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News - Financial

FX Volatility Hits Some Banks as Sector Still Records ETB 91 Billion Profit

Feb 10, 2026
FX Volatility Hits Some Banks as Sector Still Records ETB 91 Billion Profit
  • Ethiopia’s banking sector posted a combined profit of 91.06 billion birr in the first half of the fiscal year. 

  • Profits followed currency liberalisation that lifted sector earnings. 

  • Some banks incurred foreign exchange losses due to high FX exposure. 

  • Results varied widely by risk profile and balance sheet position

Why it matters?
Bank profitability aggregates indicate overall sector performance mid-year 2026, while foreign exchange losses signal risk exposures tied to recent currency reforms, affecting banks’ balance sheets and financial stability.