Policy Bank Launches Interest Free Services


Policy Bank Launches Interest Free Services

President of the Development Bank of Ethiopia (DBE) Yohannes Ayalew (PhD) commenced lease financing through interest-free medium and short-term loans for agro-processing and tourism sectors last week. Yohannes announced that the Policy Bank is on its way to restoring its past glory, currently posting 180 billion Br in assets during the ceremony at Skylight Hotel. It was attended by senior executives from several commercial banks and officials, including State Minister for Finance Eyob Tekalign (PhD). Yohannes revealed that DBE had managed to bring down the proportion of its outstanding sick loans from 40pc four years ago to 7.1pc by implementing tight supervision on corruption and selection of investments. He also noted that the bank will expand the number of branches nationwide to 100 in the coming year. State Minister Eyob noted the underdevelopment of interest-free financing in the country while also advising the bank's officials to keep a tight grip on their current trajectory of financial inclusion. Deputy Vice President of the Ethiopian Islamic Affairs Supreme Council, Abdulkerim Bedredin (Sheikh), applauded the central role played by the new financing modality by expanding access to finance to the Islamic community.


Radar

Tech Ministry Falters as Audits Expose Mismanagement, Unmet Ambitions

The Ministry of Innovation & Technology is under scrutiny after an audit revealed lapses in project management and financial oversight. This raised questions about governance standards within a Ministry central to the country's tech-driven growth ambitions. According to the Federal Auditor General, the Ministry has completed only 11pc of its planned projects with its overall financial administration standing at 37.4pc for a year-long project that commenced in 2022. Budget mismanagement an...


Radar

Central Bank Keeps Lending Lid Tight as Inflation Squeezes Economy

The Central Bank has reaffirmed its decision to maintain an 18pc cap on credit growth, reinforcing a commitment to tighter monetary policy during persistent inflation and economic uncertainty. The National Bank of Ethiopia's (NBE) monetary policy committee cited ongoing concerns over inflation, which stood at 19.9pc year-on-year (YoY), and liquidity imbalances as reasons to uphold the restriction on lending. Bankers and analysts interpret this move as evidence of regulators' determination to...


Radar

Ethio Telecom Expands Services with DStv Streaming

Ethio telecom enters the entertainment pool with bundled DStv streaming services through high-speed broadband internet and mobile data packages. The partnership with MultiChoice Ethiopia aspires to merge the telecom's fiber broadband and mobile network with DStv's content. Subscribers can access DStv channels through mobile data or fiber broadband bundles, with discounts of up to 35pc through Telebirr or My Ethiotel (*999#) and up to 26.5pc at sales centers for fiber broadband bundles. Acc...