Eritrea Adopts Liberalization of Foreign Currency

The Revolution Begins
The Revolution Begins

By TesfaNews,

The government of Eritrea declares the adoption of proclamation No. 173/2013 aimed for the full liberalization of foreign currency in the country effective as of today.

In line with the proposed fiscal policy reforms for this year, the new law pertains on the opening of foreign currency deposit accounts, domestic commercial transactions and/or contracts, currency remittance and exchange, as well as the declaration of currency of travelers arriving into and departing from Eritrea. 

Previous Legal Notice No. 101/2005 and Legal Notice No. 102/2005 issued to amend the former are hereby repealed and replaced by this proclamation.

Accordingly, Eritrean citizens residing inside and abroad as well as government institutions inside Eritrea can now open foreign currency accounts and do international transactions with out any limitation and explanation including on the amount of foreign currency that they want to bring into or take out from Eritrea.

However, remittances and exchange of foreign currencies in the country shall remain under Eritrean banks and other service providing financial institutions authorized by the bank of Eritrea.

The change announced today in the control regime is an important factor for boosting growth and creating employment in the country as it greatly encourages private investment. It also enables Eritreans to enjoy complete freedom to engage in transaction with foreign currency as the freedom to engage in such activity will increase competition in the financial services and thereby reduce financing costs.


FOR THE ENTIRE ORIGINAL PROCLAMATION No. 173/2013, PLEASE CLICK HERE


 

GAZETTE OF ERITREAN LAWS
PUBLISHED BY THE GOVERNMENT OF ERITREA

Vol. 21/2013 No.1 Asmara, 20th February, 2013

Proclamation No. 173/2013

A Proclamation Pertaining to the Opening of Foreign Currency Deposit Accounts, Domestic Commercial Transactions and/or Contracts, Currency Remittance and Exchange and the Declaration of Currency of Travelers Arriving into and Departing from Eritrea.

Article 1. Short Title

This Proclamation may be cites as “Proclamation No. 173/2013 Pertaining to the Opening of Foreign Currency Deposit Accounts, Domestic Commercial Transactions and/or Contracts, Currency Remittance and Exchange and the Declaration of Currency of Travelers Arriving into and Departing from Eritrea”.

Article 2. Repealed Regulations

Legal Notice No. 101/2005 and Legal Notice 102/2005 issued to amend the former are hereby repealed and replaced by this Proclamation.

Article 3. Opening of Foreign Currency Deposit Accounts

  • (1) Government institutions authorized by the Ministry of Finance, as well other institutions authorized by the Bank of Eritrea, may open foreign currency accounts in Eritrea.
  • (2) Eritrean citizens residing in Eritrea may open foreign currency accounts in Eritrean banks and utilize their foreign currency for legitimate means.
  • (3) Eritrean citizens residing outside Eritrea may open foreign currency accounts in Eritrean banks and operate their foreign currency without any restriction.
  • (4) Institutions which have opened foreign currency accounts in Eritrea pursuant to sub-Article (1) of this Article may use their foreign currency for international transactions.
  • (5) Citizens residing in Eritrea who have opened foreign currency accounts in Eritrea may use their foreign currency upon presentation to the banks acceptable evidence.

Article 4. Currency of Payment in Domestic Transactions/Contracts

  • (1) Unless the Bank of Eritrea specially authorizes payment in foreign currency, all payments relating to commercial transactions and contracts in Eritrea shall only be made in Nakfa.
  • (2) Foreign currency collected by institutions specially authorized by the Bank of Eritrea to conduct transactions or provide services in foreign currency shall be surrendered to the Bank of Eritrea within the time frame prescribed by it.

Article 5. Remittance and Exchange of Foreign Currency

Remittance and exchange of foreign currencies in Eritrea shall be effected only through Eritrean banks and other service providing financial institutions authorized to do so by the Bank of Eritrea.

Article 6. Declaration of Currency Carried by Travelers Arriving into and Departing from Eritrea

Whereas there shall be no limitation on the amount of foreign currency that travelers may bring into or take out from Eritrea, they shall, where the amount they bring into or take out from Eritrea exceeds US Dollars ten thousand (10,000) or its equivalent in other convertible currencies, complete declaration forms prepared by the Bank of Eritrea and submit the same to Eritrean Customs Officers at the port of entry or departure in Eritrea.

Article 7. Penalty

Notwithstanding any provisions of law to the contrary, any person or institution who/which:

  • (1) exchanges foreign currency without a special permit from the Bank of Eritrea;
  • (2) remits illegally in Eritrea in Nakfa foreign currency received abroad;
  • (3) brings into or takes out of Eritrea foreign currency exceeding ten thousand (10,000) US Dollars or its equivalent in other convertable foreign currency without completing and submitting to Customs Officers declaration forms prepared by the Bank of Eritrea; or
  • (4) effect or receives in Eritrea payments relating to commercial transactions or contracts in foreign currency without a special permit from the Bank of Eritrea, shall, upon conviction by the competent civil court, in addition to the confiscation of the money that he/she/it is found exchanging foreign currency, remitting in Nakfa, bringing into or taking out from Eritrea without filling a declaration form and submitting it to the Customs Officers, or effecting or receiving payments in foreign currency in Eritrea, be punishable with simple imprisonment (i.e., from 10 days up to three years) or with a fine not exceeding fifty thousand (50,000) Nakfa; provided that the provisions of sub-Article (3) of this Article as well as the penalty of imprisonment herin provided for may not apply to institutions.

Article 8. Enrty into Force

This Proclamation shall enter into force as of the date of its publication in the Gazette of Eritrean Laws.

Done at Asmara, this 20th day of February, 2013,
Government of Eritrea.

29 thoughts on “Eritrea Adopts Liberalization of Foreign Currency

  1. Dear web master,

    Putting an official Gazette on line is not advisable. As you can clearly see there is a price tag on it and I wonder if you have permission from AWGET etc.

    1. So, where can we get this legally? website, prints? If this is the law of Eritrea then it should be available for FREE somewhere on the web!

  2. The main Purpose of this is to get foreign currency ….specially for collecting from the human trafficking, kidney sale, …etc so the people who are sending to get out their families in Sinai …could directly send it to Eritrea .. a great plan …LOL

    1. If you don't have nothing to say zip your mouth & throw the key where you can't reach. AJEWJEW not good!! Be civil and try to learn form others ,its good for you and make u well rounded person than been low

    2. you are idiot, if you don't know nothing please don't say anything because you seems you don't have clue about who was doing the human traficking. i hope someday you will understand when you loose loved one for a tragic incidence and you will bite your tongue. Because what you are saying here is not a laughing matter for most of us. you wouldn't dare to say this in front of an Eritrean crowed, because you know you will be punched right on your face on the spot. and you will be lucky to leave the place in one piece.

  3. all these low life "Abraham and Tinbit " are Idiot weyane cadres, specially abraham should be banned from any eritrean websites, because he is always on the negative side of everything about Eritrea and he still saying he is eritrea.. that is so obvious. We the true son and daughter of Eritrea will do anything to help out the government of Eritrea to build a nation free of western dependency. for all those idiot sellouts and weyane cadres eat your heart out. Eritrea will come out on the top and ethiopia will disintegrate into pieces of small new ethnic based nations. thats is not what i came up with, thats what US intelligence writing about. hopefully it is not gonna be too long, even if we never wish to see that but weyane is doing everything in it's power to create that sooner than later.

    1. So you think if Erhiopia disintegrates it won't affect us? You must be out of your mind, am starting to wonder how naive your perspective is. Don't you know we all strive to have stable neighbours for our own good and security? You should know that some of our ethnic groups have cultural brother on the other side of the border… Tigrinya, afar, Nara and Tigre to name a few. In ethiopia falls apart we also will be threatened by all the instability caused by the "nationalizatins" of this groups in Ethiopia/Sudan… As far as I know there exist a APLF (afra people liberation front) and their goal is for a greater afar country.. The tigrinya in ethiopia dream of the same. W'ladEri, again and again before you make a fool of yourself think twice! A question for you, do you think zimbabwe is a failed state? If yes why?

      1. Listen to this garbage. If Ethiopia divided in to 30 states, rest assured it won’t affect us anything. We don’t have any relation, economic or diplomatic and no love left between us.

        The only entity that would be affected by that scenario are those who leaves by its mercy and handouts like Abraham?? and the hooligans in London. Ethiopia is their only dream card to come to power and its demise means their demise too. So, my ppl, understand Abraham’s frustration.

        Now, instead of hatew qetew nay Abraham, why don’t we talk about the topic of the day which is the beginning of liberalization of economy that starts with liberalizing the hard currency and privatizing some of the most profitable companies in Eritrea for Eritreans only.

        That’s a point of discussion here than habes qebes nay hasusat …. Abrham get a life else where. We’re marching slowly but surely to the stage where we have been forced to halt: Economic independence, food security and Democracy.

        For your information, all haters, the Eritrean ppl is the only people in East Africa that caters uncensored news from hundreds of information sources and websites. Not a single website or Radio station (including that of the hasusat and opportunists) were freely accessed by Eritrean along with 250 channel satellite TV programs that every house in Asmara and major town owns free of charge.

        Challenge me if that is true in our neighbors where citizens don’t have access to dozens of independent websites and radio programs that are all subject to Jamming.

        Worse than that they are not even allowed to use Skype. But Abraham and his cohrots would like to call them democracies. Spare his ignorance. When it comes to access to information, we are #1. So free press stuff is self defeating when it comes to Eritrea as people are very free to access and communicate by using all means of press.

        1. Poor you, as always parroting what you have been told! If you think we won't be affected by what goes on around us you are living in a bubble. Especially what goes on in Ethiopia has a huge effect on us. Even DIA has said this many a times! So your knowledge on this is still an "infant"

          When it comes to access to information, it doesn't help to allow this when the general public doesn't have the means to afford, and not to mention things like access to electricity etc. on top of that do you know how fast internett connection speeds are in Eritrea compared to what you have and other countries around us have? Let me put it this way, if you have 10MB to your house, Eritrea has 12MB to the whole country….. Put simply, for one to access information on such a line they would have to wait for hours…this is a deliberate limit sat by the regime to "limit" access to info. We have also as the only country in east africa declined to join on to the fast speed subsea-fiber link, this will have a major impact on the economies of the states around us, but how on earth and why we are onboard is to many a mystery. So please get the knowledge again before you air your empty comments. Another fact is also the technology to stop or filter satellite tv, this is either too expensive or they don't have a clue. I know for a fact many amateur radio broadcasters were using our radio frequensis without the knowledge of our administrations.

          By the way, name one foreign news outlet that is allowed to operate in Eritrea?

      2. I recommend you to go back and reread W'lad's writing real carefully. It is unnecessary to be on the opposite all the time. Not good

        1. I really wish I could be on the same side, I just don't see how and on what. I unlike many others recognise the efforts on dams and irrigation systems etc, but again I think of who put their sweat, blood, hours, days and their lives, and that my brother makes me sad to the bone. Just to think a poor soul was forced to carry the stone, plough the land etc and not on free will is just too heart breaking. So again, I have to say, yes I see great work sometimes but this was not done by forced labour.

    2. @W'lad ERI,

      the reason why we innocent Eritreans find ourselves in so a miserable and undescribable situation is, because Eritrea has so ignorant and naive citizens like you do! Try to be honest even to yourself. The reality is:

      You want to build a nation free of western dependency + blood money (Organs of your own children!!!!)

      I doubt, nobody can help you with this atittude.

      Yours
      DIA

    1. Look at this geldam. Who is the diaspora? You and some of the hooligans that broke our Embassy? Come one…. we have seen you who you are and let alone to pay 2% of your meager income to your country's development, you yourself live by the mercy of your masters Dan Connel and his foundation. Of course, sometime Woyanne too.

      You desert your country and people to become active anti_eritrea opportunist. If you only know we are much better today than when you are here with us. Keep your 2% to your ass. Eritreans, unlike like you and some sell outs, never trade their country over walfare and crap from some old fart jornos.

  4. Look at those so call oppositions (I call them oppo in short for Opportunists). The moment they open they mouth, it stinks much. Kan Akilu'kum tefishkum? You sound desperate. What is missing? Something positive makes you angry, why? Don't you feel good if business booms back and makes life sweet for our country men?

    Alas! We have been told you only benefit out of the peoples suffering and the moment things change for better, you complain and blabber. Go and sack air loosers.

  5. If I were you I will not worry to answer to "koyoka". Lets move and discuss the issue on hand. Do not answer a fool according to his folly, or you will be like him yourself.

  6. What is the objective of Eritrean Proclamation 173/2013? Was it designed to tightening foreign exchange or to liberalize it? Will it improve or destroy Eritrean economy? In my opinion it will lead to a wide scale of black markets activities which will lead to increase the cost of living and corruption in Eritrea and aggravates the exodus of Eritrean youth. I don’t think it is smart move. Time will tell.

    1. " solomon" who are you to suggest that, please tell us your credential and we might give your opinion a second look, if not, you are just another Hasus from weyane camp. We are tired of all the negativity from The weyane camp and the sellouts .

    2. We heard Eritrea will never stand by herself, we heard that Eritrea will not stand a pressure from sanction, we heard Eritrea will return to Mama Ethiopia. Then it will not surprise me if someone like you to say a simple policy will destroy Eritrea….simply non-sense! "Tufush"

    1. Ayte Sele, you don't need intelligence here. Any one who has the hard currency or who has the Nakfa to buy the hard currency can fly to Dubai or China or to the moon and buy anything he want for his business and make a tone of money. No complain now. If Cement factory is not producing enough, no problem … just wire the money and order import right at the comfort of you Asmara office. Make the blocks and sell. Citizens who want cenment and cement block to build houses or anything construction can do so as the availability of material is now with out boundary. Any way, hold your horses and see the turn of events before you vent the usual your hoplessness and gloom. Be positive and think positive. Thanks God the majority of the Erotrean people is not like you. Just wait and see. Till then please save your crap comment or (borrowing your own words), shut your mouth.

  7. unlawful group of infiltrators who came from neighboring country can’t be expected to make good thing to eritrea eritrea can only expect good thing from eritreans full stop…………………

  8. Hateta – ሓዳስ ኤርትራ 26 ለካቲት 2013 https://74.63.78.28/feb2012/haddas_ertra_26022013….

    ሱታፌ ዜጋታት ዝዓበየ ረቛሒ ቁጠባዊ ዕብየት

    መንግስቲ ኤርትራ፡ ዝሓለፈ ሰሙን፡ ቁጽሪ 173/2013 ዝተስምየ ኣዋጅ ኣውጺኡ ኣሎ። እዚ ኣዋጅ’ዚ፡ ኣብ ባንክታት
    ኤርትራ ብባጤራ ወጻኢ ሕሳባት ንምኽፋት፤ ንኣከፋፍላ ኣብ ውሽጢ ሃገር ዝካየዱ ንግዳዊ ትውጊታትን ውዕላትን፤ ምሕዋልን
    ምሽራፍን ባጤራ ወጻኢ፤ ከምኡ’ውን ንምዝገባ ትሕዝቶ ገንዘብ ካብን ናብን ኤርትራ ዝንቀሳቐሱ ገያሾ ዝምልከት እዩ።
    ኣቐድም ኣቢሉ እውን፡ ሱታፌ ዜጋታት ኣብ ዋንነት መንግስታውያን ትካላት ምትብባዕ ዝዕላማኡ ኣዋጅ ቁጽሪ171/2012
    ኣብ ግብሪ ከምዝወዓለ ይፍለጥ።

    ኤርትራ ብሕታዊ ጽላት ዜተባብዕ “ፖሊሲ ሕውስዋስ ቁጠባ” ከምእትኽተል ኣብ ሃገራዊ ቻርተር ነጺሩ ዝሰፈረ መትከል እዩ።
    በዚ መሰረት፡ መንግስቲ፡ ቁጠባዊ ዕብየት ዘሳልጥ ባይታ እናመድመደ፡ ጎኒ ጎኑ፡ ግላዊ ወፍሪ፡ ተበግሶን ውድድርን
    ብምትብባዕ፡ ሰፊሕ ሱታፌ ህዝቢ ምርግጋጽ ዘይንቕነቕ ዓንዲ ማእከል ቁጠባዊ ፖሊሲ ኤርትራ እዩ። የግዳስ፡ ፖሊሲታት ድሩቓት
    ኣይኮኑን።

    ምስ ግዜን ኩነታትን ክተዓጻጸፉ ግዴታ እዩ። ከምዝፍለጥ፡ ኣብዚ ዝሓለፈ 12 ዓመታት፡ ኤርትራ፡ ልኡላውነት ሃገር
    ምቕልባስ ዝዕላማኡ፡ ካብ ቅሉዕ ወራር ክሳብ ዝተፈላለየ ስውርን ግሁድን ፖለቲካዊን ቁጠባዊን ሽርሒታት ክትምክት
    ስለዝተገደደት፡ ብኣዝዩ በዳሂ እዋን እያ ሓሊፋ። ከምዚ ዝኣመሰለ ዘይንቡር ሃዋህው፡ ፍሉይ ኣተሓሕዛ እዩ ዝጠልብ።
    ከመይሲ ዝርካቡ ጸጋታት፡ ኣብቶም ሓነቕቲ ቀዳምነታት ክውዕል ስለዝግባእ። እቶም፡ በዚ ሓድሽ ኣዋጅ’ዚ ተተኪኦም ዘለው፡
    ኣቐዲሙ ክስርሓሎም ዝጸንሐ ሕጋጋት እምበኣር፡ ምስቲ ዝሓለፍናዮ ዘይንቡር ኩነታት ተዛሚዶም ዝተኣታተው እዮም።

    ኣብዚ ዝተጠቕሰ በዳሂ መድረኽ፡ ህዝቢን መንግስቲን ኤርትራ፡ ብተጻብኦ ጀሆ ከይተታሕዙን ማእዝኖም ከይሰሓቱን ንርሑቕ
    ዝጠመተ መደባት ልምዓት ኣብ ምስልሳል ብልዑል ተወፋይነት ስለዝሰርሑ፡ ውሽጣዊ ዓቕሞም ብምብርባር፡ ኣብ ኩሉ ከባቢታት
    ሃገር፡ ድልዱል መሰረት ንቁጠባዊን ማሕበራዊን ዕብየት ከንጽፉ በቒዖም እዮም። ከም ውጽኢቱ፡ ኣብዚ ሕጂ እዋን፡ ንናይ ውሽጢን
    ወጻኢን ወፍሪ፡ ከምኡ’ውን ንሰፊሕ ቁጠባዊን ንግዳዊን ንጥፈት ምቹእ ባይታ ተፈጢሩ ይርከብ።

    መንግስቲ ነዚ ምዕባለታት’ዚ ብምግምጋም፡ ዝሓለፈ ታሕሳስ ኣብ ዝተኻየደ ካልኣይ ሃገራዊ ዋዕላ ቁጠባዊ ወፍሪ፡ ንባጤራ
    ወጻኢ ዝምልከት፡ ብግዝያውነት ክስርሓሉ ዝጸንሐ ሕግታት፡ ዳግመ ክለሳ ክግበረሉ ምዃኑ ኣፍሊጡ ነይሩ። እዚ ክለሳ’ዚ
    እምበኣር፡ ኣብ ሕቚፊ ሕመረት ሃገራዊ ፖሊሲታት ኣእቲኻ ዝርአ እዩ።

    ብሕታዊ ወፍሪ ከምኡ’ውን ሽርክነት መንግስቲን ብሕቲን ምትብባዕ፡ ብዓቢኡ ድማ፡ ሰፊሕ ሱታፌ ዜጋታት ኣብ ቁጠባዊን
    ንግዳዊን ንጥፈት ምርግጋጽ፡ ዘይቅየር ቀዋሚ ሃገራዊ ፖሊሲ እዩ። ክንዲ ዝኾነ፡ ኣብዚ እንኣትዎ ዘለና ሓድሽ ምዕራፍ፡
    ሱታፌ ዜጋታት ኣብ ቁጠባዊን ንግዳዊን ንጥፈት ምዕዛዝ፡ መንግስቲ ዓቢ ኣተኩሮ ሂቡ ክሰርሓሉ ተበጊሱ ኣሎ። ዝዓበየ ጸጋ ሃገር፡
    ዝለዓለ ድራኸ ንቁጠባዊ ዕብየት፡ ተበግሶን ንጥፈትን ዜጋታት ስለዝኾነ!

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