Mobile money services have launched in Ethiopia. Riding on the infrastructure provided by Netherlands-based BelCash and MOSS ICT, the mobile money services is projected to help reach a significant portion of the 96 million people nation who currently don’t have plenty of access to banking services.
Reports from the National Bank of Ethiopia reveal that, as at June 2014, the country had no more than 1,500 automatic teller machines (ATMs) with only 2,200 bank branches.
BelCash is rolling out helloCash, while MOSS ICT, reported to be mainly owned by an Ireland-based firm, is providing the M-Birr infrastructure. The services will allow customers send and receive money via mobile accounts that is linked to a bank account.
MOSS ICT’s Kidist Negeye thinks the services could go beyond merely onboarding new bank subscribers. “One of the things that the government wants to do is ensure there is financial inclusion, another aspect is the mobilization of domestic savings. The government wants to increase the number of deposits,” he says.
This new service in Ethiopia is coming after similar services had been launched in other African countries, and industry experts are optimistic. BelCash’s CEO, Vince Diop believes helloCash service would have onboarded over 10 million users by 2017/2018.
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