Awash Weathers Inflation, Rakes in 8.7b Br


Awash Weathers Inflation, Rakes in 8.7b Br

On its 29th annual general assembly, the 947-branch Awash Bank posted 8.7 billion Br in net profits. Held at Skylight Hotel, the Bank’s board of directors announced significant financial growth over the past year with deposits surging 24pc to 232.4 billion Br. With non-performing loans below the regulator’s 5pc requirement, sitting at 1.25pc, credit rose to 183.5 billion Br, up from 161.9 billion Br, with 24pc allocated to domestic trade and services, followed by exports at 16.6pc and building and construction at 16.4pc. As the first private bank to surpass the one billion dollar mark in forex receipts last year, Awash generated 1.52 billion in dollars. Total assets increased by 25.9pc to 282.4 billion Br with paid-up capital showing a 39pc increase to reach 20.3 billion Br. Tsehay Shiferaw, CEO, pointed to the challenges faced over the past year due to various factors. A significant issue was the nationwide drop in export earnings during the fiscal year as well as credit growth limitations and ensuing liquidity crunch owing to the Central Bank’s efforts to control inflation. He also noted concerns with heightened cybersecurity risks, as the country has seen an increase in cyberattack attempts, posing a serious threat to operations. Tsehay stated that the bank was able to withstand the challenges by crafting different strategies and has also become a shareholder in the Ethiopian Securities Exchange to the tune of 70 million Br in February 2024. Though earnings per share decreased from 577 Br to 487 Br, Tsehay said: "I believe it is still attractive." He also noted that personnel expenses of the bank have been emerging as the largest component of total expenses, increasing 47pc with double digit inflation to blame.

[ssba-buttons]

Radar

Fresh Push to Help Farmers Get Covered & Cash In

The Ministry of Agriculture has established the Rural Finance Service Unit (RFSU) to coordinate and expand agricultural insurance nationwide. Announced on Tuesday at the 2025 UNDP Financial Resilience in Agriculture Community of Practice forum (held at the UN Economic Commission for Africa headquarters), the RFSU is supported by UNDP, JICA, and other partners with funding from the Bill & Melinda Gates Foundation. Agriculture Minister Girma Amente (PhD) and State Minister Sofia Kassa attended...


Radar

Mission 300 Gains Momentum as Ethiopia Charts Path to Energy Equity

The Government has developed a National Energy Compact with the goal of achieving universal electricity access by 2030. The strategy, led by the Ministry of Water & Energy (MoWE), outlines Ethiopia's commitment to reaching 100pc energy access for its population within the next five years. According to State Minister for Energy Development Sector Sultan Woli, the compact was prepared in collaboration with key development partners, including the World Bank Group and the African Development...


Radar

Rammis Bank Commences Mobile Application, Card Banking Services

Rammis Bank has launched its mobile banking application and card services as part of its digital expansion drive. The "Rammis Mobile App" was officially introduced during a launch event held on Saturday at the Grand Eliana Hotel. The app allows users to transfer funds at any time, pay bills, top up mobile airtime, and send money to telebirr wallets for themselves or others. The newly introduced card service enables customers to withdraw cash from any ATM and make payments via Point of Sale (P...