The Ethiopian government is preparing to issue a bond worth Birr 900 billion to address unpaid loans provided by the Commercial Bank of Ethiopia (CBE) to government development organizations. The bond, introduced during a recent government session, aims to settle outstanding debts and strengthen the bank’s capital base.
The loans total over Birr 845.3 billion and were extended to support major infrastructure and development projects. Among the largest borrowers are Ethiopian Electric Power, with a debt of Birr 191.79 billion; Ethiopian Railways Corporation, which owes Birr 80 billion; and Ethiopian Sugar Corporation, carrying the highest debt load at more than Birr 110 billion.
The bond issuance reflects a strategic move by the government to support the CBE and secure the continued funding of critical national projects.
Source: Sheger FM 102.1
