Ethiopia's Central Bank has unveiled a draft strategy to boost digital payments by mandating fee transparency and reducing charges for small transactions. Officials attribute persistent cash reliance to hidden costs, despite growing digital account adoption. The move aims to make digital options more accessible for millions.
On December 13, 2025, Central Bank officials in Ethiopia released a draft digital payment strategy designed to accelerate the shift away from cash. The plan requires payment providers to clearly disclose all fees through USSD menus, addressing complaints about opaque pricing that discourages users.
The strategy specifically targets sharp reductions in charges for low-value transfers and peer-to-peer payments, which officials say are essential to breaking the cash habit. They point out that hidden costs have kept millions dependent on physical currency, even as the number of digital accounts has significantly increased across the country.
Bezawit Huluager, a staff writer for Fortune, reported on the initiative, highlighting its potential to transform everyday transactions. By promoting affordability and transparency, the Central Bank hopes to foster wider digital adoption, though implementation details remain under review. This effort reflects broader economic goals in Ethiopia to modernize financial services amid expanding mobile technology access.