The Ministry of Trade and Regional Integration has issued a statement clarifying recent misinformation suggesting that new taxes have been imposed on fuel sales. While the Ministry insists that no new taxes or subsidies are currently being applied, a recent report by Sheger 102.1FM reveals that the government’s 2025/2026 draft budget plans to introduce a 15 percent value-added tax (VAT) on fuel products starting July 2025.

This clarification comes amid growing public anxiety and widespread rumors circulating on social media, which have contributed to unnecessary panic and long queues at gas stations across the country. The Ministry urges the public to rely on verified information and assures that fuel supply remains stable and sufficient.

Ethiopia has been gradually reducing its domestic fuel subsidies since June 2022, a process designed to align local fuel prices with global market rates. This phase-out was initially targeted to conclude by June 2023 but was extended due to macroeconomic reforms, including a significant adjustment in the foreign exchange rate, which pushed domestic fuel prices upward.

To mitigate the impact on vulnerable populations, the government introduced a targeted subsidy package in July 2024, focusing support on low-income households. Despite these efforts, the wide price gap between Ethiopian fuel prices and those of neighboring countries has fueled smuggling and illegal trade, prompting the government to accelerate subsidy removal.

Subsidies on gasoline and jet fuel were removed starting May 9, 2025, with the de-subsidization of white diesel and other petroleum products following on June 4, 2025. Since then, all fuel prices have been fully determined by international oil market dynamics.

However, the government’s plan to impose a 15 percent VAT on fuel products from July 2025, as outlined in the draft budget, is expected to place additional financial pressure on consumers already facing rising living costs. The VAT is projected to generate over ETB 3 billion in revenue for the federal government, alongside additional VAT revenues from other basic commodities such as sugar and salt.

The Ministry acknowledges the challenges posed by these reforms but emphasizes their necessity in improving fiscal sustainability and reducing market distortions. It also reiterates its commitment to protecting vulnerable groups through targeted subsidies and social safety nets.

The National Bank of Ethiopia (NBE) has published its latest annual financial disclosure, verified by an independent auditor, offering a detailed look into the country’s monetary trajectory over the past five years. The findings point to a dramatic 200 percent increase in money supply, raising concerns over inflation and macroeconomic stability.

One of the report’s key revelations is the NBE’s provision of ETB 700 billion in direct advances to the Ministry of Finance between 2019 and 2024. The volume of cash circulating in Ethiopia’s economy has more than doubled, climbing from around ETB trillion five years ago to ETB 2.7 trillion by the end of the last fiscal year in June 2024. This surge has fueled macroeconomic imbalances, prompting renewed calls for policy reform and tighter fiscal discipline.

Encouragingly, the current fiscal year marks a turning point. For the first time in recent years, the federal government has refrained from taking direct loans from the National Bank. The central bank has also implemented corrective measures to absorb excess liquidity, a move seen as part of a broader macroeconomic stabilization effort.

The 7th edition of Agrofood and Plastprintpack Ethiopia opened today at Millennium Hall, Addis Ababa, drawing 158 exhibitors from 16 countries, a clear signal of growing international interest in Ethiopia’s agro-industrial potential.

The launch ceremony welcomed prominent figures such as State Minister of Industry Hassen Mohammed, Brazilian Ambassador Jandyr Ferreira dos Santos, Turkish Ambassador Berk Baran, Prana Events Managing Director Nebeyu Lemma, and fairtrade Messe Managing Director Paul März.

Held alongside the Ethiopia Food Show and the Ethiopica Coffee Show, this year’s expo presents a rare convergence of food, agriculture, packaging, and coffee industry leaders. Participating countries include major exporters and industrial players such as Brazil, Germany, Türkiye, and the United Arab Emirates.

At the opening, State Minister of Industry Hassen emphasized that the expo “mirrors the transformation underway,” where agriculture is no longer confined to subsistence, but instead fuels industrial growth. “Innovation in farming and processing is now central to Ethiopia’s industrial agenda,” he said.

Ambassador Berk Baran of Türkiye echoed this shift, citing Ethiopia’s “transformative projects and consistent GDP growth” as catalysts attracting foreign direct investment, especially in food processing and packaging sectors.

Organized by fairtrade Messe with local partner Prana Events, the Expo enjoys active support from national and international ministries, authorities, and trade associations—and underscores Ethiopia’s drive toward economic diversification and industrial modernization. Nebeyu Lemma, Managing Director of Prana Events, noted that the event is “the outcome of shared ambition and belief in Ethiopia’s capacity to lead in agro-industry and coffee value addition.” He added that the plastics on display are not single-use, in compliance with the new proclamation that bans such products. “There’s a widespread misconception in Ethiopia that plastic itself is harmful, but that’s not the case. Plastic is part of everyday life, from household items to aircraft components. The real issue lies in how we manage plastic after it has been used,” he told EBR.

Ethiopian Airlines Group CEO Mesfin Tasew has been awarded the Girma Wake Lifetime Achievement Award, a distinguished recognition celebrating his far-reaching contributions to African aviation and route development.

The honor was conferred during the AviaDev Africa 2025 summit held in Zanzibar, which brought together more than 500 delegates from across the continent and beyond. The award is named after Girma Wake, a towering figure in African aviation and former CEO of Ethiopian Airlines, whose legacy continues to shape the industry.

Mesfin, who took the helm of Africa’s largest airline group during a period of post-pandemic recovery and sector-wide transformation, was recognized not only for his leadership at Ethiopian Airlines but also for his broader influence in advancing connectivity and operational excellence across Africa.

“This award carries deep personal meaning,” said Mesfin. “It’s named after my mentor and the father of African aviation, Girma Wake. More than a personal accolade, this is a tribute to the collective achievements of the Ethiopian Airlines team and our shared commitment to a better-connected Africa.”

Under Mesfin’s leadership, Ethiopian Airlines has solidified its role as a continental aviation powerhouse—expanding its network, investing in modern infrastructure, and driving regional integration through strategic partnerships. The airline continues to set benchmarks in operational performance, sustainability, and digital innovation in aviation.

The award highlights Mesfin’s enduring role in shaping policy, fostering cooperation among aviation stakeholders, and promoting the idea of air travel as a vehicle for economic growth and unity in Africa.

Hosted annually, AviaDev Africa serves as a critical platform for dialogue and collaboration among the continent’s aviation leaders. It facilitates route development by connecting airlines, airports, tourism boards, and government representatives, reinforcing aviation’s role as a driver of Africa’s development agenda.

ArifPay, an Ethiopian fintech company, has announced the appointment of Rediet Tsigeberhan as its new Chief Executive Officer, replacing Bernard Laurendeau.

With over 15 years of expertise in technology and product development, Rediet brings a wealth of experience from executive roles such as Chief Technology Officer at Kifiya and Elnet Business Group, as well as Technology Delivery Director at Excellerent, one of Africa’s prominent technology outsourcing firms.

Since joining ArifPay in October 2022, Rediet has been instrumental in developing the company’s core digital payment platforms, which now underpin a significant share of its operations. He also spearheaded the creation of a high-performing product team focused on rapid innovation, customer-centric design, and scalable solutions.

As CEO, Rediet is poised to accelerate ArifPay’s growth by expanding its service offerings, launching new financial products, and strengthening partnerships and infrastructure to support Ethiopia’s vision of a digitally inclusive economy.

Bernard Laurendeau, who led ArifPay through a pivotal phase marked by the introduction of interoperable POS and mobile POS technologies, successfully doubled the company’s capital and established it as a key player in the country’s fintech landscape. Laurendeau’s tenure was defined by strategic innovation and strong leadership grounded in his extensive background in technology and business.