Ethiopia's Council of Ministers, in its 44th regular meeting held today, has taken significant steps towards bolstering regional economic integration by approving a draft proclamation for the ratification of the Africa Finance Corporation (AFC) establishment agreement and a draft regulation for implementing tariff reductions under the African Continental Free Trade Area (AfCFTA).
The decision to ratify the AFC agreement is seen as crucial for providing additional financial and technical support to both public and private sectors, particularly in infrastructure, natural resources, and industrial development. The Council emphasized that membership will help attract foreign capital, accelerate sustainable economic growth, and reduce poverty by enhancing the private sector's role. The draft proclamation will now be sent to the House of Peoples' Representatives.
In a related move to facilitate regional trade, the Council discussed a draft regulation detailing the tariff reduction rates for goods under the AfCFTA. This regulation is intended to ensure a smooth flow of goods between member states by clarifying customs tariff rates. The Council unanimously decided that this regulation will become effective within one month of its publication in the Federal Negarit Gazeta, supporting the AfCFTA's goals of expanding trade and developing value chains across the continent