Ethiopia Launches Warehouse Receipt System to Unlock Farmer Credit

Ethiopia’s Ministry of Trade and Regional Integration has introduced a warehouse receipt system that allows farmers to use stored crops as collateral for loans. Farmers deposit commodities in certified warehouses and obtain receipts that serve as bankable collateral, reducing distress sales and stabilising prices. Officials say the initiative will expand access to finance, build integrated storage infrastructure and link farmers with banks and markets. By formalising commodity storage and linking it to the financial system, the scheme could increase liquidity in the agricultural value chain and encourage banks to develop crop‑backed loan products. The government has certified several warehouses under the system, which is integrated with the Ethiopian Commodity Exchange【100839821184739†L97-L136】.