By: Tewodros Balcha
EthSwitch,
Ethiopia's national payments switch, closed the 2025/26 financial year with
gross profit before tax of ETB 2.6 billion, underscoring the accelerating
adoption of interoperable digital payments across one of Africa's largest and
fastest-growing financial markets.
During the
fiscal year, the company processed 387 million interoperable transactions with
a combined value of ETB 1.26 trillion across its network, reflecting continued
growth in digital financial services and increasing integration among
Ethiopia's financial institutions and payment ecosystem.
Person-to-person
(P2P) transfers accounted for the largest share of activity, reaching 242.6
million transactions valued at ETB 1.06 trillion. ATM interoperability
generated 131.5 million transactions worth ETB 189.2 billion, while
point-of-sale transactions totaled 3.9 million with a value of ETB 10.7
billion. Transactions processed through ETHQR reached more than 551,000,
representing ETB 6.8 billion in value.
The results cap
a milestone year for EthSwitch as Ethiopia continues to expand its digital
payments infrastructure and pursue broader financial inclusion objectives.
Among the
year's key achievements was the launch of EthSwitch's new five-year strategic
plan covering 2026/27–2030/31, which outlines the organisation's next phase of
growth and innovation. The company also completed the full migration of
person-to-person transfers onto the EthioPay Instant Payment System (IPS),
strengthening the country's real-time payments capabilities and advancing the
development of a modern interoperable payments ecosystem.
EthioPay IPS,
Ethiopia's national instant payments platform, was recognized by AfricaNenda as
a matured instant payment system during the reporting period. The platform also
achieved a new operational milestone by EthioPay IPS processing more than one
million P2P transactions in a single day, representing ETB 5.1 billion in
transaction value.
EthSwitch
further strengthened stakeholder engagement through the launch of the EthioPay
brand and the hosting of the Ethiopian Digital Payment Conference 2.0, which
brought together senior policymakers, regulators, financial institutions, and
industry leaders. The event was opened by Deputy Prime Minister H.E. Temesgen
Tiruneh and the National Bank of Ethiopia Governor H.E. Dr. Eyob Tekalign,
highlighting
the strategic importance of digital payments within Ethiopia's economic
transformation agenda.
As part of
efforts to accelerate instant payment adoption, EthSwitch also convened a
CEO-level executive workshop in collaboration with Glenbrook Partners, bringing
together leaders from across the country's financial services sector.
The
organisation's progress received international recognition when it was named
Best Financial Inclusion Technology Initiative in Africa at the TAB Global
Business Achievement Awards in Kuala Lumpur, Malaysia.
Looking ahead,
EthSwitch plans to build on the momentum generated over the past year as it
pursues its vision of enabling a more connected, inclusive, and interoperable
digital payments ecosystem for Ethiopia.
As the operator
of the country's shared payments infrastructure, EthSwitch plays a central role
in linking banks, microfinance institutions, mobile money providers, and
payment service providers, supporting the broader transition toward a digital
economy in a market of more than 130 million people.
