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Ethiopia Mobilizes 440 Billion Birr to Force Inflation Into Single Digits

Oct 28, 2025

The Ethiopian government has emphatically committed to achieving a single-digit inflation rate following a successful fiscal intervention, which saw inflation drop to 11.7 percent in October, the lowest level since the reform period began. This achievement stems from the allocation of 440 billion birr to stabilize prices, including 160 billion birr for wage subsidies and 140 billion birr for fuel subsidies.

Concurrently, during the 2nd regular session of the 6th House of People's Representatives, Prime Minister Abiy Ahmed (PhD) highlighted the agricultural sector's 7.3 percent growth and transformative gains, noting that wheat production has surged from 47 million quintals to 280 million quintals, and rice production from 1.5 million quintals to 63 million quintals.

Furthermore, focused efforts resulted in the production of 11.5 million quintals of coffee last year, generating a record $2.5 billion in export revenue after covering domestic demand, a success the Prime Minister attributed to the coordinated efforts of experts and farmers.