Public Management

GERD crisis: the US freezes $130mln in aid to Ethiopia

GERD crisis: the US freezes $130mln in aid to Ethiopia
Wednesday, 02 September 2020 17:33

The United States announced the freezing of $130 million worth of aid to Ethiopia. The measure is to pressure the country as part of the negotiations for the Grand Ethiopian Renaissance Dam (GERD).

The Trump administration, which has so far acted as a mediator in this tripartite dispute, wants to pressure parties into showing more flexibility in talks. The frozen resources were initially earmarked for security, counter-terrorism, and anti-human trafficking programs.

Indeed, the new measure reflects the impasse currently facing these Egyptian-Ethiopian negotiations led by the USA. Addis Ababa has consistently accused Washington of siding with Cairo, one of its traditional allies, and has suspended talks, calling on the African Union to moderate the dispute.

The USA, for its part, blames Ethiopia for having decided to fill the dam's water reservoir when a final agreement has not yet been reached with its neighbors. "The dam is ours! We will finish it together! With our efforts, our Ethiopia will shine!” said Fitsum Arega, the Ethiopian ambassador to the United States, who announced that he had officially sent a request for an explanation to the U.S. State Department.

As a reminder, the Renaissance Dam is a private-equity funded infrastructure built by Ethiopia (more than $4 billion) on the Blue Nile, which Egypt depends on its freshwater supply.

Moutiou Adjibi Nourou

Additional Info

  • communiques: Non
  • couleur: N/A
On the same topic
Banks in the West African Economic and Monetary Union hold excess reserves more than three times the regulatory minimum. The Central Bank of West...
Nedbank launches $852M tender offer for 66% of Kenya's NCBA Shareholders holding 77.5% of capital have committed irrevocably Nine...
Draft law allows foreign insurers to enter market under ownership limits Foreign stakes capped at 40% per firm and 49% combined Reform aims...
AfDB provides €5 million guarantee to secure trade finance operations Facility targets SMEs and key imports, including essential...
Most Read
01

Standard Chartered arranges $2.33 billion for Tanzania railway project Funding support...

Tanzania Secures $2.33 Billion in Syndicated Financing for Standard Gauge Railway
02

From WHO-led efforts to strengthen pandemic preparedness to measles vaccination drives in Uganda, al...

Weekly Health Update | Africa Steps Up Pandemic Preparedness as Health Sovereignty Takes Center Stage
03

Mediterrania Capital bought Australian Amcor's Moroccan packaging unit Enko Capital took ov...

Two Other African-focused Private Equity Firms to Snap Up assets shed by Global Majors
04

Ecobank named alongside AfDB, ECOWAS, EBID and BOAD in the April 27, 2026 corridor financing mis...

Ecobank's Quiet Inclusion in the AfDB Mission Reshapes the Abidjan-Lagos Corridor Story
05

Jetour to produce T1, T2 SUVs in South Africa from 2027 Chery to acquire Rosslyn plant, cre...

Chinese Automaker Jetour to assemble SUVs in South Africa from 2027
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72


EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.