There are three banks in Djibouti: the Banque pour le Commerce et l'Industrie (B.C.I.), the Banque Indosuez, and the Ethiopian Bank. These commercial banks provide only short-term financing or lending. They are also used by businessmen from neighboring Somalia for transactions such as opening letters of credit.
According to officials at the national bank, credit is allocated on market terms. Bank officials claim that local credit is available as long as collateral can be secured through local assets or internationally, preferably through French banks. The private sector does not have access to a large variety of credit instruments.