Sunday, October 25, 2026

NBE bars former Global Bank CEO Tesfaye Boru for five years

By Muluken Yewondwossen

The National Bank of Ethiopia (NBE) has barred Tesfaye Boru, former Chief Executive Officer of Global Bank Ethiopia (GBE), from holding senior leadership roles in any financial institution for five years, citing repeated regulatory violations.

In a letter dated July 29, the central bank confirmed that Tesfaye was removed from his position following a special inspection of GBE. The review assessed the bank’s corporate governance, lending and credit administration practices, human resource management, foreign exchange operations, and overall financial management.

According to the NBE, the inspection revealed multiple deficiencies and breaches of both regulatory directives and the bank’s internal policies, which it said undermined the institution’s sound operations.

“The findings were subsequently discussed with the bank’s Board of Directors and senior management, where broad agreement was reached regarding the issues identified,” the central bank stated.

GBE later submitted a detailed response along with a corrective action plan addressing the identified shortcomings. However, the NBE said the severity of the findings, combined with Tesfaye’s prior regulatory record, warranted stronger enforcement action.

Citing earlier written warnings issued in May 2021 and November 2024, the central bank invoked Article 20(1) and (2) of the Banking Business Proclamation No. 1360/2025 and Article 10 of Directive No. SBB/89/2024 to justify its decision.

“Accordingly, based on the findings of the inspection, as well as the previous written warnings … you are removed from your position as Chief Executive Officer of GBE effective July 28, 2026,” the letter read.

In addition to his removal, Tesfaye has been prohibited from serving as a board member, chief executive officer, or senior executive in any financial institution operating in Ethiopia for five consecutive years, effective from July 28, 2026.

The regulatory action follows his dismissal by GBE’s Board of Directors last week.

Efforts to obtain comment from Tesfaye, GBE Board Chairman Yoseph Getachew, and Frezer Ayalew, Head of Banking Supervision at the NBE, were unsuccessful.

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