Dashen Bank launches Ethiopia’s first digital ID–based accounts

Dashen Bank has introduced a new digital onboarding system that allows bank accounts to be remotely opened using Fayda. It’s the first commercial bank in Ethiopia to link account opening directly to the national biometric identity database.

The bank enables customers to create accounts using only a mobile number and their Fayda credentials, which removes the need for in‑person branch visits. Dashen said this could streamline access for unbanked populations and supports the shift to digital‑first financial services.

The onboarding service is part of a broader rollout that also includes a Mastercard‑enabled virtual card for international online payments and remittances. The virtual card allows customers to transact on global platforms and is expected to support additional contactless payment functions in future updates.

Dashen Bank paired the launch with several engagement initiatives, including a TikTok‑based content competition and a referral programme targeting university students. The launch took place at Addis Ababa University’s School of Commerce.

Fayda has reached a milestone in terms of registrations, which now counts 40 million registered Ethiopians. The Modular Open Source Identity Platform (MOSIP) recognized the achievement on LinkedIn, especially as the organization has played a pivotal part in the digital ID’s journey over the past seven years.

“In less than two years, Ethiopia’s national ID program has enrolled over a quarter of the population, while steadily integrating over 130 government agencies and private institutions across the country – a pace and scale that speaks to the commitment behind this effort,” MOSIP posted.

Ethiopia is aiming to reach 90 million digital ID enrollments in 2026. It is part of a broader digital transformation strategy as the government launched teleSign, a digital signature platform that aims to boost trust in online transactions, making them legally binding where necessary. All government services will be connected to teleSign.

Article Topics

biometric identification  |  digital ID  |  Ethiopia  |  Fayda  |  financial inclusion  |  Mastercard  |  mobile banking  |  MOSIP (Modular Open Source Identity Platform)  |  onboarding  |  TeleSign