Business News | Addis Ababa | 31 October 2026
Dashen Bank more than doubled its profit before tax to Birr 15.2 billion in the financial year that ended on 30 June 2026, and in the same week signed a financing agreement with EIB Global, the development arm of the European Investment Bank, to expand longer term lending to small and medium sized businesses in Ethiopia, with a focus on agriculture. The private lender presented its results to shareholders at meetings in Addis Ababa on 29 October, according to local business media.
The 2025/26 results
Dashen Bank said profit before tax rose 128 percent to Birr 15.2 billion, total assets grew 37.4 percent to Birr 350 billion, total revenue increased 49.2 percent to Birr 46.9 billion and deposits reached Birr 280 billion, up 36.9 percent from a year earlier. Birr Metrics and ETBusinessView, citing the annual results, put the previous year’s profit before tax at about Birr 6.7 billion and the rise at 127.6 percent.
Outstanding loans and advances, including interest free banking financing, reached Birr 165.4 billion, according to Birr Metrics, ETBusinessView and Sheger FM. Birr Metrics noted that deposits grew faster than lending during the year. The bank also generated more than 1.4 billion US dollars in foreign currency, the same outlets reported.
ETBusinessView reported that profit after tax was about Birr 11.8 billion, that the cost to income ratio improved to 53.3 percent from 69 percent, and that paid up capital reached Birr 17.4 billion. It also reported that the board proposed a total dividend of Birr 7.1 billion, split equally between cash dividends and bonus shares, subject to shareholder and regulatory approval.
The bank serves more than 9 million customers through more than 900 branches and 1,206 ATMs, according to Birr Metrics and ETBusinessView, and it allocated Birr 200 million to community development and environmental protection programmes during the year, Birr Metrics and Sheger FM reported. Board chairman Dulla Mekonnen attributed the performance to growth in customer numbers, resource mobilisation and investment in digital banking, Birr Metrics reported.
EUR 20 million from EIB Global for SMEs
EIB Global said on 29 October that it is providing a EUR 20 million long term loan to Dashen Bank, which the bank will match with EUR 20 million of its own, making EUR 40 million available to Ethiopian small and medium sized enterprises on better terms, including longer maturities, than are available in the domestic commercial market. The EIB project page lists the agreement as signed on 27 October 2026.
At least 70 percent of the financing is to go to agriculture and related activities, with priority for businesses that export to Europe and other markets in sectors such as coffee, pulses, horticulture and cereals, according to both institutions. At least 30 percent is to support climate action and environmental sustainability, and a further 30 percent is earmarked for women’s economic empowerment. The EIB said its financing is projected to support more than 34,000 full time jobs through the businesses that benefit.
EIB Global will also provide technical assistance to strengthen Dashen Bank’s environmental and social due diligence, climate finance capabilities, monitoring and reporting, funded by the EU under the ACP Trust Fund, the EIB said. Dashen Bank is also enrolled in the EIB’s Greening Financial Systems programme.
“This partnership with EIB Global will enable us to offer longer-term financing to agricultural enterprises, exporters and other eligible businesses while strengthening our support for green investment and women-led companies,” Dashen Bank Chief Executive Officer Asfaw Alemu said in the EIB release.
An investment banking unit awaits a licence
Asfaw told shareholders on 29 October that the bank is waiting for regulatory approval to launch an investment banking operation that would underwrite initial public offerings, advise on mergers and acquisitions and facilitate securities trading, Birr Metrics and The Abay Times reported. Application documents are complete and specialist recruitment is under way, according to both outlets. “We are seeking skilled individuals for the investment bank, as the market currently lacks experienced professionals,” Asfaw said. Chairman Dulla said the unit is expected to launch shortly; no date has been announced. The licence, which requires approval from the Ethiopian Capital Market Authority (ECMA), is separate from ECMA’s December 2025 approval of the registration of Dashen’s own shares.
A new way to pay nearby businesses
Earlier in the week, on 27 October, Dashen Bank launched Dashen Air Pay at the Sheraton Addis Hotel. The service, built into the Dashen SuperApp, shows customers nearby businesses so they can select one, enter the amount and their PIN, and pay without needing an account number, QR code or phone number, according to the bank. “With Air Pay, we are not just providing a means of payment; rather, we are also creating an option that directly connects our customers with local businesses,” Asfaw said at the launch.
Why it matters
Access to finance is a persistent barrier for Ethiopian businesses, and the EIB said the country’s agricultural firms often struggle to obtain the capital needed to modernise production, meet international market requirements and cope with droughts and floods. Dashen’s results also show how quickly balance sheets at Ethiopia’s large private banks are growing as the sector modernises and competes for deposits and foreign currency.
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Sources
- Dashen Bank, “Dashen Bank Records 128% Profit Growth as Total Assets Reach Birr 350 Billion”, 30 October 2026: dashenbanksc.com
- European Investment Bank, “EIB Global and Ethiopian lender Dashen Bank to unlock €40 million for green agribusiness and women-led enterprises in Ethiopia”, 29 October 2026: eib.org
- Dashen Bank, “Dashen Bank and European Investment Bank Global Unlock EUR 20 Million to Support Green Agribusiness and Women-Led Enterprises in Ethiopia”, 30 October 2026: dashenbanksc.com
- Dashen Bank, “Dashen Bank Unveils New Payment Service to Enable Businesses Conduct Transactions Easily”, 28 October 2026: dashenbanksc.com
- Birr Metrics, “Dashen Bank Profit More Than Doubles to 15.2 Billion Birr as Assets Hit 350 Billion”, 29 October 2026: birrmetrics.com
- ETBusinessView, “Dashen Bank More Than Doubles Profit as Revenue Surges 49%”, 30 October 2026: etbusinessview.com
- Sheger FM 102.1 via 2merkato, “Dashen Bank Reports Birr 15.2 Billion in Annual Pre-Tax Profit”: 2merkato.com
- Birr Metrics, “Dashen Bank Seeks Regulatory Green Light for Investment Bank”: birrmetrics.com
- The Abay Times, “Dashen Bank awaits investment banking licence”: abaytimes.com
Last updated: 31 October 2026.
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Featured image: Shareholders at Dashen Bank’s general meetings in Addis Ababa, as pictured in the bank’s press release on its 2025/26 results. Photo: Dashen Bank (press release image), cropped.