Trade Ministry Suspends Khat Exports

Jul 9 , 2022

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.


Abyssinia Bank Taps to Digital Loan Solution

The Bank of Abyssinia (BoA) is moving forward to provide banking solutions facilitating microloans. The Bank has hired an Indian-based tech vendor Newgen Software Company, that bagged the international bid on December 22, 2022. Over 10 companies have shown interest in the bid floated by the bank four months ago. The solution provider has committed to completing the project in six months with Yonas Daniel, regional manager for Newgen, and Menbereselassie Gebrekidan, procurement director at Aby...



Bank of Abyssinia rolls out banking services on a truck around Meskel square in the capital. With less than half of Ethiopian adults having access to bank accounts, financial inclusion is a major issue. The central bank revealed in August 2022 that 8,944 commercial bank branches exist in the country. The 30 commercial banks currently in operation offer credit services to less than 400,000 customers charging an average of 17pc interest on asset-backed loans...



Left) Elias Woldu and Mesnbet Shinkute sign a Memorandum of Understanding on behalf of the Ethio-American and Addis Abeba Chamber of Commerce & Sectoral Association, respectively. Some estimates put the number of Ethiopian diaspora living abroad at over two million people, larger than the population of several small nations. Continued economic and political deprivation has forced many to leave the country for better opportunities. While migration to other countries is still high, the number...