Betegbar Yaregal

#EBR_News Oct 15, 2026

Ethiopian investors with at least Br10 million in capital will be able to buy into the Dangote Petroleum Refinery initial public offering (IPO) through Ethiopian depository receipts priced at Br74.90 per share.

The Ethiopian Securities Exchange (ESX) and Dangote Industries Limited presented the arrangement at an investor roadshow in Addis Ababa on Thursday. ESX Chief Executive Yodit Kassa described the offering as a first for the Ethiopian market.

Ethiopian Capital Market Authority (ECMA) Director General Dagmawit Shiferaw told EBR that qualification requires at least Br10 million, excluding a car and a home, held in a bank account for the past six months. She said banks and insurance companies can also participate.

Under current arrangements the offer is limited to qualified investors. ECMA’s notice on Tuesday capped the number of investors at 100 unless the Authority grants approval. Dagmawit said the cap may soon be updated, which could allow more investors to join.

Peter Ashade, chief executive of United Capital, explained how the process works. Investors first register interest and complete an application form that meets ECMA rules and know-your-customer checks.

Applications are pooled and submitted as a single block through a nominee arrangement in Nigeria. Investors pay only after allotment is announced, within two working days, rather than upfront. Peter said this is unusual in African markets. Dividend arrangements are being worked out with the parties involved.

A depository receipt is a certificate issued locally that represents a share held abroad. Each receipt represents one Dangote share, which a nominee holds in Nigeria. A custodian in Ethiopia will receive the shares, and the receipts will be issued to successful investors.

According to the presentation, the joint distributors, United Capital, CBE Capital and Wegagen Capital, will then seek ECMA and ESX approval to list the receipts, which would trade in line with the Nigerian share price.

Listing therefore remains subject to regulatory approval. Peter also said Kenya and Botswana are following similar routes.

According to the offer terms presented, Dangote Petroleum Refinery and Petrochemicals FZE is selling 4.1 billion new shares at ₦525 each, a base offer of ₦2.15 trillion (about $1.6 billion). Group Chief Financial Officer Murat Arden said ten shares cost about $3.7.

The offer is fixed-price and can rise to ₦2.80 trillion with a 30 percent over-allotment option, which Reuters has put at up to $2.1 billion. The shares will list on the Nigerian Exchange’s (NGX) main board. The offer terms say the proceeds will fund a second refining train, taking capacity from about 700,000 to 1.4 million barrels a day.

Presenting management accounts, Murat said the refinery earned $22.5 billion in revenue in the first nine months of 2026, about 2.5 times last year’s. EBITDA, a measure of operating profit, reached $5.5 billion, including $2.9 billion in the third quarter alone, against $2.6 billion for the whole first half.

Murat reported profit after tax of $4.7 billion, cash of $6.7 billion, operating cash flow of $3.7 billion and a net margin of 21 percent. The numbers are unaudited.

Asked by EBR whether the profits can last, given reports that the refinery has benefited from the Middle East disruption, Peter said demand within Africa would sustain the business “either there is war in the Middle East or not.”

Aliko Dangote said orders have already exceeded the target more than fourfold, but too few come from African investors. That is why the closing date moved from 13 to 27 October. Peter said, citing information from the Dangote team, that almost 51 of Africa’s 54 countries are taking part in some form.

Dagmawit said the aim is to widen access over time. ECMA and Nigeria’s regulator have begun alignment talks, and retail investors, more issuances and a broader range of products could follow as regulatory cooperation advances.

Temi Popoola, Group Managing Director of NGX, said the deal should be seen as a test of cross-border investing rather than simply a capital raise. He said foreign exchange and market infrastructure have long hindered such links, and noted that NGX is a strategic investor in ESX.

Dangote also tied the offer to the group’s Ethiopian plans. He said investment here has reached about $5 billion, covering a 3-million-tonne fertiliser plant at Gode, 140 megawatts of power generation, a new cement plant and a cement plant acquired from the government.

He said a Djibouti–Ethiopia fuel pipeline with a tank farm was launched about ten days ago. He said the group intends to sell at least 10 percent of the Ethiopian fertiliser business on ESX.

Speaker of the House of Peoples’ Representatives Ahmed Shide said the partnership between Ethiopian Investment Holdings and Dangote covers both the Gode complex and the Djibouti pipeline. He stressed that investor protection must go hand in hand with market development.

The offer closes on 27 October. Whether Ethiopia becomes a genuine venue for African securities depends on ECMA and ESX approving the receipt listing, and on whether the qualified-investor limits are relaxed. If Dangote follows through on the fertilizer listing, ESX would also gain its first large locally generated issuance.

Betegbar Yaregal

#EBR_News Oct 15, 2026

Ethiopia is now the only country among six post-pandemic debt restructuring cases tracked globally that has yet to complete its bond exchange, according to the Global Sovereign Debt Roundtable (GSDR) 7th co-chairs progress report released on 14 October in Bangkok. 

The report says that apart from Ethiopia, every other case now involves only residual commercial creditors, leaving the country as the last one still waiting to close its Eurobond deal.

The contrast with its peers is stark. According to the report’s table, Zambia, Ghana, Sri Lanka and Suriname all closed their bond exchanges between November 2023 and December 2024.

Ethiopia, which asked for debt treatment under the G20 Common Framework in early 2021, still shows no closing date. 

The report also lists its credit ratings as Caa3 at Moody’s, SD at S&P and RD at Fitch. These are default-status grades, whereas Ghana is rated Caa1, B- and B+ by the same agencies and Zambia Caa2, CCC+ and B-.

Yet the report also shows Ethiopia moving fast in other areas. It took 2.1 months from staff-level agreement to IMF programme approval, the quickest of all six cases, against 5.2 months for Ghana and 10.5 for Chad. 

Eleven of 14 bilateral agreements with official creditors on the Official Creditor Committee (OCC) have been finalized, a higher completion rate than Ghana (16 of 25), Zambia (10 of 16) or Sri Lanka (9 of 17). The delay, in other words, is concentrated in the private bondholder track.

That track has been bumpy. Bloomberg reported in January that an initial deal proposed a 15 percent haircut on Ethiopia’s $1 billion Eurobond, on which it defaulted in December 2023. According to the Finance in Common lab, official creditors rejected that deal, and bondholders turned down a revised offer in May. 

Ethiopia reached a new agreement in principle on 29 June, and the Ministry of Finance announced on 21 August that the OCC found it consistent with comparability of treatment, the rule that private lenders must bear a burden similar to that of official lenders. 

The report says this deal and other agreements cover about 75 percent of Ethiopia’s external commercial debt. The Finance in Common lab notes the package includes a “New Money Warrant”, which official creditors have flagged as a risk to watch.

Ethiopia is also pushing to shape what comes next. National Bank of Ethiopia Governor Eyob Tekalign (PhD) told the GSDR that new applicants should get a streamlined process with a clear timeline, according to the central bank’s social media post. He called for better creditor coordination and early caps on advisory fees. 

He also urged a rethink of rigid eligibility criteria for post-restructuring countries whose ratings remain temporarily impaired, a point that bears directly on Ethiopia’s own position.

The stakes extend beyond bondholders. According to the report, the World Bank has committed close to $16 billion to Ethiopia since fiscal year 2021, over half on grant terms, with net flows above $17.3 billion, and the IMF completed the fifth review of Ethiopia’s programme in July. 

The Paris Club said on 28 July that it now publishes tables tracking bilateral agreement signings, including for Ethiopia, and will update them regularly. 

With Senegal now seeking Common Framework treatment, which the report calls a major test of recent improvements, Ethiopia’s experience is likely to shape how future cases are run.

The report said that domestic debt was among the first topics discussed at the GSDR. The first Cochairs Progress Report noted the complexities and trade-offs, which are different from external debt restructurings. 

There should be no presumption ex ante about the inclusion or exclusion of domestic debt from the restructuring perimeter. 

The analysis should be data-driven and country-specific, taking into account the impact on financial stability, growth, social cohesion and ultimately debt sustainability. 

Betegbar Yaregal

#EBR_News Oct 13, 2026

Ethiopia’s origin-and-destination air passenger traffic is forecast to grow almost sixfold between 2025 and 2045, one of the strongest rates in Africa, according to Airbus’s latest Global Market Forecast (GMF 2026). 

The European manufacturer presented the outlook at a press conference at the Skylight Hotel in Addis Ababa on 13 October.

Across the continent, Africa will need 1,640 new passenger aircraft over the next 20 years, made up of 1,310 single-aisle and 330 widebody jets, Airbus said in a press release. Passenger traffic to, from and within Africa is expected to almost triple, growing at 4.9% a year.

That would make Africa the world’s second-fastest growing aviation market after Asia, the company said.

Ethiopia is expected to outpace the continent. Antonio Da Costa, Airbus’s Vice President for Market Analysis and Forecast, told the audience that Ethiopian traffic is projected to expand by 9.3% a year, almost twice the African average. 

The strongest growth is expected in domestic and intra-African travel, he said. According to the press release, yearly trips per person in Ethiopia are forecast to rise by 150% by 2045, compared with 100% in Nigeria and South Africa.

Airbus links the outlook to demographic and economic trends. The press release says Africa’s population will rise by 720 million to more than two billion by 2045, its middle class will grow by 180 million, and real GDP will expand by 4.0% a year. 

The forecast comes at a difficult time for airlines. Alberto Blanco, Head of Marketing for Commercial Aircraft for Africa and the Middle East, said jet fuel prices more than doubled after the conflict in the Middle East and remain high. Da Costa said African traffic is still growing at 7.1% this year, against 2% to 3% in other regions.

Airbus expects the African fleet to expand sharply. Da Costa said single-aisle aircraft operated by African carriers would rise from about 490 at the end of last year to more than 1,600, and widebodies from 160 to about 310. Around 90% of the single-aisle demand is for growth rather than replacement. 

Latest-generation aircraft are forecast to make up 65% of the region’s fleet by 2035, up from 30% in 2025, which Airbus says will improve efficiency and cut fuel burn and emissions.

In an interview with EBR, Da Costa said the new Bishoftu International Airport confirms Airbus’s outlook, because growth of this scale makes a bigger airport sensible.

He added that Airbus sees potential in Ethiopian Airlines’ maintenance, repair and overhaul (MRO) business, and that it would be “delighted” to expand its manufacturing footprint in Ethiopia, citing the country’s skilled workforce.

He gave no commitment or timeline. Airbus already has manufacturing centers in Tunisia and Morocco.

Ethiopian Airlines, Africa’s largest A350 customer, still has about 17 A350-900s to receive, according to the airline’s fleet summary, including six ordered at the Dubai Airshow in November 2025, as Airbus announced at the time. 

Asked by EBR about the delivery schedule, Da Costa declined to give dates, saying it is for the carrier to disclose them, though he said Airbus is investing to raise production to 12 aircraft a month within two years. Blanco cautioned that realizing the forecast will require continued investment in infrastructure and closer cooperation between African countries. 

Betegbar Yaregal

#EBR_News Oct 12, 2026

Bank of Abyssinia’s (BoA) non-performing loans tripled to Birr 15.64 billion in the year ended 30 June 2026, from Birr 5.18 billion a year earlier, according to the bank’s audited annual report. The rise came as the private lender expanded its loan book by Birr 57 billion and reported a pre-tax profit of Birr 15.85 billion. 

The figures appear in the report’s credit-risk disclosures, which classify these loans as Stage 3 under IFRS 9, the international accounting standard for expected credit losses.

EBR’s analysis of the report shows Stage 3 loans equal about 6.1 percent of gross loans of Birr 256.49 billion, up from 2.6 percent last year. Loans under special mention, a Stage 2 category for borrowers showing early signs of stress, more than doubled to Birr 34.63 billion from Birr 15.82 billion. Together, the two categories account for roughly 20 percent of the loan book, against about 10.5 percent a year earlier.

The picture is similar under the National Bank of Ethiopia’s (NBE) own classification, which the report also presents. Substandard, doubtful and loss loans totalled Birr 11.15 billion, up from Birr 5.17 billion, while special mention loans rose to Birr 30.56 billion from Birr 13.21 billion. 

According to the report, domestic trade and services is now the largest borrowing sector at Birr 68.46 billion, or about 28 per cent of loans, followed by exports at Birr 51.80 billion and industry at Birr 46.16 billion.

On that measure, Our calculates that non-performing loans were about 4.8 percent of the classified portfolio of Birr 230.78 billion, up from 2.9 percent. The two sets of figures differ because the regulator and IFRS 9 use different methods and loan bases.

The loan loss allowance rose to Birr 7.49 billion from Birr 5.94 billion, but it grew more slowly than the bad loans. The allowance held against Stage 3 loans stood at Birr 3.44 billion, roughly 22 percent of those exposures, compared with about 67 percent last year.

The loan impairment charge in the income statement fell to Birr 1.62 billion from Birr 2.12 billion. The report also shows the bank transferred Birr 2.62 billion from retained earnings to a regulatory risk reserve, which rose to Birr 4.42 billion from Birr 1.80 billion. The report says this reserve is non-distributable to shareholders and covers cases where provisions under NBE rules exceed those under IFRS.

The report says part of the increase in expected credit losses reflects an upgrade to the bank’s risk model. Exposures above 5 percent of the bank’s capital now undergo a separate risk assessment, an approach the report calls prudent because it improves the identification of large-exposure risk. 

It also attributes the rise in loan loss allowances mainly to larger loan volumes and changes in portfolio distribution. 

The bank says it renegotiates loans for borrowers in financial difficulty and reviews such cases through its Credit Committee. Its written-off loans also rose to Birr 546.2 million from Birr 248.0 million. 

EBR tried to reach BoA’s communications team by phone to ask about the rise in non-performing loans and the lower coverage, but its calls went unanswered. The bank had not provided comment at the time of publication.

The results come as BoA, which held its annual general meeting on 10 October 2026 at the Adwa Victory Memorial Hall, faces closer scrutiny following its listing on the Ethiopian Securities Exchange under the ticker “BOAX”. 

The bank’s strong earnings and capital base give it room to absorb losses, with equity of Birr 39.51 billion and a liquidity ratio of 25.84 percent against the NBE’s 15 percent minimum. The report puts its capital adequacy ratio at 10.12 percent under the previous directive.

By EBR’s calculation, Stage 3 loans are now almost equal to the bank’s annual pre-tax profit, compared with about half of it a year earlier, although the report shows part of the exposure is covered by provisions and collateral.

Betegbar Yaregal

#EBR_News Oct 8, 2026

Abay Bank posted a profit before tax of Birr 6.22 billion for the year ended 30 June 2026, up from Birr 4.22 billion a year earlier, according to its audited annual financial statements seen by EBR. That is an increase of about 47.6 percent.

After an income tax charge of Birr 1.68 billion, the bank’s profit for the year came to Birr 4.55 billion, the statements show.

Total operating income rose to Birr 13.12 billion from Birr 10.48 billion, a rise of roughly 25 percent. Interest income grew to Birr 12 billion from Birr 8.79 billion. After interest expense of Birr 3.39 billion, net interest income reached Birr 8.61 billion, compared with Birr 6.26 billion the previous year.

Net fee and commission income stood at Birr 2.59 billion, while net gain on foreign exchange valuation was Birr 1.51 billion, down from Birr 1.87 billion.

On costs, the statements show personnel expenses of Birr 3.71 billion, up from Birr 3.20 billion. Other operating expenses were Birr 2.09 billion, slightly below the Birr 2.13 billion recorded last year. The loan impairment charge increased to Birr 268.5 million from Birr 139 million. Basic and diluted earnings per share were both Birr 524.54, according to the report.

The statement of financial position shows total assets of Birr 119.69 billion at the end of June 2026, compared with Birr 91.35 billion a year earlier.

Deposits from customers reached Birr 92.74 billion, up from Birr 71.91 billion, while loans and advances, including interest-free banking financing, rose to Birr 61.15 billion from Birr 48.65 billion.

Total equity stood at Birr 17.58 billion, against Birr 12.21 billion.

The bank’s paid-up capital stood at Birr 9.66 billion as at 30 June 2026, the notes to the statements indicate. This is above the Birr 5 billion minimum that National Bank of Ethiopia Directive No. SBB/78/2021 required commercial banks to reach by that date.

The cash flow statement shows the bank raised Birr 2.64 billion from the issue of shares during the year and paid Birr 2.04 billion in dividends.

The notes also put the bank’s total capital to risk-weighted assets ratio at 17.04 percent, against 15.11 percent a year earlier and the regulatory minimum of 8 percent.

The statements further disclose that the bank’s shares were listed on the Ethiopian Securities Exchange main market on 25 June 2026 under the ticker ABAYB, with trading starting the same day.

The independent auditor, said in its report dated 21 September 2026 that the financial statements give a true and fair view of the bank’s position and performance in accordance with International Financial Reporting Standards. The bank’s board approved them on 18 September 2026.

Betegbar Yaregal

#EBR_News Oct 7, 2026

Ethiopia’s Ministry of Planning and Development has been renamed the Ministry of National Strategy, the latest change of identity for an institution that has been reshaped repeatedly since the 1950s.

The renaming forms part of a draft proclamation on the nomenclature, organization, powers and duties of federal executive organs, which the 7th House of Peoples’ Representatives was deliberating at its first special session in Addis Ababa today.

Presenting the case for the draft, Fikadu Tessema, a Member of Parliament and government representative, said the number of federal executive organs would stay at 22, with no numerical change.

He said only two ministries had been renamed and two had been newly established, adding that the amendments were meant to make the institutions more effective and better aligned with their missions.

Fitsum Assefa (PhD), the Minister of Planning and Development, was delivering a detailed explanation to the House as this report was filed.

The other changes include the Ministry of Transport and Logistics, which has been renamed the Ministry of Logistics. According to Fikadu’s explanation, the former Ministry of Culture and Sports and the former Ministry of Tourism are now covered by a new Ministry of Culture and Tourism.

A fuller breakdown of the new and renamed ministries is expected as parliamentary deliberations continue.

The planning ministry’s history shows how often the country’s development machinery has been rebuilt. According to a paper by Tesfaye Asfaw, “An Overview of Ethiopia’s Planning Experience”, planning began with the National Economic Council in 1955, which produced the First and Second Five Year Plans.

Order No. 46 of 1966 then created the Ministry of Planning and Development, which oversaw the Third Five Year Plan (1968-1973) before being reorganized as the Planning Commission in 1970.

Tesfaye’s paper records that the body became the Central Planning Commission under Proclamation No. 128 of 1977 and was reorganized in late 1978 as the National Revolutionary Development Campaign and Central Planning Supreme Council.

It became the Office of the National Committee for Central Planning in 1984, which launched a Ten Year Perspective Plan, and was renamed the Ministry of Planning in early 1991.

According to the Federal Negarit Gazette, a National Planning Council and a National Planning Commission were established under Council of Ministers Regulation No. 281/2013, issued on 11 February 2013.

The institution later returned as the Ministry of Planning and Development, which, according to the ministry’s own description, drives the 10-Year Development Plan (2021-2030).

Counting the designations set out in these documents, the institution has carried at least nine different names or forms before today’s change, which makes the Ministry of National Strategy at least its tenth.

Betegbar Yaregal

#EBR_News October 7, 2026

Bank of Abyssinia (BoA) posted a profit before tax of Birr 15.85 billion for the year ended 30 June 2026, up 56.9 percent from Birr 10.10 billion a year earlier, according to its audited annual report seen by EBR. 

Profit after tax rose 58 percent to Birr 11.54 billion from Birr 7.30 billion, as the private lender grew its loan book, deposits and fee income at a fast pace.

The report shows total operating income rising 40.2 percent to Birr 40.29 billion from Birr 28.75 billion. 

Net interest income, the bank’s main earner, climbed to Birr 28.74 billion from Birr 22.40 billion, with interest income reaching Birr 43.69 billion against interest expense of Birr 14.95 billion. Net fees and commission income nearly doubled to Birr 9.52 billion from Birr 4.82 billion.

Foreign exchange operations swung to a net gain of Birr 1.68 billion, compared with a loss of Birr 149.6 million the previous year.

BoA’s balance sheet expanded by about a third. Total assets reached Birr 381.50 billion, up 33.3 percent from Birr 286.23 billion. 

Net loans and advances rose 28.7 percent to Birr 249.00 billion, while the report says gross lending grew by Birr 57 billion to Birr 256.49 billion, within the ceiling set by the National Bank of Ethiopia (NBE). 

Customer deposits grew to Birr 277.98 billion from Birr 211.65 billion, and interest-free deposits rose to Birr 40.80 billion from Birr 31.52 billion. Shareholders’ equity increased 37.1 percent to Birr 39.51 billion.

The bank also strengthened its capital base. According to the report, paid-up capital rose to Birr 17.48 billion from Birr 15 billion after a rights offer, which the Ethiopian Capital Market Authority approved for allotment. Shares worth Birr 3.97 billion were allotted at Birr 1,600 per share against a par value of Birr 1,000. 

Of that amount, Birr 2.66 billion came from shareholders’ dividends and Birr 1.31 billion from cash. Share premium rose to Birr 1.49 billion, and earnings per share stood at 77 percent, up from 50 percent.

Costs rose alongside income. Personnel expenses increased to Birr 12.63 billion from Birr 9.78 billion, and other operating expenses climbed to Birr 7.54 billion from Birr 4.30 billion. Income tax expense rose to Birr 4.31 billion from Birr 2.80 billion. The loan impairment charge fell to Birr 1.62 billion from Birr 2.12 billion. 

However, the report shows Stage 3 (non-performing) loans at Birr 15.64 billion, up from Birr 5.18 billion, and the loan loss allowance rose to Birr 7.49 billion from Birr 5.94 billion. 

The liquidity ratio improved to 25.84 percent from 22.10 percent, well above the NBE’s 15 percent minimum, while the capital adequacy ratio under the previous directive stood at 10.12 percent, up from 9.41 percent.

The board approved the statements on 9 September 2026, signed by Chairperson Mekonene Manyazewal and Chief Executive Officer Bekalu Zeleke Ewnetu.

BoA was officially listed on the Main Market of the Ethiopian Securities Exchange under the ticker “BOAX”, which it says improves access to capital and liquidity for shareholders.

The results show a bank growing profitably, but the sharp rise in non-performing loans and the faster growth in operating costs will draw investor attention now that BoA’s shares trade publicly.

The report notes the bank must fully comply with the NBE’s new risk-based capital directive by 31 December 2026 and adopt IFRS sustainability disclosure standards from July 2026, so asset quality and capital strength are likely to shape its next phase of growth.