Key Takeaways:
• May 29, 2026 marks the effective date of NBE’s Franco Valuta Import Directive No. FVD/01/2026
• Franco Valuta imports will not use foreign exchange from Ethiopia’s domestic banking system.
• Customs Commission must use or integrate FEMoUS to record, monitor and report Franco Valuta imports.
• Eligible users include diasporas, foreign investors, FDI traders and licensed domestic economic-zone and free zone operators, development projects of strategic importance, diplomatic missions, NGOs, religious institutions, civic societies, international organisations and owners of personal effects are included.
• Permitted investment imports include machinery, capital goods, spare parts, raw materials, technology equipment, and fuel for own consumption by embassies, international organizations and FDIs.
• Trading use covers FDI and diaspora wholesale, retail, manufacturing and commercial distribution imports.
• Users must hold valid licences, submit required documents, keep auditable records and comply with laws.
• Violations include misuse, false declaration, control circumvention, penalties, confiscation and criminal liability.
Market Impact:
NBE’s directive turns Franco Valuta from a fragmented import practice into a formal, digitally monitored regulatory channel. The framework is designed to support trade and investment without drawing foreign currency from Ethiopia’s domestic banking system, while reducing risks of misuse, misreporting and illicit financial flows.
For importers, investors and institutions, the main change is stricter compliance. Capital goods, raw materials, machinery, technology inputs, infrastructure goods and selected commercial imports may still enter through Franco Valuta, but transactions must now be documented, traceable and subject to Customs Commission reporting through FEMoUS.
The directive also widens the policy relevance of Franco Valuta for diaspora investors, foreign investors, SEZ operators, development projects and diplomatic or NGO users. Its practical impact will depend on how smoothly Customs, banks and importers adapt to the new digital control system.
Key Numbers:
May 29, 2026 — effective date — directive becomes enforceable
Directive No. FVD/01/2026 — legal instrument — new Franco Valuta framework
Proclamation No. 1359/2025 — legal basis — NBE enforcement authority
24 import categories — annexed procedure list — defines eligible Franco Valuta goods
USD 5,000 — duty-free personal goods threshold — applies to first-time residents
USD 10,000 — personal effects limit — applies to eligible diaspora investors
FEMoUS — digital control system — records and traces transactions
Business Signal:
Ethiopia is preserving Franco Valuta as an alternative import channel, but shifting it into a stricter digital compliance regime.
To download and read the whole directive, follow this link: https://wahidbusinessnews.com/media/resources/NBE_DIRECTIVE-NO.-FVD012026-IMPORT-ON-FRANCO-VALUTA.pdf