Macroeconomic Stability Crucial to Boost Manufacturing Industry: Governor of NBE

The National Bank of Ethiopia (NBE) is working to create macroeconomic stability in the country which is significantly crucial to transform the manufacturing industry, Governor of NBE, Mamo Mihretu said.

In a panel discussion held at the Millennium Hall today, with a theme “Access to Finance for the Manufacturing Sector”, Mamo said the National Bank is one of the institutions which has the duty to create a stable macro economy.

“Our support and job for the manufacturing sector is mainly to create macroeconomic stability which benefits the sector to be successful.”

Stressing the difficulty for the manufacturing industry to flourish in a volatile macro economy, he said NBE in collaboration with other stakeholders is working to create macroeconomic stability in the country which would be key for anyone involved in the sector.

For the governor, the dedication of NBE to a stable macroeconomic atmosphere is more significant than anything for the manufacturing industry to hit its long-term targets at the national level.

Creating price stability, foreign exchange availability and/ or stability, and maintaining a healthy financial sector, are crucial to benefit and enhance the manufacturing sector, it was indicated.

Minister of Industry Melaku Alebel said for his part that for the past 3-4 years, the government has been active in adopting policy interventions to support the industry sector that suits the private sector as well.

Highlighting the private sector needs more financial support, the minister said finance serves as an engine for any economy. “Without finance, there is no economy. We have to match the demand and supply.”

President of Development Bank of Ethiopia, Yohannes Ayalew said one of the challenges of the manufacturing sector is access to finance. As a policy bank, DBE supports the manufacturing and agriculture sectors.

Yohannes further noted that coordinated efforts among banks, investors, and stakeholders are highly needed to transform the industrial sector.

Recall that Ethiopia Tamirt national movement was launched last year by Prime Minister Abiy Ahmed with a view to creating a competitive manufacturing industry by addressing the challenges facing the sector in a sustainable, integrated, and comprehensive manner.

Source: Ethiopian News Agency