Dashen Bank plans unsecured digital loans and Air Pay service
Product launch · announcedFriday 30 October 2026
Dashen Bank is expanding its Super App with plans for small unsecured digital loans. It is also launching a payment feature that connects customers with nearby businesses.
A large Ethiopian private bank moving into unsecured digital lending and merchant payments shows where competition in the market is heading.
EIB Global, the financing arm of the European Investment Bank, has signed a about $22 million (€20m) facility with Dashen Bank to expand long-term credit for Ethiopian SMEs. At least 70% of the funds will go to high-impact sectors.
Coopbank and fintech Kifiya are extending Michu's digital SME lending model into interest-free banking through the Michu Mizan product. The pilot has financed over 4,000 SMEs, and Michu has disbursed over about $430 million (Br70bn) since 2022.
Kacha Digital Financial Service has signed a five-year agreement with Mastercard to issue payment cards directly to its customers. The deal also enables card-issuing services for eligible financial institutions across the country.
Mastercard is deploying artificial intelligence and tokenisation to strengthen security across Ethiopia's digital payment ecosystem. The move supports Ethiopia's push to extend digital payments beyond cash, in a market where few adults transact digitally.
