Mintesinot Nigussie – Page 24 – Ethiopian Business Review

The Cooperative Bank of Oromia is celebrating its 20th anniversary with a strong track record of financial growth and economic impact. Since its establishment on March 8, 2005, the bank has expanded its reach and influence, playing a key role in Ethiopia’s financial sector. With over 14.5 million customers and more than 15,000 employees, it has positioned itself as a major financial institution driving inclusive banking and digital innovation.

The bank has disbursed over ETB 18.4 billion in collateral-free digital loans through Michu digital loan, benefiting more than 1.2 million account holders. These loans have enabled small businesses to expand, create jobs, and improve service accessibility. Some entrepreneurs have secured loans exceeding ETB 2 million, helping them scale their businesses from home-based operations to fully established commercial ventures. This initiative has strengthened Ethiopia’s micro and small business sector, offering financial solutions to those previously underserved by traditional banking.

Coopay e-Birr, the bank’s mobile wallet service, has processed transactions worth ETB 2.6 trillion, making it the third-largest mobile financial service provider in Ethiopia. It has surpassed private banks in digital transactions, showcasing the bank’s success in driving financial inclusion through technology. Its digital-first approach has led to the creation of Ethiopia’s only dedicated banking innovation center, where cutting-edge solutions continue to improve financial accessibility.

Beyond its financial services, the bank remains committed to social responsibility. As part of its 20th-anniversary celebration under the theme 20 for 20th Anniversary Celebration, it has launched nationwide initiatives, including blood donation drives, environmental clean-up campaigns, visits to charitable institutions, and Ramadan events for customers in various cities. The bank has also organized hackathons to encourage innovation and continues to gather customer feedback to refine its services.

In tandem with this, Cooperative Bank has launched an incubation center with the vision of becoming a hub of innovation and knowledge. The center is designed using local expertise and resources, reflecting the community’s strengths. Among its unique features is the Soof Omar Knowledge Cave, a space where employees focus deeply in a serene, natural environment in the heart of Bole, Addis Ababa. The center aims to foster ideas that will benefit future generations. “The center celebrates the cultural and historical richness of Ethiopia, drawing inspiration from figures like King Abba Jifar, King Kawo Tona, and King Fasiledes, and embodies the diverse cultures of Ethiopia’s people,” said Deribie Asfaw, CEO of Cooperative Bank of Oromia.

A key highlight of the celebration is the honoring of Sinqe Branch on International Women’s Day, a groundbreaking initiative within the Cooperative Bank of Oromia. Fully operated by women, Sinqe Branch is named after Siinqee, a traditional women’s rights system central to the Geda system. To mark International Women’s Day, the bank is hosting a special event at the Sinqe branch, where female leaders will come together to celebrate and discuss women’s empowerment in the financial sector. This initiative underscores the bank’s ongoing commitment to gender equality and inclusive economic development.

The Cooperative Bank of Oromia was founded to address the financial needs of cooperatives and rural communities. Over the past two decades, it has expanded to every corner of the country, bringing banking services to areas with limited infrastructure. By scaling up collateral-free loans, pioneering digital finance, and investing in technology-driven solutions, the bank has positioned itself as a leader in Ethiopia’s financial sector.
As the bank celebrates this milestone, it remains focused on its core mission: empowering communities, driving economic growth, and redefining banking accessibility.

Ethiopian Maritime Transport and Logistics (EMTL) has unveiled a major expansion plan, announcing the purchase of six new cargo ships to enhance the country’s trade capacity and reduce reliance on foreign vessels.

As part of this initiative, two state-of-the-art Ultramax dry bulk carriers, each with a carrying capacity of 62,000 tons, will soon be operational, significantly increasing Ethiopia’s ability to handle imports and exports. The remaining four ships are set to be acquired in the coming years, further reinforcing Ethiopia’s maritime sector.

With Ethiopia currently operating a fleet of 10 ships, this expansion marks a strategic move toward strengthening the nation’s logistics capabilities. By increasing shipping efficiency and securing greater control over cargo transport, EMTL aims to lower costs, improve trade flows, and support economic growth.

This investment aligns with Ethiopia’s broader vision of developing its maritime infrastructure to compete on a global scale. The addition of these vessels is expected to ease logistics challenges and enhance the country’s connectivity to international markets.

In a major boost to Ethiopia’s transportation and logistics sector, the Ethiopian Electric Utility (EEU) has successfully installed a dedicated power line for the Ethio-Djibouti Railways’ rolling stock, mechanical workshop, and freight yard. This critical infrastructure upgrade enhances the railway’s efficiency, ensuring smooth operations for the country’s most vital trade corridor.

The Ethio-Djibouti Railway handles the majority of Ethiopia’s imports and exports, making uninterrupted power supply essential for 24/7 logistics. The new connection reduces delays, improves productivity, and strengthens Ethiopia’s supply chain. Businesses relying on the railway for trade can now expect greater service reliability, contributing to economic growth.

Takele Uma, CEO of Ethio-Djibouti Railways, praised EEU CEO Engineer Getu Geremew and their teams for swiftly executing the project. This collaboration between Ethiopia’s power and transport sectors highlights effective coordination in infrastructure development.

In a powerful statement made on March 7, 2025, during a press briefing on the sidelines of China’s National People’s Congress, Chinese Foreign Minister Wang Yi urged the global community to listen to Africa, understand its concerns, and support its pursuit of a new, self-chosen path to development. Wang’s remarks come at a time when Africa is increasingly asserting its right to shape its own future, free from foreign-imposed models that have long failed to deliver prosperity.

“Imposed foreign models have failed to bring lasting prosperity to Africa,” said Wang. “It’s time the world recognizes Africa’s right to choose its own development course.” This message resonates strongly with Ethiopia, a key African partner in China’s global strategy. Ethiopia, with its ambitious economic reforms and transformative projects, embodies the very spirit of self-strengthening that Wang called for.

China’s relationship with Ethiopia has flourished over the years, with extensive cooperation in infrastructure development, trade, and investment. The construction of the Addis Ababa-Djibouti Railway and the expansion of industrial zones are just some of the milestones in this growing partnership.

Wang Yi’s comments also highlighted the upcoming in-person Forum on China-Africa Cooperation (FOCAC) summit, scheduled for autumn 2025. This year marks the 25th anniversary of the FOCAC. Over the past quarter-century, China’s collaboration with Africa has resulted in tangible, far-reaching outcomes. Nearly 100,000 kilometers of roads and more than 10,000 kilometers of railways have been built and upgraded across the continent. In the last three years alone, Chinese enterprises have created over 1.1 million jobs in Africa, reinforcing China’s position as Africa’s largest trading partner for 16 consecutive years.

“The benefits of China-Africa cooperation are visible and tangible to our African brothers and sisters,” Wang remarked. He further highlighted that Africa represents “a fertile land of hope” for the 21st century. “There will be no global modernization without African modernization,” he declared.

Wang also pointed out that this year’s G20 Summit will be held on the African continent for the first time, further acknowledging the rising significance of Africa in global governance. China, he emphasized, firmly supports South Africa in fulfilling its role as the G20 chair and ensuring a distinct African imprint on global decision-making.

In a major step towards expanding Ethiopia’s global trade connections, the Pakistan-Ethiopia Business Forum was successfully held at the Federation of Pakistan Chambers of Commerce & Industry (FPCCI) Regional Office in Lahore. Organized in collaboration with the Ethiopian Embassy, the forum brought together senior officials and business leaders to explore investment opportunities between the two nations.

The event was presided over by HE Dr. Jemal Beker Abdulla, Ethiopia’s Ambassador to Pakistan and Special Envoy, alongside high-ranking representatives from Pakistan’s Ministry of Commerce, the Trade Development Authority of Pakistan (TDAP), and FPCCI officials. Notably, 26 business chambers from Punjab participated, highlighting the strong interest in Ethiopia as a key trade partner in Africa.

Addressing the gathering, Ambassador Jemal Beker emphasized Ethiopia’s strategic position as Africa’s business gateway, inviting Pakistani businesses to take advantage of the country’s vast economic opportunities. He outlined Ethiopia’s homegrown economic reforms, which have significantly improved the business climate, particularly in agriculture, manufacturing, mining, tourism, and ICT.

“The business community of Pakistan has a unique opportunity to invest in Ethiopia, benefiting from cheap, clean, and green energy, a large and skilled workforce, and unmatched connectivity to Africa and beyond,” the Ambassador stated. He also underscored Ethiopia’s role as a member of the African Continental Free Trade Area (AfCFTA), making it easier for investors to access Africa’s 1.4 billion consumers.

A major highlight of the discussion was the growing role of Ethiopian Airlines in bridging the economic ties between Africa and Pakistan. Ambassador Jemal Beker noted that Ethiopian Airlines has already launched flights from Addis Ababa to Karachi, with operations from Lahore expected to start soon. This expansion will facilitate smoother trade and investment flows, positioning Ethiopia as the preferred African hub for Pakistani businesses.

The forum also focused on the upcoming 5th Pakistan-Africa Trade Development Conference (PATDC) and Single Country Exhibition (SCE), set to take place in Addis Ababa in May 2025. The Ambassador urged Pakistani businesses to participate, stressing that these events will enhance bilateral trade and open new investment opportunities.

Senior officials, including TDAP Director General Abdul Karim Memon and FPCCI’s Pakistan-Ethiopia Business Council Chairman Ibrahim Khalid Tawab, reaffirmed their commitment to strengthening economic relations with Ethiopia. Manzoor Ul Haq Malik, Former Regional Chairman of FPCCI, praised Ethiopia’s leadership in fostering economic cooperation and assured continued engagement from Pakistan’s private sector.

Source: Business Recorder

The National Bank of Ethiopia’s (NBE) latest foreign currency auction has sparked confusion among industry stakeholders after concluding at a significantly higher rate than the prevailing market price. While the USD exchange rate stood at ETB 124.0086 on the market, the auction saw USD60 million sold at an average rate of ETB 135.62 per dollar. This unexpected outcome has raised concerns about its impact on the broader market.

A financial expert close to the banking sector explained that for banks, participating in the auction is often their only option to secure the foreign currency needed to cover essential expenses. He noted that NBE holds these auctions to manage forex distribution and stabilize market fluctuations.

In a recent policy shift, NBE has transferred a significant portion of fuel import-related forex responsibilities to commercial banks. Fuel imports require large sums of foreign currency, which could strain reserves. “With payment deadlines for fuel imports approaching, banks likely raised their bids to ensure they could meet their obligations,” the expert said.

Smaller banks also participated aggressively, bidding at higher rates. “They prefer the auction as it offers a better deal compared to purchasing from larger banks, which often charge high commissions,” he added.

A seasoned economist highlighted the uncertainty surrounding future auctions, which has led banks to maximize their forex purchases whenever possible. While acknowledging the auction system’s benefits, he cautioned that the latest auction’s near ETB 136 per USD rate could exert inflationary pressure on the economy. “Exporters may withhold their goods, anticipating further depreciation of the ETB and higher profits in future auctions,” he warned.

According to NBE, 27 banks participated in the auction. Sources indicate that only 12 banks secured foreign currency, with winning bids ranging from a minimum of ETB 130 to a maximum of ETB 141 per dollar. Notably, a single bank reportedly obtained just USD200,000 at the highest rate of ETB 141 per dollar.

Source: The Reporter

The Ethiopian Ambassador to Nigeria, H.E. Legesse Geremew Haile, met with the President of the Economic Community of West African States (ECOWAS) Commission, H.E. Dr. Omar Alieu Touray, at the Commission’s headquarters in Abuja, Nigeria, on March 4, 2025. The meeting, as reported by ZAWYA Newsletter, a business and financial news platform based in Dubai, UAE, highlighted Ethiopia’s growing diplomatic engagement with West Africa.

Ambassador Legesse, who recently assumed office, expressed his commitment to fostering closer collaboration between Ethiopia and ECOWAS, a regional bloc focused on economic integration, trade facilitation, and free movement within West Africa. President Touray welcomed the new envoy, assuring him of ECOWAS’s readiness to strengthen partnerships with Ethiopia in key areas of mutual interest.

According to ZAWYA, the discussions also included engagements with Cuban and Angolan envoys on health sector cooperation and economic opportunities. Notably, Angola is preparing to host the US-Africa Business Summit in Luanda, which is expected to provide a high-level platform for trade and investment discussions.

Ethiopia, despite not being a member of ECOWAS, continues to expand its diplomatic and economic outreach across the continent. Strengthening ties with West Africa could open new doors for trade, investment, and knowledge exchange, reinforcing Ethiopia’s growing role in African economic affairs.

In a remarkable celebration of its 130th anniversary, Ethio Telecom has been showering its customers with incredible prizes since September 22, 2024, through the Ethio 130 Mega Promo and Ethio 131 Laki Slot Prize Program. As part of the ongoing festivities, today the company awarded two modern BYD electric cars and five 3-wheeled vehicles to lucky winners.

The giveaway includes one BYD electric car for 393,375 special customers selected in a lottery, alongside three 3-wheeled vehicles for 540,566 lucky participants. In addition, as part of the Ethio 131 Laki Slot Prize Program, another BYD electric car was presented to 226,970 winners, with two more 3-wheeled vehicles handed to 407,200 lucky individuals.

This isn’t the first time Ethio Telecom has distributed prizes through its celebrations. Previously, two electric cars were awarded to customers in Addis Ababa and Weliso, while three 3-wheeled vehicles went to winners in Harar, Arsi Negele, and Hosanna.

The prizes don’t stop there—over the past five months, Ethio Telecom has given away 141 modern smartphones, 10.56 million birr in TeleBir electronic money, and 1.18 million mobile packages, totaling an impressive 49.45 million birr in prizes.

The trade relationship between Ethiopia and Kenya remains underdeveloped, with Ethiopia’s exports to Kenya in 2023 reaching only $58 million, far below the $112.4 million that Kenya exported to Ethiopia. The total annual trade volume between the two countries has yet to surpass $200 million, as reported by Sheger 102.1.

At the second Ethiopia-Kenya Trade Forum held in Addis Ababa, Ambassador Yohannes Fanta, Director General of Political Economy and Diplomacy at the Ministry of Foreign Affairs, acknowledged the slow trade growth between the two countries. He noted that Ethiopia primarily exports coffee, spices, leather products, and electrical inputs to Kenya, while Kenya supplies industrial goods to Ethiopia. Despite the potential for stronger economic collaboration, trade figures remain modest.

Kenyan Ambassador to Ethiopia, George Orina, emphasized that trade volumes do not reflect the strong relationship between the two nations. He pointed out Ethiopia’s ongoing macroeconomic reforms aimed at improving the business climate and encouraged Kenyan investors, particularly young entrepreneurs, to explore opportunities in Ethiopia.

Zekarias Assefa, Secretary of the Addis Ababa Chamber of Commerce and Industry, highlighted the need to shift from a historically diplomatic relationship to a more dynamic economic partnership.

Ethiopia has successfully received over 658,000 metric tons of soil fertilizer, marking a crucial step toward supporting its agricultural production for the 2024/25 season. The Ministry of Transport and Logistics confirmed that by March 1, 2025, a total of 700,763 metric tons of fertilizer had arrived at the Djibouti port.

As part of Ethiopia’s plan to import 4 million metric tons of fertilizer, this shipment will play a vital role in improving soil fertility across the country. The shipment includes over 418,000 metric tons of DAP (Diammonium Phosphate) and 239,579 metric tons of Urea, both essential for enhancing crop yields and ensuring food security.

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Cooperative Bank of Oromia Celebrates 20th Anniversary with ETB 18.4 Billion in Digital Loans

Ethiopia Bolsters Maritime Fleet with Six New Cargo Ships

Ethio-Djibouti Railway Strengthens Trade Corridor with Electricity Upgrade

China Calls for Global Support of Africa’s Self-Driven Development Path

Ethiopia Woos Pakistani Businesses with Green Energy & African Market Access

NBE’s Auction Wraps Up: Why Banks Are Rushing to Secure USD?

Ethiopian Ambassador Meets ECOWAS Chief in Abuja, Eyes Stronger Regional Ties

Ethio Telecom Hands Over Electric Cars and 3-Wheeled Vehicles in New Prize Giveaway

Ethiopia-Kenya Trade Gap of $54 Million Exposed

Ethiopia Imports Over 658,000 Metric Tons of Fertilizer