Prime Minister Abiy Ahmed identified debt reduction as a cornerstone of his administrations economic reform agenda. Responding to queries from lawmakers, the Prime Minister highlighted a strategic pivot away from high-interest external borrowing, stating that Ethiopia has not entered into a single new commercial loan agreement in US dollars since the reform process began. This shift is intended to distance the country from the heavy debt burdens that characterized previous years and establish a more stable fiscal foundation.

Prime Minister Abiy explained that for the past several years, the government has engaged in intensive negotiations with international creditors to restructure existing commercial obligations. He argued that the previous reliance on such loans was "inappropriate" for the nations long-term health and emphasized the importance of returning to a sustainable debt framework. 

According to the Prime Minister, these diplomatic and financial efforts have been largely successful, allowing Ethiopia to prioritize domestic resources and concessional financing as it seeks to stabilize its macroeconomic environment.