The Commercial Bank of Ethiopia is to open its second branch in Southern Sudan. The branch will be opened in the second 
largest city in South Sudan and Malakal.
The bank aims to tap into the growing business in the area according to a banker attached to the Commercial Bank branch at Juba. The bank has already sent thirteen employees to Juba and CBE has already constructed the office that will house the bank he said.
There are only three banks, two local banks Nile Commercial and Ivory and Kenyan bank Equity, currently operating in Malakal in spite of the business created by its proximity to Ethiopia and North Sudan.
The CBE branch in Juba, CBE-Southern Sudan Ltd, was opened three years ago with a paid up capital of 15 million US dollars. Currently the bank mobilizes 100 million dollars in deposits from 4000 depositors.Most clients are interested in money transfer services as well as deposit according to the banker. Most of the bank’s customers are Ethiopian, Sudanese and Eritrean he noted.
CBE saw a decline in money transfer following the foreign currency shortage in the country after it shut down its oil pipelines last January. The bank’s business in South Sudan, however is still lucrative with increasing profits every year claimed the banker. It was this consistent success that prompted the bank to open a second branch in Malakal he added.
The bank aims to open two other branches in Wau and Rumbek which are capitals of Western Bahr el Ghazal and Lakes State in the next six months.
Source: Addis Fortune
