EU Resumes Ethiopian Budget Support Amid Geopolitical Competition (euobserver.com)

• Reinstatement of €140m in direct budget support after five years.
• Strategic response to China's $10bn hydrogen investment in Ethiopia.
• EU pivot to maintain geopolitical influence in the Horn of Africa.

"The European Union is reinstating direct budget support to Ethiopia, providing €140 million after a five-year hiatus following the nation's civil war. This shift highlights a broader strategic pivot to counteract rising Chinese influence in the Horn of Africa. The move comes shortly after China announced a $10 billion investment in Ethiopian green hydrogen infrastructure, forcing the EU to prioritize economic development and diplomatic engagement to maintain regional leverage against intensifying non-European competition."