KEYIR NEWS — The Ministry of Education has cautioned Sandford International School after reports surfaced that the institution demanded parents pay tuition fees in U.S. dollars rather than Ethiopian birr, in violation of national financial regulations.
In a circular issued to parents on August 29, 2017, the school reportedly requested tuition fees to be settled in foreign currency or at the prevailing exchange rate. Parents who failed to comply risked their children being barred from enrollment.
The Education and Training Authority condemned the practice, warning that no private or international school in Ethiopia is legally permitted to demand foreign currency payments from parents. The Authority emphasized that students’ education should not be interrupted due to unlawful financial requirements.
Officials from the Ministry of Education stated that the school must provide an explanation to regulators within ten days. They added that unless the directive is observed, the school risks penalties, including the suspension or revocation of its license under the licensing and renewal framework governing community and profit-oriented international schools.
The Ministry also said it has sought clarification from the National Bank of Ethiopia (NBE). According to NBE regulations, all domestic transactions must be conducted in Ethiopian birr. Any agreements requiring foreign exchange for local services are invalid unless explicitly authorized.
The NBE further stressed that while certain foreign community schools are permitted to deposit a portion of their income in foreign exchange accounts, tuition fees must still be charged in local currency.
Legal proceedings on the matter were also initiated at the Federal First Instance Court, with hearings scheduled in September 2018. Parents and community members have pressed the school’s leadership to comply with national financial laws to avoid disrupting children’s education.
The case underscores ongoing tensions between international schools in Ethiopia and regulators, particularly over compliance with the country’s strict foreign exchange rules amid an acute dollar shortage.