Whereas, use of alternative financial service delivery channels such as agents has significant contribution to deepening financial service accessibility to the wider section of the un-banked and under banked population at an affordable price;

Whereas, there is a need to encourage financial institutions to use agents in the provision of banking services so as to reduce the cost of financial services and to foster financial institution’s accessibility and depth;

Whereas, it is necessary to define activities which can be carried out by an agent; provide a framework to offer agency business service and; set minimum standards of customer protection and risk management to be adhered in the conduct of agency business service;

Whereas, the National Bank of Ethiopia is responsible to ensure that financial institutions are delivering agency business service without compromising the safety and soundness of the financial system of the country;

Now, therefore; in accordance with article 2 (2g) and 65 (2) of the Banking Business Proclamation No. 592/2008 as amended by Banking (Amended) Proclamation No. 1159/2019, article 3 (2m) and 34 (2) of the Microfinance Business Proclamation No.626/2009 as amended by Microfinance Business (Amendment) Proclamation No.1164/2019, and Articles 10 (5) and 37(2) of the National Payment Proclamation No. 718/2011, the National Bank of Ethiopia has issued this Directive.