Capital account transactions refer to the inflows and outflows of capital that directly affects a resident’s foreign assets and/or liabilities position.
- Registered foreign investments can repatriate the following with the NBE’s approval:
- Investment profits and dividends
- Proceeds from selling or liquidating an enterprise
- Proceeds from transferring shares or ownership of an enterprise
- Return of investment if operations cannot commence
- Profits from portfolio investments in equity or debt securities
- Repatriation of Profits and Dividends
Investors who generate profits or dividends from recognized and registered foreign investments are entitled to remit their net profits or dividends abroad.
- Remittance of Proceeds from Liquidation
In the event that an investor ceases operations or closes its business, which is recognized and registered, they can repatriate funds by providing the relevant required documents.
- Remittance of Proceeds from Sale of Shares
If foreign investors transfer their shareholdings, either partially or wholly, to an Ethiopian national and/or another foreign investor, they can apply for the remittance of the sale of shares upon submission.
- Non-operational Investment
Foreign investors with registered but non-operational investments may remit foreign exchange, up to the amount of registered capital, upon presenting a confirmation letter from the Ethiopian Investment Commission.