Abe Sano, President of the Commercial Bank of Ethiopia (CBE), announced that the bank's total assets have reached 1.9 trillion Birr. He attributed this significant growth to recent macroeconomic reforms, stating that these reforms have propelled the bank from a previously precarious position to one of substantial progress.
President Abe discussed the bank's operational activities. He acknowledged that the CBE's previous lending practices, particularly its provision of billions of Birr in low-interest loans for large-scale projects, had created an existential risk for the bank. However, he emphasized that recent reforms have led to significant improvements and success.
He highlighted the recent macroeconomic reforms as a key factor in the bank's improved performance. He stated that the CBE is currently in a strong position across all aspects of its operations and is working to further enhance its profitability and competitiveness, leveraging the improved economic climate.
The bank's total assets now stand at 1.9 trillion Birr, and total savings have reached 1.4 trillion Birr. Abe credited the market-based foreign exchange management system with facilitating significant growth in savings, in addition to increased foreign exchange acquisition. He noted that 217 billion Birr in savings had been accumulated so far during the fiscal year.
CBE is undertaking numerous initiatives to become a globally competitive institution, capitalizing on the positive changes in the economic environment. This follows the recent approval by the House of People's Representatives of an amendment to the National Bank Act, allowing participation of foreign banks in Ethiopia. This new act is expected to significantly enhance competitiveness within Ethiopia's banking sector and contribute to sustained economic growth, ENA reported.