ADDIS ABABA – EthSwitch S.C has announced a net profit before tax of over 1.06 billion Birr for the financial year of 2024, marking a 97% increase compared to the previous year.
This achievement was disclosed during the company’s 11th annual general meeting yesterday, where the annual report was presented.
Speaking at the event, Chairperson of EthSwitch, Solomon Desta, stated that despite a challenging economic environment, the company maintained a strong focus on expense management, resulting in this remarkable profit.
EthSwitch’s capital has also seen substantial growth. As of June 30, 2024, the company’s subscribed capital reached 2.99 billion Birr, with 1.79 billion Birr fully paid. This reflects a year of significant growth and accomplishments as EthSwitch advanced its mission to expand interoperability and strengthen Ethiopia’s digital payment infrastructure.
According to Solomon, the Board of Directors has diligently reviewed and adopted essential policies that have enhanced the company’s overall performance. EthSwitch generated an impressive revenue of 1.13 billion Birr solely from operational earnings, an 86% increase compared to the previous financial year.
The financial year 2023/24 was marked by outstanding achievements in revenue generation, operations, project implementation, and policy improvements. Solomon attributed this success to the government’s focus on the sector, which has facilitated significant progress in Ethiopia’s digital finance system.
As the National Switch, EthSwitch plays a pivotal role in implementing the National Digital Payment Strategy, which seeks to create a secure, modern, and inclusive digital payment ecosystem.
Established in 2011, EthSwitch is fully owned by all banks in Ethiopia, both private and public. The company’s primary objectives are to develop and institute a domestic payment scheme, create interoperability between financial and payment service providers, and provide shared infrastructure platforms to financial institutions.
The 2024 financial year stands as a testament to EthSwitch’s growing impact on Ethiopia’s digital financial landscape, with its achievements reflecting the collective efforts of its stakeholders and government support.
BY ESSEYE MENGISTE
THE ETHIOPIAN HERALD WEDNESDAY 13 NOVEMBER 2024
