NBE caps forex fees at 4%, raises import advance limit to USD 50,000

As reported by Ethiopian Business Review

Summary

• The National Bank of Ethiopia has introduced significant changes to foreign exchange regulations aimed at reducing the cost of FX transactions and easing access to foreign currency for legitimate purposes.
• All bank-related FX transaction fees are now capped at 4%, which should lower the cost of imports, remittances, and other cross-border transactions for businesses and individuals.
• The import advance limit has been raised substantially from USD 5,000 to USD 50,000, allowing importers to access more foreign exchange upfront to finance their trade activities.
• Personal travelers can now purchase up to USD 10,000 in foreign exchange for travel purposes, a notable increase that reflects the NBE's efforts to improve forex allocation and reduce incentives for the parallel market.
• These measures are part of the broader FX market reform agenda and are expected to support the transition to a more market-based exchange rate system.
• BirrValue review: The 4% fee cap directly affects what you pay at banks. Compare total cost (rate + fees) across CBE, Awash, Dashen on BirrValue—the cap makes official channels more transparent.