I. Introduction and Contextual Background Ethiopia’s financial sector has historically been characterized by protectionist policies aimed at preserving domestic banking institutions. For decades, the exclusion of foreign banks was justified by a perceived need to protect nascent local banks, support monetary policy controls, and preserve foreign exchange reserves. However, the government’s Homegrown Economic Reform Program...Read More

On January 9, 2025, the Ethiopian Parliament enacted Asset Recovery Proclamation No. 1364/2025 by majority vote, and it entered into force upon its publication in Negarit Gazeta on 2 May 2025. This legislation sparked significant debate due to its retroactive application extending up to Ten years, its investigative methods, and the reliance on the civil standard of proof in legal proceedings. This proclamation...Read More

This commentary analyzes Proclamation No. 1357/2024, focusing on its framework for real property valuation in Ethiopia, including its purpose, system, methods, responsibilities, and the role of valuers. The Proclamation seeks to establish a transparent and structured approach to real property valuation to address critical aspects of the real estate market. I. Purpose and System of...Read More

The Ministry of Finance has released a new draft proclamation to amend some provisions of the Income Tax Proclamation No. 979/2016. Below is a summary and analysis of the key proposed changes under the draft Income tax proclamation. Taxpayer Categories: The categories of taxpayers have been redefined, with specific thresholds for Category A and B...Read More