Dashen Bank and EIB Global, the development arm of the European Investment Bank (EIB), have signed a Memorandum of Understanding (MoU) to provide €20 million in financing to small and medium-sized enterprises (SMEs) in Ethiopia.

The partnership aims to help Ethiopian businesses expand their operations, strengthen their market positions and access financing for investment and growth. It will focus on agriculture, value chains, green investments and women’s economic participation.

The financing is expected to improve businesses’ access to funding and help them align financing with their investment needs, supporting expansion and greater participation in domestic and international markets.

“Dashen Bank is committed to providing financial access to enterprises that are the main drivers of the Ethiopian economy,” said Asfaw Alemu, CEO of Dashen Bank.

“This partnership will turn critical times into tangible procurement opportunities for Ethiopian companies,” said Andrew McDowell, Director General of EIB Global.

The agreement forms part of efforts to expand financing opportunities for Ethiopian enterprises and support sustainable economic growth, with particular attention to women-led economic participation and investment across key value chains.