Safaricom Partners with Health Ministry to Digitize Healthcare Payments

Safaricom

Safaricom M-PESA, along with other financial service provider, has signed a Service Level Agreement (SLA) with the Ministry of Health (MoH) of Ethiopia to transform healthcare payments through a secure, efficient, and scalable digital payment system. This partnership aims to enhance financial inclusion, streamline healthcare payments, and improve service delivery nationwide.

The initiative will integrate M-PESA’s innovative digital payment solutions into health facilities, facilitating cashless transactions for medical services, automating Community-Based Health Insurance (CBHI) payments, and ensuring prompt salary disbursements for Health Extension Workers (HEWs). The new system will incorporate interoperable options such as mobile wallets, USSD, QR codes, and card payments, significantly reducing the reliance on cash, increasing transparency, and enhancing operational efficiency within Ethiopia’s healthcare system.

This collaboration is part of a comprehensive nationwide effort involving the National Bank of Ethiopia, the Ministry of Finance, Health Insurance Services, and the UNDP’s Better Than Cash Alliance. Safaricom M-PESA’s role highlights its commitment to leveraging mobile financial services to drive digital transformation in healthcare.

A pilot phase of the initiative will be launched in selected health facilities across all regions, focusing on the digitalization of payments for medical services, salaries, and benefits. To support the smooth adoption of this system, financial literacy training will be provided to healthcare workers and CBHI beneficiaries.

Elsa Muzzolini, Safaricom M-PESA Financial Services CEO, emphasized, “”This partnership is a major step toward building a digital financial ecosystem that makes healthcare more accessible and affordable for all Ethiopians. M-PESA has successfully driven financial inclusion across Africa, and we are excited to bring our expertise to Ethiopia’s healthcare sector, ensuring secure, convenient, and transparent transactions for patients, healthcare workers, and insurance providers.”

Her Excellency, Dr. Mekdes Daba, Minister, Ministry of Health, said that “This milestone marks a significant step forward, and we are honored to host you at this signing event with our selected financial service providers. I encourage all partners to continue their efforts to ensure the success of the pilot phase as we prepare for a nationwide rollout in the coming five months. This initiative will undoubtedly shape the future of healthcare financing in Ethiopia.”

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.

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