‘Glitch’ At Ethiopia’s Biggest Bank; Customers Withdraw Millions (Photo by Ali Mkumbwa on Unsplash)

Commercial Bank of Ethiopia (CBE), Ethiopia’s biggest bank, is currently facing a critical situation as a technical glitch allowed customers to withdraw more than they had in their accounts. According to the BBC, citing local media, more than $40 million was withdrawn from the bank or transferred to other accounts before authorities halted the transactions.

As per the report, the state-owned bank is now trying to recover the $40 million. Bank president Abe Sano reportedly told journalists that a large portion of the cash was withdrawn by students. Also, the news to the bank glitch was circulated across universities largely through phone calls and messaging apps. The BBC also reported that there were long lines at campus ATMs. Meanwhile, a student in Western Ethiopia told the BBC that people were withdrawing until police officers arrived on campus to stop them.

The Commercial Bank of Ethiopia, which was established in 1942, holds the accounts of more than 38 million people. Ethiopia”s central bank has reportedly released a statement on this matter and said that “a glitch” had happened during “maintenance and inspection activities.” However, the governing body did not mention the money withdrawn by customers.

Meanwhile, the bank president clarified that CBE was not hit by a cyberattack. Abe Sano also said that the loss incurred due to the glitch was small when compared to the bank”s total assets, as reported BBC. Notably, he also said that people returning money will not be charged with a criminal offence. The country”s banking system was shut down for hours while the glitch was fixed.