Scores of Chinese arrested in Ethiopia’s $50m forex crackdown

According to NISS, the suspects were involved in a network accused of money laundering, foreign exchange fraud, and tax evasion, with a value exceeding $50 million.

“These activities have severely damaged Ethiopia’s economy and contributed to the financing of terrorist and armed groups,” NISS said in a statement released on Monday, November 10.

The crackdown, it added, aims to protect the nation’s fragile foreign exchange reserves and restore macroeconomic stability.

Investigators revealed that the network used encrypted messaging apps, shell companies, and unregulated cryptocurrency platforms to evade financial oversight.

Analysts view this as part of a broader African effort to combat illicit financial flows that drain billions from the continent annually.

Similar measures have recently been reported in Nigeria, Kenya, and Ghana, where authorities are tightening regulations on cross-border transactions and digital currencies.

For Ethiopia, this marks a significant step in restoring financial integrity and bolstering investor confidence amid mounting economic pressures.