Trade Ministry Suspends Khat Exports

Jul 9 , 2022


[ssba-buttons]

The Minister of Trade & Regional Integration, Gebremeskel Challa, has put a temporary embargo on all khat export contracts while his experts "redress problems in the registration of contracts." A letter last week notified the central bank, the Ministry of Revenues, and the Customs Commission of the suspension. The move comes barely two months after the Ministry revoked the licenses of 830 khat exporters following investigations. Last month, the Minister decreed that exporters must present contracts with overseas buyers before being permitted to send their goods abroad. There are close to 1,000 exporters registered at the federal level. Trade authorities claim an alarming growth in ‘illicit trade’, including over-invoicing practices, pushed them to enforce the restrictions. Khat has been among the top-five revenue-generating export commodities since the early 2000s. It accounted for 11pc of the 3.6 billion dollars generated in 2020/21, with over 710,000tn shipped to Djibouti and Somalia – the biggest buyers.


Radar

AMG Holdings Breaks Ground on Industrial Rail Link to Ethio-Djibouti Railway

AMG Holdings has launched construction on a 2.5-kilometer railway connecting its Sheger Industrial Park to the Ethio-Djibouti Railway's Endode Station. The Ethiopian-led project comprises 1.7 Kms of main track and 800 meters of side rail. Chief Project Manager Engineer Nigist Hailu said the line is expected to be completed within six months, facilitating the transport of raw materials and finished goods to Djibouti's port. More than 100 local workers have already joined the project, with addi...


Radar

Ethiopian Deposit Insurance Fund Achieves Full Q1 Collection Target

The Ethiopian Deposit Insurance Fund collected 2.08 billion Br in the first quarter of 2025. This meets 100 percent of the target and represents a 26.83 percent increase compared with the same period last year. The rise in premiums was attributed to higher deposits from member financial institutions. To date, the fund has collected a total of 15.93 billion Br in premiums from member institutions, with 14.51 billion Br coming from regular deposits and 1.42 billion Br from interest-free depo...


Radar

Oromia Bank, Ethiopian Airlines Introduce Fly Now, Pay Later via Milkii Digital App

Oromia Bank's Milkii Digital App, launched on May 3, 2025, has introduced a “Fly Now, Pay Later” service that lets customers book Ethiopian Airlines tickets using digital loans, with payments spread over six months after travel with 16.5 interest rate and allows customers to book flights upto 300,000 Br. Developed in collaboration with Ethiopian Airlines, the platform is part of a broader effort to expand digital finance and simplify access to services. The initiative seeks to enhance conven...