USAID and MoFED Sign $151 Million in Agreements for Development Programs

MONDAY, SEPTEMBER 22, 2008 Addis Ababa (U.S. Embassy) – Today the United States Agency for International Development (USAID) and the Ministry of Finance and Economic Development signed U.S. $151 million worth of Grant Agreements to continue mutually agreed-upon support for development programs in the areas of education, health, economic growth, and democracy and governance.  This commitment from the United States is the latest installment of a five-year development assistance agenda supporting Ethiopia.  To date, the total commitment under this five-year plan has reached U.S. $426 million, a 43 percent increase over the originally planned commitment of U.S. $297 million.  

“This assistance from the American people will continue to help millions of Ethiopians by providing much-needed health and education services, more jobs and income-generating opportunities, and greater participation in democratic processes,” USAID Mission Director Glenn Anders commented.   Mr. Anders further stated, “The fact that this year’s tranche of agreements goes well beyond USAID’s original commitment five-years ago highlights the importance of the relationship between our two countries, as well as the critical economic and governance challenges Ethiopia faces today.”

Through this year’s grants, U.S. $21 million will improve the quality of primary and secondary education, with special emphasis on increasing girls’ access and developing schools in Muslim areas.  The grants add U.S. $115 million to larger U.S. Government efforts to combat HIV/AIDS, control malaria, improve water and sanitation, and support maternal, child and reproductive health.  For economic growth, $15 million will be applied toward expanding trade and enterprise, developing agriculture productivity and marketing, including for livestock, and protecting the environment.  A further $317,000 will improve Ethiopia’s governance and accountability, strengthen the judicial system, and help communities better manage and avoid conflicts. 

These USAID grants are one mechanism through which the United States provides support for the Ethiopian people.  In U.S. fiscal year 2008, the United States’ total assistance to Ethiopia, through these grants and other programs, including PEPFAR and emergency humanitarian assistance, will total more than U.S. $900 million.

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