In its annual financial security report with which the bank released on Tuesday about the impact of monetary fraud against commercial banks of the country, the bank said only three banks were unaffected by the fraud.
The amount that went to pockets of fraudsters represents an increase of 300 million birr (about $2.4million) compared to the previous year, the report said.
According to the report, 28 out of 31 banks in the country were defrauded, with fraudulent activities including the use of counterfeit currency, stolen ATM machines, fake checks, fraudulent phone messages, and other related methods. Names of the three banks that were not defrauded were not disclosed.
The National Bank of Ethiopia noted that banks are increasingly collaborating with small credit and savings institutions to provide loans. The rise in these services, along with a surge in internet fraud, is believed to contribute to the growing financial losses.
The governing bank further indicated that the commercial banks are also facing credit and liquidity and operational risks due to external and domestic developments.
The National Bank also revealed that the total amount of loans extended by banks has reached 2.2 trillion birr.
The report also showed an increase in the total profit of banks, rising from 49 billion birr last year to 59 billion birr this year.
MG/abj/APA