IGAD Opens a Bridge to Cross-Border Cooperation in Moyale

Oct 2 , 2023


[ssba-buttons]

To bolster the country’s logistics performance, the Intergovernmental Authority on Development (IGAD), along with the Regional Migration Fund (RMF), has inaugurated its cross-border development facilitation office in Moyale, the border between Ethiopia and Kenya. Dubbed the IGAD Moyale Field Cross-border Coordination Office, it is tasked to boost cooperation between the two countries and facilitate large-scale trade across the border. The inauguration ceremony was lauded by Workneh Gebeyehu, executive secretary of IGAD, as forging a common front to advance shared objectives. The country currently ranks 112th in logistics performance. The need to access additional logistics corridors marks a deliberate effort to reduce Ethiopia’s reliance on the Djibouti corridor, which presently handles an overwhelming 95pc of its transits. Ethiopian exports to Kenya accounted for 15.2 million dollars in 2021, according to Trading Economics. Kenya and Ethiopia share 861Km porous border that traverses across multiple regions on both sides;  Marsabit, Turkana, Waji, and Mandera Counties in Kenyan, and Borana and Dawa zones in Ethiopia. According to a United Nations report, the cross-border area is characterised by poorly developed physical infrastructure, depicting that all the development indices in the area are much lower than the national averages of other countries.


Radar

Amendment Expands Access for Foreign Traders

Foreign participation in Ethiopia's wholesale, retail, import, and export trade sectors has come under renewed focus as the Ethiopian Investment Board(EIB) approved a significant amendment to Directive No. 1001/2016  in its meeting on May 23, 2025. The amendment, proposed by the Ethiopian Investment Commission(EIC), focuses on refining the legal framework governing foreign investment in these sectors. The decision is part of a broader strategy to enhance the country's appeal as an investment...


Radar

NBE Sets Four Percent Ceiling on Foreign Exchange Fees

The National Bank of Ethiopia (NBE) issued a new foreign exchange market directive on May 20, 2025, that caps commercial banks' forex service fees at a maximum of four percent. Banks are instructed to adapt competitive, transparent, and streamlined pricing for all forex-related services. Effective May 26, 2025, total charges for purchasing foreign exchange whether for imports, service payments, or cash note purchases must not exceed the newly set limit. The directive also prohibits banks f...


Radar

SantimPay Launches Zero-fee Digital Remittance Platform

SantimPay has rolled out FrankRemit, first fully integrated, zero-fee digital remittance platform, in partnership with Bank of Abyssinia(BOA). The service smoothly connects all commercial banks and major mobile money providers, including Telebirr, M-Pesa, and CBE Birr which is a first of its kind in the country. FrankRemit is expected to revolutionise how the Ethiopian diaspora sends money home. Developed locally and tested over the past two weeks with successful transfers from multiple count...