Norway to cut development aid to Ethiopia

August 30, 2007 (OSLO) — Ethiopia’s decision to expel six of nine Norwegian diplomats from the country means Ethiopia will lose around 30 million Norwegian kroner (NOK) in Norwegian development aid, Foreign Minister said.

Norwegian Foreign Minister Jonas Gahr Stoere told Aftenposten newspaper that “This isn’t a punishment, but a consequence of the fact that so many people at the Norwegian Embassy are being kicked out,” adding that will leave a staffing shortage at the embassy that will hinder its ability to handle foreign aid.

Ethiopia has ordered six Norwegian diplomats to leave the country by Sept. 15, expressing “dissatisfaction” with Norway’s conduct in the Horn of Africa region, the Norwegian foreign affairs minister said Monday 27 August.

On August 28, Stoere warned that the “sharp reduction in staffing” meant Norway might not be able to maintain development cooperation with Ethiopia at current levels, he said. Oil-rich Norway is one of the world’s biggest aid donors in per capita terms.

One of the diplomats’ most important jobs involved monitoring the use of aid funds that are sent through the embassy. The total amounts to around NOK 100 million (about USD 16 million) this year alone.

With only three diplomats left on the embassy staff, capacity to handle aid funding is sharply reduced, and the aid itself will be reduced as well.

Most of the aid Norway extends to Ethiopia is channeled through the United Nations, and it won’t be affected. Norway donated a total of NOK 268 million to Ethiopia last year.

Stoere wouldn’t say exactly what led to the expulsion, noting only that “we need to go through our experience.” He expects to meet his Ethiopian counterpart in New York next month, at the US General Assembly.

(ST)