National Bank Relaxes Currency Changeover Rules

Sep 27 , 2020

The National Bank of Ethiopia (NBE), the central bank, has allowed customers who want to redeem old notes worth over 100,000 Br to get service at any bank branch. The prior directive that was issued two weeks ago restricted the service to be provided only at the issue holding branches. Early last week, the central bank has amended three articles of the directive that was issued concerning currency demonetisation. The five-page directive stated that old notes redeemed for over 5,000 Br have to be effected through a bank account, transactions over 50,000 Br have to be done through banks, and banks have to report to the regulator bank and have to file a weekly report whenever they redeem over 100,000 Br. It also compels individuals with over 100,000 Br in cash to change the currency within a month. Power of attorney holders issued before September 14 can deposit into the account of individuals of companies, according to the latest amendment. The new amendment outlines that the weekly reports for the currency changes for over 100,000 Br have to be submitted every Wednesday. Two weeks ago, the central bank changed the colour and the security features of the 100 Br, 50 Br and 10 Br notes while introducing a 200 Br denomination. The old currency is set to be fully redeemed in three months.



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...