M-PESA Ethiopia has taken a significant step into public finance administration after sealing a partnership with the Amhara Regional State Revenue Bureau to facilitate tax payments through its mobile money platform. The agreement, announced on March 21, is set to allow more than 450,000 individuals and businesses in the region to pay their taxes seamlessly, reducing the burden of physical visits and manual processing that have long characterised the system.
Under the arrangement, taxpayers can now complete their obligations quickly and securely from any location using M-PESA. The head of the Amhara Regional Revenue Bureau, Mengesha Fentaw, described the initiative as a major relief for residents, noting that it would simplify the payment process while improving efficiency. The development also makes the Amhara bureau the first regional tax authority in Ethiopia to adopt mobile money as a payment channel.
The move reflects broader efforts by the Ethiopian government to modernise its tax administration, which has traditionally relied on paper based systems and fragmented procedures. With digital reforms gaining traction and mobile money adoption rising, the integration is expected to ease administrative bottlenecks, enhance transparency, and strengthen revenue collection across the region.
This milestone comes amid strong growth for M-PESA in Ethiopia. Recent figures show a sharp rise in active users and transaction volumes, following its integration with the national payments system, EthSwitch, in late 2025. Safaricom Ethiopia has also recorded steady expansion in its overall operations, with increasing customer numbers and revenue growth, underscoring the growing role of digital finance in reshaping the country’s economic landscape.