Ethiopia has launched a major addition to its Digital Public Infrastructure (DPI) โ theย Fayda Walletย โ as part of its efforts to deepen financial inclusion and streamline digital service access for millions of residents.
The move follows Ethiopiaโs membership in theย Digital Public Good Alliance (DPGA)ย in 2023 and builds on itsย Digital Ethiopia 2025 Strategyย andย Homegrown Economic Reform Agenda. The new digital ID wallet,ย FaydaPass, is a product of the National ID Program (NIDP) and is being co-developed withย TECH5, a biometric and digital ID technology company, andย Visa, the global digital payments provider.
A Verifiable Digital Identity for All
Theย Fayda Walletย gives Ethiopians access to a digital version of their national ID โ known asย Fayda, meaning โvalueโ in several local languages โ which serves as a verified digital credential. Residents can now download an official app to receive theirย Fayda credentialย as aย Verifiable Credential (VC)ย directly on their phones.
The system supports bothย online and offline verification, aligned withย self-sovereign identity (SSI)ย principles, enabling secure authentication for a range of use cases โ including accessing government services, opening bank accounts, and making digital payments.
According toย Yodahe Zemichael, Executive Director of the National ID Program, โA credential wallet would be a container for government and private sector issued standardized verifiable credentials. It’s an exciting new way of delivering value to citizens and extending the functionality of Fayda Digital ID.โ
Coopbank Becomes First Financial Partner
The state-affiliatedย Coopbankย is the first financial institution to integrate Fayda Wallet, enabling users to open a bank account through biometricย eKYCย (electronic Know Your Customer) and receive aย virtual Visa cardย instantly.
Coopbank CEO, Deribie Asfaw, said the integration aligns with the bankโs dual mission of digitization and financial inclusion, stating:
โOur collaboration on this remarkable platform enables us to reach financially marginalized communities who have long been excluded from the formal financial system.โ
This partnership allows Coopbank to onboard users who previously lacked access due to the absence of formal ID documentation or digital identity frameworks.
TECH5 and Visa Deliver the Infrastructure
TECH5, co-developer of the wallet infrastructure, has provided the underlying trust framework and technologies including:
- T5-AirSnap: Contactless multi-biometric capture
- T5-OmniMatch: Matching and liveness detection for eKYC
- KeyShare Digital Wallet: The secure digital ID management platform
According toย Rahul Parthe, TECH5 Co-Founder and CTO:
โThis ecosystem is a vital step in the country's digital transformation.โ
Visaย supports the payments layer of the platform, enabling secure transactions and financial services through the Fayda Wallet.ย Yared Endale, Visaโs Cluster Head for Eastern Africa, said:
โBy leveraging advanced biometric eKYC verification, we are paving the way for secure and seamless financial services that will benefit millions of Ethiopians.โ
Beyond Smartphones: Inclusive Digital Access
Recognizing the digital divide, the Fayda system also includesย custodian walletsย operated byย government-appointed agents. These agents can manage credentials and accounts on behalf of citizens without smartphones, using biometric data and adhering to global standards likeย W3Cย andย EU eIDAS.
The Fayda Wallet is not only a credential holder but also envisioned as aย service delivery channel, with future integration expected for services in health, education, e-commerce, and social welfare.
Momentum Toward Mass Adoption
The launch of the wallet coincides withย ID4Africa 2025, hosted in Addis Ababa from May 20โ23, where NIDP, TECH5, and Visa are showcasing the ecosystem.
So far,ย 15 million residentsย have been registered for Fayda Digital ID, with a target ofย 90 million adultsย by 2028. The platform is positioned to serve as theย trust anchorย for Ethiopiaโs broader DPI โ enabling secure, privacy-preserving, and scalable digital interactions across public and private sectors.
