2025-11-07

Added · Updated

Risk-Based Capital Adequacy Requirements for Banks Directive No. SBB/95/2025

The National Bank of Ethiopia has issued Directive No. SBB/95/2025 to establish comprehensive risk-based capital adequacy requirements for all licensed banks operating in Ethiopia, both individually and on a consolidated basis. The directive defines eligible capital across Common Equity Tier 1, Additional Tier 1, and Tier 2 categories while mandating specific capital charges for credit, market, and operational risks to maintain a minimum 11 percent capital ratio. It assigns primary compliance responsibility to bank boards of directors for maintaining capital management strategies and outlines reporting obligations, administrative sanctions, and a structured transition period to fully integrate Basel II and III standards.

National Bank of Ethiopia logo

Ethiopia

National Bank of Ethiopia

Click to view full text

More like this from NBE

NBE published 1 document in the last 30 days. We email you each new one the day it's published.

Topics
Share