Introduction
On February 12, 2026, the National Bank of Ethiopia
("NBE") issued the Foreign Exchange Amendment Directive No.
FXD/04/2026 ("Amendment Directive") revising
provisions of the Foreign Exchange Directive No. FXD/01/2024.
("FX Directive"). In this issue our insight, we highlight
the key changes introduced by the new directive. For our analysis
of the FX Directive, check our previous insight here.
Removal of Surrender Requirement for Service
Exporters
Under the FX Directive, exporters of goods and services are
required to convert to local currency, immediately and at freely
negotiated rates, 50% of the forex generated that was generated.
The Amendment Directive has now removed the conversion requirement
for exporters of services. Service exporters are now permitted to
retain 100% of their export proceeds in their foreign exchange
retention accounts and hold such proceeds for an indefinite period.
However, the 50% surrender requirement continues to