Question 1

What is Berhan Bank?

Accepted Answer

Berhan Bank is a private commercial bank operating in Ethiopia. Established in 2009, it is a shareholder-owned institution that provides comprehensive banking services to individuals, businesses, and institutions across the country.

The bank was the first local Ethiopian bank to operate using a core banking solution from its inception, fully automating and networking its branches. With over 160 branches nationwide and a paid-up capital exceeding 3.2 billion Ethiopian Birr, Berhan Bank has become a significant player in Ethiopia's banking sector.

Question 2

When was Berhan Bank founded?

Accepted Answer

Berhan Bank was formed in accordance with Article 304 of the Commercial Code of Ethiopia and was registered and licensed by the National Bank of Ethiopia on June 27, 2009. The bank was established with an authorized capital of 300 million Birr and subscribed capital of 154.7 million Birr.

The bank officially launched operations on October 3, 2009, opening its first branch in Bole, Addis Ababa. It was founded by a group of entrepreneurs with the vision of creating a technologically advanced banking institution that would serve Ethiopia's growing economy.

Question 3

Where is Berhan Bank headquartered?

Accepted Answer

Berhan Bank is headquartered in Addis Ababa, Ethiopia. The head office is located in the Bole Sub City, Wereda 03, at the Bole Bridge area in the TK Building on Ethio-China Road.

This strategic location in the capital's business district positions the bank at the heart of Ethiopia's commercial and economic activity.

Question 4

Where does Berhan Bank operate?

Accepted Answer

Berhan Bank operates throughout Ethiopia with an extensive branch network. As of recent reports, the bank has expanded to over 160 branches across the country, serving both urban and rural communities.

The bank's growth strategy has emphasized territorial expansion, with significant branch openings in major cities and regional centers. In its expansion phases, the bank has opened dozens of branches annually, reaching customers in diverse regions including Addis Ababa, Oromia, Amhara, Tigray, and other regional states.

Question 5

What services does Berhan Bank offer?

Accepted Answer

Berhan Bank provides a comprehensive suite of banking services including:
• Retail banking: Savings accounts, current accounts, salary fund management, and fixed deposit accounts
• Lending services: Personal loans, automobile loans, mortgage loans, investment loans, working capital loans, and corporate loans
• Diaspora banking: Specialized accounts and loan products for Ethiopian diaspora, including investment loans, mortgage loans, and consumer loans
• International banking: Foreign currency services, international money transfers, letters of credit, and guarantees
• Digital banking: Internet banking with balance inquiry, fund transfers, bill payments, and account management; mobile banking application with USSD services; and ATM network access
• Card services: ATM/debit cards through partnership with Premium Switch Solution (PSS)
• Remittance services: Partnerships with Western Union, Dahabshiil, Taran Express, Trans-Fast, and RIA Money Transfer

The bank also interfaces with Ethiopia's National Payment System (NPS) and has membership agreements with the Ethiopian Commodity Exchange.

Question 6

What makes Berhan Bank unique?

Accepted Answer

Berhan Bank distinguished itself from inception by being the first local Ethiopian bank to operate with a fully automated core banking solution, demonstrating its commitment to technological advancement. The bank has consistently invested in state-of-the-art technology, including establishing a modern data center to enhance service quality.

The bank was also the first to interface with the National Payment System launched by the National Bank of Ethiopia, positioning it as a technological pioneer in the sector. Berhan Bank successfully transitioned from IAS 39 to IFRS 9 accounting standards, demonstrating its commitment to international best practices.

The institution has shown remarkable growth, with its paid-up capital increasing from 154.7 million Birr at founding to over 3.2 billion Birr. The bank's expansion strategy has been aggressive, growing from a single branch in 2009 to over 160 branches, with some years seeing the addition of 50+ branches.

Question 7

What type of financial institution is Berhan Bank?

Accepted Answer

Berhan Bank is a private commercial bank licensed and regulated by the National Bank of Ethiopia. It operates as a universal bank, providing a full range of retail, corporate, and international banking services.

The bank is structured as a share company (S.C.) under Ethiopian commercial law, with ownership divided between promoter shareholders (51.42%) and public shareholders (48.58%). It complies with all regulatory requirements set by the National Bank of Ethiopia and operates within the framework of Ethiopia's banking and financial institutions regulations.

Question 8

What are Berhan Bank's recent achievements?

Accepted Answer

In recent fiscal years, Berhan Bank has recorded significant financial accomplishments. In the 2019/20 fiscal year, the bank registered a gross profit before tax of 583.4 million Birr, representing 72.8% growth over the previous year, and raised its paid-up capital to 3.2 billion Birr.

The bank opened more than 60 branches in that period and adopted various e-banking products. During the challenging 2022/23 fiscal year, marked by economic and political uncertainties, the bank continued to demonstrate resilience and maintained its growth trajectory despite industry-wide challenges.

Berhan Bank

in Ethiopia 🇪🇹

Crypto-Friendliness

All done!

About Berhan Bank in Ethiopia