Banks Disburse 55b Br in Loans

Oct 24 , 2020

All of the banks in the country have disbursed 55 billion Br in loans over the first quarter of the current fiscal year, of which 85pc of it is pledged to the private sector. During the reporting period, the average lending rate of the banks stood at 14.3pc, while the average savings rate was recorded at eight percent. In the first quarter of this fiscal year, 105 million Br in new savings were mobilised, a six-fold rise compared to the same period of the previous year. After the central bank introduced new banknotes, a total of 1.2 million new bank accounts have been opened, mobilising a total of 37 billion Br. However, loan repayment has shown a decline due to the negative impacts of the Novel Coronavirus (COVID-19) pandemic, according to Yinager Dessie (PhD), governor of the central bank, which amended 47 laws in the past three months. The central bank has also issued a permit to the nation's first full-fledged interest-free bank -- ZamZam Bank. Currently, there are 16 operational private commercial banks and two-state owned banks.



Street vendors around the Shola area take a rest in the shades of the capital's newly planted trees. Upon reporting on its 10-month performance before Parliament, the Agriculture Minister, Girma Amentie indicated that up to 43pc of the arable land in the country has been rendered acidic. This requires large amounts of limestone to be imported from abroad; the tight forex crunch has not allowed the Ministry of Finance to fund the endeavour easily. Following the rallying call of the Prime Minister...



Residents of communal houses around the Weji area hang their clothes on the fences outside. Textile manufacturing accounts for 87pc of Ethiopia's products from industrial parks. Expulsion from the African Growth & Opportunity Act (AGOA) due to the war in the North resulted in Ethiopia being expelled from the preferential trade act. Most companies choosing to rent sheds within the industrial parks do so out of a desire to access the duty-free privileges provided for African countries. Ethiopi...



Vendors put traditional beauty products from the Somali Regional State for sale around Mexico area. In November of last year, the Ministry of Finance banned imported goods under 38 categories, including cosmetics, packed foods, and furniture, from accessing letters of credit. The move resulted in the tripling of costs for cosmetic items like lipstick and nail polish. As Ethiopia ran a 14 billion dollar merchandise trade deficit last year due to import bills hiking by 26pc , a tight clampdown on...