Gold boom buoys exports but erodes central bank's stability

Ethiopia's gold boom is boosting exports while eroding the stability of the central bank. This development was highlighted in a report by Addis Fortune, Ethiopia's leading English business weekly.

According to the title reported by Addis Fortune, Ethiopia's gold sector boom is significantly buoying the country's exports. However, this surge is also eroding the stability of the central bank. Addis Fortune is recognized as the largest English weekly business news publication in Ethiopia. The headline underscores the connection between gold exports and the central bank's financial stability. No further details, such as specific figures or timelines, are provided in the available source excerpt.

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One month after initial appreciation driven by central bank efforts, the Ethiopian birr continues to hold steady, with commercial banks aligning their strategies to support currency resilience, according to Addis Fortune.

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Following recent stability bolstered by bank coordination, Ethiopia's National Bank is maintaining a tight monetary policy amid the birr's gradual depreciation, as reported by Addis Fortune.

Awash Bank has reported an “extraordinary performance” in the 2024/25 financial year amid a sharp monetary reset. Deposits grew to 358.4 billion birr by June 30, 2025, marking a 54 percent increase from the previous year. For the first time, the bank generated more than two billion dollars in foreign exchange.

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The World Bank states that Ethiopia's government development enterprises have shifted from budget burdens to job opportunities. A new report details reforms turning these entities into efficient revenue generators.

 

 

 

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