The Ethiopian Ministry of Finance announced on Friday that the country is actively pursuing policies to enable trade transactions using currencies other than the U.S. dollar. This strategic decision aims to strengthen Ethiopia’s international trade and investment relationships by reducing dependence on a single foreign currency.
State Minister of Finance Eyob Tekalign explained in an interview with the Ethiopian Broadcasting Corporation that Ethiopia has already established agreements with several countries, including the United Arab Emirates, to facilitate bilateral trade in their respective local currencies. These efforts are designed to maintain trade balance and minimize the disadvantages associated with relying solely on the U.S. dollar.
Minister Tekalign emphasized that the government is focused on developing mechanisms to make currency diversification effective and secure, safeguarding Ethiopia’s economic interests. This approach is expected to broaden Ethiopia’s access to foreign markets and enhance economic cooperation by expanding the variety of acceptable trade currencies.
The Ministry’s initiative reflects a wider trend among developing nations to mitigate the risks of dollar dependency, promote regional economic integration, and enhance financial resilience.
For more details, visit the original report on CGTN Africa.
