Ethiopia's Ministry of Finance said on Tuesday it will maintain a ban on imports of fuel-powered cars, even as the central bank lifted restrictions on imports of 38 other previously banned items.
In a letter signed by Finance Minister Ahmed Shide to the National Bank of Ethiopia dated July 30, 2024, the ministry said the ban on fuel-powered car imports would remain in place, while the restrictions on the other 37 banned items would be lifted.
The announcement came a day after the central bank said it would allow banks to open letters of credit for the 38 items, following the floating of the country's currency, the birr.
The ministry did not provide a reason for keeping the ban on fuel-powered car imports in place. However, Ethiopia has been working to promote electric and hybrid vehicles as part of efforts to reduce its imports bill for fuel, as well as curb air pollution and greenhouse gas emissions.