Home | News    Friday 11 May 2012

Ethiopia: State bank to expand more branches in South Sudan


By Tesfa-Alem Tekle

May 10, 2012 (ADDIS ABABA) – The state-owned Ethiopian Commercial Bank (ECB), said it will open more branches in the main towns of South Sudan including one in Upper Nile State going operational in the next few weeks.

ECB was granted regulatory approval by the South Sudan government in January 2009 and shortly after it opened a branch in Juba under the name CBE-Southern Sudan Ltd. with an initial capital of 15 million US dollars.

Many foreign financial firms entered the region following the 2005 Comprehensive Peace Agreement that brought an end to over two decades of civil war between Sudan and South Sudan.

Foreign banks dominate the banking industry in South Sudan. Before the country gained independence, there was only one bank operating to the 9 million estimated population of South Sudan.

Based in Juba town, CBE-Southern Sudan Ltd. has over 4,000 depositors most of them Ethiopians, Sudanese and Eritreans.

According to Ethiopian newspaper the Fortune, the bank has already dispatched 13 Ethiopian workers to South Sudan, with the branch in Malakal, South Sudan’s second largest city is set to be opened next month.

Currently, there are only three banks functioning in Malakal, including two local banks the Nile Commercial and Ivory and Kenyan Equity Bank.

CBE-Southern Sudan Ltd. also plans to open additional branches in Wau the capital of Western Bahr el Ghazal and Rumbek the capital of Lakes State in the next six months.

The Ethiopian Commercial Bank has up to 10,000 employees working at over 500 branches across towns in Ethiopia.

Last month, an Ethiopian private bank, United Bank said it will open its first branch outside Ethiopia in South Sudan’s capital Juba. When it opens, the United Bank, locally known as Hibret, will be Ethiopia’s first private bank to break into the banking industry of South Sudan.

South Sudan has attracted investment and workers from around East Africa and further afield looking to cash in on opportunities in the world’s newest nation.

This week leaked World Bank documents said that South Sudan’s economy on the verge of collapse after the decision to stop oil production through Sudan, accusing Khartoum of steeling its crude over a transit fee dispute.

South Sudan’s government relied on oil for 98% of its budget. The oil stand off is also severely affected Sudan’s economy, which is struggling to readjust to loosing 75% of the country’s oil-production when South Sudan seceded.

Khartoum insists on being paid $36 per per barrel that is exported and refined through its territory, while Juba says it will not pay more than $1.

The borders between the two have closed for trade for over a year and border fighting over contested oil areas brought Sudan and South Sudan close to brink if all out war in April.


Comments on the Sudan Tribune website must abide by the following rules. Contravention of these rules will lead to the user losing their Sudan Tribune account with immediate effect.

- No inciting violence
- No inappropriate or offensive language
- No racism, tribalism or sectarianism
- No inappropriate or derogatory remarks
- No deviation from the topic of the article
- No advertising, spamming or links
- No incomprehensible comments

Due to the unprecedented amount of racist and offensive language on the site, Sudan Tribune tries to vet all comments on the site.

There is now also a limit of 400 words per comment. If you want to express yourself in more detail than this allows, please e-mail your comment as an article to comment@sudantribune.com

Kind regards,

The Sudan Tribune editorial team.
  • 11 May 2012 08:06, by panda

    For me it look OK if you going to employe some of SOUTH SUDAN people,but on other hand too many foreign bank will not make a country to develop, we need investors who can come and build schools,hospitals,agricularal sectors,good roads some of the factories such as coca cola company that would employs no of peopl,than too many banks which employs particular those with the skills of financial

    repondre message

  • 11 May 2012 12:16, by jur_likang_a_ likan’g

    For how long will our government leave door open to people who want to exploit our people? I think for us to be proud of our independence we must control our economy from the roots to the top. Our people should encourage our people to enter into monetary businness.

    repondre message

  • 11 May 2012 16:50, by Justice Seeker

    I think the two of you are trying to exaggerate the so called independence. Independence doesn’t mean isolation. KCB a Kenyan based bank operates in Kenya, Uganda, Tanzania, Rwanda etc. Bufalo bank its base in South Sudan has a big share of Zemen Bank operating in Ethiopia. At your early stage of independence, I would expect you to opt for regional integration than isolation. Hope you got me well.

    repondre message

Comment on this article

The following ads are provided by Google. SudanTribune has no authority on it.

Sudan Tribune

Promote your Page too

Latest Comments & Analysis

Open letter to South Sudan Civil Aviation Authority 2018-09-19 04:05:10 By Telar Ring Deng On the cold morning of 9th September 2018, we were all in utter shock and bewilderment at the very tragic accident that occurred in Eastern Lakes State when a Plane crashed (...)

Sudanese have become prey of mercenaries and Janjawid militias 2018-09-17 09:59:30 By Mahmoud A. Suleiman The Janjaweed bandits have been raging in the land of Darfur in particular and Sudan in general with corruption, havoc and destruction, more than a decade on. The (...)

Khartoum’s peace agreement: A looming disaster 2018-09-15 07:42:34 By Duop Chak Wuol Throughout the South Sudanese peace process, the Sudan People’s Liberation Movement-In Opposition (SPLM-IO) has been faced with serious political issues. These issues make it (...)


Latest Press Releases

Unity State community in Kenya supports Khartoum peace agreement 2018-08-17 08:33:21 PRESS STATMENT 14th Aug, 2018 Re: We shall Rally behind Khartoum Peace Agreement The Unity State Community Association in Kenya was established in 2010 to organize and mobilize the people of (...)

The Suspension of Hurriyat Online Newspaper 2018-04-29 07:04:37 Sudan Democracy First Group 28 April 2018 The Sudanese civil and political circles and those concerned with Sudan were shocked by the news that the management of Hurriyat online newspaper has (...)

Petition on the Deteriorating Human Rights and Humanitarian Situation in Sudan 2018-04-22 10:01:20 UN Secretary-General, New York African Union Commission, Addis Ababa UN High Commissioner for Human Rights, Geneva Petition on the Deteriorating Human Rights and Humanitarian Situation in Sudan (...)


Copyright © 2003-2018 SudanTribune - All rights reserved.