Russia and Ethiopia Forge Closer Ties Through Currency Collaboration

(3 Minutes Read)

Russia and Ethiopia are exploring trading in their local currencies to strengthen bilateral relations and reduce transaction costs. Ethiopia aims to boost coffee exports to Russia, while Russian car companies, including Lada, are considering manufacturing in Ethiopia, including plans for electric vehicles.

Russia and Ethiopia are exploring trading in their local currencies to strengthen bilateral relations and reduce transaction costs. Ethiopia aims to boost coffee exports to Russia, while Russian car companies, including Lada, are considering manufacturing in Ethiopia, including plans for electric vehicles.

Ethiopian Ambassador Genet Teshome Jirru highlighted the potential benefits of local currency trading, including reduced economic uncertainty. Both nations are also enhancing energy cooperation, particularly in nuclear power, and focusing on regional security collaboration in areas like cybersecurity and counterterrorism.

Recently, Ethiopia was added to a list of countries allowed to trade currencies with Russia, alongside Nigeria and Tunisia. This move supports Russia’s goal of increasing payments in its currency and aligns with the BRICS group’s efforts toward de-dollarization and a more centralised trading system.

Read Also;

https://trendsnafrica.com/russian-president-holds-talk-with-ethiopian-pm-and-egyptian-president/

Ethiopia and Russia’s cooperation on cybersecurity, intelligence exchange, and counterterrorism in the area of regional security, are also in focus for both governments. Additionally, the Ethiopian envoy recognised Russia’s wider stabilising influence in Africa. Very recently, Ethiopia was listed as one of the three African Countries Russia added to its list of countries whose banks can now trade currencies in Russia, with the other two being Nigeria and Tunisia.