Ethiopia Tightens The Noose on Illegal Money Transfer Operators

By Dawan Africa - Reporter

Ethiopia, 12 November 2025 - The National Bank of Ethiopia (NBE) has announced an updated list of licensed money transfer service providers in the country, reaffirming its commitment to strengthening official channels for foreign remittances as part of a broad campaign against illegal currency exchange operations.

In an official statement, the bank said the decision is part of its ongoing efforts to ensure that all money transfer operators comply with Ethiopian laws and financial regulations. It urged suspended companies to promptly regularize their status in line with legal requirements.

The NBE stressed the importance of using official and licensed channels when sending money to Ethiopia, highlighting that they offer security, transparency, and compliance with anti–money laundering and counter–terrorism financing regulations.

It also advised citizens to verify the list of accredited companies via its official website to avoid dealing with unlicensed entities.

The announcement comes as Ethiopian authorities intensify their campaign against illegal foreign exchange networks.

Earlier this week, officials reported the arrest of 112 individuals and the freezing of 519 bank accounts suspected of involvement in unauthorized money transfers and parallel market exchange activities.

According to the authorities, some of the detainees — including foreign nationals — were involved in illicit money transfers, cryptocurrency transactions, and traditional “hawala” operations, which negatively affect the government’s macroeconomic reform efforts.This measure is part of the government’s ongoing efforts to stabilize the foreign exchange market and strengthen public confidence — particularly among the diaspora — in official financial channels as the safest and most sustainable means of transferring funds and supporting Ethiopia’s economy.