Ethiopia, IFC Move to Scale Up Private Investment as Reform Agenda Opens New Opportunities

Addis Ababa, September 2, 2026 (FMC) — Ethiopia and the International Finance Corporation (IFC) have agreed to deepen cooperation and expand private-sector investment across strategic areas of the economy, as the country’s macroeconomic reform program reshapes its investment landscape and opens new opportunities for international capital.

The agreement was discussed when the East African country’s Finance Minister Ahmed Shide met with IFC Managing Director Makhtar Diop, with talks focusing on expanding the role of private investment in Ethiopia’s development priorities.

Ahmed briefed Diop on the implementation of the Government’s macroeconomic reforms and their impact on improving the business and investment environment. He underscored the importance of continued IFC engagement in helping translate the reforms into increased private capital flows and investment.

The IFC currently has a portfolio of about $500 million in Ethiopia spanning agribusiness, manufacturing, financial services, healthcare, tourism and telecommunications.

Diop welcomed the reforms and reaffirmed IFC’s commitment to supporting Ethiopia’s development priorities.

The two sides also explored expanded cooperation through public-private partnerships and project investments in transport, energy and housing.

Diop reaffirmed IFC’s readiness to support major strategic initiatives, including the Bishoftu International Airport project, while continuing programmatic support for independent power producers and efforts to mobilize private capital at scale.