Birr Weakens to 157.47 in 21st Auction as Bids Hit Record $241.5 Million

#EBR_News Mar 18, 2026

The National Bank of Ethiopia has concluded its 21st bi-weekly foreign exchange auction, with the weighted average exchange rate settling at 157.4654 birr per US dollar, marking a depreciation of approximately 0.98 percent from the previous auction on March 3, which cleared at 155.9403 birr.

The auction, held today, saw unprecedented demand with total bids reaching $241.52 million against an allotted amount of $70 million more than 3.4 times the amount offered. Thirty commercial banks participated, but only nine were successful in securing allocations. The cut-off rate was set at 157.0183 birr per dollar, with the highest bid reaching 158.5000 birr and the lowest at 154.5000 birr.

The bid-to-allotment ratio of 3.45 to 1 underscores intensifying pressure on the formal foreign exchange market despite the central bank’s regular bi-weekly injections. The wide spread between the cut-off rate and the weighted average, along with the significant gap between highest and lowest bids, suggests competitive bidding dynamics and varied expectations among market participants.

The auction series remains a core component of the NBE’s market-based foreign exchange reforms initiated in July 2024, aimed at enhancing price discovery and formalizing currency trading. The central bank confirmed the next auction will proceed according to its published schedule.

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