Ethiopia's Ministry of Finance announced that the Ethiopian government has "chosen to postpone the [partial] privatization process" of Ethio Telecom.

The ministry, in a statement, cited "recent developments and fast-moving macroeconomic changes both globally and from a country perspective" as precedents for doing so.

It is to be recalled that the Ethiopian government had proposed to partially privatize the state-owned Ethio Telecom, offering to sell 40 percent of the company's equity. To this end, the government had issued a request for proposal (RFP), inviting interested parties. In its statement, the Finance Ministry noted discussions have been held with several bidders.

Other than the sale of the 40 percent equity, an additional five percent was also to be offered for sale for the general Ethiopian public.

The Ethiopian government "believes that taking time to accommodate the improved macroeconomic situation as well as continually improving [the] financial performance of Ethio Telecom will result in better value for all parties involved and in particular the citizenry of Ethiopia," the statement read.

Regardless, the government "remains committed" to seeing the privatization process through, and intends to re-engage with "existing and additional parties that have expressed interest in the RFP."

Source: Ministry of Finance Press Statement