Ethiopia said it will consider trading in currencies other than the U.S. dollar to prevent the negative impact of over dependence on a single currency.
The country’s Ministry of Finance in a statement over the weekend said the move aims to strengthen the country’s trade and investment ties with various countries and maintain trade balance.
The ministry said the country has reached agreements with different countries including the recently signed deal with the United Arab Emirates to trade in their own currencies.
In a recent interview with the state-run Ethiopian Broadcasting Corporation, State Minister of Finance Eyob Tekalign said the government is working on ways to trade in currencies other than the U.S. dollar in order to facilitate trade and investment cooperation in a way that protects Ethiopia’s interests.
Tekalign said that the government is working on ways to trade in currencies other than the U.S. dollar in order to facilitate trade and investment cooperation in a way that protects Ethiopia’s interests.
He added that the move is aimed at expanding the country’s access to foreign markets, and it has been found necessary to have additional currencies other than the U.S. dollar.
Several African nations are actively considering the adoption of a single currency as part of broader economic integration initiatives.
This ambitious plan, spearheaded by the African Union (AU), aims to create a unified economic space and bolster trade and financial stability across the continent.
The proposed currency, tentatively named the “Afriq” or “Afro,” is envisioned as a key component of the African Continental Free Trade Area (AfCFTA).
MG/APA