ADDIS ABABA – Ministry of Finance has moved to allow for Ethiopians to import basic food items on a Franco-Valuta basis.
This system allows importers of goods on which no foreign currency is payable from banks but from their own pocket.
The latest decision was made by the macroeconomic committee of the ministry which held its meeting on Thursday.
The move is aimed at narrowing the supply-demand deficit on basic food items as well as tackling the increasing inflation, according to officials.
Importing food commodities such as edible oil, sugar, rice, wheat, and milk for children on the franco-valuta basis is now allowed for at least the next six months, the Ministry said in a statement issued on Thursday.
The National Bank of Ethiopia checks the origin of the imported items which should be worth 250,000 USD and above.
The ministry said its proclamation will be applied for levied tax and tariff on the commodities.