Gadaa Bank Inches Closer to Launch

Aug 7 , 2021


[ssba-buttons]

Gadaa Bank, one of dozens of banks in line to join the industry, held its first subscribers meeting last week after having raised 600 million Br in paid-up capital. Since it started selling shares at a par value of 1,000 Br in April 2019, Gadaa has recorded over 1.3 billion Br in subscribed capital from over 30,000 shareholders. A potential investor has to buy a minimum of 20 shares to take part in the venture. Charging shareholders a five percent service fee to cover operational expenditure, Gadaa's promoters have already spent upwards of 34 million Br. The meeting at the Skylight Hotel on August 5, 2021, was attended by Shimelis Abdissa, president of Oromia Regional State, and other senior officials. Enterprises and other business entities based in the Regional State hold a large stake in the Bank. The Oromia Public Enterprise Supervision Agency has pledged 100 million Br to buy shares, while it has already paid 25 million Br. The Oromia Construction Corporation has similarly bought 7.5 million Br worth of shares, subscribed for over 20 million Br more. The Oromia Agricultural Cooperative Federation has subscribed to 10 million Br worth of shares. Though promoters were unwilling to disclose when they expect the Bank to go operational, they stated Gadaa would be providing an interest-free banking window and need-based loans as part of its services. The Bank will also be headquartered in Addis Abeba.


Radar

Council Approves Nearly Two Trillion Dollars Budget for Upcoming Fiscal Year

The Council of Ministers has approved a draft federal budget nearing two trillion birr for the 2025/26 fiscal year, advancing it to Parliament for legislative review. Endorsed during it's recent session on Thursday, the proposal outlines allocations across recurrent and capital expenditures, regional transfers, and targeted investments directed at accelerating progress toward the Sustainable Development Goals (SDGs). Structured within the Medium-Term Macroeconomic and Fiscal Framework, the...


Radar

Milkii App Disburses 25 Million Br in Collateral-Free Loans in Two Months

Oromia Bank's new collateral-free digital lending app, Milkii, has disbursed 25 million Br in loans without requiring collateral. Of this, 16 million Br has already been repaid, generating 1.4 million Br in revenue within just two months. Developed in partnership with Quantum Technology PLC, the app plans to make lending more accessible and inclusive, aligning with Oromia Bank's contribution to the Digital Ethiopia initiative. According to a press release, Milkii promotes financial inclusi...


Radar

Ethiopia Partners with UK to Ease Shipping Bottlenecks

The Ethiopian Freight Forwarders & Shipping Agents Association (EFFSAA) and the British International Freight Association (BIFA) signed a memorandum of understanding (MoU) on May 27, 2025, at Hilton Hotel Addis Abeba, to address skills gaps, customs delays, and corridor inefficiencies in the freight and logistics sector. The partnership focuses on technical cooperation, training, and regulatory reform. With over 90pc of trade dependent on the Djibouti corridor, rising congestion, customs...