DBE II (DFC)

closed

The Second Development Bank of Ethiopia (DBE) Project will provide financing for medium and long-term credit for Ethiopian agricultural, and industrial development, and private investment. This project will consist of agricultural loans, industrial loans, coffee loans, lending policies and practices, and collection problems DBE admittedly has operated under difficult conditions whereby long established traditional ways of life militate against economic development. The state of development of the local private industrial sector, and the availability from abroad of long-term funds for limited investment opportunities, have contributed to DBE's historic inclination to make small loans, which, while socially popular, have been invalid and, in fact, largely economically unproductive. This project will greatly assist the economic development of Ethiopia.