Ethiopian finance minister highlights budget financing challenges

Finance Minister Ahmed Shide reported to parliament that the 1.93 trillion birr federal budget is under pressure from delayed external aid. He addressed lawmakers on May 4, 2026, noting that domestic borrowing has risen faster than planned. The session took place without private media present.

Finance Minister Ahmed Shide delivered a nine-month budget report to parliament on May 4, 2026. He described the financing assumptions as stretching, pointing to external aid inflows that have not arrived on schedule.

To fill the gap, the government has increased borrowing from the domestic market beyond initial plans. The minister presented details on the 1.93 trillion birr federal budget during the closed session.

The report comes as Ethiopia enters the final quarter of the fiscal year. Officials continue to monitor revenue and spending trends amid these financing shifts.

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