Cairo says the Ethiopian dam project, set to become Africa's largest, could diminish its share of Nile River waters, which provides almost all of the desert nation's water needs.
Ethiopia's parliament on last Wednesday debated the proposed budget, which would increase defense spending to $400 million, up from about $350 million. The parliament is scheduled to approve the budget on Thursday.
Getachew Reda, a spokesman for Hailemariam, insists the defense increase has nothing to do with the recent disputes with Egypt. Getachew told The Associated Press the increase corresponds to the country's growing economy.
On the other hand, Ethiopian Prime Minister Hailemariam Desalegn appointed 10 new ministers on Thursday 4th July, in his second cabinet reshuffle since taking office last year, including a new head of customs whose predecessor was arrested on corruption charges in May.
Hailemariam, 47, became prime minister in September after
the death of long-serving leader Meles Zenawi, one of Africa's most influential
political figures who ruled Ethiopia for 21 years and steered its economy into
double-figure growth.
So far Hailemariam has shown no sign of a major shift in
policy away from Zenawi, maintaining his predecessor's tight grip on the
opposition and focusing on business and the economy.
Ethiopia wants to boost its manufacturing sector and has
been wooing Asian economic powerhouses China and South Korea. It has carved out
large plots of land for construction of industrial centres.
In parliament, Hailemariam announced Beker Shale as
director general of Ethiopia's revenue and customs authority with the rank of
minister, following the dismissal of Melaku Fenta.
Melaku's arrest in May was the country's most
high-profile swoop against graft for more than a decade. He is one of dozens of
revenue officials and businessmen now facing trial for corruption.
Businesses in the region regularly complain of corruption
as an obstacle to their work. Transparency International ranks Ethiopia 113 out
of 176 nations worldwide in its 2012 perception of corruption index, where No.
1 is considered least corrupt.
That ranking puts Ethiopia above most nations in the Horn
of Africa and east Africa regions, although Rwanda is ranked 50.
Hailemariam also appointed Ahmed Abitew as minister of
industry, replacing Mekonnen Manyazwel, who will now head a task force on
economic planning.
"I have appointed the ministers because they have
demonstrated sound political leadership in their work," Hailemariam told
parliament before lawmakers swore in the officials.
Getachew Ambaye was named minister of justice and
Shiferaw Shigute education minister, while Belete Tafere took over the
newly-established ministry of environment and forestry.
The ministers of foreign affairs, finance, defence,
agriculture and federal affairs were all retained.
Hailemariam appointed two additional deputies and new
foreign and trade ministers in November.
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