Based on the agreement, the two countries will trade in Birr and Yuan, aiming at strengthening their economic ties and business relationships.
This agreement was reached during talks between Ethiopian Prime Minister Abiy Ahmed and Chinese President Xi Jinping.
Ethiopian Finance Minister Ahmed Shide was quoted as saying that the two countries’ national banks have agreed to collaborate closely in order to facilitate trade and enhance financial cooperation.
The minister also noted that China has provided Ethiopia with 400 million yuan in financial assistance, a contribution confirmed by President Xi during their discussions.
According to the Ethiopian Ministry of Foreign Affairs, President Xi praised Ethiopia’s macroeconomic reforms, acknowledging the nation’s efforts to stabilize its economy and promote growth.
The agreement is expected to bolster Ethiopia’s economic stability by reducing its reliance on third-party currencies for trade with China, thus facilitating smoother financial transactions.
It marked a milestone in the longstanding diplomatic and economic relations between the two nations, further solidifying their role in Africa-China trade relations.
MG/abj/APA
