouraged as they absorb remarkable number of job seekers, the president asserted.
It is crystal clear that economic growth has direct relation with availability of trained human capital. As per this, supplying well trained manpower to the market requires the new government advanced measure to improving the education system that produces skilled, ethically well sharpened and productive work force which is already underway.
Enhancing the construction sector that absorbs huge number of job seekers also deserves much attention of the government, as to the president. The sector is expected to create job opportunities to thousands of citizens and to this end, enabling environment will be created. Local construction companies will be encouraged and supported to be competent both in local and foreign markets. In line with the expansion of construction, the expansion of urbanization is predictable that makes obligatory provision of residential houses. This in turn makes essential coordinated efforts to achieve better land and house management system along with constructing suitable houses for living, the president underscored.
On the inauguration ceremony for the establishment of the new Ethiopian government yesterday, Prime Minister Abiy Ahmed (PhD) on his part said that the new government is committed to curb the economic inflation of the country.
“Despite the economic reforms that we have taken by the last three years did not bring the expected change in the economic aspects of the country, the new government will work hard in creating job opportunity. Particularly, we will exhaustively give prior attention to support the under privileged society in order to bring the desired national economic growth,” the premier asserted.
According to the Prime Minister, the construction of the Grand Ethiopian Renascence Dam (GERD) is of paramount importance to strengthen regional integration coupled with its economic and social advantages. Therefore, its construction will be completed as per its plan.
Being thankful for the almighty God for allowing him to deliver his speech in front of the Ethiopian people and honorable guests, he pledged Ethiopians and friends of Ethiopia to work in unison with the new government to ensure Ethiopia’s prosperity.
“Through making ‘poverty’ history in collaboration with the patriotic people of Ethiopia, the new chapter is the time for assuring Ethiopia’s prosperity,” he noted.
While approached by The Ethiopian Herald, Zafu Eyesuswork Zafu, an economic expert said that despite it is difficult to criticize the current economic situation of Ethiopia owing to the fact that the country is under high internal and external pressures, the overall opening speech of the president on the joint session of the House of Federation and House of Peoples’ representatives is appropriate.
Mentioning the Terrorist TPLF is committing inhuman acts including firing economic war against Ethiopians, he applauded President Sahlework Zewdie’s parliamentary speech. As to him her speech was very impressive, reasonable and significantly useful in addressing a range of challenges emanating from financial hurdles.
“Her statement in general and points regarding with the economic aspects of the country in particular are appropriate and general indicator of economic implementation. Indeed, as Ethiopia is following the parliamentary system, the executive organs including the Prime Minister of the country are more responsible for practical implementation of the plan,” he asserted.
The expert further stated that the measure the Ethiopian Government has taken to improve the national economic growth is a plausible hedge to the myriads of problems and helps the nation achieve the economic reform it has recently commenced.
Congratulating Prime Minister Abiy Ahmed (PhD) and other officials for their new appointment to lead Ethiopia for the coming five years, he elucidated that the new government has a lot to do for booming the nation’s economy. But, in order to achieve all these, the first task should be taken by the new government is making lasting solution to the war with the terrorist TPLF, he underlined.
BY ABEBE WOLDEGIORGIS and HIZKEL HAILU
THE ETHIOPIAN HERALD OCTOBER 5/2021
