According to the bank, this year’s earnings from remittances exceed that of last year by about nine per cent. One million Ethiopians are estimated to live outside their country, mostly in the United States and Europe.
The bank said that the amount of remittances Ethiopia is receiving each year is on the rise, especially over the past three years.
“We have enforced a new legislation allowing the Diaspora to have saving accounts in US Dollars, which is encouraging many citizens to do so,” said the bank.
However, according to available information, Ethiopia is receiving fewer remittances than other neighboring countries, such as Kenya and Egypt. In 2007, Kenyans abroad had sent home nearly $1.6 billion, achieving a per capita remittance of 42 dollars.
Ethiopians on the other hand sent home only $359 million, with a per capita remittance of only four dollars, according to a United Nations report for 2009.