Nib International Bank posted a loss of 2.9 billion birr for the 2024/25 Ethiopian fiscal year , as paid-up capital fell 28 percent to 7.8 billion birr from 10.4 billion birr a year earlier. Total capital reached 7.5 billion birr, total liabilities stood at 58.7 billion birr, and total assets amounted to 66.2 billion birr.

The bank attributed the results to a 4.4 billion birr foreign exchange loss following Ethiopia’s shift to a market-based exchange rate regime, compounded by penalties exceeding 348 million birr, including 97.4 million birr linked to delays in the Real-Time Gross Settlement (RTGS) system.

Outstanding loans increased to 44.7 billion birr, while customer deposits grew 14 percent to 51.3 billion birr. Gross revenue rose by 498.1 million birr to 11.3 billion birr, reflecting modest growth despite the challenging operating environment.

The bank has settled all debts related to letters of credit previously issued by former executives without sufficient foreign currency coverage, as disclosed by the National Bank of Ethiopia.

At its 26th Annual General Meeting of Shareholders, the board outlined a three-year strategic plan and a five-year roadmap to improve operational efficiency and expand digital banking.

Chief Executive Henok Kebede said the bank’s performance mirrored the pressures created by structural reforms across Ethiopia’s financial sector, including the market-based exchange rate, the launch of a capital market, the opening of the financial sector to foreign institutions, and tax reforms. While these measures aim to strengthen fiscal sustainability, they have also exerted pressure on businesses and households, with direct implications for domestic financial institutions.