Ethiopia’s Council of Ministers proposed 274 billion Birr budget for the coming fiscal year, 2016/2017.

After discussing the budget, the CoM sent the proposal to the federal legislature, House of Peoples’ Representative (HPR), for approval.

68.8 billion Birr of the proposed budget, which is close to 25 percent of the total budget, is said to have been allocated for recurrent budget. Capital budget on the other hand takes 39 percent of the total budget, 105.7 billion Birr. 87.8 billion Birr is allocated for state budget subsidiary and 12 billion Birr for additional budget for accelerating the achievements of Sustainable Development Goals.

The budget is said to highlight federal budget subsidy to state governments which will be disbursed based on the newly approved states’ budget subsidy formula ratified by the House of Federation.

Comparing the proposed budget to 2015/2016 budget, there is 13.7 percent increase.

Source: Walta Information Center