The National Bank of Ethiopia has set several regulations affecting the operations of banks. These rules impact not only private banks but also the state-owned Commercial Bank of Ethiopia (CBE). Today, the National Bank of Ethiopia (NBE) temporarily lifted restrictions on money transfers from banks to Telebirr. Users want to transfer the money from banks to Telebirr to buy the Ethio Telecom shares. Understanding these banking restrictions is crucial for individuals and businesses navigating the financial system.
Here are the main restrictions:
- Transfer Limits
- Per Transaction Limit: Customers can transfer a maximum of 10,000 birr per transaction to their Telebirr accounts.
- Daily Transfer Cap
- The total amount transferable to Telebirr is capped at 20,000 birr daily.
- Withdrawal Limits
- Customers can withdraw a maximum of 50,000 birr per day from their accounts.
- Cash Holding Limits
- Individuals can hold a maximum of 100,000 birr in cash at any time. Holding more than this amount may lead to confiscation.
These restrictions aim to stabilize the financial system and prevent money laundering. However, they also create barriers to everyday transactions and financial planning.
This decision to lift the ban on money transfers from the bank to Telebirr aims to facilitate transactions related to the sale of shares of Ethio Telecom. Before this, private banks did not allow customers to transfer money from the bank to the Telebirr app in this vast number.
The Ethiopian government plans to sell 10% of Ethio Telecom shares, and each share’s price is 300 birr. The goal is to attract 30 billion Birr from Ethiopian citizens.
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