National Bank of Ethiopia Holds Policy Rate at 15.00% at Third MPC Meeting

The National Bank of Ethiopia (NBE) has held its benchmark National Bank Rate (NBR) at 15.00%, the central bank announced following its Monetary Policy Committee meeting on 30 June 2025. The meeting was the third MPC gathering since the NBE introduced its formal policy rate framework.

The NBE adopted a policy rate framework as part of a shift towards market-based monetary management.

MONETARY POLICY FRAMEWORK

Prior to the framework, the NBE relied principally on direct credit controls and reserve requirements to influence monetary conditions.

The committee also kept the 18% cap on bank credit growth in place until its next meeting and repealed the directive requiring commercial banks to buy Treasury bonds. The committee noted that annual inflation had eased to 14.4% in May.

NEXT REVIEW SET FOR SEPTEMBER

The NBE confirmed that its next Monetary Policy Committee meeting is scheduled for September 2025.