In a strategic effort to stabilize the foreign exchange market, the National Bank of Ethiopia (NBE) held a special auction on February 21, 2026, which led to a 1.21% appreciation of the birr against the US Dollar. Although the central bank offered an unprecedented $500 million in this special auction, total bids from commercial banks fell short of the available amount. The outcome has helped temper the strong demand for foreign currency and curb the recent price surges seen in the market. A total of 30 banks took part in the auction, with aggregate demand reaching $455.3 million. This means only 91.1% of the $500 million offered by the NBE was purchased, leaving $44.71 million—equivalent to 8.9% of the total—unsold.

Source: Ethiopian News February 21, 2026 17:30 UTC