In a major step toward stabilizing its public finances, the Ethiopian government has finalized a Memorandum of Understanding (MoU) with its Official Creditor Committee (OCC) under the G20 Common Framework, securing debt relief exceeding USD 3.5 billion.
The agreement formalizes a deal reached in principle back in March 2025 and marks the successful end of a complex, multi-year negotiation process. The OCC is co-chaired by China and France, with other bilateral creditors participating. The debt relief is expected to ease Ethiopia’s external payment pressures and help restore long-term debt sustainability amid ongoing macroeconomic reforms.
According to the Ministry of Finance, the MoU will now be followed by bilateral…