Safaricom Ethiopia inked the deal with the Health Ministry yesterday.

Safaricom Ethiopia, which counts on the East African country's digital future for growth, has teamed with financial services provider and the Federal Ministry of Health Ethiopia to launch a safe, efficient, and scalable digital payment system in the healthcare sector.

The goal, according to the group, is to increase financial inclusion, streamline healthcare payments, and improve service delivery across the country.

The agreement would include M-PESA's digital payment technologies into health facilities, allowing for cashless medical transactions, automating insurance payments, and assuring regular salary disbursements for health extension workers.

The trial phase will be implemented in selected health facilities, supported by financial literacy training for healthcare professionals and beneficiaries.

During the signing event, it was revealed that this collaboration is part of a larger endeavour that includes the National Bank of Ethiopia, the Ministry of Finance in Ethiopia, Health Insurance Services, and the UNDP's Better Than Cash Alliance.

The telco said building on M-PESA's track record of promoting financial inclusion throughout Africa; this program aims to make healthcare more accessible and cheap to all Ethiopians.

“Together, we are taking a significant step toward a more inclusive, efficient, and transparent healthcare system,” said Safaricom Ethiopia.

It added: “This initiative is a meaningful contribution towards supporting Ethiopia’s broader digital transformation efforts.

“By working together with key partners, we hope to contribute to a more inclusive, efficient, and transparent healthcare system—one that serves all Ethiopians and aligns with the vision of Digital Ethiopia 2025.”