The National Bank of Ethiopia on Wednesday announced that it will be buying gold from suppliers and producers at a rate of the International Market Pricing as of July 29, 2024.
The Bank stated that the change is related to the recent policy change to make Ethiopian currency exchange rate based on the “market rate.”
From what the bank said, it appears that payment for it will be in Ethiopian currency. Suppliers and gold producers will have to get the daily market exchange rate provided by the bank and be paid for it based on that, the bank added.
Suppliers will be getting an equivalent of the Gold Price in the International Market converted to Ethiopian Birr.
Within three days of announcing the devaluation of the Ethiopian birr, the exchange rate in state-owned banks has changed three times. The first day it started to buy $US 1 for 75 Ethiopian birr. The next day it started to increase to 77 Ethiopian birr and on Wednesday the Commercial Bank of Ethiopia bought one U.S. dollar for over 81 Ethiopian Birr.
It was this week that the Ethiopian government announced an unprecedented devaluation of the Ethiopian currency after nearly a year-long back-and-forth conversation with the International Monetary Fund and the World Bank officials.
No Comment Found.