Quarter Year Remittance Foretell Growing Forex

Nov 12 , 2022

The remittance earned from the diaspora community has increased from the previous year. The earnings in the first quarter of the fiscal year have reached 1.3 billion dollars, showing a 25pc increase. The growth in remittance gave a signal to federal authorities that 5.2 billion dollars would be sent home by the end of the fiscal year. The IMF has recently made a disconcerting forecast that Ethiopia's foreign exchange reserves are enough to pay for the importers of 18 days. The 2017 UN reports show that Ethiopia has over one million diaspora communities worldwide. According to the Director General of the Ethiopian Diaspora Service, Mohamed Andris (PhD), over 2,000 "diaspora accounts" have been opened with a two million dollar deposit. A World Bank report shows remittances accounted for 0.4pc of Ethiopia's GDP two years ago. According to Wondwossen Girma, communications head of the federal Diaspora Agency, 175 million Br has been mobilised from the Diaspora to provide aid to the population in the war-affected areas, with a significant share of the inflow coming from the Middle East and North America. Over 24 million Br has been collected through bond purchases and gifts to finance the Great Ethiopian Renaissance Dam (GERD).


E-Consultation Portal Launched to Boost Stakeholder Engagement

An e-consultation manual and portal designed to enhance stakeholder engagement in the drafting of laws before their final ratification stage was launched last week. Developed by the Business Environment & Investment Climate (BEIC) project team, the platform operates under the oversight of the Justice and Technology ministries. It aims to improve transparency, efficiency, awareness, and effectiveness throughout the law formulation and enactment process. According to Belayhun Yirga, stat...


Trade Ministry Changes Guard

Prime Minister Abiy Ahmed (PhD) made a series of appointments last week, assigning Kassahun Goffe (PhD) as the new Minister of Trade & Regional Integration. Kassahun, who previously served as the State Minister, succeeds Gebremeskel Chala, who navigated the country through various trade reforms. The appointment comes amidst an export slump, as Ethiopia has faced major economic and political headwinds over the past few years. The Ministry reported a shortfall of 863 million dollars from it...


Ahadu Bank Savours First Taste of Profits

Ahadu Bank registered a 175 million Br gross profits in the ended year, turning around its financial performance. The two-year-old Bank established with 503 million Br in paid-up capital mobilised from 9,600 shareholders has also managed to double the figure to 1.03 billion Br. Ahadu's total assets have also nearly doubled to 6.3 billion Br, while its operating income soared to 1.15 billion Br from financial services for nearly 700,000 customers. It also expanded its branch reach across the c...