Ethio Telecom Blocked Us Says M-Pesa

M-PESA Ethiopia has called out Ethio Telecom for blocking mobile data access to its newly launched mobile money application, M-PESA Lehulum. The action has left thousands of Ethiopian users suddenly unable to log in, transact, or access their money.

The outage comes just days after the service’s official launch on 1 December 2025, a rollout Safaricom Ethiopia had described as a major move towards financial inclusion in the country.

In a public statement released on Thursday, M-PESA Ethiopia announced that “M-PESA ለሁሉም (M-PESA Lehulum) is currently not accessible on smartphones using mobile data services managed by Ethio Telecom, leaving our customers unable to log in, transact, or retrieve their funds.”

Telecom-Agnostic System Suddenly Blocked

Safaricom emphasised that M-PESA Lehulum was designed to work across any telecommunication network in Ethiopia, a feature the company said had been fully vetted and approved by regulators. “This mobile application can be downloaded from any telecommunication network and provides simple and secure access to digital financial services. This solution is fully approved by our regulator, the National Bank of Ethiopia and INSA,” the statement reads.

The blockage, therefore, disrupts not just connectivity, but the essence of a network-neutral digital financial system promise. One meant to serve all Ethiopians regardless of their telecom provider.

Safaricom has stated that they “are working urgently to restore access,” and are engaging with regulators. “We would like to confirm that our team is working diligently to maintain access to M-PESA ለሁሉም and restore full digital reachability as quickly as possible.”

Regulatory Approval Yields Service Disruption

M-PESA Ethiopia further clarified that it operates as a fully licensed and independent financial services provider. “M-PESA Ethiopia is a stand-alone legal entity duly registered in Ethiopia and holder of a Payment Instrument Issuer (PII) license issued by the NBE.”

The company’s strong emphasis on regulatory approval indicates ever-growing tension over interoperability and competition in Ethiopia’s telecom and digital finance sectors. Spaces historically dominated by the state-run Ethio Telecom, capturing about 60 per cent of the market.

The disruption raises critical questions around fair competition, market access, and the role of national infrastructure in supporting digital financial inclusion. With millions of Ethiopians still excluded from formal financial systems, the launch of M-PESA Lehulim had been hailed as a major step toward.

With access blocked for users on the country’s largest mobile network, the future of open digital finance in Ethiopia may hinge on how quickly and transparently this dispute gets resolved.