Ethiopia’s push to broaden financial access is yielding strong numbers, but the latest Global Findex report from the World Bank shows that inclusion remains uneven, and digital finance risks deepening inequality if infrastructure and usage gaps persist.

Account ownership rose to 48.8% in 2024, up slightly from 46.5% in 2021/22. Mobile money accounts more than doubled to 9.5%, and digital payments inched up to 20.7% from 19.7%. Yet only 7% of adults use digital tools such as cards, phones or apps to make payments.

Gender and income gaps remain stark. While 57% of men have accounts, only 42% of women do. Among the wealthiest 60% of Ethiopians, 53% are banked, compared with just 43% of the poorest 40%.

Data from the National Bank of Ethiopia suggests faster momentum. As of March 2025, digital accounts reached 222.1 million — many non-unique — and transaction value hit 12.5 trillion birr, up 87% year-over-year. But usage is thin. Only 4% of adults borrowed formally, 36% saved through accounts, and 21% used digital payments.

Regular transfers into accounts are rare. Only 4% of adults received private wages digitally, and just 3% got government transfers. In-store digital payments were recorded by 6%, while 7% paid bills online. Only 1% reported buying goods over the internet.

Infrastructure remains a major bottleneck. Ethiopia scores 40 out of 100 on GSMA’s mobile enablement index, and 44% of the population still lacks cellular coverage. Mobile phone ownership stands at 41%, with wide gender gaps. Smartphone penetration is just 16%, and internet usage remains low — only 14% accessed it in the past three months.

Digital engagement beyond finance is also limited. Just 13% accessed government services online, 6% earned income through digital platforms, and 4% used the internet for education. Social media use, at 13%, trails far behind the LMIC average of 45%.

Financial vulnerability is another concern. About 13% of adults experienced climate-related shocks in the past three years. Among them, 10% lost income and 7% lost property. Only 27% of households in peer countries could cover expenses for more than two months without income, while 15% could manage for less than two weeks.