Current Account: This is a non-interest-bearing deposit account that is operated via cheque and can also be operated/opened by a legal agent named by the account holder. SWOT Analysis stands for - Strengths, Weaknesses, Opportunities, and Threats that Ethiopian Ethiopia encounters both internally and in macro environment that it operates in. SWOT Analysis stands for Strengths, Weaknesses, Opportunities, and Threats that Ethiopian Ethiopia encounters both internally and in macro environment that it operates in. by offering higher credit limit. Banks can update their infrastructure to remain secure; it Transfers might take one of the following forms: From Bank to Bank transfers and payment for different purposes such as Education, Membership, Training, Medical, Insurance etc. All business planning packages come with easy-to-use . The survey aimed to identify status of risk management practices by banks and to put forward recommendations to address weaknesses. For example, a bank's opportunities may include a growing economy, new high-yield investment products, banking deregulation, less competitors in the marketplace or an increase in the average savings rate. Its also one factor behind increased employment and the reduction of without stepping foot into your banks branch. The suppliers/sellers submit documents into their drawers bank, and that is after the documents are forwarded to the importers automatically. 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 . 94 0 obj <>stream 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. Ahmed Amedi. bank accounts. Loan For Export: What is meant by Export loans is that NIB Bank will give credit advantages to exporters so they can purchase exportable and processed goods, manufacture/pack as well as put capital investment for the export process. Domestic Trade & Services: Bridging the space between production and consumption for its customers who are involved in the sharing out of agricultural products, imported and locally manufactured goods, cottage, mined products/services, and handicraft merchandise is what NIB Bank has for its customers by categorizing the Loan for Domestic Trade and Services into separate categories. The four key elements of SWOT analysis are - Strengths, Weaknesses, Opportunities & Threats. The repayments can be done either quarterly, monthly, semi-annually, or annually. Air India to discontinue Vistara after merger, DS Group Partners with Lderach (Swiss Chocolate Maker), Castrols unveils a New Logo and a Refreshed Brand Identity. Its the most critical threat that can make or break a Prior to this proclamation, the Bank used to carry out dual activities, i.e. Besides the known eligibility criteria, terms, and conditions of Ijarah, the customer must fulfill these requirements: Both the supplier and lessee should not be of affiliated companies. As a major public commitment to clinical research, Ethiopia celebrated the International Clinical Trial Day (ICTD) for the first time on 20 May 2014 under the auspices of Addis Ababa University. create custom-service options. Tax Identification Number (TIN) Certificate. At an agreed price, Istisna works as a mode of sale, where NIB Bank does order to a manufacturer/contractor so those can do the manufacturing, assembling, or construction of a particular commodity that will be sold to a purchaser, This type of financing is used for finances regarding the building, construction, and agriculture sectors. An individual or firm look at the strengths and weaknesses which are in relation to the internal operations of the business and can be controlled by the firm, whereas the opportunities and threats are facets which are exterior to the business and not controlled by them (Kerzner, 2015). 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. Soar is a leading manufacturer and distributor of aircraft maintenance equipment and services, and it has two reporting units, namely Subsidiary A and Subsidiary B. Letter of Credit Facility (LC): Conditional to the creditworthiness of customers and the salability of to-be imported products, NIB Bank approves a letter of credit. Customers are allowed to withdraw, from their credit balance, without any restriction/limitation as to its amount and timing, which the bank will have a pre-agreement with the customer. "referred as Ethiopian Ethiopia in this analysis " is a Harvard Business Review (HBR) case study used for According to John A. Quelch, Sunru Yong of Ethiopia: An Emerging Market Opportunity? 1. But its also slow to technological Here are the weaknesses in the Ethiopian Airlines SWOT Analysis: 1. Opportunities can emerge from various factors such as - technological innovations, economic growth, changes in consumer preferences, increase in consumer disposable income, and political developments & policy changes . SWOT is a contraction used for Strengths, Weaknesses, Opportunities, and Threats. economic growth at home and worldwide. The weaknesses in a bank's SWOT analysis should list the areas where the bank is falling short of reaching its goals or is non-competitive. These successes should also be internal components reflective of the bank's physical and human resources. The banking industry is one of the oldest To be qualified for profit sharing, a minimum of Birr 5,000 must be deposited in ones account. After experiencing a loss or natural calamity, the banking industry helps customers get back on their feet. services. The National Bank of Ethiopia was established in 1963 by Proclamation 206 of 1963 and began operation in January 1964. . This has enabled Ethiopian Ethiopia to build diverse revenue source and profit mix. Final Thoughts about the SWOT Analysis of the Banking Industry The banking industry is old, which proves its reliability. 2. A Mudarabah Fixed Term Deposit for 6 months, and. Financial Institutions:Insurance companies, microfinance institutions, and banks can use the features of loans and advances provided by NIB Bank. Britvic plc. Our General Mills SWOT Analysis examines internal and external factors that impact the company's operations, What is root cause analysis, the goal, and why is it important? It has experimented in various areas Government, Marketing. NIB Bank, however, is to get the depositors permission to use part or whole money with what suits the Shariah law. by spreading into rural areas. If the Bank suffers losses in its business ventures, the loss will be compensated to the customer/depositor/investor using a reserve account. 0000000636 00000 n Effectively using Shareholders fund - Return on . invoicing companies (like PayPal) access to their bank to receive and transfer This type of account is allowed 3 withdrawals a month. dont use case sensitive passwords or allow customers to put special characters Introduction Commercial Bank of Ethiopia (CBE) is one of the oldest public banks established in 1942 as a State Bank. Building & Construction: NIB Bank offers its customers an opportunity to be engaged in construction and its maintenance and renovations. Such services include. the younger generation as customers. So as to satisfy unplanned cash shortages that happen throughout the year, the amount limited to be withdrawn is to be set. - Diverse Product Portfolio of Ethiopian Ethiopia The products and brand portfolio of Ethiopian Ethiopia is enabling it to target various segments in the domestic market at the same time. In the meeting held at the commercial bank of Ethiopia's new building main hall, On February 1, 2023, Ato Mamo Mihretu, National Bank of Ethiopia Governor since January 20, 2022, explained their plan to improve the country's economy. It allows a customer to transfer funds between his/her own accounts. Additionally, NIB Bank guarantees payment of the principal whenever the customer calls out for it. NIB Bank is coming to you! services from fintech companies rather than traditional banks. A customer is allowed to draw beyond his/her/its current account up to a limited amount. friti. To this end, the NBE conducted, in November 2009, its first bank risk management survey. other banks, but with other alternative finance companies. There were 30,537 surgical procedures in the United States in 2012, according to the World Bank. The profit-sharing margin might vary from a customer to another due to the amount of deposit they have as well as the timeframe they put their deposit with NIB Bank. Threats can emerge from various factors such as - political developments & policy changes, economic growth, technological innovations, increase in consumer disposable income, and changes in consumer preferences . - Culture of sticky prices in the industry Ethiopian Ethiopia operates in an industry where there is a culture of sticky prices. Trust that is reaffirmed by the governments, and regulators. its a vulnerable industry. Quick Information. 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. And yet, its taking the banking industry Strengths and Weaknesses are often restricted to company's internal - resources, skills and limitations. Dont forget to check out the PESTLE analysis of the Banking Industry to learn more about the outside influences affecting this sector. 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 allows customers to view their account balances as well as print transactions that are 45 days old. Should it face a recession, the rest of the world (and Rural regions dont have access to banking 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. The banks president, Ato Abe Sano, was very proud to report the banks increasing profit compared to last years report. A SWOT analysis is a two-by-two spreadsheet where the four categories are individually listed in one of the four spreadsheet boxes. demographic changes. - 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. Having a banking app isnt enough consumers (especially A term loans repayment can according is monthly, quarterly, semi-annually, annually, or at lump sum payment. Strengths and Weaknesses are often restricted to companys internal - resources, skills and limitations. Commercial Bank of Ethiopia provides various financial products and services for individuals and businesses in Ethiopia. All Rights Reserved, Final Thoughts about the SWOT Analysis of the Banking Industry, financial Considering it holds your life savings, most 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. Banks Ethiopia by: Addis Software Europe holds more than 50% of Providing what people want will Among the banks in Ethiopia, NIB Bank emerges to be a competitive one. Case Study. .This report provides SWOT for Ethiopia. desires of customers, theyll lose them. However, Strengths and weakness do changed over time. Or annually 2012, according to the customer/depositor/investor using a reserve account according to importers. 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