Central Bank Orders Banks Freeze Loans

Aug 12 , 2021

The National Bank of Ethiopia (NBE) has ordered commercial banks to suspend all collateral-based loans, an unexpected measure communicated to executives through text message on August 11, 2021.

The suspension includes the disbursement of loans that have already been approved.

The text messages did not specify how long the suspension is to last. Neither are officials at the central bank forthcoming to explain the rationale behind their abrupt measure. The decision was made to curtail "economic sabotage," according to senior government officials.

Private commercial banks disbursed loans totalling 121.2 billion Br in the 2019/20 fiscal year while collecting 93 billion Br in repayment over the same period.

Put your comments here

Share This Post

Facebook

Twitter

Google+

Cookie	Duration	Description
cookielawinfo-checkbox-analytics	11 months	This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional	11 months	The cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary	11 months	This cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others	11 months	This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance	11 months	This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy	11 months	The cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.

Central Bank Orders Banks Freeze Loans

Put your comments here

Related Posts

Most read

Latest News

Editor's pick

Commentaries

The Hidden Costs of "Slowbalisation"

Supreme Court Rattles the Foundations of Corporate Law

Fineline

Leaders of the National . . .

When the country’s most. . .

Editorial

Policy Espresso Demands a Strong Brew to Transform Negative Dynamic

Blundered CBE Plunders Privacy Naming, Blaming and Shaming for a Glitch's Recovery

Central Bank Tries Monetary Gymnastic Dodging Pitfalls, with the IMF as Its Reluctant Coach

Is Addis Abeba "Renewing" While Forsaking Its Soul ?

Gallery

Parliament Approves New Cabinet Members

Sunday With Eden

Silencing Inner Critic: One Size Does Not Fit All

Housing Control Law: Balancing Act or Quick Fix?

Life Matters

Modern Kids Call for Matching Parents

The Silent Money Drain

Drop us a message

COVID UPDATE

Central Bank Orders Banks Freeze Loans

Put your comments here

The Hidden Costs of "Slowbalisation"

Supreme Court Rattles the Foundations of Corporate Law

Leaders of the National . . .

When the country’s most. . .

Policy Espresso Demands a Strong Brew to Transform Negative Dynamic

Blundered CBE Plunders Privacy Naming, Blaming and Shaming for a Glitch's Recovery

Central Bank Tries Monetary Gymnastic Dodging Pitfalls, with the IMF as Its Reluctant Coach

Is Addis Abeba "Renewing" While Forsaking Its Soul ?

Parliament Approves New Cabinet Members

Silencing Inner Critic: One Size Does Not Fit All

Housing Control Law: Balancing Act or Quick Fix?

Modern Kids Call for Matching Parents

The Silent Money Drain

Drop us a message

COVID UPDATE

Recommend Links;