Awash Bank partners M-PESA to unlock mobile credit access in Ethiopia
- Nhlanhla Muthe
- Jul 15
- 2 min read
With their new overdraft product, Awash Bank and M-PESA aim to empower more Ethiopians through inclusive digital lending, combining trusted banking infrastructure with mobile-first innovation.
By Nhlanhla Muthe
Awash Bank and M-PESA have joined forces to launch a digital overdraft service, “Errif be M-PESA,” enabling customers to complete transactions even with insufficient wallet balances, marking a major step toward expanding financial inclusion in Ethiopia.
Speaking at the signing ceremony, Awash Bank CEO Mr. Tsehay Shiferaw said the partnership reflects the bank’s technology-driven mission to modernize financial access. “Awash Bank remains a technology-focused institution that continuously updates and installs state-of-the-art digital solutions. Our Awash-Birr Pro mobile app, our digital microloan services with special attention to SMEs and MSMEs, and Awash Lehulum are just a few examples of our commitment,” he said.
The new service, Errif be M-PESA, marks the first digital credit product in M-PESA Ethiopia’s portfolio. It enables eligible users to complete transactions even when they have insufficient funds, using pre-approved short-term credit, setting the stage for smarter, data-driven lending in Ethiopia.
“I believe this partnership is more than a collaboration between Awash Bank and M-PESA; it is a promise for our shared commitment to deliver accessible, affordable, and secure savings and credit services to customers from all walks of life,” added Shiferaw
Elsa Muzzolini, CEO of M-PESA, also emphasised the strategic importance of the alliance.
“We are proud to join forces with Awash Bank, an institution that has long been a pillar of Ethiopia’s financial system. The opportunity to improve the financial well-being of our customers is significant, and it is only through strong partnerships that we can bring this vision to life,” she said.
She underlined that the partnership showcases the growing synergy between mobile money operators and traditional banks in Africa. By combining Awash Bank’s robust financial infrastructure with M-PESA’s mobile-first platform, the partnership aims to bridge Ethiopia’s credit access gap and set new benchmarks for inclusive digital finance in the region.
“Our collaboration on Errif be M-PESA represents a major milestone. It not only expands access to credit, empowering customers to transact confidently, but also establishes our foundation for data-driven lending, helping us better understand customer loan behavior,” said Muzzolini.
