Visa Inc. and Bank of Abyssinia have signed a five-year agreement aimed at expanding card issuance, introducing digital cards, and strengthening cross-border payment capabilities in Ethiopia.
The agreement builds on a longstanding partnership between the global payments network and one of Ethiopia’s largest private banks. Under the new arrangement, Bank of Abyssinia plans to at least double the number of Visa cards it has issued, which currently stands at about 3.5 million, over the next five years while expanding digital banking services connected to Visa’s payment infrastructure. The partnership also includes issuing cross-border cards that allow customers to use funds held in foreign currency accounts for merchant payments or online transactions.
“Though we previously issued international cards mainly for travelers, the recent relaxation of cross-border payment restrictions and foreign currency account rules will enable us to issue more cards,” Sosina Mengesha, Chief Digital Banking Officer at Bank of Abyssinia, told Shega.
In addition, the agreement supports the rollout of digital cards that can be used for local online purchases, allowing customers to begin transacting immediately after issuance.
“Ethiopia is an important, rapidly evolving, and exciting market,” said Yared Endale, Cluster Head for Eastern Africa at Visa. “Through this agreement, the bank can leverage Visa’s infrastructure and technology to expand digital payments, while we also invest in human capital development and emerging technologies such as AI.”
No Comment Found.