Ethiopia: Awash Hits Record Profit

-Drives 2.1bln USD in forex amid reforms

- Awash Bank has announced a remarkable financial year, facilitating 2.1 billion USD in foreign exchange and doubling its pre-tax profit to 22.7 billion Birr during the 2024/25 fiscal year, according to CEO Tsehay Shiferaw.

Of the total foreign currency facilitated, over 1 billion USD supported Ethiopia's export sector, while approximately 638 million USD was allocated for fuel imports. The bank also played a key role in meeting the foreign currency needs of critical national institutions such as Ethio telecom and Ethiopian Electric Power.

"Our strong performance in forex generation reflects our deep commitment to supporting the national economy and vital sectors," Tsehay said during a press briefing yesterday.

Awash Bank also reported a total income of 64.4 billion Birr nearly double the previous year's figure and increased its paid-up capital by 7.7 billion Birr to 27.8 billion Birr.

Looking ahead, the CEO emphasized that Awash Bank is well-positioned to navigate the imminent entry of foreign banks into the Ethiopian market. He noted that the bank has spent the past decade strengthening its financial base and investing in modern digital systems.

"We are prepared for competition. We will either collaborate with select foreign banks that align with our values or continue as a strong, independent national bank," Tsehay affirmed.

The bank reported major gains in digital banking, with nearly one trillion Birr transacted digitally representing 77% of total transactions. Awash also issued nearly half a billion Birr in digital loans to more than 300,000 users.

In partnership with Ethio telecom and Safaricom Ethiopia, Awash allocated 2 billion Birr for joint community loans, expanding access to finance and reinforcing its digital reach.

Awash Bank expanded its physical footprint by opening 52 new branches, raising the total to 989. It also added 3 million new customers during the fiscal year, bringing the total customer base to 15 million. In total, the bank disbursed 36 billion Birr in loans across various sectors.

With its historic profit, rising capital, and tech-driven strategy, Awash Bank is positioning itself not only to withstand foreign competition but to lead Ethiopia's evolving financial sector.

Read the original article on Ethiopian Herald.