Addis Ababa, June 9, 2026 (FMC) – Ethiopia’s Council of Ministers convened its 56th regular meeting today, during which it deliberated and adopted key macroeconomic and fiscal policy documents, including the Medium-Term Macroeconomic and Fiscal Framework and the 2019 E.C. (2026/27) federal government budget draft.
Presided over by Prime Minister Abiy Ahmed, the Council first reviewed the Medium-Term Macroeconomic and Fiscal Framework covering the period 2026/27 to 2030/31 (2019–2023 E.C.).
The framework, according to the Office of the Prime Minister of Ethiopia, is designed to consolidate gains achieved through Ethiopia’s ongoing comprehensive macroeconomic reform program, under which the national economy has continued to recover from structural challenges and imbalances, while strengthening its overall fundamentals.
It will also serve as a guiding instrument for the preparation of the upcoming federal budget, in line with key macroeconomic and fiscal priorities.
After extensive deliberation, the Council unanimously approved the framework for implementation.
The Council subsequently discussed the draft federal government budget for the 2019 E.C. (2026/27) fiscal year, prepared in alignment with the Medium-Term Development and Investment Plan (MDIP), which spans 2019–2021 E.C. (2026/27–2028/29). The MDIP constitutes a priority-focused component of Ethiopia’s broader Ten-Year Development Plan (2021–2030) and operates in synergy with the updated Homegrown Economic Reform Agenda (HGER 2.0).
The draft budget was also developed based on the approved medium-term macroeconomic and fiscal framework, an assessment of the 2018 E.C. (2025/26) budget performance, and a review of the government’s fiscal capacity alongside expenditure requirements necessary to achieve national development objectives and institutional mandates.
Accordingly, a total federal budget of 2,339,268,126,738 Birr was submitted to the Council. The proposed allocation covers recurrent and capital expenditures, support to regional governments, and financing for priority development programs and long-term national development goals.
Following detailed deliberations, the Council unanimously decided to forward the draft budget proclamation to the House of People’s Representatives for further review and final ratification, with additional resources incorporated for consideration.