Whereas, interest free micro-financing business has to be promoted for greater financial inclusion; Whereas, interest free micro-financing business needs to be carried out in a safe and sound manner;

Whereas, it is essential to establish clear, objective and transparent requirements for licensing and authorization of interest free micro-financing business;

Now, therefore, in accordance with article 31 (1 & 2) of the Micro-financing Business Proclamation No. 626/2009 as amended by the Micro-financing Business (Amendment) Proclamation No. 1164/2019, the National Bank of Ethiopia has issued this Directive.