A New Financial System Introduced in Somali State

 

Micro finance system started in operation at the nine regions in the Somali state of Ethiopia. This financial system replaces bank services and money transfer agencies and operates throughout the region.

 It is a first time, for financial institution give service to the people living in districts and villages in the Somali state. It was a difficult job to reach salaries and bounces to the employees and run business smoothly.

Only financial institution operated in the Somali region was the Ethiopian Commercial Bank, which give basic service to few towns. Last ten years, people relied on widely to money transfer agencies those earn on a high commission on money transactions and sometimes deal illegal transactions.

This Micro-finance Bank established in 2010 with incorporation of government and local business, which will divert commerce throughout the region and reduce poverty by giving poor people financial support.