Ethiopian Airlines Group signed its second agreement with Cooperative Bank of Oromia to provide a staff consumer loan scheme and Banking Services additional to the Commercial Bank of Ethiopia.
On Tuesday February 9, 2020 Ethiopian Airlines Group (ETG), Ethiopian Airlines Group Primary Basic Trade Union (EAGPBTU) and Cooperative Bank of Oromia S.C. (COOPBANK) signed a Memorandum of Understanding (MoU) to provide the loan scheme.
Speaking during the signing ceremony, Tewolde Gebremariam, Group CEO of Ethiopian Airlines Group, said, “today, we have signed the 2nd MoU with the 2nd Bank to benefit our employees and to strengthen our mutual cooperation and partnership with both COOP Bank and EAGPBTU.”
Tewolde Gebremariam, Telila Deressa, President of EAGPBTU and Deribie Asfaw, President of COOP Bank signed the MoU on behalf of their respective Organizations.
The MoU is initiated and facilitated by EAGPB as a part of its effort to maximize employee benefit packages which will enable ETG to enhance its effective employee retention strategy and promote EAGPBTU’s commitment of benefiting its members and ETG employees in general.
Per this MoU, ETG employees will benefit from loan services from COOP Bank at the rate of a prevailing saving interest rate which is 7% currently, for purchase or construction of houses, for procurement of automobile and to cover personnel commitments such as education loan, medical expense, for purchase of household equipment.
The agreement is also said to benefit Ethiopian Airlines and EAGPBTU from fast and quality banking and other financial services of COOP Bank.
“Partnering with the largest and leading aviation Conglomerate in Africa and one of the top Airlines is just the start or a tip of the iceberg,” said Deribie Asfaw, president of COOP bank.
According to TeIiIa Deressa, President of EAGPBTU, EAGPBTU has invited all private banks in writing for this staff loan arrangement in addition to making efforts to re-negotiate on the existing MoU with CBE for a better and beneficial loan
package to our employees. “COOP Bank happened to be the only bank which officially responded to our demands to benefit our members and employees in general. This arrangement is an additional and better option to our employees to get Bank consumer loan services. The terms of the loan offered by COOP Bank shows that COOP Bank is not only a profit based business organization but also an organization committed to economic transformation of citizens for which we are grateful both as
EAGPBTU and citizens,” the president elaborated.