Mereja.Forum

Of course it's "Fluff-R-Us", who else!

The Ethiopian People Have Been Lied Years After Years The Last 27 Years By Death Bed Mekelle And Adwa Former Criminals Leaders. Now The Same Person Who Have Been Committing Genocide, Killing During Borders Wars Was Indoctrinated At Young Age To Report Fake Reports, Economic Growth & Now On Foriegn Shore On Foreign Aid Money, Not Only That On Young Future Generations Loans Burden To Chinese Business, Banks.
The Liggaggamm Pentte Ahmed Abiyot Administration, The ISIS Jawar Mohammed Zemechaa, Lemma Megerssa, Takelle Qummar & Tebettabba Galla Berhanu Nega Have Bloods / Chips On Your Hands/ Shoulders. Only Time Will Tell The Out Come After Fake Fixed Just Like Woyane T.P.L.F. Elections.

Fake as fake can be. Very sad and embarrassing to the nation!

OMG! Even the government officials are posting photo shopped photos on their social media pages. The Chinese must be laughing their hearts out! How shameful is this?!

Rev,

That saying by Dr. Abiy "Borrowing from IMF and WB, is like borrowing from [one's] mother" was a surprise to me too; I looked around for the why.

So why is the PM calling Bretton Wood institutions** like "mother"? It doesn't make sense for a DS country to say that.

Be that as it may, the answer is, he is getting $6bn out of the $9bn from his "mother".

Cheers!


[[..According to the news, the $6 bn. out of the $9 bn. estimated loan amount is expected to come from the Bretton Wood institutions. Loans coming from these institutions are in general relatively concessional. The remaining is to come from other development partners. Not sure which ones though as many development partners operate in the country. May be they represent bilateral lenders? Who knows? Highly likely. This implies that even coming from bilateral sources (China expected to be on top of the list as usual), one would expect the loans would still be concessional although it is expected to be less concessional compared with that coming from the IMF and the WB. In general this is a good development. This is happening at the time when it has become hard to raise emergency loans as country’s sovereign credit rating status is going down spiral...]]https://www.zehabesha.com/on-the-announ ... s-sources/

**The Bretton Woods Institutions are the World Bank and the International Monetary Fund (IMF). They were set up at a meeting of 43 countries in Bretton Woods, New Hampshire, USA in July 1944. Their aims were to help rebuild the shattered postwar economy and to promote international economic cooperation.

Revelations wrote: ↑

20 Dec 2019, 16:13

Dawi wrote: ↑

22 Dec 2019, 02:42

Rev,

That saying by Dr. Abiy "Borrowing from IMF and WB, is like borrowing from [one's] mother" was a surprise to me too; I looked around for the why.

So why is the PM calling Bretton Wood institutions** like "mother"? It doesn't make sense for a DS country to say that.

Be that as it may, the answer is, he is getting $6bn out of the $9bn from his "mother".

Cheers!

Dawi,

that means borrowing is a bad exercise, don't you mean?

That how it may be, it is very unfortunate that people can't differentiate between the characters " CBERS-4A" and "ETRSS-1" but still dare to roam around the internet and make a lot of noises.

This is sickening, to be honest.

DefendTheTruth wrote: ↑

22 Dec 2019, 06:05

Dawi,

that means borrowing is a bad exercise, don't you mean?

That how it may be, it is very unfortunate that people can't differentiate between the characters " CBERS-4A" and "ETRSS-1" but still dare to roam around the internet and make a lot of noises.

This is sickening, to be honest.

Defend,

I just started reading "MEDEMER"; Dr. Abiy is a fascinating character. I am enjoying the beginning of the book; looks easy reading, thanks god, it is not over loaded with stuff like Dialectical materialism philosophy of science and nature developed by the writings of Karl Marx and Friedrich Engels.

In my mind I like to know how much "MEDEMER" contradicts to "African Development: Dead Ends and New Beginnings", by Meles Zenawi thesis.

So far Dr. Abiy calling IMF/WB "mother" kind of does! One can say it's a disgrace!

However, times has changed, WB/IMF have more or less endorsed Developmental State through the UN. China itself borrows from WB. Home grown "MEDEMER" is maybe challenging "Melesites" in EPRDF, who are only looking to the East and the Asian Tigers to look at "mother" as well.

I am open to look at "mother" again; I like the blast of "ETRSS-1"; I am also looking forward to hear the whole history of Dr. Abiy & Ethiopian Satellite beginnings.

As I said Dr. Abiy is a fascinating man!

Dawi wrote: ↑

22 Dec 2019, 19:29

DefendTheTruth wrote: ↑

22 Dec 2019, 06:05

Dawi,

that means borrowing is a bad exercise, don't you mean?

That how it may be, it is very unfortunate that people can't differentiate between the characters " CBERS-4A" and "ETRSS-1" but still dare to roam around the internet and make a lot of noises.

This is sickening, to be honest.

Defend,

I just started reading "MEDEMER"; Dr. Abiy is a fascinating character. I am enjoying the beginning of the book; looks easy reading, thanks god, it is not over loaded with stuff like Dialectical materialism philosophy of science and nature developed by the writings of Karl Marx and Friedrich Engels.

In my mind I like to know how much "MEDEMER" contradicts to "African Development: Dead Ends and New Beginnings", by Meles Zenawi thesis.

So far Dr. Abiy calling IMF/WB "mother" kind of does! One can say it's a disgrace!

However, times has changed, WB/IMF have more or less endorsed Developmental State through the UN. China itself borrows from WB. Home grown "MEDEMER" is maybe challenging "Melesites" in EPRDF, who are only looking to the East and the Asian Tigers to look at "mother" as well.

I am open to look at "mother" again; I like the blast of "ETRSS-1"; I am also looking forward to hear the whole history of Dr. Abiy & Ethiopian Satellite beginnings.

As I said Dr. Abiy is a fascinating man!

Dawi,

I failed to understand your answer to my question: are you saying borrowing is bad (you wrote something "a disgrace" in your reply) and also state "China itself is borrowing from WB"?

How should I understand your reply to my (short) question?

I didn't get a chance yet to read both books you mentioned, if I find the opportunty to find MEDEMER, it is on my top list of favorites (just to know what it is in it).

I think to have heard a book by Dr. (?) Arkebe Oqubay also titled something related to "African Development" or something very similar. Are you talking about the same book, when you write "African Development: Dead Ends and New Beginning"?

The IMF and other multilateral creditors are indeed showing their vote of confidence in Prime Minister Abiy Ahmed's (PhD) administration for its political opening up and economic policy liberalisation. The flow of cash in foreign exchange is a tap at the back for pursuing the economic reform agenda, designed to correct internal and external imbalances. Abiy's international supporters seem to realise that the stakes in Ethiopia have never been higher.

There is hardly any debate on the poor state of Ethiopia's economy. It has been in a coma, in desperate need of life-saving IV Fluid. The economy suffers from limits in productivity and lack of competitiveness both in the domestic and global markets. These are structural constraints requiring long term fixes

Inflation and growing unemployment are the ills of the economy on the domestic front with pressure on policymakers for a quick fix. The external imbalances do mainly come from the poor performance of the export sector, causing low foreign currency reserves, a wide gap in the official exchange rate with the parallel market, and thus the highly overvalued Birr against a basket of major currencies.

These are outcomes of policies pursued by what was an activist state under the EPRDF regime. Despite remarkable gains over a decade, the growth resulted due to public financed investments, which have not only been inflationary. They put the country in paralysis.

The IMF will provide a billion dollars a year for three years to the central bank’s coffers, in six tranches of about half a billion dollars each. With an almost zero interest rate, a five-and-a half-year grace period, and a 10-year payback time, it is a package the Prime Minister characterised as borrowing from a mother.

The IMF targets a series of cuts on the central bank's broad money supply from over 20pc down to perhaps 17pc of GDP. There will be a limit to what the public sector will borrow from the banks, while the administration will find itself under pressure to reduce its domestic and external debts. Ensuring a threshold of forex - perhaps a minimum of five billion dollars - could as well come as a requirement.

https://addisfortune.com/ethiopia-signs ... -in-store/

DefendTheTruth wrote: ↑

24 Dec 2019, 17:51

Dawi,

I failed to understand your answer to my question: are you saying borrowing is bad (you wrote something "a disgrace" in your reply) and also state "China itself is borrowing from WB"?

How should I understand your reply to my (short) question?

I didn't get a chance yet to read both books you mentioned, if I find the opportunty to find MEDEMER, it is on my top list of favorites (just to know what it is in it).

I think to have heard a book by Dr. (?) Arkebe Oqubay also titled something related to "African Development" or something very similar. Are you talking about the same book, when you write "African Development: Dead Ends and New Beginning"?

Sorry Defend,

I was assuming you're versed with the Developmental State thesis Meles wrote, "African Development: Dead Ends and New Beginning". (የኢትዮጵያ ልማታዊ መንግሥት የተቃኘው በዚያ አስተሳሰብ ነው).

Prof. Akbar Noman of the Colombia University in his interview once said that “as far as I know, PM Meles Zenawi was the first head of government to criticize many of the neoliberal prescriptions very early. The Washington consensus-type policies are accountable for the lost quarter century of Africa. It is now widely accepted that there were lots of mistakes made in the kind of conditionality imposed in Africa in the 1980s in particular.”

"Washington consensus"-type policies were pushed by WB/IMF and these are what Dr. Abiy is calling like "mother" like daughter!

What I said was times has changed; so Dr. Abiy has a reason to say what he said. Reading the IMF News, it seems their policy don't contradict the DS Ethiopia is following after all.

"The IMF has approved a program for Ethiopia of almost US$3 billion. The program is aimed at supporting the Ethiopian government’s own Homegrown Economic Reform Program, which is designed to eliminate macroeconomic imbalances and lay the foundation for sustainable and inclusive growth. The authorities want the economy to transition away from being public sector-led to one that is driven by the private sector."https://www.imf.org/en/News/Articles/20 ... ew-program

So, in short I can't say the borrowing to bail out the country is a bad deal.

Dawi

if u listening what Dr. Abiy said he explained what he mean by "Borrowing from IMF and WB, is like borrowing from [one's] mother"

he said TPLF borrowed from private sources such as bank and government of china who want their money back before the project finished and they charge way high interest.. but IMF want their money in 20 years and 1 or 3 % interest i forget the full speech but this is what he said ..another mistake of TPLF is they borrow from IMF to pay off their loan .. this is what happened so he said IMF and WB IS LIKE MOTHER who almost forget your loan.. because if IMF waited for u 20 years it is like forgiving you your loan.. by 20 years u will triple their loans money so paying them would not be hurtful.

anyhow i dont trust IMF OR WB either the best thing to do for Dr. Abiy to finished those ten sugar factory .. i dont care what happened under TPLF just finished them and start making billion of dollar... that way we will have started earning money also if we had finished Nile dam we will make 6 billion of dollar this is how we could have come out of poverty...

not only that Dr.Abiy should call all importer and give them incentive to start their manufacturing business in Ethiopia to stop their importation

i will give u one simple example why in hell Ethiopia import toilet seat when making toilet seat is so simple .. all u need is china clay slurry and mold to make the toilet seat and just like ጀበና በእሳት መለብለብ ብቻ ነው ጥንካሬና ውሃ እንዳይገባው ሽክላነት ለመቀየር

look the the work flow simple and few step you get toilet seat



just like this we can cut many of our import such as edible oil , orange juice , soap and so on.. by calling those importers and asking them why prevent them manufacturing the goods they import in Ethiopia ..

Dawi,

I think Meles has said many different things, among which I still remember his calling Ethiopia (as a whole) will be connected to the internet already before the end of the 1st decade of this century, or something like that.

If Meles Zenawi critizied the western institutions like the IMF and WB and turned to the East to borrow, his successor now on his part turns to those western institutions again and compare them with mother (instead of borrowing from the East), then could have they been on two different pages more?

I was in fact not trying to compare the two institutions as lenders rather trying to highlight the role of borrowing in economic terms. Generally, borrowing is not a bad exercises at least under the 2 conditions:

- you borrow under a viable market condition, and
- you take care of the ROI side (you have to put the money well after receiving it into the intended objective).

Most of the time I think the recipient will fail to put the money efficiently according to the initial plan to work (specially due to corruption and similar malpractices on the part of the recipients) into the internded purpose. In such a case, instead of soruce of income and strengths turns out to be source of a burden).

If someone can use a borrowed money properly then it is a blessing, you use someone else's money to generate your own income, just like we also do on the private level.

But I am not in a position to comment (compare) the conditions under which they borrow from East or West. It could be that even under the best borrowing conditions the money might be wasted due to the second reason I said above, and that could turn to be a night mare situations at sometime in the future.