Identifier
Created
Classification
Origin
09ADDISABABA904
2009-04-21 12:11:00
UNCLASSIFIED
Embassy Addis Ababa
Cable title:  

ETHIOPIA: REPORT ON FISCAL TRANSPARENCY

Tags:  ECON PGOV ET 
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VZCZCXRO5092
RR RUEHROV
DE RUEHDS #0904 1111211
ZNR UUUUU ZZH
R 211211Z APR 09
FM AMEMBASSY ADDIS ABABA
TO RUEHC/SECSTATE WASHDC 4459
INFO RUCNIAD/IGAD COLLECTIVE
RUEHBJ/AMEMBASSY BEIJING 0525
RUEHLO/AMEMBASSY LONDON 3347
RUEHFR/AMEMBASSY PARIS 1877
RUEAIIA/CIA WASHINGTON DC
RUEPADJ/CJTF HOA
RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUEWMFD/HQ USAFRICOM STUTTGART GE
RHMFIUU/HQ USCENTCOM MACDILL AFB FL
RUEKJCS/JOINT STAFF WASHINGTON DC
RHEHAAA/NSC WASHDC
RUEKJCS/SECDEF WASHINGTON DC
RUEHBS/USEU BRUSSELS
UNCLAS ADDIS ABABA 000904 

SIPDIS

STATE FOR EEB/IFD/OMA JULIA JACOBY

E.O. 12958: N/A
TAGS: ECON PGOV ET
SUBJECT: ETHIOPIA: REPORT ON FISCAL TRANSPARENCY

REF: STATE 28885

SUMMARY
-------

UNCLAS ADDIS ABABA 000904

SIPDIS

STATE FOR EEB/IFD/OMA JULIA JACOBY

E.O. 12958: N/A
TAGS: ECON PGOV ET
SUBJECT: ETHIOPIA: REPORT ON FISCAL TRANSPARENCY

REF: STATE 28885

SUMMARY
--------------


1. (SBU) This cable presents post's response to reftel
questions on Ethiopia's fiscal transparency and direct USG
foreign assistance. END SUMMARY.


2. (SBU) The Government of Ethiopia (GoE) is poised to
receive U.S. foreign assistance using FY 09 funds. While the
overwhelming majority of U.S. foreign assistance to Ethiopia
will not be channeled through, or benefit, the central
government, the following types of assistance are directed at
the central government. Post continues to support technical
assistance to the Ministry of Trade to support the GoE,s
accession to the WTO. We plan to continue an ongoing
capacity building program aimed at improving the operations
of Parliament as well as another with the Supreme Court that
will bolster judicial independence. International Military
Education and Training (IMET) will provide instructors for
the Ethiopian Defense Command and Staff College and Foreign
Military Financing (FMF) will provide assistance to the
Ethiopian military to enable it to participate in
international peacekeeping operations.


3. (SBU) Ethiopia's budget information is regularly published
and disseminated at the direction of the government. The
budget and its details are available in hard copy in the
newspaper Negaritte Gazette and on the internet at the
Ministry of Finance and Economic Development
(www.moafed.org/budget.asp). However, Ethiopia does not have
specific laws or regulations governing the public disclosure
of revenues and expenditures in national budgets. There are
no independent auditors of government budget data, so
information is taken at face value.


4. (SBU) The bulk of the data published by the GoE is
accurate and all official revenues and expenditures are
included in the published budget. However, there are some
questions surrounding the methodology that the GoE employs to
aggregate and present its fiscal data. For example, there
continues to be a number of extra-budgetary and parastatal
institutions, such as the endowment companies formed when the
current regime took power, whose budgets are not included in
the national budget. Additionally, revenue-generating public
institutions (such as state-owned Ethiopian Airlines) are not
included.


5. (SBU) Ethiopia does not report to the IMF on their
compliance with standards and codes covering fiscal
transparency.






YAMAMOTO

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