By Directive no. FXD/79/2022, The National Bank of Ethiopia (NBE) has reduced the amount of foreign currency available to banks and exporters.

Ethiopian banks are now to surrender 70% of their foreign earnings from export, remittance, and NGO transfers to the National Bank under the newly implemented 70-20-10 rule. This criterion was formerly restricted at 50%. (September 2021). This is a third amendment to the same directive since March 2021.

Exporters of goods and services and remittance recipients, on the other hand, have seen revenues drop from 40% to 20%.

The instruction has kept the percentage of earnings that must be surrendered to private banks at 10%, with the bank making payment to the customer at the prevailing buying exchange rate on the day the foreign currency is received.


The opinions expresses here in the post "NBE Foreign Currency Management New 70-20-10 Rule" are those of the individua's contributor(s) and do not necessarily reflect the views of Business Info Ethiopia , BIE Intelligence PLC, its publisher, editor, or any of its other contributors.


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