The National Bank of Ethiopia (NBE) has announced the results of its 10th foreign exchange auction, allocating U.S. dollars to 31 commercial banks at a weighted average rate of Birr 148.1007 per USD, signaling continued adjustment toward a market-driven exchange rate.
The latest allocation follows the central bank’s $150 million injection during Auction No. 9 on August 5, which marked the official resumption of FX auctions after a brief pause. That auction cleared at Birr 138.2555 per USD across 28 banks, reflecting strong demand amid improving foreign exchange inflows.
NBE reiterated in today’s statement that future auctions will be conducted based on market conditions, with announcements made ahead of each session.
The auction system remains a central tool in Ethiopia’s transition toward a market-determined FX regime, part of a broader IMF-supported reform agenda that also includes monetary policy modernization and fiscal adjustments.
Analysts say further clarity on auction frequency and allocation volumes will determine whether the recent momentum can help stabilize FX expectations and narrow informal market activity.
