National Bank of Ethiopia maintains credit growth cap at 24%
Decision taken by Monetary Policy Committee (MPC) in March 2026 review
Policy framework introduced in 2023 at 14%, later revised to 18% on January 2025, and to 24%on September 2025
Inflation remains above 20%, cited in policy considerations
Banks required to limit annual lending growth to current cap level (24%)
Global economic uncertainty cited as key factor in maintaining policy
Private sector credit demand continues to exceed regulated supply
No timeline announced for further adjustment or removal of the cap
why it matters?
Maintaining a 24% lending cap continues to regulate credit expansion, affecting business financing conditions and liquidity across Ethiopia’s banking system.