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In a significant step toward modernizing Ethiopia’s payment ecosystem, Awash Bank and Amhara Bank have successfully tested the country’s first interoperable QR payment system. The initiative, spearheaded by EthSwitch, was showcased during a workshop at the Sheraton Addis, which brought together key stakeholders from Ethiopia’s financial sector, government agencies, and technology providers. The event provided a platform for discussing the potential of interoperable QR payments to transform the country’s digital payment landscape and promote financial inclusion.
The new interoperable system allows customers to make payments seamlessly across different banks and financial institutions by simply scanning a QR code. This eliminates the need for consumers to download and manage multiple apps or open separate accounts with different providers. As a result, customers can use one payment method, regardless of which bank or financial service they are associated with. This innovation is expected to simplify transactions for everyday users, enhance customer experience, and make digital payments more accessible to a broader segment of the population, including those in rural areas with limited access to banking services.
The initiative is part of Ethiopia’s broader vision to modernize its financial infrastructure as the country moves toward greater digitalization. According to experts, interoperable payment systems can pave the way for improved financial inclusion, reduce cash dependency, and create more opportunities for economic growth, particularly for small and medium-sized enterprises (SMEs).
During the event’s panel discussion, Tilahun Temotewos, CEO of Awash Bank, emphasized the importance of interoperability in the QR payment system. “QR codes lacking interoperability are already having a notable impact in the market. However, merchants were not fully benefiting from them, as they were not accessible to all their customers. Interoperability bridges this gap, providing merchants with the ability to accept payments from a broader customer base.”
Yemane Mamas, Security Engineering Director at EthioTelecom, echoed the sentiment, stating, “Digital payment is a key element of Digital 2025, Ethiopia’s national strategy for advancing digital transformation. This achievement will not only streamline operations for businesses but also attract a broader range of customers, including small and medium-sized enterprises, which are the backbone of Ethiopia’s economy.”
As Ethiopia continues to embrace digital financial services, the successful testing of interoperable QR payments marks a milestone in the country’s efforts to build a more inclusive and efficient financial ecosystem. Stakeholders in the financial sector are optimistic that this development will encourage further innovations and investment in digital payment solutions, ultimately contributing to the country’s overall economic development and the realization of a cashless society.
