Djibouti Launches National Digital Wallet with Visa, Tech5 Collaboration

Published Date : 9/22/2025 

The Djiboutian government has signed a Memorandum of Understanding (MoU) with Visa and Tech5 to develop a national digital wallet, aiming to enhance digital inclusion and financial access in the country. 

The Djiboutian government has taken a significant step towards digital inclusion by signing a Memorandum of Understanding (MoU) with U.S. payments giant Visa for the development of a national digital wallet. The MoU was signed on September 16 in the capital Asmara, marking a pivotal moment in the country's efforts to enhance digital services and financial inclusion.

Tech5, a leading technology provider, confirmed its involvement in the deal. The digital wallet, to be known as the “Smart Wallet,” aims to expand access to digital services and facilitate financial transactions for citizens of the Horn of Africa nation. The Ministry of Digital Economy and Innovation announced the signing of the MoU on LinkedIn, stating that it will enable citizens, entrepreneurs, and residents to access public services, digital payments, and digital identity within a secure and inclusive environment.

While the exact timeline for the development and rollout of the digital wallet is not yet clear, the government is confident that this initiative will significantly contribute to the country’s digital economy growth. Djibouti’s real GDP growth reached 6.0 percent in 2024 and is projected to moderate to around 5.1 percent annually between 2025 and 2027, according to World Bank estimates.

Rahul Parthe, Tech5 co-founder, chairman, and CTO, expressed enthusiasm about the partnership: “We are happy to work with our partner Visa on promoting and advancing Digital Public Infrastructure in various countries. This is one of the several initiatives where we see the appreciation for the concept of Digital Public Ecosystem. We believe that it will not only accelerate digital transformation but increase the GDP.”

Tech5 and Visa have a strong partnership, recently extended by a new collaboration that will last seven years. Both companies are committed to making biometrics a central part of their efforts to develop and deploy digital public infrastructure (DPI) for partners worldwide. They plan to integrate biometric authentication capabilities into the digital wallets they develop for customers.

The two companies also collaborated on the development and rollout of Ethiopia’s FaydaPass digital wallet, which was unveiled in May on the sidelines of the 2025 ID4Africa AGM. Tech5’s Chairman and a Visa executive spoke on a panel at the AGM about leveraging digital ID to drive financial inclusion. The Ethiopian government praised the wallet for its potential to accelerate financial inclusion efforts.

This partnership between Djibouti, Visa, and Tech5 represents a significant step towards a more digitally inclusive and financially accessible future for the citizens of Djibouti. By integrating advanced biometric technologies and digital public infrastructure, the Smart Wallet is poised to transform the way citizens access and manage their financial services. 

Frequently Asked Questions (FAQS): 

Q: What is the purpose of the Smart Wallet in Djibouti?

A: The Smart Wallet is designed to expand access to digital services and facilitate financial transactions for citizens of Djibouti, enhancing digital inclusion and financial access.

Q: Who are the key partners in the development of the Smart Wallet?

A: The key partners in the development of the Smart Wallet are the Djiboutian government, Visa, and Tech5.

Q: When was the MoU signed for the Smart Wallet project?

A: The MoU for the Smart Wallet project was signed on September 16 in the capital Asmara.

Q: What is the projected impact of the Smart Wallet on Djibouti's economy?

A: The Smart Wallet is expected to significantly contribute to the country’s digital economy growth, with Djibouti’s real GDP growth reaching 6.0 percent in 2024 and projected to moderate to around 5.1 percent annually between 2025 and 2027.

Q: How does the Smart Wallet integrate biometric technology?

A: The Smart Wallet integrates biometric authentication capabilities to enhance security and user verification, making it a more secure and user-friendly financial tool. 

More Related Topics :