Ethiopia’s move toward building a digital economy is gaining significant support both domestically and internationally. Several African leaders have lauded the country’s digital progress during recent official visits to Addis Ababa.
The Malian Minister of Youth, Sport, and Citizenship, along with his Gambian counterpart, expressed admiration for Ethiopia’s urban and economic transformations witnessed in the capital. Their remarks reflect growing regional recognition of Ethiopia’s digital modernization efforts.
Meanwhile, continental and global institutional leaders are urging African governments to formulate robust policies and legal frameworks that align with the fast-evolving global technological landscape. A key focus is the rising influence of Artificial Intelligence (AI) and robotics.
“Emerging technologies, including AI and robotics, present Africa with a unique opportunity to leapfrog outdated development models. We must embrace these frontiers as urgent priorities,” said the United Nations Economic Commission for Africa (UNECA) Deputy Executive Secretary Antonio Pedro during the African Leadership Summit held in Kampala, Uganda, this week.
According to UNECA, Africa’s GDP growth has averaged around 3% since 2019. While the continent boasts nine of the world’s fastest-growing economies in 2024, Pedro noted that growth remains uneven and job creation insufficient. “The situation is further complicated by ongoing polycrisis,” he added.
Ethiopia, situated at the heart of the continent and long disadvantaged by limited access to modern technology, is now actively striving to align with the global digital economy. It has been spotlighted in Identity 25, Okta’s annual list of top global innovators in digital identity systems, for its groundbreaking work in revolutionizing ID frameworks.
Ethiopia’s National ID Program Advisor, Olana Abebe, emphasized that the Digital ID initiative is a core component of the country’s national digital transformation strategy. The program aims to facilitate digital access to economic and social services. Awareness campaigns are currently underway across the country, and the number of users is rapidly increasing.
One of the most celebrated digital platforms easing financial transactions is Telebirr, a mobile money service launched by Ethio telecom in support of the Digital Ethiopia 2025 strategy. Telebirr has already attracted millions of subscribers and is being recognized as a benchmark for fintech development across Africa.
Ethio Telecom CEO, Frehiwot Tamru, stated that the platform processes over 7 billion Birr in daily transactions, demonstrating its crucial role in realizing Ethiopia’s digital economy goals. “We have become one of the most trusted financial service providers through Telebirr. The platform now extends beyond financial services as it ensures financial inclusion by reaching all community segments, including those in remote areas,” she noted.
Frehiwot also stated that such systems require substantial investment. Ethio telecom has dedicated significant financial and technological resources to build and secure the platform. With growing customer trust, cyber security and financial safety remain top priorities.
Complementing these developments, the Ethiopian government is enhancing support for tech startups and entrepreneurs. According to Finance Minister Ahmed Shide, the government’s far-reaching economic reforms, including macroeconomic restructuring, are creating a conducive environment for digital transformation across the financial, agricultural, industrial, and service sectors.
Ethiopia’s experience suggests that with continued investment, policy reforms, and technological innovation, the country could become a digital economy powerhouse in Africa.
BY YESUF ENDRIS
THE ETHIOPIAN HERALD THURSDAY 10 APRIL 2025
