Ethiopia's central bank to sell US$840m at six FX auctions from 13 October

The National Bank of Ethiopia will sell US$840 million of foreign currency in six fortnightly auctions between 13 October and 22 December 2026, Capital Ethiopia reported on 6 October. The amount is 68% more than the US$500 million offered in four regular auctions in the previous quarter.

The bank announced the allocation for the second quarter of the 2026/27 fiscal year on Tuesday 6 October, Reuters reported, as carried by CNBC Africa. Stockmarket.et, which also published on 6 October, reported that the bank said in a statement it would hold six fortnightly auctions of US$140 million each, from 13 October to 22 December.

Capital Ethiopia put the increase at US$340 million. In the first quarter the bank held four regular auctions of US$125 million each. Stockmarket.et reported that each second-quarter auction will be US$15 million larger and that the bank has added two auctions to the calendar.

The auction dates are 13 and 27 October, 10 and 24 November, and 8 and 22 December, Capital Ethiopia reported.

Ethiopia moved to a market-determined exchange rate in July 2024, according to Ecofin Agency, which reported on the new schedule on 6 October. Capital Ethiopia said the official rate has gone from about 57 birr to the dollar before the float to around 160 birr in early October 2026.

Demand in the first-quarter auctions was uneven. At the first one, on 12 August, banks bid US$470.17 million against the US$125 million on offer, and the average rate was 161.79 birr to the dollar, Capital Ethiopia reported. At the two September auctions, which offered US$125 million each, banks bid US$120 million and US$123.49 million, according to Ecofin Agency.

Ethiopian Business View reported on 6 October that the central bank sold about US$2.7 billion through auctions in the previous fiscal year.

Shortages of foreign currency remain. Commercial banks estimated their outstanding foreign exchange backlogs at about US$1.4 billion at the end of April 2026, Ecofin Agency reported, citing the International Monetary Fund. An interbank trading platform launched in January 2026 has seen limited activity, it added.

The first auction of the new quarter is on 13 October.