Ethiopia’s largest bank is reportedly endeavoring to reclaim over $40 million following a technical malfunction that permitted customers to withdraw funds exceeding their account balances.
Upon discovery of the issue at the Commercial Bank of Ethiopia, extended queues formed at ATMs nationwide, as stated by local media outlets.
According to the bank’s CEO, Abe Sano, the news of the glitch was disseminated on social media by university students, who withdrew a substantial portion of the funds.
While the bank has not disclosed the exact amount withdrawn, Abe informed journalists that approximately half a million transactions occurred during the glitch. However, a local newspaper indicated a loss of 2.4 billion Ethiopian birr ($42 million).
Ethiopia’s central bank attributed the problem to a “routine system update and inspection” rather than a cyber attack, as stated in a released statement.
During the resolution of the issue, Ethiopia’s banking system experienced a temporary shutdown, causing inconvenience to customers unable to access their funds.
Having served 40 million customers since its establishment in 1963, the Commercial Bank of Ethiopia is the nation’s premier banking institution.
Abe emphasized that the bank is collaborating with law enforcement to recover the lost funds and declared that no charges will be filed against students who withdrew excess cash.
Efforts to reach a bank spokesperson for comment were unsuccessful.