EIB and Dashen Bank to unlock $22M each for Ethiopian agribusiness
What's the deal? EIB Global will lend €20 million to Ethiopia's Dashen BankDealroom has a profile for this one. Try Dealroom →, which will match the sum to make €40 million available to small and medium-sized enterprises. At least 70% of the money targets agriculture — coffee, pulses, horticulture, and cereals — with priority for businesses exporting to Europe and elsewhere.
What's the endgame? The financing offers longer maturities than Ethiopia's domestic commercial market, tackling what the parties call a persistent barrier to private-sector growth: limited access to finance. EIB Global projects the money will support over 34,000 full-time jobs.
The terms: At least 30% of the financing goes to climate action and environmental sustainability; a further 30% targets women's economic empowerment. EIB Global is adding technical assistance to strengthen Dashen Bank's environmental due diligence and climate-finance capabilities, funded by the EU under the ACP Trust Fund.
"This partnership turns long-term finance into tangible opportunities for Ethiopian businesses," said EIB Vice-President Ambroise Fayolle.
Why now? The deal lands during a reshaping of Ethiopia's private banking industry. The country has modernised its financial system through a new central bank framework, updated legislation, stronger supervision, and a gradual opening to foreign investment.
Dashen Bank chief executive officer Asfaw Alemu said the deal lets it "offer longer-term financing to agricultural enterprises, exporters and other eligible businesses while strengthening our support for green investment and women-led companies."
The signal: This is part of a broader EIB push to route agrifinance through Ethiopian commercial banks. It follows a near-identical €40 million EIB–Zemen Bank deal announced in April 2026 and sits alongside a larger €110 million EIB commitment for rural finance, half of it earmarked for women — evidence that the development lender is leaning on local banks to expand export value chains such as coffee and horticulture.
Read more: eib.org
Image credit: Dave Proffer
