PATEK PE Thee Ith Pe NATIONAL BANK OF ETHIOPIA ‘ADDIS ABABA PISBSDI669/16 May 30,2016 All Banks ‘Addis Ababa Dear Sir Subject: Repealing Circular No. BSD/12/2016 the Credit Referonce System (CRS) outage since May 04, 2016 fssued Circular No, BSD/I22016 dated May 19. 2016 by which we have temporarily suspended the legal requirement set in article 8.1 of NBE Directives No. ‘CRBIO1/201; allowing your bank to act at its own dseretion regarding obtaining of eredit information fr loannew facility application processing. ‘With the coordinated efforts of NBE, the system vendor and other suppliers the CRS is ‘ow restored and it has been up and running smoothly since May 24,2016. ‘As a result, Circular No, BSD/122016 is hereby repealed by this leer reinstating the legal requitement se in atc 8.1 of NBE Directives No CRBVO1/2012 ino fore, sire Your, Solomba Desa cc: > HE TheGovemor > The ViGoveror, Financia Insitutions Supervision > Credit Refrene: Burem, ‘National Bank of thin — ARON OAD ORG ZH1e, S550208 6h HRC OF1S S1 45.89 MAN HPC O115 St 74.30 AA ADDRESS: SUDANSTRCET PLOBOX 5550208 FAXNo.O115 514588. TEL.No.011551 7450 ADDIS ABABA ‘TELEGRAPHIC ADDRESS: ATL ONBANK CODES USED PETERSON 2" ¢" ED BENTLEY'S 2" PHRASE AB.C 6° EDITIO mall abe excl athlon ot Webi wer ps nbe gov etFATES Thee Ath * NATIONAL BANK OF ETHIOPIA ADDIS ABABA Fis/asDi6a2/16 May 19, 2016 AML Banks: o Addis Ababa Dear Sig, Subject: Cirewlar No, BSD/12/2016 ‘We recall the CRS outage since May 04, 2016 and as a result of which banks could not access the system to generate credit reports on their new & existing loan applicants, We also recall that article 8.1 prohibits benks from extending new; or renew, reschedule or refinancing existing loans without frst obtaining credit information ffom the CRS. The NBE is working exhaustively with the vendor company and other supplies to restore the system and resume the credit information sharing, Parllely, however, we believe that until the CRS jis suceessflly restored the credit operation of banks should not be impacted which will imately affect our economy, ‘Thus, we are temporarily suspending the legal requirement st in article 8.1 of NBE Directives No. CRBVO1/2012 until further written notice is given from us, ‘Thus, your bank can act at its ‘own discretion regarding obtaining of credit information for loaniness facility application Processing, Wo would, however, like to emphasise that banks should take due care in selecting ‘credit worihy borrowers and receive signed declaration from the applicant that states hlshe does ‘ot earfnoaperforming Joan in other banks). Since Yous, Soloed Desa Direto, Banking Supervision Di ce > ILE The Gistrhor > The ViGovernor, Financial Instiutions Supervision > Cro Reference Bureau onal Ba RGM: AD AAS 7 Hh, SESNDOAG Gh #7C OT1S 61 45.88 NAN 4TC O115 51 74.20 AN ADDRESS: SUDANSTRCET POBOX-SSSO2048 FAXNo,O115 5145 88 TEL. No.O115 517430 ADDIS ABABA ‘TELEGRAPHIC ADDRESS:N A T1ONBANK ‘CODES-USED PETERSON 3% 4 ED BENTLEY'S 2" PHRASE ABC 6* EDITIO Erma abe excl ethos Websie. wor tp. wih abe oveFA TERE Thee AFH . NATIONAL BANK OF ETHIOPIA ADDIS ABAB. FisiesDi754/16 une 17,2016 All Banks Addis Ababa Dear SirMadam; Subject: Circular No. BSD/13/2016 We recall that SNNP Region coffee loan borowers faced problem in loan Tepayment dus to drop in inlemational coffee price and applied to the Government for intervention. The nature of the loans suggests that most of these loans need to be rescheduled in order to regularize their repayments, However, sub-article 7(1(8) of the NBE Directives No. S8B/43/2008 placed restriction not to reschedule, restructure or renegotiate short or medium term loan to a borrower for more than three iterations. It also requires banks to collect in cash {ull amount of interest arrears, and a minimum of 25% of outstanding principal balance for rescheduling, restructuring or renegotiating for the second time, while to collect 2 minimum of 50% of outstanding principal balance to reschedule for the third time. This Is therefore, to inform you that restrictions afd requirements stipulated in the aforementioned sub-aticle of the Directives are temporarily suspended; for a period ce. > H.E. The Governor > The ViGovernor, Financial Institutions Supervision > Legal Service Directorate: ‘National Bank of Ethiopia RGM mA WAG 7k SSSOVZDIB “hh WHC O15 51 45.83 HAN HTC O11 51 7450 AA ADDRESS: SUDANSTRCET P.OBOX.5550-0I48 FAXNo. 0115514588 TEL No, 0113517430 ADDIS ABABA TELEGRAPHIC ADDRESS:N'A TION BANK CODES USED PETERSON 294 ¢* ED BENTLEY'S 2" PHRASE ABC 6° EDITIO Email abect@ ahocetat “Website whip war be gv et