Ethiopia Expands Digital Monitoring of Franco Valuta Imports as FX Pressures Persist

June 1, 2026

Mintesinot Nigussie

Ethiopia’s central bank has moved to tighten oversight of Franco Valuta imports by introducing a new directive that brings the long standing parallel import channel under expanded digital monitoring and stricter regulatory control.

The National Bank of Ethiopia said the directive, Import on Franco Valuta Directive No. FVD/01/2026, creates a unified framework governing imports financed outside the formal foreign exchange allocation system.

The reform places all Franco Valuta transactions under the Foreign Exchange Monitoring and Orchestration Unified System, known as FEMoUS, requiring imports to be digitally registered and linked to customs monitoring systems.

The central bank said the measure is intended to strengthen transparency, improve traceability, and curb practices such as false declarations and misuse of import privileges.

Franco Valuta arrangements have historically allowed goods to enter Ethiopia without drawing on the country’s official foreign exchange reserves.

The directive places strong emphasis on investment and production related imports. Eligible goods include industrial machinery, raw materials, renewable energy equipment, and export manufacturing inputs.