Policy Bank Injects Private Sector Finance


Policy Bank Injects Private Sector Finance

Finance availed for the private sector to accelerate industrialisation by policy bank has significantly increased, according to President Yohannes Ayalew. The Development Bank of Ethiopia (DBE) has significantly increased the finance availed for the private sector to accelerate the country’s aspiration of industrialization, DBE President Yohannes Ayalew said. The president said the bank’s approval last year was 22 billion Br with a disbursement of 11 billion Br. He said the plan is to approve 30 billion Br and disburse 24 billion Br. Yohannes said that all the money goes to the private sector with no finance left to the public sector. He noted the significant decline in non-performing loans from close to 40pc to 10pc in the span of two years. He stated that the foreign exchange availability challenge has not limited the Bank because of the support from government and development partners with the capital soaring from two billion Br to 37 billion Br. The bank has been making a profit of close to four billion Birr in a year for the last two years, making it a sustainable institution. He stated that all the money is going to investment in agriculture, industry and SMEs, increasing productivity, import substitution, and export promotion. "The Development Bank of Ethiopia is making a significant contribution to the economy,” said Yohannes. Beer

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