Ethio Telecom has announced a strategic partnership with VISA Inc. to introduce the first wallet-based Virtual Visa Card in Ethiopia, marking a significant step in the company’s efforts to expand digital financial services across the country. The partnership also aims to enhance international money transfer services through the telebirr Remit App and Visa Direct, offering improvements in the efficiency and security of remittances.
The Visa Direct service will enable Visa cardholders worldwide to send money to Ethiopia using a telebirr virtual card number. This service, accessible from over 190 countries, is designed to offer greater efficiency and lower fees compared to existing remittance options in Ethiopia. To receive funds, customers will need to register for the Virtual Visa service via the telebirr SuperApp and provide the 16-digit virtual Visa card number to the sender. The process is expected to deliver the transferred funds within one hour.
In addition to Visa Direct, the telebirr Remit service is targeted at Ethiopians living abroad, allowing them to send money instantly to telebirr mobile numbers in Ethiopia. This service is facilitated through the Bank of Abyssinia’s Cyber Source payment gateway and is available via the newly developed telebirr Remit App. Initially, the service will support remittances from nine countries, including the United States, Canada, and the United Kingdom, with plans to expand coverage based on demand.
The introduction of these services is part of Ethio Telecom’s broader initiative to enhance digital financial inclusion in Ethiopia. The company reports that the number of telebirr users has reached 47.55 million as of the 2023/24 Ethiopian Fiscal Year. The partnership with VISA and ongoing collaborations with financial institutions like Dashen Bank and the Commercial Bank of Ethiopia are expected to further expand the reach and accessibility of digital financial services in the country.
These developments are seen as contributing to Ethiopia’s gradual shift towards a digital economy, with potential implications for job creation and the broader financial ecosystem.
