Ethiopia and the World Bank last week signed two financing agreements amounting a combined total of 715 million US dollars, according to the Ministry of Finance.
The first $600 million agreement will finance the implementation of the Food Systems Resilience Program (FSRP) in the country.
The second $115 million agreement in the form of Grant for the implementation of de-risking, inclusion and value enhancement of pastoral economies in the Horn of Africa project or DRIVE.
“The resource from the first Financing Agreement will be used to finance increasing the resilience of food systems and preparedness for food insecurity in project areas in the country,” said the ministry of Finance.
The ministry also said the finance for DRIVE Project will also be used to enhance pastoralists’ access to financial services for drought risk mitigation.
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The project will include Ethiopian pastorialists in the value chains, and facilitate the livestock trade in the Horn of Africa, it added.
The agreements were signed virtually by Finance Minister Ahmed Shide and Director for Regional Integration Africa, Boutheina Guermazi, on behalf of Ethiopian and the World Bank, respectively.