The National Bank of Ethiopia Announced That Its Getting Ready to Welcome Foreign Banks into Ethiopia's Financial Sector
The National Bank of Ethiopia announced that it has begun to prepare following the announcement of foreign banks to join Ethiopia’s financial industry.
Although it has been enforced since 2018, the Council of Ministers’ decision to globalize the banking industry has been in effect from September 2022. The National Bank of Ethiopia has since stated its position on the matter.
Mr. Solomon Sadha, the Deputy Governor for the Financial Institution Supervision at the National Bank of Ethiopia, stated that the bank is preparing in two stages.
Additionally, he stated that the bank had completed its work in the draft decree for the policy approved by the Council of Minister. The estimated effects of the sectors are considered in the final draft.
As part of the nation’s financial institution’s preparation to welcome foreign banks, experts are being trained to protect cyber security and make similar preparations. Mr. Solomon Sadha highlighted the presence of collaborative partnerships with foreign banking institutions.
Dr. Arega Shumate, Economist, said that the role of foreign banks joining Ethiopia’s financial sector is important for the country’s development. He continued by saying that the development of modern technology and a rise in job opportunities will improve the nation’s financial standing.
The entry of international banks into the nation’s financial industry is a fantastic chance for the country to showcase its favoured conditions. Lastly, he advised making the necessary preparations to maintain healthy market competition.