24 Hrs
Source:
المشهد العربي
Ethiopian currency falls despite Central Bank efforts
The Ethiopian currency, the Birr, is facing a significant decline despite interventions by the Central Bank, which included injecting approximately $2.2 billion during this year and introducing an additional $500 million. The sharp decrease in the currency's value is attributed to rising import costs for oil and fertilizers due to the conflict between the United States and Iran, along with a decline in remittances from expatriates and a deficit in the current account, leading to a severe shortage of foreign exchange reserves. The gap between the official exchange rate and the black market rate has had a negative impact on the economy, with further declines expected, leading to an exchange rate between 185 and 195 Birr per dollar by the end of the year. This situation raises economic concerns regarding the sustainability of monetary policies.
Size: 120%Text Size
Notice: This Is an AI-Generated Summary
Comments (0)