Arifpay Financial Technologies S.C, one of the players in Ethiopia’s financial revolution, has announced the highly anticipated launch of its upgraded payment system, Arifpay 2.0. This milestone is said to mark a significant step forward in shaping the future of financial technology and digital payments within the country.

Arifpay 1.0, launched in December 2022, has already made waves within the industry, enabling merchants across various sectors such as healthcare, hospitality, and retail to embrace digital payments through the ArifPOS system. Notably, several banks have outsourced their point-of-sale (POS) operations to Arifpay, benefiting from streamlined merchant recruitment, customer service and support, as well as POS monitoring and management. This collaboration has not only improved operational efficiency but also facilitated deposit mobilization for the partnering banks.

Degol Gossaye has been appointed as the General Manager of Raxio Ethiopia, a prominent provider of carrier-neutral data centers across Africa. This announcement comes at a pivotal time for Raxio Ethiopia, following the recent launch of its flagship facility in Addis Ababa in November 2023. Degol will take over from Bewket Taffere, the outgoing GM who played a crucial role in establishing the Raxio Ethiopia brand and overseeing the construction of its Data Centre.

Dashen Bank and the Ethiopian Airlines Group have announced an exciting collaboration that brings a new level of convenience to travelers. The partnership has introduced an innovative service called “Fly Now Pay Later,” which allows customers to book flights without paying the full price upfront. This initiative aims to redefine the travel experience by offering unprecedented flexibility in payment options.

Ethiopia’s insurance industry set to undergo a transformative shift with the launch of the BimaLab Ethiopia Insurtech Accelerator. This initiative, led by Financial Sector Deepening (FSD) Ethiopia, seeks to foster innovation and address the unique challenges faced by the country’s nascent insurance market.

Kacha Digital Financial Services officially began full operations after an inauguration event held at the Skylight Hotel on the evening of November 19, 2023.

The event celebrated Kacha receiving license number PIL002/2022 from the National Bank of Ethiopia last month. This license allows the firm to provide digital payment and financial services commercially.

For the past eight months, Kacha tested its platforms and solutions on mobile networks in partnership with Ethio Telecom and Safaricom. Accessible via USSD codes, and Android and iOS apps, Kacha’s offerings are designed to expand access through digital channels.

Teshome Beyene, Kacha’s Board Chairperson, spoke at the occasion and stressed the company’s dedication to customer-centric innovation, robust data security, and privacy protection. Teshome stated that “Kacha’s goal is to provide our customers with a seamless and secure digital banking experience.”

In attendance at the Skylight Hotel launch were government ministers, diplomats, and heads of Ethiopia’s largest banks.

During the launching Abraham Tilahun, the CEO of Kacha Digital Financial Services S.C, expressed gratitude to the National Bank of Ethiopia for granting Kacha the license to operate as a private payment instrument issuer. 

Kacha demonstrated the features of its digital banking platform, highlighting usability, functionality, and security for customers.

Memorandums of understanding were also signed with strategic partners from the banking and fintech sectors. These aim to develop Kacha’s service ecosystem.

The inauguration marks the official commencement of Kacha’s full commercial operations. The company can now offer digital payment solutions nationwide following regulatory approval.

Kacha Digital Financial Service, the pioneering private payment instrument issuer in Ethiopia, has emerged as the winner of the highly anticipated Ethiopian edition of the esteemed Visa Everywhere Initiative (VEI) for 2023. This global innovation program and competition for start-ups and fintech companies have recognized Kacha as the frontrunner, catapulting them into the spotlight of the financial technology landscape.

Kacha has been awarded a monetary prize of USD 25,000, underscoring its innovative approach to transforming the financial sector in Ethiopia. This substantial reward not only acknowledges their remarkable achievements but also provides a significant boost to their continued growth and development.

With several contenders vying for the top spot, Qena, a formidable participant, secured an impressive second place, earning a well-deserved prize of USD 15,000. Meanwhile, Smile Pay, a noteworthy contender in its own right, clinched third place and received a commendable USD 10,000.

The Visa Everywhere Initiative serves as a global platform that celebrates and encourages groundbreaking ideas and innovative solutions within the fintech realm.

The success of Kacha, along with the achievements of Qena and Smile Pay, highlights the vibrant and burgeoning fintech ecosystem in Ethiopia.

As Ethiopia embraces the digital revolution in the financial sector, Kacha’s victory stands as a testament to the remarkable potential and transformative power of innovative start-ups and fintech companies. With their groundbreaking solutions and unwavering determination, these trailblazers are reshaping the way we perceive and interact with money, propelling Ethiopia into a new era of financial innovation and inclusion.

British International Investment (BII) and FMO, the Dutch entrepreneurial development bank, have jointly committed up to USD 20 million each to Dashen Bank of Ethiopia. The loan aims to support the country’s agricultural sector, which employs 80 Pct of the population, contributes 39 Pct to the GDP, and generates 90 Pct of its foreign currency from exports. The funding will enable Dashen Bank to provide USD-denominated loans, helping farmers increase productivity in areas such as harvesting, logistics, and processing while boosting export earnings. The financial support will also benefit other agricultural enterprises, including cut flower and coffee producers, promoting innovation, business growth, improved quality and safety standards, and value addition.

This collaboration marks the first foreign investment in Ethiopia’s financial services sector under the new intermediation directive for banks issued by the National Bank of Ethiopia in 2021. By providing long-term funding, BII and FMO aim to catalyze the market, build investor confidence, and mobilize more private capital. The partnership will also support Dashen Bank in enhancing governance, risk management, environmental and social practices, as well as gender equality standards.

Asfaw Alemu, CEO of Dashen Bank, expressed his satisfaction with achieving this milestone and highlighted the significance of the funding for supporting export-oriented agribusinesses in Ethiopia. 

Marnix Monsfort, Director of Financial Institutions at FMO, underlined the importance of attracting foreign direct investments and USD funding to create jobs and foster financial inclusion in rural communities.

This investment not only addresses the need for foreign exchange and capital in Ethiopia but also showcases international confidence in the country’s agricultural potential. It sets the stage for future investments, promoting sustainable financing practices and contributing to Ethiopia’s economic growth and development.

ITSS  becomes Temenos’ exclusive implementation partner for digital banking solutions in Ethiopia, further reinforced by its official corporate office launch, solidifying its commitment to growth in the Ethiopian market.

The Center for the Advancement of Rights and Democracy (CARD) reported that the Ethiopian government’s restrictions on internet access have caused significant economic damage to the country. According to the center, the government’s illegal actions have resulted in economic losses exceeding USD 140 million over a period of five months.

Zamzam Bank has been given property in Lideta sub-city (Senga tera area) to construct its headquarters building, disclosed during an event held today at the Sheraton Addis Hotel.