Oromia Bank’s IFB Financing Surges to 7.5 Billion Birr as Deposit Hits 11.78 Billion

EBR_News Mar 18, 2026

Oromia Bank’s interest-free banking (IFB) financing has grown to 7.5 billion birr as of February 28, 2026, up from 4.5 billion birr in June 2025, a 67 percent increase in just eight months, while total IFB deposits rose from 10.2 billion birr to 11.78 billion birr during the same period, according to figures shared with EBR.

The IFB customer base expanded from 1.8 million to 2.1 million over the eight-month period, reflecting continued strong adoption of the bank’s Sharia-compliant banking services. The bank also distributed 3.75 million birr to six charitable organizations at the bank’s annual Ramadan charity program held on Tuesday at its headquarters.

The 1447th Ramadan charity program provided 1 million birr to Awoliya Relief and Development Organization, 750,000 birr to Al Amana Abdulfatah Foundation, and 500,000 birr each to Ihsan Foundation, Umut Islamic Charity Organization, Egeref Charity Organization, and Merba Khadem Islamic Association.

Asha Mohammed, Director of IFB Operations, stated that the bank has been running the annual charity program for four years, identifying those in need and supporting relief organizations. “As always, we will continue to share the joys and difficulties of the community and fulfill our responsibilities. As the bank cannot stand alone without the community, we are always committed to working with and supporting the community,” she said.

CEO Teferi Mekonnen emphasized that Oromia Bank is known for fulfilling its social responsibility and standing by those in need, in addition to providing efficient banking services. He said yesterday’s charity program demonstrates this commitment.

The IFB customer base grew 24 percent during the 2024/25 fiscal year, reaching 1,838,627 by June 2025. Borrowers increased to 575 by year-end. The latest figures showing 2.1 million customers as of February 2026 indicate continued strong adoption of interest-free banking services.

Oromia Bank pioneered interest-free banking in Ethiopia, establishing dedicated IFB branches nationwide and introducing unique savings products to promote a saving culture. The bank offers a diverse array of deposits, financing options, and banking products through its IFB window.

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