Ethiopia to Float Birr in Major Economic Reform

Jul 28, 2024, 05:04 PM

Ethiopia has announced a significant shift in its economic policy by introducing a market-based foreign exchange regime. Prime Minister Abiy Ahmed stated that the country plans to float its currency, the birr, as part of a comprehensive macroeconomic reform policy. This reform includes adopting a free-floating currency and shifting to an interest rate-based monetary policy framework. The move is seen as a critical step towards modernizing Ethiopia's economy and aligning it with global financial systems.