Addis Ababa — Ethiopia has taken its first concrete step toward opening its protected financial sector, with the National Bank of Ethiopia re-licensing Standard Bank’s Representative Office under the country’s revised Banking Business Proclamation.
The South African lender is the first foreign institution to secure approval since Ethiopia shifted supervisory authority for foreign bank representative offices from the Ministry of Trade to the central bank. The NBE described the move as marking “the beginning of a new regulatory era,” underscoring its intention to apply tighter, more centralized oversight as part of wider financial-sector reforms.
Regulatory Transition Signals Policy Shift
Under the updated framework, the NBE now has full mandate to license, supervise and renew authorizations for Foreign Bank Representative Offices (REPOs). All existing offices are required to undergo re-licensing, while new applications will be evaluated under the strengthened rules.
The change is a key step toward Ethiopia’s gradual opening of its banking market, a long-awaited reform closely watched by global lenders, regional banks, and investors positioning for eventual entry.
No Comment Found.