The National Bank of Ethiopia (NBE) has issued a clarification to address confusion surrounding the use of indicative prices set by the Ethiopian Customs Commission for selected import items during foreign exchange (FX) processing.
In a public notice released on February 7, the central bank said feedback from banks and market participants showed uncertainty in how the guidance, first announced on January 26, 2026, should be applied in practice.
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NBE emphasized that the Customs Commission’s indicative prices are reference points only, designed to promote consistency and transparency in import valuation. They are not fixed prices, nor are they meant to replace the actual transaction value of imported goods.
According to the clarification, banks are required to use these indicative prices only as supporting data when reviewing FX applications. Financial institutions have been instructed to focus solely on cases where there are abnormal or significant discrepancies between the indicative reference prices and the values declared by importers, rather than applying the figures mechanically to all transactions.
The central bank stressed that the broader goal of the initiative is to encourage the formalization of remittance flows, enhance transparency in trade-related FX transactions, and support the smooth functioning of the foreign exchange market in line with Ethiopia’s ongoing economic reforms.
NBE also reassured the public that corrective guidance has been formally issued to all banks to prevent unintended restrictions or disruptions. Supervisory teams have been tasked with closely monitoring implementation to ensure the directive is applied consistently across the banking system.
The clarification is intended to ease concerns in the market and reinforce that the policy is supportive, not restrictive, as Ethiopia continues reforms aimed at improving FX market efficiency and confidence.
