Addis Ababa, Ethiopia — May 26, 2026 | Horn News Hub
Ethiopia’s Council of Ministers has approved and endorsed a wide range of draft laws, policies, and regulations during its 55th regular session held on Tuesday, covering sectors including taxation, agriculture, energy, trade, statistics, food security, higher education financing, and women’s empowerment.
According to information released by the Office of the Prime Minister of Ethiopia, the Council deliberated on 13 major agenda items and passed several decisions, with a number of draft proclamations forwarded to the House of Peoples’ Representatives for further legislative approval.
Among the financial matters discussed were two international loan agreements. The first involved a 46.3 million U.S. dollar loan from the African Development Bank to support the Pastoral Livelihoods and Resilience Improvement Project. The second was a loan agreement worth SDR 146.1 million from the International Development Association for implementation of the sixth phase of the Productive Safety Net Project. The Council stated that both agreements were found to be consistent with Ethiopia’s debt management framework before being forwarded to parliament.
The Council also approved a draft amendment to the Federal Tax Administration Proclamation. Officials said the revision is intended to modernize Ethiopia’s tax administration system in line with international standards, improve transparency and accountability, strengthen enforcement mechanisms, and ensure fair resolution of tax disputes amid ongoing economic reforms.
In the agricultural sector, ministers reviewed a draft Agricultural Business Corporation Proclamation designed to shift the sector toward a more business oriented model. The proposal seeks to strengthen market access for smallholder farmers, improve value addition and industrial linkages, support medium scale farming, and enhance food security and employment creation.
Another key item was the draft Ethiopian Carbon Market Proclamation, which aims to establish a legal framework for carbon trading and green investment. According to the Council, the proposed law is expected to facilitate technology transfer, create transparent carbon trading procedures, protect communities and the environment around carbon projects, and ensure equitable benefit sharing from carbon revenues while supporting Ethiopia’s climate commitments.
The Council further approved forwarding a draft Ethiopian Statistics Proclamation to parliament. The legislation is intended to reinforce the professional independence of the national statistics authority, improve coordination among official data producers, strengthen data confidentiality protections, and align Ethiopia’s statistical practices with international standards.
On energy policy, ministers unanimously approved a new National Energy Policy for immediate implementation. The policy is aligned with Ethiopia’s homegrown economic reform agenda, the Ten Year Development Plan, the Green Economy Strategy, and the Sustainable Development Goals. It aims to ensure affordable, reliable, secure, and sustainable energy supply through efficient utilization of national energy resources.
The Council also approved the National Women’s Empowerment and Gender Equality Policy, which focuses on addressing structural gender inequalities, combating gender based violence, strengthening protection systems, and supporting vulnerable women and women with disabilities.
In the financial sector, ministers endorsed a draft Insurance Proclamation intended to strengthen the stability, fairness, and credibility of Ethiopia’s insurance market while improving regulatory oversight and protecting policyholders.
A draft Ethiopian Trade Policy was also approved for implementation. The policy seeks to improve domestic and international trade systems, diversify exports beyond agriculture, strengthen competitiveness, ensure product safety standards, and support local industries.
The meeting additionally approved a regulation revising the structure and powers of the Petroleum and Energy Authority to improve institutional efficiency.
Another regulation approved by the Council concerns transparency of beneficial ownership information for legal entities. Authorities stated that the regulation is aimed at strengthening efforts to combat money laundering and terrorist financing through improved implementation of existing laws.
The Council further endorsed a draft Food Systems and Nutrition Proclamation intended to address the social, economic, health, and environmental impacts of malnutrition through a coordinated institutional framework and sustainable resource allocation.
Finally, ministers approved a draft regulation governing government budget support for autonomous universities. The regulation introduces a block grant financing system intended to improve financial accountability, institutional self financing capacity, and equitable quality in higher education service delivery.
Most of the approved draft proclamations will now be submitted to the House of Peoples’ Representatives for legislative review, while several policies and regulations are set to take effect upon publication in the Federal Negarit Gazette.
The decisions come as Ethiopia continues implementing broad economic and institutional reforms aimed at restructuring state institutions, expanding private sector participation, and aligning national policies with international standards and development commitments.
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