Ethiopian Central Bank Governor Resigns After Seven Years of Economic Reforms

Mamo Mihretu, Governor of the National Bank of Ethiopia (NBE), has resigned after more than two and a half years in the role and seven years in various senior economic positions within the government. During his tenure, he led significant economic reforms including establishing the NBE's autonomy, transitioning to a market-based exchange rate system, opening the financial sector to foreign banks, and promoting digital financial inclusion. These reforms contributed to a threefold increase in foreign currency reserves, the lowest inflation in seven years, a tenfold rise in digital payments, and a strengthened financial sector with assets exceeding 5 trillion birr. Mamo also secured $10.5 billion in external financing from partners such as the IMF and World Bank, which helped stabilize the macroeconomic environment and restore investor confidence. His departure coincides with the enactment of new legislation formalizing the central bank's independence, a key IMF recommendation, and he stated his intention to pursue other professional opportunities. The National Bank under his leadership has taken strong measures against the informal foreign exchange market to combat illegal currency flows, warning of serious consequences for non-compliance.