BY STAFF REPORTER
The impact of the conflict in Ethiopia has remained fresh with the economic repercussion behooving the government huge chunks of dollars to rebuild the country and stimulate the economy. Around 26 billion USD is needed for post war rehabilitation work. The damage is incalculable that it requires the engagement of the global community.
The country should have foreign sources of finance besides using internal capacity. So far, in the wake of the breakthrough peace pact, some international financial organizations and creditors have given it a green light for short term and long terms loan and aid.
With the World Bank and International Monetary Fund funneling millions of dollars in humanitarian assistance, some countries have been pledging to commit more resource to back Ethiopia’s post war reconstruction effort. Prior to the peace deal, the country was suspended from some economic privileges and financial sources. The delisting of the country from the American Growth Opportunity Act is a stark instance.
Some creditors also withheld planned financial aid. This coupled with the cost of war inflicted huge economic loss demanding the country huge sum of money to prop up the economy. Thus far, the incumbent has been spending big sum of money to provide the most sought after humanitarian aid and restore demolished basic social services. However, given the limited resource of the country, economic austerity measure requires the intervention of the international community.
One thing is for sure though; the country’s diplomatic relation with the rest of the world is witnessing U-turn. Some nations have resumed full scale diplomatic ties with Ethiopia.
In fact, the country’s effort to independently and peacefully resolve its internal problem has already reverberated in Africa and beyond. With the guns silenced and war of words fading away, the focus is now shifted to post war rehabilitation works. In fact, a stable and prospers Ethiopia is a low hanging fruit to pacify the entire Horn African region.
In apparent moves to recognize the positive changes the country is witnessing, higher officials from different countries stopped in Ethiopia for official state visit. This week, various special envoys to the Horn Africa have arrived in the country pledging support for the post war reconstruction effort of the former.
Last Tuesday, US Foreign Secretary Antony Blinken arrived in Addis Ababa holding talks with Ethiopian Prime Minister Abiy Ahmed and other senior officials.
Prime Minister Abiy Ahmed and the U.S. Secretary of State Antony Blinken had held extensive discussion on various domestic, bilateral and regional issues of mutual interest.
Blinken announced 331-million USD in new humanitarian assistance for Ethiopia in 2023.
It was noted that the assistance will provide life-saving support to those displaced and affected by conflict, drought, and food insecurity in Ethiopia.
The humanitarian response includes 12 million USD through the State Department Bureau of Population, Refugees, and Migration and more than 319 million through the U.S. Agency for International Development.
The assistance brings the total U.S. humanitarian assistance for the response to the region to over 780 million USD in 2023, it was learned. In his press briefing, said the Foreign Secretary hat during the course of his discussion with Abiy.
The Secretary of State also noted that the U.S. is desirous of investing in a long-term relationship and partnership with Ethiopia to extend the collaboration in various areas of mutual concern including human rights, food security and democracy.
Meanwhile, Spokesperson of Foreign Affairs Ministry, Amb. Meles Alem told journalists that the Deputy Prime Minister and Foreign Minister Demeke Mekonnen had fruitful discussion with Antony Blinken.
The two sides held in-depth discussions on bilateral, regional and mutual interests as Ethiopia and the U.S. have age -old and multifaceted ties, the spokesperson indicated. He further appreciated the delivery of humanitarian assistance following the peace agreement was signed in Pretoria, South Africa between the federal government and TPLF in early November 2022.
Speaking on the diplomatic relationships between Ethiopia and the U.S., the secretary of state expressed the commitment of President Joe Biden to consolidate bilateral relations of the two countries, according to the spokesperson.
“On bilateral issues, he explained the commitment of his government to deepen the traditional ties between Ethiopia and the U.S. in the political, economic and social spheres. The two sides discussed regional issues as well.” According to him “Secretary of State Blinken also appreciated Ethiopia’s generosity to welcome hundred thousands of refugees flowing to Ethiopia following the conflict in Somaliland.”
On his part, Deputy Prime Minister and Foreign Minister Demeke Mekonnen explained to the Secretary on the Government of Ethiopia’s efforts to maintain the AU-led trilateral talks between Ethiopia, Egypt and Sudan on the Abay Dam talks.
Chinese Special Envoy to the Horn of Africa also vowed to help Ethiopia’s post war rehabilitation work.
“The peace progress in Ethiopia demonstrates that the Ethiopian people have the wisdom and ability to independently resolve their internal differences through negotiation and dialogue. It shows that African people solving African problems through African ways are the sure path toward to the settlement of the complex issues of the region,” the special envoy added according to Fana Broadcasting Corporate.
According to him, China proposed the “Outlook on Peace and Development in the Horn of Africa” with the aim of supporting countries in the region in seeking strength through unity and achieving prosperity and stability.
Moreover, “China has provided multiple batches of food, vaccines and other humanitarian supplies to Ethiopia to help ease the livelihood difficulties of people in conflict-affected areas. China will continue to do so and will actively participate in the reconstruction of conflict-affected areas.”
At the same time, Ambassador Bing called on the international community to increase humanitarian assistance to Ethiopia, support the reconstruction and economic and social development of the relevant regions with concrete actions to help Ethiopia to achieve lasting peace, development, and prosperity.
Speaking of resolving African countries’ debt, the special envoy said that China has actively participated in the G20 Debt Service Suspension Initiative and signed debt suspension agreements or reached a consensus on debt relief with 19 African countries.
He underscored that “China has also been actively engaged in the case-by-case debt treatment for Chad, Ethiopia, and Zambia under the G20 Common Framework.”
Ambassador Xue Bing is currently in Addis on a visit to Ethiopia and AU, exchanging views on further implementation of the China-proposed Outlook on Peace and Development in the Horn of Africa.
Despite the firm stance of the incumbent to return the country to normalcy and shore up the socioeconomic undertakings, it is high time for the international community to play its own share. Funneling finance, releasing suspended financial support could be proper measures in this regard.
In fact, some nations have already provided the country with financial assistance and released suspended loan and credit. But, these moves are far from enough compared to the economic ramification of the war
The Ethiopian Herald 19 March 2023
