Ethiopian National Bank Sets Limits on Foreign Currency Purchases: Up to $10,000 for Travelers and Businesses

Ethiopian National Bank Sets Limits on Foreign Currency Purchases: Up to $10,000 for Travelers and Businesses The National Bank of Ethiopia has introduced new guidelines for acquiring foreign currency within the country, aimed at both Ethiopian nationals and foreign residents. These regulations, primarily geared towards facilitating travel-related needs, outline specific procedures and limits for individuals and businesses. Who Can Buy Foreign Currency? The guidelines specify that only Ethiopians traveling abroad or foreigners residing in Ethiopia are eligible to purchase foreign currency. This measure is designed to streamline the process for those who require foreign currency for legitimate travel purposes, including holidays, education, and medical trips. Required Documentation To buy foreign currency, individuals must present several key documents: Passport – A valid passport is essential. Legal Entry Visa – Proof of legal entry into Ethiopia is required. Air Ticket – The air ticket must indicate that the traveler is departing for a holiday, educational, medical, or other personal reasons. Currency Limits and Withdrawals Travelers can obtain up to 5,000 US dollars or its equivalent in cash or via debit card from authorized currency exchange offices. For those with foreign currency bank accounts, the withdrawal limit is set at 10,000 US dollars. Notably, Ethiopian residents are restricted from carrying more than 10,000 US dollars in cash per trip unless specifically approved by the National Bank. Business Travel and Special Cases Business travelers are also catered for under the new regulations. Individuals traveling on business, representing companies, charitable institutions, or religious organizations can purchase foreign currency. They must provide: A valid business license, Passport, Air ticket. The limit for business-related foreign currency purchases is capped at 10,000 US dollars or its equivalent, primarily for covering expenses like food, accommodation, and related costs. Exchange Procedures for Non-Residents and Tourists Non-resident foreigners and tourists have specific provisions for exchanging Ethiopian Birr into foreign currency. Without needing extensive proof, they can exchange up to 500 US dollars by presenting a passport, a valid visa, and an airline ticket. For amounts exceeding 500 US dollars, a certified bank document verifying the legal conversion of equivalent foreign currency into Birr is required. These guidelines by the National Bank of Ethiopia ensure a regulated and secure process for acquiring foreign currency, tailored to meet the needs of travelers, business representatives, and tourists, while maintaining the integrity of the country’s financial system.

Ermias Amelega Announces Revival of Access Realestate Projects at Nyala Motor Site

Ermias Amelega Announces Revival of Access Realestate Projects at Nyala Motor Site Addis Ababa, Ethiopia – Access Realestate, led by founder Ermias Amelega, has officially announced the resumption of construction and finishing activities at the Nyala Motor site. The project, which has been on hold for several years, includes eight blocks, each featuring a seven-floor plan. In his statement, Ermias Amelega highlighted the role of the city administration in expediting the project’s restart, particularly due to the corridor project’s facilitation. This support has allowed Access Realestate to accelerate the construction process, which had been delayed for a significant period. Of the eight blocks at the Nyala Motor site, five are nearing the exterior finishing stage, expected to be completed within two months. These blocks are projected to be fully completed within the next five months. The remaining three blocks will take up to nine months to finish. Ermias also announced that 300 houses would be handed over at the Nyala Motors site. He urged 145 owners to complete the outstanding payments promptly to facilitate the handover process. The initial price for these apartments was set at 900,000 birr. Addressing the status of other ongoing projects, Ermias noted that there is positive progress in collaboration with the city administration to reclaim banked site lands. Access Realestate plans to initiate construction on these remaining 18 sites by November, aiming to continue its commitment to delivering quality housing solutions in the region.

Ethiopia Lifts Foreign Currency Restrictions on Goods, Keeps Vehicle Limits”

Ethiopia Lifts Foreign Currency Restrictions on Goods, Keeps Vehicle Limits” The Ministry of Finance has announced that the foreign exchange restriction on certain items has been repealed, except for fully equipped domestic automobiles and three-wheeled vehicles classified under Article 87.03 of the Tariff Book, which remain restricted. It is recalled that the government imposed a ban on the use of bank foreign exchange for certain items, initially established by decision No 1/7/252 dated February 11, 2023, and amended by No./Po/29/16 dated July 5, 2024. The Ministry of Finance has confirmed that as of July 28, 2024, the ban on fully equipped domestic automobiles and three-wheeled vehicles classified under Article 87.03 of the Tariff Book, as well as the restriction on foreign exchange for the rest of the items, has been lifted.

Lijinet Launches: A New YouTube Channel Bringing Ethiopian Culture to Kids

Lijinet Launches: A New YouTube Channel Bringing Ethiopian Culture to Kids ‘Lijinet,’ a newly launched YouTube channel, offers a unique and engaging platform for Ethiopian children, blending entertainment and education in an interactive format. The channel’s name, meaning ‘childhood’ in Amharic, reflects its focus on content that is both culturally relevant and educational. Selamawit Mindaye, the founder of ‘Lijinet,’ was inspired to create the channel after noticing a lack of locally produced content that aligned with her children’s culture and language. She explained, “The fact that my kids were not able to find content created locally that aligns with their culture and local language was the reason I started ‘Lijinet.’ It took us three years to get where we are today.” Her vision extends beyond digital content creation, aiming to establish ‘Lijinet’ as a kids and family brand. In collaboration with Book Dash, ‘Lijinet’ features a series of animated African folktales. These stories are designed to reflect the everyday experiences of children with their families, friends, and environment, providing not only entertainment but also imparting important moral lessons and values. In addition to storytelling, ‘Lijinet’ introduces children to the Ethiopian alphabet and the ancient language of Ge’ez through interactive videos. This segment aims to promote linguistic diversity and cultural heritage by making learning about one of the oldest spoken and written languages accessible and engaging. The channel also includes a variety of brain teasers, riddles, and mind games designed to stimulate cognitive development and problem-solving skills in a fun and interactive way. Additionally, ‘Lijinet’ offers a do-it-yourself arts and crafts segment, encouraging creativity and hands-on learning. ‘Lijinet’ aims to provide a comprehensive educational experience, merging traditional storytelling, language learning, and creative activities. It seeks to foster intellectual and creative development while making the learning process enjoyable for children. Parents and educators looking for an educational yet entertaining resource for children may find ‘Lijinet’ to be a valuable addition. The channel is now available for subscription on YouTube.

NBE’s New Forex Rules: 10 Key Points to Know as Birr Drops 30%

NBE’s New Forex Rules: 10 Key Points to Know as Birr Drops 30% Ethiopia’s National Bank Issues Comprehensive Foreign Exchange Directive Amid Currency Devaluation The National Bank of Ethiopia (NBE) has released a new directive aimed at regulating the foreign exchange market, introducing measures to enhance transparency, stability, and competitiveness. The directive, titled “Foreign Exchange Directive No. FXD/01/2024,” outlines comprehensive regulations affecting banks, authorized dealers, and businesses engaged in foreign currency transactions. This move comes in the wake of a significant currency devaluation. The Commercial Bank of Ethiopia reported a buying rate of 74 and a selling rate of 76 birr per 1 USD, marking a 30% devaluation within a day. This sharp depreciation has heightened the urgency for clearer and more stringent controls in the foreign exchange market. Key Highlights of the Directive Broad Scope and Application:The directive applies to all foreign exchange-related activities in Ethiopia, including the purchase, sale, transfer, borrowing, lending, and exchange of foreign currencies. It mandates that these transactions must comply with the new regulations to ensure financial stability. Participants in the Foreign Exchange Market:Banks and authorized foreign exchange dealers are designated as key players. The directive outlines their roles, including setting exchange rates, handling foreign exchange transactions, and ensuring proper documentation and reporting. Non-bank entities, such as independent forex bureaus, are also permitted to participate under strict guidelines. Determination of Exchange Rates:Exchange rates can be freely negotiated between banks and their clients. The NBE will issue a daily indicative exchange rate based on transactions reported by banks, serving as a reference but not as a mandatory transaction rate. Foreign Exchange Retention Accounts:Exporters are required to repatriate foreign exchange earnings, converting a specified portion into Ethiopian Birr while retaining the remainder in foreign exchange retention accounts. These accounts allow exporters to use foreign currency for specific purposes, such as paying for imports or servicing external debt. Regulation of Capital Account Transactions:The directive imposes restrictions on capital account transactions, including the repatriation of investments and acquisition of external loans. Only transactions explicitly authorized by the NBE are permitted, with detailed requirements for documentation and approval processes. Foreign Currency Accounts for Residents and Non-Residents:Guidelines are set for opening and managing foreign currency accounts for residents, non-residents, and foreign entities. The directive details the types of accounts available, the currencies that can be held, and the conditions under which these accounts can be operated. Forex Bureau Operations:Both bank-affiliated and independent forex bureaus are covered under the directive, which stipulates licensing requirements, operational standards, and transaction limits. The directive aims to ensure that these bureaus operate transparently and effectively. Service Payments and Receipts:It covers foreign exchange transactions related to services, such as education, healthcare, and travel, requiring banks to verify the authenticity of documents and ensuring that payments align with Ethiopian regulations. Penalties and Reporting Requirements:Strict penalties are imposed for non-compliance, including fines and operational restrictions. Banks and authorized dealers are required to maintain detailed records and report regularly to the NBE, ensuring transparency and accountability. Miscellaneous Provisions:The directive includes special allowances for specific sectors, such as industrial parks, and sets cash transaction limits to prevent illegal financial activities. It also provides guidelines for the treatment of foreign exchange transactions related to international remittances and the use of foreign payment instruments. This comprehensive directive is a significant effort by the Ethiopian government to stabilize its foreign exchange market, promote economic growth, and secure financial stability in the face of recent currency fluctuations. The NBE emphasizes that these measures are critical for fostering a transparent and competitive financial environment in Ethiopia.

Ethiopia Implements Market-Based Exchange Rate System

Ethiopia Implements Market-Based Exchange Rate System Ethiopia Implements Market-Based Exchange Rate System Addis Ababa, July 2024 – The Ethiopian government has announced the implementation of a market-based exchange rate system, marking a significant shift in the country’s economic policy. This change is part of the broader Home-Grown Economic Reform Program (HGER 2.0), aimed at modernizing the economic framework and addressing long-standing structural issues. Transition to Market-Based Exchange Rate The new exchange rate system aims to align the Ethiopian currency with market realities, addressing foreign exchange shortages and removing constraints on economic growth. The government anticipates that this move will enhance the competitiveness of the Ethiopian economy by encouraging private sector investment and stabilizing inflation. Part of Broader Economic Reforms This policy shift is one of several measures under HGER 2.0, which includes reforms in fiscal policy, public sector capacity building, and the investment climate. The program’s main pillars focus on establishing a resilient macroeconomic policy framework, transforming the trade and investment environment, and increasing productivity. Potential Economic Impact The introduction of the market-based exchange rate system is expected to improve the efficiency of government revenue collection and create a more favorable environment for both domestic and foreign investment. It also aligns with the government’s efforts to attract new development financing from international organizations such as the World Bank and the International Monetary Fund. Stakeholder Engagement and Response The Ethiopian government has committed to transparent communication and engagement with stakeholders throughout the implementation of these reforms. The policy change has garnered attention from various sectors, reflecting a broad interest in the country’s economic trajectory. As Ethiopia continues its economic reform journey, the market-based exchange rate system represents a key component of the government’s strategy to foster sustainable growth and economic stability. The response to this announcement, including that from Dr. Eyob Tekalign Tolina on social media, highlights the significance of this policy shift in the broader context of Ethiopia’s economic development. 3 COMMENTS yonas July 28, 2024 At 8:25 pm First and Foremost, Ethiopia needs privatization of land to prosper. First and Foremost, Ethiopia needs privatization of land to prosper. Abyot July 29, 2024 At 5:05 pm Its a shabby argument. Its just a poor attempt to whitewash a gross neglect & abuse. This report is disingenuous.To be honest it’s bad economics being flaunted. Generally poor leadership is to account for a failed economy & no fix is works while a raging civil war is ravaging & hemorrhaging the economy. The quick fix is to curtail the heavy bill of war. What’s discussed here is ignorance of the highest level. Attempting to fill aleaking bucket is nothing but futile. Its a shabby argument. Its just a poor attempt to whitewash a gross neglect & abuse. This report is disingenuous.To be honest it’s bad economics being flaunted. Generally poor leadership is to account for a failed economy & no fix is works while a raging civil war is ravaging & hemorrhaging the economy. The quick fix is to curtail the heavy bill of war. What’s discussed here is ignorance of the highest level. Attempting to fill aleaking bucket is nothing but futile. Demerew July 29, 2024 At 5:56 pm Its a shabby argument. Its just a poor attempt to whitewash gross neglect & abuse. This report is disingenuous.To be honest it’s bad economics being flaunted. Generally poor leadership is to account for a failed economy & no fix works while a raging civil war is ravaging & hemorrhaging the economy. The quick fix is to curtail the heavy bill of war. What’s discussed here is ignorance of the highest level. Attempting to fill aleaking bucket is nothing but futile. You pitifully failed to address the other side, that’s why you lost the argument. Its a shabby argument. Its just a poor attempt to whitewash gross neglect & abuse. This report is disingenuous.To be honest it’s bad economics being flaunted. Generally poor leadership is to account for a failed economy & no fix works while a raging civil war is ravaging & hemorrhaging the economy. The quick fix is to curtail the heavy bill of war. What’s discussed here is ignorance of the highest level. Attempting to fill aleaking bucket is nothing but futile. You pitifully failed to address the other side, that’s why you lost the argument. Comments are closed.

Ethiopian Shipping and Logistics Reports 8.8 Billion Birr Profit, Exceeding Targets by 32%

Ethiopian Shipping and Logistics Reports 8.8 Billion Birr Profit, Exceeding Targets by 32% Ethiopian Shipping and Logistics (ESL), a major player in the transportation and logistics sector, has reported significantly higher profits than anticipated for the 2023/24 budget year. Berisso Amallo, CEO of ESL, announced that the company’s income surged past projections by 12.7%, culminating in a revenue of over 57 billion birr. The company demonstrated remarkable financial performance, generating earnings of 8.8 billion birr, a 32% increase over the targeted 6.7 billion birr. This impressive growth was attributed to various strategic initiatives and an uptick in global trade activities that boosted ESL’s operational efficiency and market reach. In terms of foreign currency earnings, ESL reported a substantial revenue of USD 415 million, surpassing the projected USD 356 million by 16.6%. This increase highlights ESL’s expanding influence in international logistics and shipping, reinforcing its position as a key contributor to Ethiopia’s economic growth. CEO Berisso Amallo credited the company’s success to a combination of strategic planning, enhanced service delivery, and a responsive adaptation to market demands. He emphasized that ESL’s achievements are a testament to the company’s commitment to excellence and its pivotal role in facilitating Ethiopia’s international trade. Looking ahead, ESL plans to continue leveraging its strengths and exploring new opportunities for growth, aiming to further solidify its standing in the logistics industry. The company’s outstanding performance not only reflects its operational capabilities but also underscores its importance in the broader economic landscape of Ethiopia.

NINJA 2024 Acceleration Program Announces Final Six Startups Heading to GITEX Dubai

NINJA 2024 Acceleration Program Announces Final Six Startups Heading to GITEX Dubai The NINJA 2024 Acceleration Program has revealed the six startups selected to participate in its prestigious three-month program, culminating in a showcase at GITEX Dubai. This year’s finalists include Kabba Transport, Marakisoft Technologies Pvt.Ltd.Co, DrongoERP, FutureX Educational Consultancy, Tewos Technology, and Waza Addis Trading plc. The announcement highlights the program’s ongoing commitment to nurturing innovation and entrepreneurship in Africa, providing these startups with mentorship, resources, and the opportunity to connect with global investors and industry leaders. The selected startups, led by entrepreneurs Blen Hailu, Ne’ud Tesfay, Melat Belayneh, Selam Teklehaimanot, Alemayehu Seifu, and Sinework Yerefu, represent a diverse range of industries and innovative solutions. Their participation in the NINJA program is set to accelerate their growth and visibility on the international stage. Supported by the Japan International Cooperation Agency (JICA) and the Ministry of Innovation and Technology of Ethiopia, the NINJA program is a key initiative in promoting investment and development in Africa’s burgeoning startup ecosystem. Stay tuned as these trailblazing startups embark on their exciting journey to GITEX Dubai, a significant platform for technology and innovation. #StartupJourney #InvestInAfrica

Ethiopian Airlines Takes Over Gorgora Resort Management

Ethiopian Airlines Takes Over Gorgora Resort Management Ethiopian Airlines has officially taken over the management of Gorgora Resort, which will now operate under the Ethiopian Skylight Hotel brand. This significant development was announced during a formal agreement ceremony held at the Ethiopian Skylight Hotel today. Ceremony Highlights and Attendees The event saw the presence of key dignitaries, including Arega Kebede, the President of the Amhara Region, along with other senior officials from the region. Ethiopian Airlines was represented by its Chief Business Officer, Ato Lema Yadecha, alongside other company executives. Strategic Vision for Hospitality and Tourism The decision to entrust the management of Gorgora Resort to Ethiopian Airlines is part of a broader strategy to enhance the hospitality and tourism sectors within the region. By leveraging the expertise and resources of Ethiopian Airlines, the resort is expected to see improvements in service quality, operational efficiency, and overall guest experience. This move aligns with Ethiopian Airlines’ vision to diversify its portfolio and strengthen its presence in the hospitality industry. Expansion of Resort Management Portfolio In addition to Gorgora Resort, Ethiopian Airlines has recently taken on the management of several other prestigious properties. These include the Halala Kela Resort, Wonchi Eco Lodge, and Chobera Churcura Elephant Dana Lodge, all of which were developed under the Gebeta Le Hager Project. This project aims to promote tourism and conservation efforts in Ethiopia by creating high-standard, eco-friendly resorts that showcase the country’s natural beauty and cultural heritage. Commitment to Sustainable Tourism The management takeover of these resorts signifies Ethiopian Airlines’ commitment to contributing to the economic development of Ethiopia through the promotion of sustainable tourism. The airline’s involvement is expected to bring a higher level of professionalism and international standards to these establishments, attracting both local and international tourists. Overall, Ethiopian Airlines’ expanding role in the hospitality sector reflects its strategic efforts to diversify its business operations and support the broader economic goals of the nation. The airline’s extensive network and brand reputation are anticipated to significantly boost the profile and appeal of the Gorgora Resort and other properties under its management, fostering a more vibrant and sustainable tourism industry in Ethiopia. 1 COMMENT Ethiopian Airlines Takes Over Gorgora Resort Management - Ethio Diaspora Hub Service July 24, 2024 At 10:50 am […] Click her to learn more […] […] Click her to learn more […] Comments are closed.