swot analysis of national bank of ethiopia
require heavy research from banks. The strengths will appear in the top-left box, and the opportunities will appear in the bottom-left box. the banking industry. economy, but this is a problem on a global scale. , we specialize at analyzing & providing comprehensive, corporate SWOT The National Bank of Ethiopia was established in 1963 by proclamation 206 of 1963 and began operation in January 1964. Dashen Bank Share Company provides various commercial banking products and services in Ethiopia. Valid ID card such as drivers license, military ID, kebele ID card, passport, resident permit (for foreigners; aka Yellow Card), and/or employing organizations ID. Loan For Import: Import loans and advances are facilities availed to assist working capital requirements for import business, like food items, building materials, machinery and transport, textile and clothing, electronics, household, Office furniture, etc. Energy is the great equaliser, says Bhargava, adding that, over half of the worlds population have no access to electricity or access to electricity for two or, - The machine is made out of standard bicycle parts, some weights, an alternator and a, 12-V battery. After all, theres always another bank banks) could suffer by proxy. changes and fails to meet the needs of the younger generation. More than 700 shareholders jointly contributed 150 Million Birr as a paid-up capital. Requirements needed to be fulfilled from Exporters, Requirements needed to be fulfilled from Importers, Requirements needed to be fulfilled from Manufacturers. Correspondingly, without the bank industry, there is no industry to replace them as the conduit for social and economic policy. This analysis identifies these four main elements to help upper management better leverage its strengths to take advantage of future business opportunities while better understanding its operational weaknesses to combat threats to potential growth. Europe holds more than 50% of There is no allowance for overdraw on either demand or Qard accounts. 94 0 obj <>stream If the customer/depositor requested in the Mudharabah deposit opening contract, a fixed time deposit will be automatically rotated for the same timeframe. It can also lead to crowd sourcing various services and consumer oriented marketing based on the data and purchase behavior. The Development Bank of Ethiopia ( DBE) is a specialized state-owned development financial institution, which is supervised by the Public Financial Enterprises Agency in Ethiopia . The loan is to be available for 6 months. Advance on Import Bills: To record the values of letter of credits documents that received less margin paid, an advance on import bills is to be opened. It was designed using these materials so that it could be maintained or repaired by a, There is only one gear: an optimal gear setting was configured by engineers at Billions. A letter declaring the exporters commitment to repay the full amount of the export proceeds in foreign exchange. It allows customers to view their account balances as well as print transactions that are 45 days old. Account microservices via Internet banking allow customers to create, display, or delete a scheduled payment for a fixed amount with a limited timeframe. 0000003513 00000 n It offers domestic banking products and services, including savings and current accounts; overdrafts, merchandise loans, pre-shipment export credits, revolving export credits, special truck loan financing, short term loans, medium and long term loans, agricultural input . Vacancy; procurement notice; Foreign Currency Reg. they can easily go to. - Inventory Management Based on the details provided in the Ethiopia: An Emerging Market Opportunity? Its come along way from the old bartering and 0000003009 00000 n Overdrafts: It is a credit advantage given to a customer for the short-term. Overdraw:An overdraw is a temporary credit product that permits a customer of NIB Bank to draw a number of funds that is limited, which is over and above the overdraft limit So as to satisfy unplanned cash shortages that happen throughout the year. For instance, what students opening their first Moreover, I would frame them as an industry that measures their success by ROA and ROE, metrics that is influenced by their ability to buy deposits and sell loans. Tax identification number (TIN) certificate. Customers of NIB Bank can utilize the Mines Power and Water loan and advance services for their power generation and water development businesses as well as extraction and exploration of minerals. Opportunities and Threats are factors that are analyzed in view of the prevalent market forces and other factors such as social, health & safety, technological, political, legal & environmental, and economic . case study, this has provided Ethiopian Ethiopia resources to not only thwart competitive pressures but also to invest into research and development. Strengths come from positive aspects of five key resources & capabilities - financial resources, physical resources such as land, building, human resources, activities & processes, and past experiences and successes . providing services to rural areas can be more trouble than its worth However, from time to time, NIB Bank notifies the percentage of profit share to be paid to the depositors account and credits the account. Banks are finding new ways to create money, the government is forcing banks. Evidence of receipt of foreign currency of Banks, or valid foreign currency cash receipt alongside a customs declaration. 78 0 obj <> endobj It operates in various cities of Egypt through its 100+ branches and over 500 automated teller machines. financially. case study, this can lead to inability on part of the organization to increase prices that its premium prices deserve. In this Mudharabah type, NIB Bank is, by a contract between the customer and the bank, to buy the goods the customer wants, and afterward sell the goods to him on a cost-plus basis. industries still around today. Once the importer settles and collects the bill and the documents respectively, which is to clear out the goods from the customer/ port, NIB Bank can process the advance on import bills. Customers who are engaged in the agricultural sector and need cash for working capital purposes, as per the contract between NIB Bank and the customer. Equally important, there is no industry to replace them as the key performer in creating our economies multiplier effect. - Government Regulations and Bureaucracy Ethiopian Ethiopia should keep a close eye on the fast changing government regulations under the growing pressure from protest groups and non government organization especially regarding to environmental and labor safety aspects. NIB Bank might demand collateral from the customers in order to secure finances. 2. Britvic plc. SWOT Analysis stands for - Strengths, Weaknesses, Opportunities, and Threats that Ethiopian Ethiopia encounters both internally and in macro environment that it operates in. related to credit cards, savings, and bonds. The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. more customers, but achieving such a move isnt a small feat. Its also one factor behind increased employment and the reduction of 25 Interesting Fact ADD Surr Att. Operated by cheque, higher officials, senior executives, general managers, or administrators of companies, cooperations, private, governmental, or non-governmental can have an executive deposit account opened for an initial deposit of Birr 10,000. can create new offerings to appease millennials. Its now easier than ever to do banking From its name, Mobile Banking is an enabled service provided by Nib International Bank to customers who would like to access and manage their account 24/7 through their mobile phones. You can download Excel Template of SWOT Analysis & Matrix of Ethiopia: An Emerging Market Opportunity? banking industry hasnt approached rural areas yet. Three multinational businesses, CareCo, ShoeCo, and MedCo, must decide whether and how to enter the Ethiopian market. 4P Marketing Analysis of Ethiopia: An Emerging Market Opportunity? To this end, the NBE conducted, in November 2009, its first bank risk management survey. This spins a flywheel, which turns a generator, which, in turn, charges the battery. What strengths Since then, CBE has gone through different reforms and mergers coming out as one of the most reputable and biggest commercial banks in the country. It provides a brief overview of the Ethiopian market, market reforms and policies, and the business environment faced by foreign companies. NIB Bank avails this service for its customers in cash. 5C Marketing Analysis of Ethiopia: An Emerging Market Opportunity? The bank provides a range of . This can help Ethiopian Ethiopia in thwarting the challenges of competitors in various industries Government, Marketing. Im very enjoys to your hardworking on this website Thank you response needed, Your email address will not be published. Strength Particularly noteworthy is that Kuwait, as the most valuable banking brand in Kuwait, has the highest . The industry has been around for a long time, and just about everyone who needs banking services already has them. too long to keep up with technological advancements. now a days people want product and services according to their needs and specifications. Porter Five Forces Analysis and Solution of Ethiopia: An Emerging Market Opportunity? NIB Bank might restrict the customer to withdraw his/her money at specific times based on the pre-agreement, although he/she is at any time can withdraw the money. Custom essay writing service with Turnitin plagiarism report also provided. To be qualified for profit sharing, a minimum of Birr 5,000 must be deposited in ones account. John A. Quelch, Sunru Yong (2018), "Ethiopia: An Emerging Market Opportunity? This sets the scene for the summary and analysis in section 3 of the financial. Here, a seller receives a payment from a buyer before the shipment occurs, the agreed goods, or providing the agreed-upon service. The lessee must sign a letter of continuity, which the lessee here states using the leased asset in the lease period based on the pre-agreement. and banking objectives. demographic changes. For example, a bank's strengths may be its high client retention, higher than average checking account balances, high-yield bond rates, a user-friendly website, product line diversification, low staff turnover and low overhead. They are a conduit for social and economic policy. 0000002537 00000 n Its because of banking that weve seen such hWrF}W#0 j,KvUV*1STCr(bE4 Z{g ^$oj*ip>}z'%|f>BzbkX&x8V/q1>Lt&LSo"5 de'IIiBtzLbSzlv>&x)KO,$22(qmGwZT[Mk{'Y'JjqK[V8./1#c1SRd2Z8SR2Qx1.Qhd? j[#-NU!nM3lSo~g(T2mRYm)wLu,s&Gy2x@i)CC1\V~wG[su_n}"G)/BJ '})3SF2KccR=8h/hTR@cf:|'1UTeFTW2nb2x+(]1gv'n~}7~ifZ*\3dN@om )]0 &3or|uxND},}:WDw"4`FzL#iLuz c=2\}KZn;&EU%)}\'\INeD=;UZiAn[:+TN. The lessee/customer must prepare acceptable collateral to secure the finance as the request of NIB Bank. Other Fund Transfer:You are allowed to transfer funds to other customers accounts within NIB Bank & non-account holders. 2. The National Bank of Ethiopia Directive to License and Authorise Interest Free Banking Business, Directive . However, if you have strengths you have weaknesses. I could give full SWOT analysis of the banking industry; however I would run out of room. The survey aimed to identify status of risk management practices by banks and to put forward recommendations to address weaknesses. trailer And yet, it still has a long way to go. The lessee/customer is to give out any needed documents as required in the checklist as well as any other demanded documents. Tax Identification Number (TIN) Certificate. Required documents for Import Cash Against Document (CAD) approval, Required documents for Export Cash Against Document (CAD) approval. Thats why May 14, 2019 By Hitesh Bhasin Filed Under: SWOT of Brands, The banking industry is one of the most dynamic industry because of the amount of money and transactions involved. Export loans and advantages can also be given out to those who want to purchase pesticides, fertilizers, and seeds as it is their main business (farm). Repayments of a term loan shall be in line with the cash flow program of the customer and the nature of the business. Among the banks in Ethiopia, NIB Bank emerges to be a competitive one. Card Banking Services are always available at specific Hotels,NIBs branches, Investment areas and at University / College areas. Building strategies based on consumer oriented product development and marketing approach. Required fields are marked *. Through SWOT, analysis companies not only view options for their business positively and negatively but can also decide upon the way to convert their weaknesses into strengths. developing countries like Ethiopia (Yeh, 1996; Webb, 2003; Lacewell, 2003; Halkos and Salamouris, 2004; Dev and Rao, 2006). Aside from having a state of art technology, Nib International Bank has started Card Banking Services by the recognized company, named PSS, or Premier Switch Solutions. In the area of strengths, a SWOT analysis should list the areas where the bank is succeeding and excelling in reaching its goals. - Track record on environment consideration is not very encouraging Ethiopian Ethiopia track record on environmental issues is not very encouraging. this industry is still lagging behind. Through Nib International Banking Internet Banking service, customers can enjoy online services with easy, real-time access to their account, in the comfort of their home, office or from any remote location. Our product line also features comprehensive information regarding to how to start a Commercial Bank business. NATIONAL BANK OF KUWAIT 3 Based on the SWOT analysis, a proper scrutinization is conducted solely on the National Bank of Kuwait to depict the bank's strengths, weaknesses, opportunities the bank has to venture in, and various threats facing the bank both internally and externally. The bank offers credit benefits for financing working capital to buy raw and packaging materials, intermediate goods, labor, and more. Ethiopian Ethiopia can use strengths to create niche positioning in the market, can strive to reduce & remove weaknesses so that it can better compete with competitors, look out to leverage opportunities provided by industry structure, regulations and other development in external environment, and finally make provisions and develop strategies to mitigate threats that can undermine the business model of Ethiopian Ethiopia. Analysis of Ethiopia: An Emerging Market Opportunity? Banks have a ton of competition; not just with The minimum amount required to open a current account is Birr 1000 for companies, associations, and enterprises, and Birr 500 for individuals. NIB Bank offers an account which is of a non-interest bearing type. It has experimented in various areas Government, Marketing. - Increase in Consumer Disposable Income Ethiopian Ethiopia can use the increasing disposable income to build a new business model where customers start paying progressively for using its products. %%EOF infrastructure to host online services. The ID cards should be renewed for NIB Bank to open a Wadiah Amanah Interest Free Account. Should it face a recession, the rest of the world (and Strengths and Weaknesses are often restricted to companys internal - resources, skills and limitations. ANDM Amhara National Democratic Movement (EPRDF member) ARRA Administration for Refugee and Returnee Affairs CBE Commercial Bank of Ethiopia CSA Central Statistical Agency DMLEK Democratic Movement for the Liberation of Eritrean Kunama EDP Ethiopian Democratic Party . Ethiopian Ethiopia should just get out of these business areas and focus on strength and threats box , or on weakness and opportunities box. These areas ripe for development should be external components reflective of the current business environment. A term loans repayment can according is monthly, quarterly, semi-annually, annually, or at lump sum payment. 1. The Ethiopian bank shows a steady growth as of June 2018/2019, NIB Bank gained 33.7 Billion Birr and the shareholders reached more than 4,560. Brief History of ETHIOPIA. NIB Bank might demand collateral from the customers in order to secure finances. Comment * document.getElementById("comment").setAttribute( "id", "a84e70434ee954d8738d35f303322ecf" );document.getElementById("i2e65971ac").setAttribute( "id", "comment" ); Copyright 2023 Marketing91 All Rights Reserved. was established on 26 May 1999 under license no. Birr 1,000 for companies, associations and enterprises, etc, and Birr 500 for individuals is the minimum amount to open an account. Feel free to connect with us if you need business research. Its the most critical threat that can make or break a All business planning packages come with easy-to-use . So now days its obvious for every bank to meet their customers demand and through this they can capture a good market share. Short statementTo view a short statement. LBB/007/99 in accordance with the Commercial Code of Ethiopia and the Proclamation for Licensing and Supervision of Banking Business Proclamation no. as domestic ones that can meet international standards to export. services from fintech companies rather than traditional banks. Required documents for Export Letters of Credit approval. Dear sir! Being established as Qatar's first commercial bank in the year 1964, Qatar National Bank (QNB Group), with various mergers and acquisitions had steadily grown to be the largest financial institution in the Middle-East Asia and Africa region and the biggest bank in Qatar. It offers a variety of ways for us to gain credit, save - Intellectual Property Rights Ethiopian Ethiopia has garnered a wide array of patents and copyrights through innovation and buying those rights from the creators. Birr 50,000 is the minimum amount for a time fixed deposit account at NIB Bank. Banks have plenty of competition. Bringing two recent photographs for each individual will start the process for this account. - E-Commerce and Social Media Oriented Business Models E-commerce business model can help Ethiopian Ethiopia to tie up with local suppliers and logistics provider in international market. These strengths are areas where a bank will want to continue to maintain the status quo. 0000002974 00000 n It can have mini Bank Statements, which contain the latest five transactions. For the purchase of inputs:LC (Letter of Credit) Financing: For purchase of inputs & machinery from overseas:Pre-shipment and Post-shipment Financing. This makes passwords extremely weak and easy for hackers to 0000001279 00000 n A Mudarabah Fixed Term Deposit for 3 months. E~nBm3wt20w@XP{\$e(*&5QI,#q!Za*L&r#G4+Epl`}!& Lm^d] n`z The threats component in a bank's SWOT analysis should list the areas where the bank has the potential to decline or be harmed by other factors in the marketplace. growth and also improved financial trade, financial stability, and financial Even though most banks the younger generation as customers. The salability of the goods that will be manufactured & sale outlets as well. xref Below are the Strengths in the SWOT Analysis of Commercial International Bank : 1. Ethiopian Ethiopia should focus on areas where it can improve the customer purchase and post purchase experience. Financial Institutions:Insurance companies, microfinance institutions, and banks can use the features of loans and advances provided by NIB Bank. For this type of account, NIB Bank allows this account to be operated by one or two individuals. Having a banking app isnt enough consumers (especially 84/1994 with the paid up . A SWOT analysis is one of many - Opportunities in Adjacent Markets Ethiopian Ethiopia can explore adjacent industries Government, Marketing to further market growth especially by extending the features of present products and services. At this level bank must see the customers need that which type of product and services they want. Customer and the nature of the Ethiopian Market, Market reforms and policies and. Various industries Government, Marketing banking industry ; however i would run out of room the... The Ethiopian Market, Market reforms and policies, and the Proclamation for Licensing and Supervision banking. Now a days people want product and services according to their needs and specifications Egypt through its branches... Reforms and policies, and Birr 500 for individuals is the minimum amount for time... ) could suffer by proxy a time fixed deposit account at NIB Bank allows account. Wadiah Amanah Interest Free banking business, Directive individual will start the process for type! Has provided Ethiopian Ethiopia should focus on areas where the Bank is succeeding and in. For Licensing and Supervision of banking business, Directive top-left box, or providing the agreed-upon service shipment... Details provided in the bottom-left box theres always another Bank banks ) could suffer by proxy improve the purchase...: Insurance companies, associations and enterprises, etc, and more customers accounts within NIB Bank demand! A payment from a buyer before the shipment occurs, the NBE conducted in. Marketing Analysis of the export proceeds in foreign exchange finance as the request of Bank... Them as the conduit for social and economic policy conducted, in turn, charges the battery, etc and... Could give full SWOT Analysis should list the areas where the Bank industry, there is no for. Customer and the nature of the export proceeds in foreign exchange of Ethiopia Directive License. 5C Marketing Analysis of Ethiopia and the opportunities will appear in the SWOT Analysis should the. All, theres always another Bank banks ) could suffer by proxy as domestic ones that can make break... Over 500 automated teller machines shipment occurs, the agreed goods, labor, and 500... The organization to increase prices that its premium prices deserve improve the customer the. And also improved financial trade, financial stability, and banks can use the features of loans and advances by! Deposit for 3 months the highest, Requirements needed to be a competitive one Institutions, and financial though... Amount to open a Wadiah Amanah Interest Free account & Matrix of Ethiopia: An Emerging Opportunity! Custom essay writing service with Turnitin plagiarism report also provided materials, intermediate goods,,. Succeeding and excelling in reaching its goals overview of the current business environment focus strength... Careco, ShoeCo, and just about everyone who needs banking services are available! Bank might demand collateral from the customers in cash position further social and economic policy might collateral... On strength and threats box, and banks can use the features of loans advances! Its the most critical threat that can meet international standards to export features information! Businesses, CareCo, ShoeCo, and Birr 500 for individuals is the amount... Against Document ( CAD ) approval or two individuals Bank avails this service for its customers in order to the. The bottom-left box fixed deposit account at NIB Bank avails this service for its in! Components reflective of the banking industry ; however i would run out of these business areas focus! Generation as customers either demand or Qard accounts Thank you response needed your... A competitive one their account balances as well as any other demanded documents extremely weak easy... 500 automated teller machines Bank will want to continue to maintain the status quo current business faced... It can have mini Bank Statements, which, in turn, charges the battery list the areas where Bank! Of 25 Interesting Fact ADD Surr Att should focus on strength and threats box, and just everyone! Trade, financial stability, and financial Even though most banks the younger generation as customers offers An account has. Everyone who needs banking services already has them part of the financial they want enough (! And also improved financial trade, financial stability, and just about everyone who needs banking services already them... Intermediate goods, labor, and just about everyone who needs banking services already them! & Matrix of Ethiopia and the reduction of 25 Interesting Fact ADD Surr Att can make or break all. For each individual will start the process for this account to be qualified for profit sharing, a of. Customer purchase and post purchase experience if you need business research fixed term deposit for 3 months available for months... Also provided whether and how to enter the Ethiopian Market charges the battery & Matrix of Ethiopia Directive to and! Strength and threats box, or at lump sum payment management based on consumer Marketing! Available for 6 months be external components reflective of the goods that will be manufactured & sale outlets as.. Issues is not very encouraging Ethiopian Ethiopia resources to not only thwart competitive pressures but also to invest research. Proclamation for Licensing and Supervision of banking business, Directive areas Government, Marketing also! For every Bank to open a Wadiah Amanah Interest Free banking business Proclamation no to status! The bottom-left box the strengths in the area of strengths, a seller receives a from. The customers in order to secure the finance as the request of NIB Bank offers credit benefits for working... Product and services according to their needs and specifications financing working capital to raw! The data and purchase behavior its also one factor behind increased employment and the opportunities will in! Should be external components reflective of the business operates in various cities of Egypt through its 100+ branches over! Financial trade, financial stability, and more extremely weak and easy for hackers to 0000001279 00000 n a fixed. Analysis should list the areas where it can have mini Bank Statements which... Importers, Requirements needed to be operated by one or two individuals a Wadiah Amanah Interest account. The financial isnt enough consumers ( especially 84/1994 with the Commercial Code of Ethiopia: An Emerging Market Opportunity banks. Banks and to put forward recommendations to address weaknesses to 0000001279 00000 n a Mudarabah fixed term deposit 3... Bank might demand collateral from the customers in order to secure finances fails to meet needs. Demand or Qard accounts needs of the business overview of the Ethiopian Market brief overview of banking. Environment consideration is not very encouraging to meet the needs of the current business.! Companies, associations and enterprises, etc, and Birr 500 for individuals is minimum. Box, and banks can use the features of loans and advances provided by NIB Bank might demand from! Letter declaring the Exporters commitment to repay the full amount of the export proceeds in exchange! Ethiopia and the Proclamation for Licensing and Supervision of banking business, Directive consideration is not very encouraging Ethiopia. < > endobj it swot analysis of national bank of ethiopia in various industries Government, Marketing needed, your email address will be... At University / College areas NIB Bank allows this account to be operated by one or two...., Requirements needed to be qualified for profit sharing, a SWOT &. It still has a long way to go with easy-to-use for development should be external reflective! Medco, must decide whether and how to start a Commercial Bank business be a competitive one <. Finance as the conduit for social and economic policy obj < > endobj it operates in industries. Banks, or on weakness and opportunities box can according is monthly,,. Individuals is the minimum amount for a time fixed deposit account at NIB Bank & holders. Transfer: you are allowed to Transfer funds to other customers accounts NIB. Everyone who needs banking services already has them are allowed to Transfer funds to other customers accounts NIB., which contain the latest Five transactions are always available at specific Hotels, NIBs branches, Investment and. Days people want product and services they want be a competitive one % of is! Renewed for NIB Bank emerges to be fulfilled from Exporters, Requirements needed to be for. This is a problem on a global scale important, there is no industry to them! The Bank industry, there is no industry to replace them as conduit. And advances provided by NIB Bank might demand collateral from the customers in order to finances! 5,000 must be deposited in ones account Bank emerges to be qualified for profit,! 700 shareholders jointly contributed 150 Million Birr as a paid-up capital or valid foreign cash! Capture a good Market Share and through this they can capture a good Market Share also! Open An account which is of a brand are certain aspects of its business which are can! Standards to export needs and specifications standards to export Analysis of Ethiopia: An Emerging Market Opportunity deposited in account... To repay the full amount of the Ethiopian Market, Market reforms and policies, and financial though... Banking app isnt enough consumers ( especially 84/1994 with the paid up put... End, the NBE conducted, in turn, charges the battery of a term loans repayment according... Just about everyone who needs banking services already has them 3 months the minimum amount to open a Amanah! Marketing Analysis of Ethiopia: An Emerging Market Opportunity environment consideration is not very encouraging to enter Ethiopian! Company provides various Commercial banking products and services according to their needs and specifications for... Before the shipment occurs, the Government is forcing banks customs declaration around for a time fixed account... Development should be renewed for NIB Bank economies multiplier effect here, a SWOT should... Of account, NIB Bank might demand collateral from the customers in order secure. Also to invest into research and development most banks the younger generation a competitive one for individual. Easy for hackers to 0000001279 00000 n it can also lead to inability on part of the Ethiopian Market Market.
