cbe

USD
131.5086
134.1388
,
GBP
174.4955
177.9854
,
EUR
149.8277
152.8243
,
CHF
156.9823
160.122
,
SEK
13.4396
13.7084
,
NOK
12.8108
13.0671
,
DKK
19.7202
20.1146
,
DJF
,
JPY
0.8912
0.909
,
CAD
94.2697
96.1551
,
SAR
35.069
35.7703
,
AED
35.809
36.5252
,
INR
,
KES
,
AUD
83.7181
85.3925
,
ZAR
,
CNY
17.9542
18.3133
,
KWD
420.8198
429.2362

awash

USD
133.6519
136.3249
,
GBP
180.4378
184.0466
,
EUR
153.9701
157.0495
,
JPY
0.7905
0.8063
,
SAR
32.1647
32.808
,
AED
32.8522
33.5092
,
CAD
87.2003
88.9443
,
CHF
144.9619
147.8611
,
NOK
10.8368
11.0535
,
DKK
17.5364
17.8871
,
SEK
,
DJF
,
INR
,
KES
,
AUD
,
ZAR
,
CNY

abyssinia

abay

USD
132.9817
135.6413
,
GBP
180.9215
184.54
,
EUR
154.2986
157.3846
,
AED
36.2052
36.9293
,
ZAR
7.4811
7.6308
,
SAR
35.4561
36.1652
,
JPY
0.9125
0.9308
,
CHF
164.8669
168.1643
,
AUD
86.345
88.0719
,
CNY
18.5371
18.9079

zemen

CAD
98.1682
100.1316
,
EUR
155.892
159.0098
,
GBP
173.9501
177.4291
,
SEK
14.1236
14.4061
,
USD
133.9997
136.6797

buna

USD
133.8095
136.4857
,
EUR
154.9901
158.0899
,
GBP
178.2021
181.7661
,
AED
36.192
36.9158
,
SAR
35.7075
36.4217
,
CAD
94.006
95.8861
,
AUD
64.239
65.5238
,
JPY
0.94
0.9588

nib

USD
133.0428
135.7037
,
GBP
182.6013
186.2533
,
EUR
155.833
158.9497
,
CHF
166.5742
169.9057
,
CAD
97.403
99.3511
,
AED
36.2238
36.9482
,
SAR
35.4724
36.1818

berhan

USD
132.4685
135.1179
,
EUR
148.7035
151.6776
,
GBP
181.813
185.4493
,
CAD
96.9826
98.9222
,
AED
36.0674
36.7888
,
CNY
18.4705
18.8399

wegagen

dgb

USD
132.0724
134.7138
,
EUR
148.5321
151.5027
,
GBP
167.2316
170.5762
,
CHF
130.8214
133.4378
,
SAR
29.9468
30.5457
,
AED
35.8921
36.6099
,
CAD
79.1617
80.7449

enat

USD
132.8055
135.4616
,
EUR
149.6775
152.6711
,
GBP
174.6006
178.0926

ahadu

USD
133.6323
136.3049
,
GBP
174.1091
177.5913
,
EUR
147.0413
149.9821
,
CAD
94.4677
96.3514
,
SAR
35.0504
35.7514
,
AED
35.7909
36.5067

addis

USD
133.9991
136.6791
,
EUR
156.5853
159.717
,
GBP
183.263
186.9283
,
SAR
35.7274
36.4419
,
CHF
167.7715
171.1269
,
AED
36.4842
37.2139
,
KWD
0
0

dashen

USD
133.9746
136.6541
,
EUR
155.4105
158.5187
,
GBP
180.8657
184.483
,
CAD
87.6191
89.3715
,
AED
33.0095
33.6697
,
SAR
32.3187
32.9651
,
CNY
16.7944
17.1303

oromia

USD
133.9745
136.654
,
GBP
176.5248
180.0553
,
EUR
148.4303
151.399
,
CHF
168.0142
171.3745
,
SAR
35.7209
36.4353
,
AED
36.4775
37.2071

lion

USD
134.0414
136
,
GBP
180.27
183.8754
,
EUR
154.9538
158.0529

developmentbank

USD
132.3534
135.0005
,
GBP
181.2712
184.8966
,
EUR
155.1447
158.2475
,
CHF
165.9812
169.3008
,
SEK
13.9284
14.207
,
NOK
13.0986
13.3606
,
DKK
20.7959
21.2118
,
DJF
0.7413
0.7561
,
JPY
0.9177
0.9361
,
CAD
96.7708
98.7062
,
SAR
35.2886
35.9944
,
AED
36.0361
36.7568
,
INR
1.542
1.5729
,
KES
1.022
1.0425
,
AUD
86.4135
88.1418
,
SDR
181.7742
185.4096
,
ZAR
7.4501
7.5991
,
CNY
18.4743
18.8438
,
KWD
432.8089
441.465

coop

USD
132.3606
135.0078
,
GBP
168.331
171.6976
,
EUR
143.4649
146.3342
,
AED
32.994
33.6538
,
SAR
32.2674
32.9128

gadaa

USD
132.9932
135.6531
,
GBP
164.6856
167.6793
,
EUR
151.0773
154.0988
,
AED
33.7659
34.4412
,
SAR
33.0073
33.6674
,
CHF
134.1436
136.8265

hijra

USD
132.1301
134.7727
,
EUR
148.063
151.0242
,
GBP
173.3231
176.7895
,
SAR
35.8505
36.5675
,
AED
36.6058
37.3379

amhara

USD
134.6599
137.3531
,
GBP
184.8746
188.5721
,
EUR
157.7541
160.9092
,
CAD
98.6086
100.5808
,
AED
36.6691
37.4025
,
SAR
35.9055
36.6236

tsehay

USD
132.8509
135.5079
,
GBP
169.2591
172.6443
,
EUR
148.836
151.8127
,
CAD
89.6864
91.4801
,
SAR
33.3311
33.9977
,
AED
34.0606
34.7419
,
AED

tsedey

USD
133.9526
136.6316
,
EUR
158.2918
161.4576
,
GBP
184.6134
188.3057
,
AED
36.4675
37.1969
,
CHF
169.969
173.3684
,
SEK
14.2212
14.5057
,
NOK
13.3763
13.6738
,
DKK
21.2168
21.6412
,
DJF
0.7502
0.7652
,
INR
1.5668
1.5981
,
JPY
0.9373
0.9561
,
CAD
98.4945
100.4644
,
SAR
35.715
36.4293
,
ZAR
7.6161
7.7684
,
CNY
18.7038
19.0778
,
KWD
439.0028
447.7828
,
KES
1.0344
1.0551

siinqee

USD
132.7897
135.4455
,
EUR
152.015
155.0553
,
GBP
178.7173
182.2916
,
SAR
23.1262
23.5887
,
CHF
123.4786
125.9482
,
AED
36.3332
37.0599

hibret

USD
133.2001
135.8641
,
GBP
175.1027
178.6048
,
EUR
156.1372
159.2599
,
AED
36.2666
36.9919
,
CAD
97.3899
99.3377
,
CNH
18.5925
18.9644
,
CHF
148.0209
150.9813

gohbetoch

USD
133.9305
136.6091
,
EUR
152.412
155.4602
,
GBP
177.4716
181.009
,
AED
35.0447
35.7758

zamzam

USD
132
134.64
,
GBP
177.072
180.6134
,
AED
36.2533
36.9784
,
EUR
149.748
152.743
,
SAR
35.3367
36.0434
,
CAD
95.625
94.5375
,
CHF
160.185
163.3887

nbe

JPY
0.9361
0.9454
,
KWD
442.2143
446.6364
,
CNY
18.8636
19.0522
,
ZAR
7.5564
7.632
,
XDR
185.8444
187.7029
,
EUR
158.4622
160.0469
,
AED
36.835
37.2033
,
SAR
36.0709
36.4316
,
AUD
88.4104
89.2945
,
CAD
99.0464
100.0369
,
USD
135.2875
135.4483
,
KES
1.0447
1.076
,
INR
1.5817
1.5976
,
DJF
0.7577
0.7804
,
DKK
21.2392
21.4516
,
NOK
13.4303
13.5646
,
SEK
14.2729
14.4157
,
CHF
169.3846
171.0785
,
GBP
185.6821
187.5389

binance

USDT
159.8
159.09

Best Micro Financial Institutions (MFIs) in Ethiopia (2023)

micro financial institutionsmicro financial institutions

The not so low hanging fruit that’s worth its reach

The determined and motivated among us have all wondered “if I just get this amount of money, I could start this small business”, and “….this would be a great time to finance that child care business I always wanted”

That is where the micro financial institutions come in, with their accessible business model, a boon to poorer nations, and the motivated individuals that make some of them up.

 

 

What are MFIs (Micro Financial Institutions)? What do they do?

Microfinance is the ‘activity or business of providing financial services, such as small loans, to poor people or new businesses that cannot use traditional banking services, usually in developing countries, according to the Cambridge Business English Cambridge English dictionary micro financial institutions (MFIs), financial institutes apart from banks and insurance companies, generally aim to provide loans or micro-credits to low-income individuals, small businesses, entrepreneurs, and firms, as well as savings and insurance, to those who aren’t eligible for getting loans from banks. They serve a major purpose in poverty reduction, as such is essential to develop nations.

Since MFIs are considered high-risk operations, the interest rates are usually high, that’s the compromise of getting loans with little to no collateral. Easily accessible loans always come with certain caveats, as repayment conditions could be unforgiving. 

Microfinance does to the less financially secure individuals and households, what banks do to the financially well off. Which is elevates one’s economic status and improve the living conditions when assisting entrepreneurs to get their preferred business to take off.

What governs MFIs (Micro Financial Institutions) in Ethiopia?

The National Bank of Ethiopia (NBE) is the regulating authority for all types of financial institutions. As such the National Bank of Ethiopia “licenses, supervises and regulates the operations of banks, insurance companies and other financial institutions”. 

Accordingly, in relation to MFIs:

  • Ensures the safety and soundness of MFIs
  • Ensures their efficiency and compliance of MFIs with rules and regulations
  • Ensure protection of depositors.

As a licensing authority for financial institutions, thus, NBE sets the requirement needed from customers (MFIs) to get the service or approval of establishment, the primary one being that of licensing.

The National Bank of Ethiopia requires detailed requirements to launch micro financial institutions, which include:

  • Shareholders have to be Ethiopian nationals;
  • The minimum paid-up capital required is Birr 200,000;
  • Has to be established in the form of a share company;
  • 1/4th of the subscribed capital has to be paid and deposited in a blocked account; and
  • Copy of taxpayer registration number.

Association of Ethiopian Micro Financial Institutions (AEMFIs)

 

The Association of Ethiopian Microfinance Institutions (AEMFI), as indicated in their website was formed as a not-for-profit, non-governmental association of the Ethiopian microfinance institutions as defined by Proclamation No. 40/1996 under which microfinance institutions in Ethiopia are regulated by the National Bank of Ethiopia.

AEMFI was “…registered and licensed as such on 28th June 1999 by the Ministry of Justice of the Federal Government of Ethiopia.  The original goals were for it to serve as a platform for knowledge and information sharing, and lobby for political support for the development of an enabling environment for the business of microfinance.

The AEMFI states its mission “To effectively promote information exchange, facilitate enabling environment and build the capacity of Ethiopian microfinance system sustainably”

Since its formation, AEMFI’s goals and activities have broadened to include training, research, performance monitoring and benchmarking and provision of technical assistance.”

As noted on their website, in 2016 there were about 35 Micro Finance Institutes approved by NBE as well as being members of the Association of Ethiopian microfinance institutions (AEMFI).

They were distributed throughout the country, in all corners and administrative regions. Some MFIs based on their potential client focus and as their names indicates are regional in scope, while a number of them are based in Addis Ababa, for example

  • Amhara Credit and Savings Institution (ACSI) (Bahir Dar); 
  • Sidama Micro Finance Institution S.C. (Hawassa); 
  • Benishangul-Gumuz Micro Financing S.C. (Assosa);
  • Kalub Microfinance Institution S.C.(Jigjiga)
  • Nisir Microfinance S.C. (Addis Ababa);
  • Meklit Microfinance S.C. (Addis Ababa);
  • Oromia Credit and Saving Institution S.C. (Addis Ababa);
  • Poverty Eradication and Community Empowerment Microfinance Institutions S.C –PEACE (Addis Ababa);
  • Africa Village Financial services S.C –AVFS (Addis Ababa).

Benefits of Micro Financial Institutions (MFIs)

Some of the acknowledged benefits of microfinance institutions include:

  • providing economical values to the rural mass;
  • Linking capital to communities who lack access;
  • Serving as financial enablers to developmental goals;
  • Encouraging planning and saving;
  • Creating job opportunities; and
  • Offering loans of varied types collaborating with.Commercial Bank of Ethiopia (CBE)

From the little fried food stand and hole in a wall coffee house started via Microfinance loans, women in low-income classes have been benefitting by increasing incomes to their household.

Lately, in Addis Ababa, individuals take out loans of varying sizes from micro financial institutions, for automobiles to then work in the booming industry of Call up taxis or Ride hailing services some moonlighting and others as full time, to pay off their loans in due time and own the vehicle/asset.

Although the success rate of ambitious loans taken out by individuals could potentially leave them worse than they started, to default and for some indebted to insurmountable interests.  

At the very least, if not increase ones income and spending power, microfinance institutions could provide stability, which in one aspect is an antidote to the effects of poverty.

That, in the simple essence is the beneficial nature of Microfinance Institutions for individuals and households who strive for a better living.

Awash Bank

Awash Bank

7.6 Rating

15% Loan Interest

Banking and Services for micro finance institutions

School Tution Fee Collection Services

Lucy Women's Saving

Business Banking

Plenty of business banking choices

Commercial Bank of Ethiopia (CBE)

Commercial Bank of Ethiopia (CBE)

8.2 Rating

15.5% Loan Interest

Widely used Internet banking

Most bank with several branches and ATMs

Prize Linked Saving

CBE Birr CBE NOOR

For business