28 March 2025 | Addis Ababa, Ethiopia
The National Bank of Ethiopia today announced the launch of Phase Two of the National Digital Payments Strategy (NDPS 2.0), a major milestone in the country’s commitment to a cash-lite, inclusive, and resilient digital economy. This next phase builds on the strong foundation established by the first phase strategy (NDPS 2021–2024), which significantly expanded access to digital financial services nationwide.
During Phase One, Ethiopia achieved notable advancements in its Digital Payment landscape:
- The proportion of adults accessing formal financial services rose significantly, increasing from 35% in 2017 to over 46% by the close of 2023.
- The number of mobile money accounts experienced remarkable growth, expanding from under 1 million in 2020 to more than 128.5 million users by December 31, 2024, largely driven by the entry of non-bank mobile money service providers.
- In the 2023/24 fiscal year, Ethiopia recorded a substantial 9.7 trillion Birr in digital transactions, exceeding cash transactions.
- The implementation of interoperability frameworks facilitated easier and more secure transactions for customers across various providers and banks.
- The introduction of the National Interoperable QR code late last year enabled instant payments, enhancing the efficiency of transactions.
Phase Two of the Strategy (2025–2029) will focus on deepening usage of digital payments, ensuring full interoperability, expanding digital ID integration, creating an inclusive and responsible digital financial ecosystem, and accelerating merchant acceptance—particularly among small and medium enterprises, women, and rural populations. It also aims to align with Ethiopia’s broader digital transformation vision, supporting job creation and improved public service delivery while enabling new economic opportunities.
