Ethiopian Review

Addis Ababa — Oil import bills for the just-ended Ethiopian fiscal year dropped by 1.3 billion birr against that of the previous fiscal year, thereby helping the widening trade deficit to slightly narrow down during the review fiscal year, it was learnt.

Owing to a spike in world oil prices during the previous fiscal year ended June 7, 2008, the country’s oil import was able to reach a record high of over 15.5 billion birr, surpassing export incomes for the same period and for the first time in the country’s history.

With the sharp increase in the world oil price staying for months, the Ethiopian Petroleum Enterprise (EPE), the sole purchaser of the fuel for the country’s consumption, had originally earmarked about 23 million birr budget for fuel consumption for the concluded fiscal year.

Because of the fall in world oil prices afterwards, the oil import budget for the ended fiscal year had actually deflated to 14.3 billion birr, according to a data compiled by EPE.

Despite the 1.3 billion birr decrease in oil import bills for the ended fiscal year, the volume of fuel imported had picked up by 125,000 tonnes during the just-ended fiscal year. Export incomes for the concluded fiscal year have also slightly surpassed the oil import bills for the same year.

The volume of fuel to be imported for the current fiscal year will increase by 250, 000 tonnes while the bills are still expected to drop by some five percent.

EPE has allocated 13.5 billion birr for the fuel imports for the current fiscal year.

Currently, the Sudan Petroleum Corporation, Bakry International and Fal oil are supplying fuel for EPE.

- The Reporter