Forex scarcity hits Ethiopia as airlines mandate dollar-only ticket purchases

Due to the excruciating shortage of Foreign Exchange that has hit Ethiopia for more than one year, the country’s carrier, Ethiopian Airlines has announced that airline tickets for passengers outside the country will now only be available for purchase in US dollars. Previously, air transport tickets for international travellers could be bought using Birr, Ethiopia’s currency if they come to Addis Ababa. The implication is that the situation could impact the carrier and once again bring to the fore different policies of many nations including Nigeria that forbids transaction in any other currencies than the Naira. The new policy will affect companies with the issue of limited dollar availability. Concerns have been raised about the potential impact of this decision, with sources indicating that it could significantly affect their operations. A travel expert and entrepreneur, Tayo Ojuri hinted that the new policy won’t affect the carrier, adding that many airlines who use the online booking platforms already designed that tickets are paid for in dollars. Some other experts said the new policy would help the carrier to avoid a situation where its funds are trapped and would find it extremely difficult to repatriate its huge trapped in Ethiopia, occasioned by acute Forex scarcity.<br/>