
Modern conflict mediation faces a growing structural mismatch between its current practices and the realities it aims to address, particularly in a fragmented geopolitical landscape. The Horn of Africa, for instance, is experiencing interconnected regional conflicts driven by cross-border networks, external intervention, and economic factors, as seen in Sudan where the war has become deeply entangled with regional rivalries. Contemporary conflicts are increasingly open-ended, sustained by political fragmentation, economic incentives, and geopolitical rivalry, with new warfare technologies like drones and AI-enabled systems changing the dynamics. Mediators often face the moral dilemma of engaging with violent actors, as experience suggests wars end when these actors are brought into a political process, however imperfectly. Many peace processes fail to engage with underlying realities like the 'political marketplace' where power is embedded in patronage and coercion. This has led to a paradox of more mediation but less peace, with multiple actors pursuing competing initiatives without strategic alignment. Modern mediation is characterized by a deficit of political strategy, coherence, and legitimacy, often becoming procedural rather than transformational. Additionally, mediation confronts the tension between peace and justice. While victims demand accountability, insisting on maximalist justice demands at the outset may sometimes prolong violence. The African Union Transitiona
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This summary was AI-generated from a story originally published by The Reporter Ethiopia.
Must ReadOver 4,000 participants have convened in Addis Ababa for the final conference of Ethiopia's National Dialogue, set to continue for several weeks. This event follows years of input collection by the National Dialogue Commission NDC, established in 2021 to foster reconciliation, build consensus, and guide the country towards sustainable peace. The NDC identified eight primary agenda pillars, including Nation-Building, State Structure, Governance Form, Political System, and Socio-Economic Issues, which will be deliberated in closed sessions by the participants. The outcome of these discussions is expected to result in a binding consensus next month. The opening ceremony was attended by senior government officials and members of the diplomatic community, with Prime Minister Abiy Ahmed emphasizing that dialogue is crucial for safeguarding Ethiopia's stability from internal and external threats. He urged all nationalities to listen to each other's questions, particularly Oromo and Amhara, to resolve issues and put Ethiopia on a concrete path. AU Political Affairs, Peace and Security Commissioner Bankole Adeoye and IGAD Executive Secretary Workneh Gebeyehu also highlighted the significance of the dialogue for regional stability and peace. Commissioner Melaku Woldemariam stated that the process belongs to all Ethiopians and requires broad public ownership, with no decisions made in advance. Former Nigerian President and African Union Special Envoy for the Horn of Africa, Olusegun Oba
Must ReadThe Ethiopian Petroleum Supply Enterprise EPSE is set to undergo a significant recapitalization of 286 billion Birr, as detailed in the fifth review of the IMF program. This allocation was approved by the Ministry of Finance on June 12 and authorized by the board of Ethiopian Investment Holdings EIH, chaired by the Deputy Prime Minister, on June 23. Approximately 170 million Birr will come from World Bank funds by the end of the 2025/26 fiscal year, with the remaining 116 billion Birr drawn from this year鈥檚 2.3 trillion Birr budget before March 2027. A temporary surcharge at pumping stations is expected to generate nearly 80 billion Birr, intended to clear outstanding claims on the Fuel Price Stabilization Fund and build EPSE's liquid assets to cover trade credit liabilities. The government aims to collect 176 billion Birr from fuel taxes and an additional 90 billion Birr from motor vehicle and accessories taxes this year. This recapitalization, equivalent to 1.3 percent of GDP, is part of a plan to transition to lower-cost sight payments for fuel imports, reduce reliance on deferred Letters of Credit, and eventually implement an automatic fuel pricing mechanism. Challenges in fuel import include reliance on two suppliers, logistical constraints from Red Sea ports, and high costs associated with spot market purchases. Despite recent improvements in supply and a moderate fall in prices, the IMF document highlights acute short-term financing pressures due to high fuel and ferti
Must ReadThe International Monetary Fund's fifth review of its program with Ethiopia highlights a policy shift regarding the National Bank of Ethiopia's NBE role in gold purchases and foreign exchange sales. Contrary to previous recommendations for an immediate exit, the IMF now states that the NBE's withdrawal from gold purchases will be gradual, acknowledging the significant liquidity injections these purchases create, particularly for the Commercial Bank of Ethiopia. The NBE plans to discontinue premium payments to gold miners by September 2026, coinciding with its recapitalization plan, and will develop a long-term exit strategy from the gold market by December 2026. This phased approach is linked to concerns about the parallel forex market. The IMF report also notes that chartered flights transport raw gold to Dubai, the primary refiner and importer of Ethiopian gold. The NBE spent approximately 350 billion Birr on gold purchases in 2025/26, more than double the previous year, and uses gold exports and forex auctions to manage liquidity and stabilize the forex market. The report also indicates strong export performance in the first half of 2025/26, driven by gold and coffee, which is expected to help narrow the goods trade deficit.