Ethiopia’s financial landscape is evolving rapidly — and this week brings major developments across banking, capital markets, trade, telecom, and policy. From the historic launch of official trading at the Ethiopian Securities Exchange (ESX) to record-breaking profits in the banking sector, momentum is building around economic reform. Inflation is easing, capital access is expanding, and new regional partnerships are being forged. Whether it’s Hijra Bank’s 740% profit surge, the formation of a climate insurance consortium, or the GERD’s upcoming inauguration — this roundup captures the pulse of a transforming economy.
Monetary Policy & Financial Sector Updates
NBE Lifts Treasury Bond Purchase Requirement as Inflation Eases
The National Bank of Ethiopia has lifted the mandatory long-term Treasury bond purchase for banks amid eased inflation (14.4%). The policy rate remains at 15%, and interbank lending grew to 740 billion birr, reflecting improved liquidity and economic expansion. Read more
Ethiopia’s Interbank Money Market Trades ETB 9.68 Billion Amid Falling Interest Rates
Interbank trades totaled ETB 9.68 billion during June 30–July 4, with declining interest rates signaling stronger liquidity and confidence among banks. Total traded volume in 2025 has reached ETB 833.86 billion. Read here
AfDB Approves $50M Trade Finance Guarantee for Awash Bank
The African Development Bank approved a $50 million trade finance guarantee for Awash Bank to ease foreign currency shortages and boost SME financing, aiming to unlock over $350 million in trade over four years. Read here
Zemen Bank Posts 9 Billion Birr Profit Amid Sector Reforms
Zemen Bank reported 9 billion birr profit and 14 billion in revenue, benefiting from reforms such as the floating exchange rate and capital market development that foster transparency and competition. Read here
Awash Bank Earns Over 22 Billion Birr, Posts Record Year
Awash Bank recorded a pre-tax profit over 22 billion birr in 2024/25, with 77% income growth, 332 billion birr deposits, and 219 billion birr loans, including strong digital lending and MSME support. Read here
Siinqee Bank Reports 897% Deposit Surge After Microfinance Transition
Siinqee Bank, formerly Oromia Microfinance, grew deposits by 897% to over 100 billion birr after converting to a commercial bank, driven by regional government accounts and digital investments. Source: Birrmetrics
Capital Markets & Investment
Ethiopian Securities Exchange (ESX) to Launch Official Trading Next Week
ESX will commence official trading, having raised 1.5 billion birr from investors. It aims to list up to 50 companies in five years, enhancing capital access and financial sector modernization. Source: Capital Ethiopia
Wegagen Capital Executes First Inter-Broker Equity Trade on ESX
Wegagen Capital completed Ethiopia’s first inter-broker equity trade on ESX, trading shares of Wegagen Bank, marking a milestone in Ethiopia’s capital market development.
AfDB Grants $400,000 to Support Ethiopia’s Capital Market Growth
The African Development Bank approved a $400,000 grant to develop the Ethiopian Capital Market Authority’s disclosure platform and support ESX’s product expansion including ETFs and green bonds. Read here
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Banking Sector Highlights
Hijra Bank Posts 740% Profit Surge, Earns Over 1.8 Billion Birr
Hijra Bank’s profit soared 740% to 840 million birr, with total income of 1.8 billion birr. Assets, deposits, customer base, and digital adoption all grew strongly, highlighting interest-free banking’s rise. Read here
CBE Hits Record 1.69 Trillion Birr in Deposits
The Commercial Bank of Ethiopia mobilized 515 billion birr in new deposits, reaching a historic 1.69 trillion birr, supported by digital growth and expanded branches. Read here
Insurance & Risk Management
Awash Insurance Posts Historic ETB 4.5 Billion Premiums in 2024/25
Awash Insurance achieved 44% premium growth, with life assurance up 48% and Sharia-compliant Salaam Takaful contributions surging 120%, reflecting strong diversification and customer retention. Source: EBR
Five Ethiopian Insurers Launch Consortium to Protect Farmers from Climate Risks
Five insurers formed the Agricultural Insurance Consortium of Ethiopia, aiming to cover 3 million farmers by 2026 with affordable, tech-driven insurance products addressing climate risks. Source: EBR
Trade & Economic Agreements
Ethiopia and World Bank Sign $1 Billion Deal for Economic Reform
Ethiopia and the World Bank signed a $1 billion financing agreement supporting reforms in financial stability, trade, revenue mobilization, and social service sustainability. Read here
Ethiopia Secures $3.5 Billion Debt Relief Deal Under G20 Framework
Ethiopia concluded a $3.5 billion debt relief deal with official creditors, easing external payment pressures and supporting fiscal sustainability amid ongoing reforms. Read here
IMF Approves $262 Million Disbursement for Ethiopia
The IMF approved $262 million under the Extended Credit Facility to back Ethiopia’s reform agenda focusing on inflation control, FX reforms, and fiscal stability. Read here
Ethiopia to Ratify Visa Waiver Agreement with Nigeria
Ethiopia plans to ratify a visa waiver for diplomatic and official passport holders with Nigeria, aiming to enhance diplomatic ties and cooperation within the African Continental Free Trade Area.
Trade & Export Growth
Ethiopia’s Coffee Exports Surge, Enter 20 New Markets
Ethiopia exported over 409,000 tons of coffee, exceeding targets and entering 20 new international markets, driven by reforms, quality improvements, and branding efforts. Read more
Telecommunications
Safaricom Ethiopia Reaches 10 Million Active Subscribers
Safaricom Ethiopia hit 10 million active users just four years after launch, with network coverage over 50% of the population and growing digital financial services like M-PESA. Read here
National Budget & Infrastructure
Ethiopia Approves 1.93 Trillion Birr Budget for 2018 Fiscal Year
The Ethiopian parliament approved a 1.93 trillion birr budget focusing on recurrent expenses, capital projects, and subsidies, aligned with national security and development goals. Source: ENA
GERD Inauguration Set for September 2025
The Grand Ethiopian Renaissance Dam will be inaugurated in September 2025, with invitations extended to Nile riparian countries. The dam aims to generate over 5,000 MW of electricity for national development. Source: The Reporter
Next Week, we will be back with Monday Breakfast Stories!
Got insights? Feedback? Send it our way, we’re all ears, except during coffee breaks.
Stay curious, stay caffeinated
And as always, crush your week ahead!
— Written by the StockMarket.et Newsroom
Byeee
