Russia to cancel Ethiopia debt

(08/03/2007)

Russia will write off the remaining $160 million debt owed to it by Ethiopia, according to Moscow’s Ambassador.

Russian Envoy Michael Afanasiev said yesterday

“Ethiopian and Russian officials have conducted discussions, and have agreed on how best to cancel the remaining $160m debt which Ethiopia owed to the former Soviet Union.”

In 2005 Russia cancelled just over $1.1 billion owed to it by the Horn of Africa nation.

Trade between the two countries has been increasing in recent years, with Ethiopia exporting mainly flowers and coffee to Russia, which in turn, sells fuel, fuel products, vehicles and spare parts to Ethiopia.

ENDS