After a series of negotiations and deliberations, Ethio Telecom has finally been given a greenlight by the National Bank of Ethiopia (NBE) to start mobile money services.Since 2019; Ethio Telecom has been in talks with NBE, which is the Central Bank of Ethiopia, to get a license to launch a mobile banking service. The marathon negotiations have finally bore fruit. Some of the directives prior to launching the mobile money service include: Transactions are only performed through mobile phones after customers deposit funds with an agent
A bank to act as trust account for deposited funds
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Speaking about the new strategic business unit that will manage the mobile money service, Frehiwot Tamiru, CEO, Ethio Telecom, said: “The new business wing will be regulated by the NBE not by the Ethiopian Communication Authority (ECA).” Currently, foreign firms are not allowed to engage in mobile money services in Ethiopia. According to an NBE directive, only Ethiopian nationals and Ethiopian diaspora can engage in mobile financial transaction services.