Ethio Telecom Hikes International Call Rates by 658% Amid Rising Costs

Ethio Telecom Hikes International Call Rates by 658% Amid Rising Costs Ethiopia’s state-owned telecom provider, Ethio Telecom, has announced a significant tariff increase across its services, citing rising operational expenses due to the country’s new floating exchange rate policy implemented two months ago. Range of Services Affected The new tariffs impact mobile services, fixed and wireless broadband, international calls, Telebirr transfers, and SMS. Ethio Telecom explained that the sharp devaluation of the Ethiopian Birr (ETB) has drastically inflated its costs, especially for imported technology, international bandwidth, and equipment—most of which are paid for in foreign currencies. Rising Costs Due to Exchange Rate Changes “The recent changes in the exchange rate have drastically inflated our costs, particularly for infrastructure and international services, making it unsustainable to maintain our current tariffs,” the company stated. Ethio Telecom highlighted that the tariff adjustments are critical to ensuring the company’s sustainability in the face of these mounting costs. Affordability Maintained for Low-Value Packages Despite the overall increase, Ethio Telecom has made efforts to keep certain popular low-cost packages affordable. Daily packages priced at 3 and 5 birr, the 1 birr/hour offer, as well as student and night packages, remain unchanged to minimize the impact on consumers with limited budgets. Significant Increases in International Calls and Transfers The most significant changes are in international call rates, which have surged by up to 658%, and Telebirr transfers to banks, which have also seen a sharp increase. Ethio Telecom attributes these increases to the rising costs of infrastructure and services that rely on foreign currencies for equipment and maintenance. Voice and Data Services See Price Adjustments For voice services, the pay-as-you-go (PAYG) option has seen a 20% price increase, while data PAYG remains unchanged at 0.20 birr per MB. Data packages have increased by an average of 18%, and voice packages by 37%. Additionally, the cost of a SIM card has increased to 85 birr, but the unlimited monthly mobile data package remains the same. 2 COMMENTS Tofik Hassen Ahmed October 3, 2024 At 11:49 pm I need national id card,previously I was given the finger print and face,why lates NID? I need national id card,previously I was given the finger print and face,why lates NID? Mohamed osman awale October 4, 2024 At 9:20 am I need for new license I need for new license Comments are closed.

Ethiopian Communications Authority Introduces New License Fees for Internet and Telecom Service Providers

Ethiopian Communications Authority Introduces New License Fees for Internet and Telecom Service Providers The Ethiopian Communications Authority has issued a new directive, setting out license fees for companies applying to become internet service providers (ISPs), with costs reaching up to five million birr. The directive, issued under Communication Service Decree No. 1148/2011, also mandates that licensed companies pay an annual service charge of 1% of their gross income. According to the newly introduced Communication Service License and Management Fee Guidelines, applicants looking to offer data center services must pay a license fee of 500,000 birr and contribute 0.5% of their annual revenue to service fees for a 10-year license. Entities seeking to provide call center, value-added telecommunication, or virtual internet services on a one-year basis will be charged a license fee of 35,000 birr. In addition to internet services, companies that obtain ISP licenses will also be eligible to provide data center, call center, and other telecommunications infrastructure services. Similarly, data center providers can expand their services to include value-added telecom offerings such as call centers. The directive further specifies a structured licensing system for various telecom service equipment, with fees required for devices such as mobile phones, fax machines, POS terminals, and mobile WiFi routers. The new regulations outline clear guidelines for the licensing process in Ethiopia’s growing telecommunications sector. 3 COMMENTS Letera berhanu October 4, 2024 At 11:26 pm I appreciate your ideas and am ready to work I appreciate your ideas and am ready to work Awash Luel October 5, 2024 At 6:17 am I hate ethiotelecom but we don’t have alternative to access I hate ethiotelecom but we don’t have alternative to access Ethiopian Communications Authority Introduces New License Fees For Internet And Telecom Service Providers - ALE HIG ⚖️ አለ ሕግ October 7, 2024 At 8:13 am […] Ethiopian  Communications Authority has issued a new directive, setting out license fees for companies applying to […] […] Ethiopian  Communications Authority has issued a new directive, setting out license fees for companies applying to […] Comments are closed.

National Bank of Ethiopia Allocates $175 Million to Support Foreign Exchange Market

National Bank of Ethiopia Allocates $175 Million to Support Foreign Exchange Market Addis Ababa, October 3, 2024 – The National Bank of Ethiopia (NBE) has announced a major allocation of $175 million to the foreign exchange market, aimed at supporting fuel-related import payments over the coming months. This move is expected to help alleviate pressure on foreign exchange needs, particularly for the Ethiopian Petroleum Supply Enterprise (EPSE), the nation’s primary importer of fuel and related products. Governor Mamo Mihretu highlighted that Ethiopia’s foreign exchange reform has delivered promising results, with a marked reduction in the parallel market premium from nearly 100% to below 5%. This improvement has been driven by a strong supply response in exports and remittances, as well as increased availability of foreign exchange for businesses. The $175 million allocation is part of a broader strategy designed to address foreign exchange demands in critical sectors, particularly fuel imports, while ensuring broader access for other economic areas. The governor also mentioned that the NBE will continue periodic foreign exchange allocations throughout the year depending on market conditions, in line with Ethiopia’s new foreign exchange regime. This measure reflects the government’s ongoing efforts to stabilize the foreign exchange market and foster a favorable environment for importers and businesses across Ethiopia.

Ethiopian Airlines Group and ETTE Sign MoU to Develop Ethiopia’s First Duty-Free Mall

Ethiopian Airlines Group and ETTE Sign MoU to Develop Ethiopia’s First Duty-Free Mall Addis Ababa, October 3, 2024 – Ethiopian Airlines Group and Ethiopian Tourist Trading Enterprise (ETTE) have entered into an agreement to establish Ethiopia’s first duty-free mall. The two entities signed a memorandum of understanding (MoU) to collaborate on the development of a facility that aims to offer an international shopping experience, featuring luxury brands and local products. The mall will be designed to provide a high-quality retail and leisure environment, targeting travelers and visitors. It is expected to contribute to the country’s aviation and tourism sectors by enhancing services and promoting Ethiopia’s cultural heritage through local offerings. This development marks a step toward strengthening Ethiopia’s presence as an aviation and tourism hub in Africa, with the project set to be located near Bole International Airport. Both Ethiopian Airlines and ETTE view this collaboration as a significant opportunity to boost economic activity and create a destination for international shoppers and local consumers alike. 1 COMMENT Makolemahommmed October 4, 2024 At 4:52 pm Makole mahommed ahomed onile ጨዊታ Makole mahommed ahomed onile ጨዊታ Comments are closed.

Ethiopian Airlines to Launch Five New International Destinations, Including Australia, This Fiscal Year

Ethiopian Airlines to Launch Five New International Destinations, Including Australia, This Fiscal Year Ethiopian Airlines, Africa’s largest aviation group, is set to expand its international reach by adding five new flight destinations in the current fiscal year, including plans to fly to Australia within the next two years, according to the airline’s Chief Executive Officer. This move is part of the airline’s ongoing efforts to strengthen its global service and fleet size. The CEO highlighted that Ethiopian Airlines, a leader in African aviation, is working towards an ambitious goal of generating $25 billion in annual revenue by 2035. The plan includes transporting 67 million passengers per year. In the previous fiscal year, Ethiopian Airlines successfully launched flights to five international destinations. The CEO also revealed that the new destinations for the 2024 fiscal year will include Amsterdam (Netherlands), Monrovia (Liberia), Port Sudan, and Dhaka (Bangladesh), among others. Currently, Ethiopian Airlines operates flights to all continents except Australia, with plans underway to commence services there within the next two years. With a fleet of 147 aircraft, Ethiopian Airlines services 139 international and 22 domestic destinations. The airline continues to explore options for fleet expansion, including leasing arrangements, to ensure comprehensive and convenient travel options for its customers. 4 COMMENTS Sidamo Elilo Mamo October 3, 2024 At 5:20 pm Please, Dear, CEO ETH. Airlines grps and Transport ministr of Ethio.Price of domestic flights is not fair for the Ethiopians, we Ethiopians are not able to afford the fee. So for the nations of country, the Air line should make a litle discount. Other wise, the air line established to serve the high class economic grps only. Multi National October 5, 2024 At 1:30 pm More locals will be able to afford travel soon, as Multinational investments are pouring in an unprecedented level. The average pay will increase dramatically, as Multinational big business start competing for the best skilled labor. Develop your skills, be the best at what you do Please, Dear, CEO ETH. Airlines grps and Transport ministr of Ethio.Price of domestic flights is not fair for the Ethiopians, we Ethiopians are not able to afford the fee. So for the nations of country, the Air line should make a litle discount. Other wise, the air line established to serve the high class economic grps only. Multi National October 5, 2024 At 1:30 pm More locals will be able to afford travel soon, as Multinational investments are pouring in an unprecedented level. The average pay will increase dramatically, as Multinational big business start competing for the best skilled labor. Develop your skills, be the best at what you do More locals will be able to afford travel soon, as Multinational investments are pouring in an unprecedented level. The average pay will increase dramatically, as Multinational big business start competing for the best skilled labor. Develop your skills, be the best at what you do Zewedu Gebremicheal October 4, 2024 At 7:16 pm It’s a great progress keepon doing It’s a great progress keepon doing Akash Hall October 7, 2024 At 6:14 am Airport staff are very rude, you get no help if you ask them a direction. Please train your staff properly Ethiopian Airlines. Thanks Airport staff are very rude, you get no help if you ask them a direction. Please train your staff properly Ethiopian Airlines. Thanks Comments are closed.

National Bank of Ethiopia Grants Licenses to Five Non-Bank Foreign Exchange Offices

National Bank of Ethiopia Grants Licenses to Five Non-Bank Foreign Exchange Offices Addis Ababa, September 30, 2024 — The National Bank of Ethiopia (NBE) has officially granted operating licenses to five independent, non-bank foreign exchange bureaus. This move is part of the NBE’s strategy to expand foreign exchange services and improve access to foreign currency transactions across the country. The NBE recently issued a directive to promote the establishment of private, non-bank foreign exchange bureaus alongside those affiliated with traditional banks. This initiative is aimed at enhancing the country’s foreign exchange earnings and providing broader access to these services for businesses and individuals alike. According to the NBE’s announcement, the following five private foreign exchange bureaus have met the required criteria and have been granted licenses to operate under Subsection 4.2 of the NBE Foreign Exchange Directive: Dugda Fidelity Investment PLC Ethio Independent Foreign Exchange Bureau Global Independent Foreign Exchange Bureau Robust Independent Foreign Exchange Bureau Yoga Forex Bureau These newly licensed foreign exchange bureaus are now authorized to operate independently of banks, allowing for more flexibility and competition in the market. The NBE believes this will contribute to more efficient foreign currency transactions, fostering a more dynamic economic environment. The National Bank highlighted that this decision aligns with broader efforts to develop the country’s foreign exchange capacity and modernize the financial sector. It also marks a significant step toward improving Ethiopia’s foreign exchange market infrastructure by encouraging innovation and competition among service providers. The NBE has committed to continued monitoring and evaluation of these bureaus to ensure compliance with national foreign exchange guidelines and maintain the integrity of the country’s financial systems. For more information or inquiries, the public can contact the National Bank of Ethiopia or visit its official website. 3 COMMENTS Ittu Aba Farda October 2, 2024 At 10:22 pm The situation in the old country is getting weirder and weirder. In one part of the country, there is a bloody conflict that disrupted the economy of the area and the area next to it has a booming economy. For example, in western part Oromia and in parts of Wellega, the economy has been in shambles for more than 4 years now. But in several areas nearby the economy is still functioning very well. The same scenarios exist in the Amhara region also. If you look at the regional level you can hear a pin drop and the economy is booming red hot in Somalia region while next door in Oromia things are not so rosy. What a strange country!!! The situation in the old country is getting weirder and weirder. In one part of the country, there is a bloody conflict that disrupted the economy of the area and the area next to it has a booming economy. For example, in western part Oromia and in parts of Wellega, the economy has been in shambles for more than 4 years now. But in several areas nearby the economy is still functioning very well. The same scenarios exist in the Amhara region also. If you look at the regional level you can hear a pin drop and the economy is booming red hot in Somalia region while next door in Oromia things are not so rosy. What a strange country!!! The situation in the old country is getting weirder and weirder. In one part of the country, there is a bloody conflict that disrupted the economy of the area and the area next to it has a booming economy. For example, in western part Oromia and in parts of Wellega, the economy has been in shambles for more than 4 years now. But in several areas nearby the economy is still functioning very well. The same scenarios exist in the Amhara region also. If you look at the regional level you can hear a pin drop and the economy is booming red hot in Somalia region while next door in Oromia things are not so rosy. What a strange country!!! The situation in the old country is getting weirder and weirder. In one part of the country, there is a bloody conflict that disrupted the economy of the area and the area next to it has a booming economy. For example, in western part Oromia and in parts of Wellega, the economy has been in shambles for more than 4 years now. But in several areas nearby the economy is still functioning very well. The same scenarios exist in the Amhara region also. If you look at the regional level you can hear a pin drop and the economy is booming red hot in Somalia region while next door in Oromia things are not so rosy. What a strange country!!! Brukti October 4, 2024 At 8:00 am Very good Very good Huka October 6, 2024 At 12:00 am The Ethiopian National Bank Doing for Benefits of some group rather than the Ethiopian Citizens. The Ethiopian National Bank Doing for Benefits of some group rather than the Ethiopian Citizens. Comments are closed.

Dr. Emebet Melese Takes Charge as President of the Ethiopian Development Bank

Dr. Emebet Melese Takes Charge as President of the Ethiopian Development Bank Dr. Emebet Melese was appointed as the President of the Ethiopian Development Bank. It has been reported that Dr. Emebet Melese, who was recently appointed as the President of Nib Bank, has now been appointed as the President of the Ethiopian Development Bank. According to a letter written by the Minister of Finance on September 29, 2024, and received by Capital, Dr. Emebet’s appointment as President of the Development Bank took effect on October 9, 2024. It is known that Dr. Emebet previously served as Vice President of Strategic Planning and Transformation at the Commercial Bank of Ethiopia before becoming President of the Development Bank. It should also be noted that Dr. Yohannes Ayalew, who led the policy bank for the past four years, resigned from his position for personal reasons and was recently appointed as the CEO of Amhara Bank.

Commercial Bank of Ethiopia Introduces VAT on Financial Services Amid World Bank-Supported Bailout

Commercial Bank of Ethiopia Introduces VAT on Financial Services Amid World Bank-Supported Bailout The Commercial Bank of Ethiopia (CBE) has introduced value-added tax (VAT) on various financial services as part of its efforts to comply with the government’s new tax laws and raise revenue. The VAT increase, effective from October 1, 2024, is linked to broader economic reforms impacting Ethiopia’s financial sector. This move comes at a critical time for CBE, which is facing growing financial challenges due to the recent floating of the Ethiopian birr and its exposure to non-performing loans from state-owned enterprises (SOEs). The introduction of VAT on banking services is one of several measures the bank is adopting to strengthen its financial position and absorb the impact of currency fluctuations. World Bank’s USD 700 Million Bailout Central to CBE’s stabilization efforts is a USD 700 million support package from the World Bank, provided under the Financial Sector Strengthening Project (FSSP). This funding is part of a broader recapitalization and restructuring plan for the bank. The aim is to reform CBE, making it a commercially viable entity that can operate independently from government influence and compete in a more open financial market. “The USD 700 million from the World Bank under the FSSP will be used for recapitalization and continued support of the reform and restructuring of CBE. This includes a focus on governance and risk management, ensuring CBE can operate as a sound, viable, and commercially oriented bank at arm’s length from the government,” states an IMF document published this week. The introduction of VAT on CBE’s services will help raise revenue to support these reforms and address legacy issues, including the bank’s exposure to bad loans from underperforming SOEs. Currency Float and Its Impact on CBE The floating of the Ethiopian birr has significantly impacted CBE’s financial situation. The exchange rate surged from around 56 birr to over 80 birr per US dollar, leading to a sharp increase in the bank’s foreign exchange-denominated liabilities. As a result, CBE has had to adjust its services and pricing to cope with these rising costs. The introduction of VAT is one such adjustment, intended to bolster revenue and mitigate the impact of the currency devaluation. Prime Minister Abiy Ahmed (PhD) addressed the importance of reforming CBE as part of Ethiopia’s broader economic reform efforts. The Prime Minister pointed out that CBE has been burdened with billions of birr in loans provided to government projects, many of which were delayed or never completed. Without recovering these loans, CBE faces financial risks that could jeopardize its future. “In all negotiations with the IMF and World Bank, one of the bones of contention was CBE. CBE has provided billions in loans for government projects that could not be finalized on time. It is in a precarious position. Unless it collects the loans, CBE will close down. When we talk about Ethiopia’s ongoing economic reform, we are talking about CBE,” said Prime Minister Abiy. SOE Debt and CBE’s Restructuring CBE’s financial troubles are also tied to its historical role in lending to SOEs, many of which have struggled to repay their debts. The Liability and Asset Management Corporation (LAMC), established in 2021, was created to absorb nearly 400 billion birr in SOE debt, including debts owed to CBE. However, the Corporation’s total liabilities have since grown to more than 540 billion birr as of June 2023. With the help of the World Bank and the Ethiopian government, CBE is undergoing extensive restructuring to address these financial challenges. The introduction of VAT on banking services, alongside other tax measures, is part of this effort to improve the bank’s capital position and ensure its long-term sustainability. 1 COMMENT Ittu Aba Farda October 2, 2024 At 12:40 am There is another alarming news that came out of the Middle East this afternoon. The war has now expanded involving Iran where it has begun raining missiles on Israel. I am terribly concerned now because both Israel and Iran are armed beyond conventional long range missiles. It may not end with just a few casualties. Tens of thousands and possibly millions could perish. The air may end up being contaminated with deadly chemicals and radiations covering the entire region including the Horn of Africa. This will not be just the usual bar brawl. It is going to be the deadliest war since WWII. You have to remember that those who rule Iran are as fanatics and fatalistic as their Wahhabi counterparts. In their twisted mind they believe that they will go straight to heaven if they die fighting Israel or America. They don’t give a fig about the collateral damage their demonic action would cause. For them, if millions of innocent civilians perish, so be it. I’m now very concerned knowing that present day world does not have the U Thant’s of 1962. Let’s hope and pray that the Iranian people will be able to free themselves from these fanatics and join the peace mongering people of the world. There is another alarming news that came out of the Middle East this afternoon. The war has now expanded involving Iran where it has begun raining missiles on Israel. I am terribly concerned now because both Israel and Iran are armed beyond conventional long range missiles. It may not end with just a few casualties. Tens of thousands and possibly millions could perish. The air may end up being contaminated with deadly chemicals and radiations covering the entire region including the Horn of Africa. This will not be just the usual bar brawl. It is going to be the deadliest war since WWII. You have to remember that those who rule Iran are as fanatics and fatalistic as their Wahhabi counterparts. In their twisted mind they believe that they will go straight to heaven if they die fighting Israel or America. They don’t give a fig about the collateral damage their demonic action would cause. For them, if millions of innocent civilians perish, so be it. I’m now very concerned knowing that present day world does not have the U Thant’s of 1962. Let’s hope and pray that the Iranian people will be able to free themselves from these fanatics and join the peace mongering people of the world. Comments are closed.

Ethio Telecom Announces New Tariff Adjustments Effective Tomorrow

Ethio Telecom Announces New Tariff Adjustments Effective Tomorrow Ethio Telecom, the state-owned telecom provider, has announced that tariff adjustments for certain products and services will take effect starting tomorrow, Meskerem 21, 2017 E.C. (October 1, 2024). According to the company, the upcoming price revisions are structured in a way that will not impact the majority of the population. Ethio Telecom also emphasized that the changes align with their goal to promote fairness and digital inclusivity. While the company has revealed that 22 packages will remain unaffected by the price changes, they have yet to disclose the specific percentage of adjustments or the exact services that will be impacted. The move comes as a response to the fluctuating exchange rates of foreign currencies in the market, which has influenced the company’s decision to implement these tariff adjustments on selected products and services. 1 COMMENT Fahmii Mahmaad September 30, 2024 At 11:58 pm Okay thanks Okay thanks Comments are closed.