The International Monetary Fund (IMF) announces that the adoption of a floating exchange rate regime that Ethiopia introduced on July 29 is advancing well.

Ten percent of the USD 3.4 billion that the IMF demonstrated through the Extended Credit Facility (ECF) instrument would be released by the fund to assist Ethiopia’s economic reform initiative.
Recall that when the reform was announced, the IMF disbursed one billion dollars, or 30 percent of the approved support.

A staff team from the IMF led by Alvaro Piris, visited Addis Ababa from September 17 to 26, 2024, to discuss progress on reforms and the authorities’ policy priorities in the context of the first review of Ethiopia’s economic program supported by the IMF’s ECF.

Following the visit, the IMF declared that there has been minimal impact on the overall economy and that the official market’s exchange rate has essentially closed the difference with the parallel market.
It further stated that Ethiopia will have access to funding of around USD 345 million at the official conclusion of the review by the IMF Executive Board.