Nigerian Fintech Qore Targets Ethiopia’s Small Lenders with Affordable Banking Tech
Addis Ababa, Ethiopia ,June 27, 2025
In a strategic move to capture Africa’s largest underbanked market, Nigeria’s Qore Technologies has launched operations in Ethiopia. Partnering with local microfinance institution Akufada, Qore aims to democratize digital banking for Ethiopia’s small lenders with its cloud-based platform, BankOne, priced at just $10,000–$100,000 per installation. This expansion taps into Ethiopia’s 120-million-strong population, where recent regulatory reforms are accelerating financial digitization .
Partnership and Market Entry Strategy
Qore’s debut centers on powering Akufada, a young microfinance institution seeking cost-effective modernization. Key elements include:
– Rapid Deployment: Implementation completed in under 12 weeks, including training and technical support.
– Shared Infrastructure: Cloud-based system eliminates costly standalone IT environments, crucial for capital-constrained institutions .
– Affordability Focus: Akufada CEO Abreham Wedajo emphasized Qore’s pricing enabled adoption despite the institution’s modest size.
Why Ethiopia?
Ethiopia’s financial sector is ripe for disruption:
– Untapped Potential: Only 11 million Fayda digital IDs have been issued so far, with mandatory banking integration by 2026 signaling urgent digitization needs.
– Regulatory Shifts: New policies allow foreign banking investments and mandate digital ID linked transactions, creating fertile ground for fintech innovation.
– Infrastructure Gaps: Heavy reliance on legacy systems and fragmented digital channels plague local institutions.
Technology Edge
Qore’s BankOne platform brings battle-tested capabilities:
– Scalability : Processes 250M monthly transactions across 520+ African institutions, including Nigeria, Kenya, and DRC.
– Zero Trust Security: Blocks 100+ daily intrusion attempts via continuous verification protocols .
– AI Innovations: Features like VR banking branches and voice-enabled chatbots showcased at Qore’s Nexus 2024 event cater to diverse users, including visually impaired clients .
– Local Integration: Pre-connected with African payment systems for instant interoperability.
Leadership and Growth Trajectory
Qore’s aggressive expansion aligns with its continent-wide ambitions:
– New COO : Fintech veteran Michael Hoodfar joined to drive a 16x revenue surge over four years.
– Ethiopian Roadmap: Initial focus on microfinance, with plans to onboard rural cooperatives and banks .
– Financial Inclusion Mission: VP Martin Muchine stated, “It’s about enabling small institutions to serve populations excluded from formal banking” .
Challenges and Opportunities
While Ethiopia’s digital banking surge continues evidenced by Cooperative Bank of Oromia’s 200+ “Smart” branches hurdles remain :
– **Rural Digital Literacy: Farmers and remote communities need user-friendly interfaces to bridge adoption gaps.
– Infrastructure Reliance: Power stability and internet connectivity could affect service delivery.
– Competition: As Ethiopia opens to foreign investors, rivals may follow Qore’s entry.
Continental Context
Qore’s Ethiopian foray exemplifies Africa’s fintech driven liberation from Western tech dependencies. As analyst Femi Isaac Olatunji notes, homegrown solutions like BankOne cut costs by 50% while ensuring local market fit a blueprint for economic self-reliance . With EU-funded digital skills programs bolstering Ethiopia’s transformation, Qore’s timing appears strategic.
The Road Ahead
Qore eyes nationwide deployment by 2026, coinciding with Ethiopia’s Fayda ID rollout deadline. If successful, its model could template how affordable fintech solutions unlock banking access for millions turning Ethiopia from an untapped market into Africa’s next digital finance powerhouse.
