-Mobilizing over 1.5 trillion Birr capital
ADDIS ABABA – Following the implementation of homegrown economic reform, none of public enterprises have received new commercial loans, said the Public Enterprises Holding and Administration (PEHA).
Approached by The Ethiopian Herald PEHA Director General Habtamu Hailemichael stated since the implementation of the first and the second homegrown economic reform agenda, public enterprises have not received new commercial loans.
According to the Director General, the public enterprises have not received new debt and the country has restructured most of its foreign debt and is properly repaying local debt.
“If the commercial loan is necessary for enterprises, they can receive it based on feasibility study and other criteria to utilize it in effective sectors.”
All public enterprises have been mobilizing about 3 trillion Birr capital. Specifically public enterprises under PEHA are mobilizing more than 1.5 trillion Birr capital which amounts 15% of country’s GDP, he said.
Some public enterprises have been burdening country’s economy for highly receiving commercial loan, he remarked, adding that the enterprises are now working in partnership and getting loan from local banks.
The public enterprises are strongly catalyzing country’s economy with huge capacity and contribution by generating high revenue and creating job opportunities, Habtamu noted.
The government has been focusing on the effectiveness of enterprises to support the overall economic development, he added.
The PEHA has been working to resolve major challenges of public enterprises through revising their codes to improve corporate and finance governance as well as the overall system, he underlined.
The Administration has also been working to maximize their revenue and profit as well as to offer capacity building training. Accordingly, it offered capacity building training to 5, 000 individuals in the just ended Ethiopian fiscal year. The public enterprises have also created some 43, 000 jobs over the last ten months, it was learnt.
BY TSEGAYE TILAHUN
THE ETHIOPIAN HERALD WEDNESDAY 24 JULY 2024
