Addis Ababa (HAN) July 1.2016. Public Diplomacy & Regional Security News. Ethiopia and the World Bank (WB) have today signed additional 100 Million USD loan agreement to implement the fourth phase of the Productive Safety Nets Program (PSNP IV).
The additional financing will enable the PSNP IV to provide safety net support to households affected by the drought thereby strengthening their resilience, stated Ahmed Shide State Minister of Finance and Economic Cooperation during the agreement signing ceremony.
“The additional loan we just signed today is intended to scale-up PSNP IV supports in response to the El Nino induced drought by Safety nets transfers to chronically food insecure households,” Ahmed said.
“The additional financing will support an estimated 4.5 million PSNP clients in the period from July to December 2016.”
The latest WB fund will help support Ethiopia’s efforts to respond to the ongoing drought.
WB Country Director for Ethiopia, Carolyn Turk on her part said the WB has been working in partnership with Ethiopia and supporting the PSNP since its inception eleven years ago.
She added that the program has continued to evolve, seeking out better and more efficient means of graduating Ethiopians out of food insecurity.
”This approach and the strong commitment to building on lessons has improved the lives of millions of Ethiopians and contributed to poverty reduction and economic growth,” Carolyn stated.
She commended the government of Ethiopia for taking exemplary measures by mobilizing domestic resources to control the effect of the drought.
Launched in 2005 with government and development partners’ support, the PSNP is now in its fourth phase of implementation, and it has been providing assistance to millions of chronically food-insecure rural households.