The central bank has prohibited banks from authorising imports with under-invoiced transactions and documentation filed before last December, when the directive that monitors under-invoiced imports was issued.
Following an appeal from the banks, the National Bank of Ethiopia (NBE) had allowed the banks to clear and give permits for imports made with under-invoiced transactions until the end of last July 2018. However, a circular recently issued by the NBE directs the banks to stop processing imports with under-invoiced transactions. The central bank has also invalidated the permits and purchase orders given by the banks, even of those in the process of importing.
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