[Ethiopia] WB to Further Strengthen Assistance to Ethiopia's Poverty Reduction Efforts

from All Africa

The Ethiopian Herald (Addis Ababa)

ENA
Addis Ababa

World Bank President Paul Wolfowitz said the bank will further strengthen its financial assistance to the ongoing poverty reduction and development efforts in Ethiopia.

While holding talks with Prime Minister Meles Zenawi and other cabinet members here yesterday, Wolfowitz, who is on an official visit to Ethiopia, said the World Bank will continue supporting Ethiopia in its efforts to advance its economy.

The discussions between Prime Minister Meles Zenawi and the World Bank President focused primarily on issues of economic cooperation.

The Ethiopian government and the World Bank have maintained a long-standing economic cooperation over the years, with the latter providing financial and technical support for Ethiopia, Minister of Finance and Economic Development Sufian Ahmed told journalists after the talks.

Prime Minister Meles has briefed the World Bank President about the development policies pursued in Ethiopia and the multi-faceted activities being carried out in the country to accelerate economic development, according to the Minister.

Wolfowitz's first-ever visit to Ethiopia has enabled him to closely observe the strenuous battle against poverty in this country, Sufian said, and added that the visit was very fruitful.

Sufian said Ethiopia would be among the prime beneficiaries of increased Official Development Assistance by the G-8 countries.

He also told journalists after the talks that he had very fruitful discussions with Prime Minister Meles and other cabinet members.

The Bank's President said his discussion with Meles focused on the bank's assistance to Ethiopia, and to expand basic services as well as on the efforts of the government to enhance the role of the private sector.

Earlier yesterday, the President said creating peaceful political situation in Ethiopia would be exemplary to other African countries besides contributing toward ensuring sustainable economic development in the country.

Wolfowitz said sharing of ideas between the members of the ruling party and that of the oppositions in the parliament through mutual respect and friendship could be exemplary to other African countries.

The WB President made the statement here yesterday while holding discussions with members of the House of the People's Representatives.

Wolfowitz said institutionalizing a system of sharing ideas between members of the political party with majority seats and that of opposition political parties with minority seats in the parliament is a big improvement in the national politics.

Ethiopia has become the concern of the bank, Wolfowitz said, adding the bank would continue assisting the country towards reducing poverty and bringing about sustainable development across the nation since Ethiopia could be a model for African countries in ensuring good governance and democratic system.

Given the ongoing changes and development activities across the country, Ethiopia could register massive economic development like China, South Korea and Japan within 10 years time, Wolfowitz said.

According to Wolfowitz, the World Bank would do its level best toward soliciting assistances to the people of Ethiopia from donor agencies through promotion of the ongoing changes and development activities of the country to the international community.

Speaker of the House of Peoples' Representatives, Ambassador Teshome Toga briefed Wolfowitz about the 3rd National Elections, the multiparty system, the on-going democratization process and the economic growth registered during the last three successive years.

Ambassador Teshome calls on the World Bank on the occasion to provide assistances to Ethiopia in ensuring good governance and democratic system in the country in general and in building the capacity of members of the House in particular.

One of the MPs told Wolfowitz that the ruling party played a crucial role in raising the participation of women during the national elections and urged the bank to do its level best towards building the capacity of women MPs.

The MP also expatiated to Wolfowitz that the five-year development plan of the nation, PASDEP, have been endorsed after thorough discussions held in the Parliament.

The President also said as one of the four big countries in sub-Saharan Africa the development of Ethiopia will be a real engine for the growth of other countries in the region.

While holding talks with representatives of the private sector as part of his visit to Ethiopia yesterday Wolfowitz said the private sector has to develop confidence and the World Bank is committed to help and support this.

State Minister of Trade and Industry Taddese Haile on the occasion said the government is striving to create a conducive environment for the development of the private sector.

Accordingly, Taddese said, the government selected sectors like horticulture, textile, leather and agro-processing and has been trying to tackle critical constraints in the area.

Representatives drawn from various businesses sectors raised problems they faced in the course of their work like the issue of incentives such as tax exemption.

Also on the occasion, President of the Addis Ababa Chamber of Commerce and Sectoral Associations Eyesus-work Zafu said the government's preparedness to dialogue with the private sector created a window of opportunity for the flourishing of the sector.

In a related development, Wolfowitz also held talks with civic society in the implementation of the Basic Public Service Programme, which aimed at expanding basic infrastructural facilities.

The WB President further said the new programme will be implemented for the first time in Ethiopia and urged the government and the civil society to do their level best for the achievement of the programme.

Wolfowitz also paid a visit to the Integrated Holistic Approach Urban Development Project, which is working in the areas of community development, primary health care, housing and day care centres for the elderly.

Wolfowitz also discussed with World Bank donor countries at the Embassy of France in Addis Ababa.

Paul Wolfowitz was unanimously approved as 10th President of the World Bank Group by the institution's Board of Executive Directors on March 31, 2005.

Meanwhile, Wolfowitz said the World Bank will provide 215 million US dollars to Ethiopia over the next two years for undertaking development activities focusing on education, health, agriculture and provision of water.

In a press conference he gave here later yesterday at the conclusion of his three-day working visit Wolfowitz said the assistance is in addition to the 262 million US dollar the British Department for International Development (DfID) and other donors committed to Ethiopia over the coming three years.

Wolfowitz said Ethiopia's economy is going on the right track and it should continue in a sustainable manner.

The government's efforts to make the poor people of Ethiopia beneficiaries of basic services are commendable, Wolfowitz said.

He also said the ongoing dialogue between political parties and the government is important for the country's development.

Concluding his three-day official working visit to Ethiopia, the WB President was expected to leave for Tanzania late last night.