Deposit Services

► Demand Deposit

Demand Deposit Account (current or checking account) is a non-interest bearing account opened or operated by literate customers only, whereby, the operation is normally made by a cheque, which is issued by the Bank to the account holder. However, withdrawals may also be made from current accounts by preparing appropriate debit tickets on the strength of written instructions of the account holder, for collection of bank service charges, repayments of loans etc…

The main features of current account is that there is neither restriction on the amount of funds to be withdrawn at a time nor advance notice is required as long as there are sufficient funds in the account to cover the payment.

Generally, the main users of current account are companies and organizations, who usually have large cash transactions.

 ► Saving Deposit

Savings account is an interest bearing deposit. Individuals, organizations and associations can maintain saving accounts as long as they are legal and meet the procedural requirements set by the Bank.

Saving account is opened with the minimum initial deposit of only Birr 50.00. Passbook is issued to record deposits, withdrawals and interest earned on the deposit.

Deposit and withdrawal of savings account shall be made upon presentation of the passbook issued to the account holder at the time of opening. If withdrawal is to be made from the branch other than where the account is kept, the customer will get the service without charges.

► Fixed Time Deposit

Fixed time deposit is a deposit mobilized for a specific period of time. It attracts higher interest rate than the prevailing saving interest rate.

The minimum period of accepting fixed time deposit is six months. The interest rates applied vary depending on the amount and duration of the deposit, that is the bigger the amount deposited and the longer the time of maturity, the higher the interest rate applied.

If the customer withdraws the deposit before the mutually agreed maturity date, he/she shall forfeit the accrued interest payable to the depositor.

► Non –Resident Accounts:-

● Non-Resident Birr & Foreign Currency deposits, Read More (Link) These types of accounts are opened for eligible non-residents of Ethiopia to facilitate payments by the international community, foreign business community, individuals, international organizations and their employees.

The major types of non-resident accounts opened by Awash International Bank are:

● Non-Resident Foreign Currency a/c (NR-FCY a/c), Read More (Link) This type of account is kept in hard currency. Deposits can be made from transfer in hard currency, foreign cash notes, travelers’ checks and checks drawn on a non-resident account. Holders of this account could draw foreign currency to effect payment, to cover travel expenses  and make transfers abroad etc. 

● Non-Resident transferable Birr a/c (NR-T Birr a/c), Read More (Link) this account has the same features and use as NR-FCY a/c except it is denominated in Birr (local currency) 

● Non-Resident Non-Transferable Birr a/c (NR-NT Birr a/c), Read More (Link) This account is intended to facilitate payments locally in Birr; Foreign exchange permit is required to make transfers abroad from this account.

● Non-Resident Accounts for Ethiopian Diaspora, Read More (Link)

Ethiopians who live abroad and foreign nationals of Ethiopian origin are eligible to open this account. The account can be opened in person or through authenticated communication from their places of residence.

● Special Deposit Read More (Link) Special demand deposit account is a non interest bearing account that is opened to fulfill the requests of those customers who do not want interest payment for their deposits.

Documentary Requirement, Read more

AIB Extends loans and advances to the following sectors:

• Domestic Trade and Services (wholesales & retail);
• Import & Export trade;
• Industry;Agriculture;
• Hotel & Tourism;
• Construction;
• Transportation Services;
• Small & Medium Enterprises;
• Education, Health, Personal Loans

     Required Documents for Credit Application

• Principal registration and Tax identification number (TIN).
• Renewed trade licenses.
• Tax clearance from government authorities.
• Investment license (if the applicant is involved in investment activities)
• Ownership certificate of collaterals (i.e.,LHC, Vehicle or machinery title deeds, original share certificate, guarantees both local and foreign, treasury bills, government bond)
• List of contract agreements at hand, letters of intent for previous performances for general contractors, and any type of suppliers business.
• Business proposal or feasibility study, construction permit, bill of quantities for project loan and expansions, etc,
• Memorandum & articles of association, if the borrower or the mortgage is a private limited company or share company, including clear power for the designated person to obtain loan and mortgage properties of the company.
• Partnership agreement, if the borrower business formation is partnership.
• Negarit Gazetta if the borrower is a public enterprise.
• Summary of stock at hand as of specific data.
• Pro-forma invoice/purchase agreement/for goods to be purchased i.e vehicles, machinery, equipment, furniture etc….,
• Financial statements, it should include Balance sheet, income statement and cash flow statement (Past and projected as appropriate), preferably audited statements.
• Power of attorney to sign loan contract, to pledge collateral as well as mortgage contract ,if any
• Copy of applicant identification card
• Copy of Marriage certificate
• Business plan. if required
• Other specific documents for the different credit facilities may be required ad deemed appropriate.

Documentary Requirement

International Banking

Awash International Bank provides full-fledged international banking services, including facilitation of import and export transactions, handling inward and outward money transfer services, purchase and sell of foreign currencies, and providing deposit services in hard currencies.

                ● Export and Import Services

► Export Letter of Credit

 An export letter of credit refers to a foreign bank undertaking issued on behalf of foreign importer. The issuing bank specifies all the requirements of its customer in the letter of credit and undertakes to honor all drafts drawn in conformity to the credit terms and conditions. 

► Import Letter of Credit  

 A letter of credit is a commitment by the bank to pay the seller of goods or services of a certain sum provided the seller presents the documents specified in the terms of the credit. 

► Documentary Collection

 Documentary Collection is a method by which a seller presents documents covering shipment of goods for collection of payment through a buyers bank. Collection of payment totally depends on the buyers to take up the documents. 

► Advance Payments

 Where that buyer parts with money first and waits for the seller to forward the goods/services at a later date. The amount transferred is limited for imports using this payment method, Read More

     Documents required for foreign exchange approval

• Foreign exchange application permit;
• Three copies of Performa invoice;
• Photocopy of valid trade license for foreign trade, investment or industry;
• Insurance certificate;
• Ownership certificate from country of purchase in case of used vehicles;
• Additional documents may require from concerned governmental authorities depending on the goods to be   imported;
• Waiver letter from Ethiopian shipping lines for shipment of C&F delivery terms from ports the carrier calls;
• Approved purchase order for imports through CAD;     
• Copy of TIN certificate;

  ● Purchase and Sell of Foreign Currency

 Awash International Bank buys and sales major convertible currencies, travelers’ cheques and buys clean foreign personal cheques.

► Non-Resident Accounts, these types of accounts are opened for eligible non-residents of Ethiopia to facilitate payments by the international community, foreign business community, individuals, international organizations and their employees.