Wegagen Bank S.C was established on June 11, 1997.
Wegagen Bank SC was established on the 11th of June 1997 It came to life as a result of the entrepreneurial wit of sixteen 16 founding members who recognized the critical role that financial institutions would play towards creating a sustained economic development and were able to put in an initial paid-in capital of Birr thirty million (Birr 30 Million).
Established under the banking proclamation of Licensing and Supervision, Proclamation No. 84/1994, the Bank was registered with the National Bank of Ethiopia on April 30, 1997. The Memorandum and Articles of Association of the Bank were signed on April 15th, 1997 and registered with the Addis Ababa Bureau of Trade, Industry and Tourism on April 15, 1997, Registration Number 1/34/4/89.
The Bank, as it started back then, operated through its Head Office located in Gofa Sefer, Addis Ababa. In October 2017, Wegagen moved to its 23 Storey Headquarters Building in front of Addis Ababa Stadium, Ras Mekonnen Street.
Diaspora Mortgage- Non resident loan
This credit scheme allows Diaspora Ethiopians (Non-resident Ethiopians and Non-Resident Foreign Nationals of Ethiopian Origin) to purchase or construct residential or commercial buildings in Ethiopia by saving with the Bank certain portion of the value in advance in foreign currency for a certain period of time.
FEATURES
• The loan facility is given to
• Purchase residential house from real estate, individual sellers or associations,
• Construct residential house on their own plot of land,
• Purchase or construct commercial buildings,
• Finish construction of residential house or commercial building.
• Withdrawal is not allowed from the special Diaspora mortgage saving account but if the customer wants to withdraw, it will be considered as a breach of the contract, and thus will be treated based on the agreement that has been made between the Bank and the Diaspora.
• The Bank shall finance up to 50% of the value of the residential or commercial building as per the sales agreement or the Bank’s engineering valuation, whichever is lower,
• For purchase of a finished house or for those who can present additional collateral in case of under construction below 50% status, the Bank shall finance up to 70% of the value,
• Loan interest rate shall be as per the Bank’s terms and tariffs,
• If the Diaspora returns to Ethiopia for permanent living, the loan repayment will be in Birr but with a 1% additional interest rate.
