Addis Ababa, September 30, 2026 (FMC) — Ethiopia’s comprehensive macroeconomic reform is producing measurable gains, including reduced debt pressure and a significant decline in inflation, according to senior government officials.
Finance Minister Ahmed Shide said the reform is delivering tangible results as the country pursues broad-based adjustments aimed at strengthening its economic and financial foundations.
Speaking at the opening of the 2nd Finance Forum 2026 at the Adwa Victory Memorial on Tuesday, Ahmed said the progress achieved through the reform reflects the aspirations of Ethiopia and its people.
During a panel discussion at the forum, the Minister said Ethiopia is implementing home-grown economic adjustments while pursuing measures to address structural challenges facing the economy.
He said the successful conclusion of debt restructuring agreements would help ease fiscal pressure and foreign exchange constraints, complementing the broader macroeconomic measures underway.
Ahmed also underscored the importance of strengthening domestic revenue collection and mobilizing greater financial resources through bank savings, foreign direct investment, public-private partnerships, diaspora finance and capital market development.
Planning and Development Minister Fitsum Assefa, meanwhile, said the reform measures have significantly reduced inflationary pressures.
She noted that average annual inflation declined from more than 26 percent before the implementation of the reforms to slightly above 16 percent a year later, attributing the improvement to coordinated monetary and fiscal measures.
On the demand side, Fitsum cited the central bank’s ceiling on credit growth, the termination of direct fiscal financing and targeted fiscal consolidation among the measures contributing to the decline in inflation.
Supply-side interventions have also played a role, she said, pointing to expanded irrigation, agricultural mechanization, improved land use and cluster farming as measures that have helped raise agricultural output and stabilize food supplies.
Fitsum highlighted the national wheat initiative as a notable outcome, saying it has transformed Ethiopia from a wheat-importing country to one that has achieved self-sufficiency in wheat production.
She cautioned, however, that maintaining the downward trend in inflation will require continued attention as the economy remains exposed to both domestic and external risks.
Supply-chain bottlenecks, rising fuel and transportation costs, the credibility of monetary policy and sustained fiscal consolidation remain among the issues requiring continued policy focus, she said.
The discussions at the Finance Forum underscored the need to consolidate the gains from Ethiopia’s macroeconomic reform while expanding domestic resource mobilization and strengthening the foundations of long-term financial resilience.