EthSwitch Sets Up Account To Support International Card Payments

August 10, 2026
By Mintesinot Nigussie

International cardholders could soon be able to use their cards at local ATMs and point-of-sale terminals as EthSwitch moves towards launching cross-border card payment services backed by a new foreign-currency settlement arrangement. The national payment infrastructure operator has opened a dedicated multi-currency US dollar settlement account in its own name at Bank of Abyssinia. The local bank maintains a correspondent banking relationship with Citibank, providing the link to international financial infrastructure.

Speaking to Capital Newspaper, EthSwitch Chief Portfolio Officer Abenezer Wondwossen said EthSwitch has no direct relationship with Citibank and uses Bank of Abyssinia exclusively for the settlement arrangement. He said the company had opened a US dollar account with Bank of Abyssinia to serve as its settlement account. The account is already operational, although formal contractual procedures are still being finalised, according to EthSwitch officials.

The arrangement is expected to facilitate cross-border card transactions and expand Ethiopia’s participation in international digital payments. It follows foreign-exchange reforms by the National Bank of Ethiopia that allow eligible institutions to establish and maintain foreign-currency accounts. The project has been in development for more than a year and is being implemented in two phases. The first will enable international payment cards to be used in Ethiopia, including cards issued in nearly 200 participating countries, at ATMs and point-of-sale terminals connected to the national payment network.

Technical preparations for the first phase have been completed and regression testing has concluded, Abenezer said. The service is expected to go live within one to two months. A second phase will enable Ethiopian customers to use locally issued cards abroad for purchases, cash withdrawals and online transactions in participating countries. Its timing will depend on regulatory approval, technical preparations and agreements with international payment networks. EthSwitch has also submitted a request to the central bank and is continuing the approval process while working with Bank of Abyssinia.

Source: FSX Business News