Addis Ababa, July 4, 2025 (FMC) — Ethiopia’s House of People’s Representatives (HoPR), in its second special session held today, ratified three major agreements which were forwarded this morning by the Council of Ministers.
These include two significant loan agreements with the International Development Association (IDA), a member of the World Bank Group, and a bilateral visa waiver agreement with Nigeria.
The two loan agreements—collectively valued at $1 billion—are part of a broader package of development financing aimed at supporting Ethiopia’s ongoing economic reforms and infrastructure expansion.
The agreements were originally signed during a recent high-level investment forum in Ethiopia, underscoring the country’s commitment to attracting foreign investment and accelerating development.
The first bill approved by the House pertains to the Second Sustainable and Inclusive Growth Development Policy Operation (DPO).
Presenting the bill, Deputy Government Chief Whip Ms. Meseret Haile explained that the funding will directly support the federal government’s 2018 fiscal year budget and reinforce macroeconomic reform efforts.
She noted that the financing is interest-free, carries a minimal service charge, and is repayable over a long period.
The second agreement supports the implementation of the Modjo–Hawassa Expressway Development Support Project, which aims to complete the third phase of the major transport corridor. Ms. Meseret noted that the project will improve logistics and connectivity, facilitating trade and mobility across key regions.
Following extensive deliberations, the House unanimously approved both financial agreements.
Finance Minister Ahmed Shide, who addressed members of the House, emphasized that the loan package plays a critical role in financing Ethiopia’s economic reform agenda while ensuring fiscal stability and development continuity.
In its final decision of the session, the House ratified a bilateral agreement between Ethiopia and Nigeria that waives visa requirements for holders of diplomatic and official service passports.
Ms. Meseret noted that the agreement with Nigeria will simplify official travel and deepen political and diplomatic cooperation between the two countries.
This agreement was also unanimously approved by the House.