Dashen Bank Review

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Dashen Bank Exchange Rate

The exchange rate for Dashen Bank can also be found at our exchange rates page, along with all other banks’ exchange rates in Ethiopia today.

About Dashen Bank

Dashen Bank is the first private bank established back in 1995 with ETB 14Million capital. Dashen Bank’s head office is located in the capital of the country, Addis Ababa. The bank initially started operations with eleven branches but grew rapidly over time. How many Branches Dashen Bank has today is a sign of its progress through the years. Dashen Bank has grown on a tremendous scale and currently has over five hundred branches, 10 Forex Bureaus, over 350 ATMs, over a thousand Point of Sale terminals, and agent banking.

More About Dashen Bank

Dashen Bank was named after the highest mountain in Ethiopia, “Ras Dashen,” which is also the habitat of unique wild animals like Walia Ibex. These characteristics of the mountain happen to match the founders of the Bank and caused them to adopt the name and incorporate their aspirations.

Dashen Bank currently has total assets of about ETB 254.5 billion and serves over 7.8 million customers. The bank has also established strong correspondent banking relationships with 462 banks across 70 countries and 170 cities worldwide, reflecting its reliability, international connectivity, and modern banking standards.

The bank partners with major global electronic payment networks, including American Express (AMEX), Visa, Mastercard, and UnionPay. It also collaborates with leading international money transfer operators such as Western Union, MoneyGram, Transfast, Ria, WorldRemit, EthioDash, and Mamy Money Transfer, enabling convenient cross-border remittance services for customers.

 Products and Services of Dashen Bank

Saving Account / Saving Deposit

A regular savings account for depositing, safekeeping, and withdrawing funds, earning monthly compounded interest on the minimum balance.Product Features

• Safe, with impressive monthly compounded interest on the minimum balance.
• Passbook optional.
• Initial deposit of 25 birr; no minimum/maximum deposit limit.
• Limitless deposits and withdrawals.
• Free, convenient, and limitless local intra-bank transfers.
• Withdrawals via Cash, ATM, POS, Account-to-Account transfer, Debit Card, Standing instruction, internet, and mobile transactions.
  

  Demand Deposit / Current Account / Checking account

  It is an account from which money can be withdrawn without notice, typically an active account catering for frequent deposits and withdrawals by Cheque.

  • Safe and bears no interest rate
  • No limit on transaction amounts
  • Free and limitless inter- and intra-bank transfer of funds (only local)
  • Free monthly account statement
  • ATM, POS, Payment Card, Internet & Mobile Banking Facility (for sole proprietors)
  • An initial deposit of 500 ETB is required to set up the account
  • Minimum deposit amount should not be a zero balance for more than three months
  • No maximum Deposit and withdrawal limit

  Eligibility Requirements

  For Sole Proprietors

  • Valid and renewed ID card, passport, Driving License, and Other government-issued ID cards
  • Tin registration certificate, renewed trade license, and commercial registration certificate
  • Initial Deposit

  For Artificial Persons [Partnership, Assn., PLCs, Share Companies, etc.]

  • Renewed trade license, commercial registration, and certificate of the company
  • Tin registration certificate
  • Authenticated Memorandum and Articles of Association
  • The minutes of the meeting of the board of directors held to discuss the opening and operation of the account
  • A letter of request to open and operate the account
  • A valid and renewed ID card of the authorized person

    Certificate of Deposit / Fixed Time Deposit

    It is a typically higher-interest-bearing deposit account that has a specified date of maturity, such as a certificate of deposit (CD). The funds in time deposit must be held for the fixed term to receive the agreed-upon interest rate.

    Product Features

    • Higher interest rate than most savings accounts (interest payment will be made every month using a simple interest rate)
    • Withdrawals are not allowed until maturity
    • Fixed deposit certificate issued, which the depositor has to produce at the time of maturity
    • Only one time deposit
    • Minimum deposit amount is set to be at least Birr 1,000,000
    • No maximum deposit limit
    • Minimum Maturity is 6 months with no maximum maturity limit
    • Offers an advanced interest payment upon opening the account

    Eligibility Requirements

    For Retail

    • Present a valid and renewed ID card and two recent photographs (3×4)
    • Initial Deposit

    For Artificial Persons [Partnership, Assn., PLCs, Share Companies, etc.]

    • Renewed trade license, commercial registration, and certificate of the company
    • Tin registration certificate
    • Authenticated Memorandum and Articles of Association
    • The minutes of the meeting of the board of directors held to discuss the opening and operation of the account
    • A letter of request to open and operate the account
    • A valid and renewed ID card of the authorized person

    Dashen Bank Loan Procedures

Dashen Bank grants loans and advances to different sectors of the economy on the strength of viability and assessment of concentration risk.

Major types of credit facilities by Dashen Bank

• Overdraft (for working capital)
• Term loans (Short and project finance)
• Letter of credit facility
• Advance on import bills
• Revolving overdraft (for export bills)
• Merchandise loan
• Trade bills discounted
• Export credit guarantee scheme
• Letter of guarantee (Advance, Performance, and Bid Bonds)

Major Types of Loans at Dashen Bank

Consumer Loan Products

1. Mortgage Loan

• Purpose: To finance the purchase or construction of a residential house for individuals (non-business) customers.
• Maximum Loan Amount: Up to 90% of the cost of the house or construction.
• Features:
  • No additional collateral is required.
  • Long repayment period (up to 20 years for DB-Prime, DB-Star, and Diaspora customers).
  • Customers can borrow up to 50% of their salary capacity upon consent.
  • Preferential interest rate for customers generating Foreign Currency (FCY) for the Bank.
• Eligibility Highlights:
  • For Diaspora: Must open a Diaspora Mortgage Savings account, raise equity contribution in foreign currency, and contractually service the loan fully in FCY to qualify for an interest discount.
  • For Others: One-half (50%) of the applicant’s and spouse’s salary can be considered, but up to the salary of the applicant.

2. Car Loan

• Purpose: To finance the purchase of a personal car for individual customers.
• Maximum Loan Amount: Up to 80% of the cost for a new car and 85% for an old car.
• Features:
  • No additional collateral is required (the car to be bought serves as collateral).
  • Long repayment period (up to 5 years for old cars and 8 years for new cars for eligible segments).
  • Customers can borrow up to 50% of their salary capacity upon consent.
  • Preferential interest rate for those generating FCY for the Bank.
• Target Segments: Retail Sub-Segment, DB-Prime, DB-Star, and Diaspora.

3. Student Loan

• Purpose: To finance tertiary education for Ethiopian nationals, including tuition fees, school materials, and other expenses.
• Maximum Loan Amount: Up to 90% of the cost of learning.
• Features:
  • Maximum 5-year repayment period, including a grace period of up to 6 months for the unemployed.
  • Minimal contribution by the student (as low as 10% of the total cost).
  • Security options include a cosigner, personal guarantor, Provident Fund A/C, or tangible collateral.
• Eligibility Highlights: Must present a valid ID, open a student account, and deposit their contribution into that account.

4. Personal Loan

• Purpose: To finance the purchase of household equipment, home supplies, and cover other personal expenses as validated by the Bank.
• Maximum Loan Amount: Up to ETB 500,000.
• Features:
  • Finances household equipment and home supplies.
  • Covers other personal expenses as validated by the Bank.
  • Preferential interest rate for those generating FCY for the Bank.
• Target Segments: Retail Sub-Segment, DB-Prime, DB-Star, and Diaspora.
• Eligibility Highlights: One-half (50%) of the applicant’s and spouse’s salary can be considered, but up to the applicant’s salary of the applicant.
  

  Dashen Bank Business Loan Products

  Dashen Bank offers various business loan products, categorized by their purpose and term:

  1. Working Capital Loan (Term Loan)

  • Purpose: To finance temporary working capital needs and/or meet short-term financial constraints of the business.
  • Term: Minimum of 3 months to a maximum of 5 years.
  • Repayment: Can be monthly, quarterly, semi-annually, or a lump sum, depending on the business’s nature and cash flow. Regular repayment includes principal and interest.
  • Requirements: Recent business registration and licenses, TIN certificates, recent tax clearances, financial statements for the preceding three fiscal years (audited for loan requests of Birr 5.0 million and above), and acceptable/adequate collateral.

  2. Overdraft Facility

  • Purpose: A credit facility allowing a customer to withdraw beyond the available balance of their current account up to a prescribed limit, primarily to bridge short-term working capital constraints between the receipt and disbursement of funds.
  • Interest: Charged monthly, calculated on the daily ending balance.
  • Maturity: An open facility with up to 12 months after the date of approval.
  • Requirements: Strong collateral (building, cash & cash substitutes are usually required), at least one year of business experience and banking relationship, proper utilization of the current account, and submission of a renewal request one month before expiry.

  3. Advance on Letter of Credit (Advance on L/C)

  • Purpose: A short-term credit facility to facilitate the importation of goods against valid import documents, where the Bank pays the seller (exporter). It helps create trust with the exporter.
  • Maturity: The facility shall be reviewed and renewed every year.
  • Repayment: Lump sum.
  • Requirements: Import trade license (or investment certificate and Proforma invoice for non-importers), recent business documents and financials, acceptable collateral (i.e., Import LC documents), and valid import documents.

  4. Merchandise Loan

  • Purpose: A short-term credit facility to alleviate inadequate cash flow resulting from working funds being tied up by merchandise purchased for resale or as input for production.
  • Term: The tenure for each advance is 6 months from the date of disbursement.
  • Features: The loan can be a revolving facility or a one-time loan. The merchandise or documentary evidence (e.g., warehouse receipt) serves as collateral and is kept under dual lock.
  • Repayment: Settled from the proceeds of the merchandise sold; lump sum, possibly non-equal repayments.
  • Requirements: Recent business documents and financials, stock lists of marketable, non-perishable goods with stable prices, and insurance against risks.

  5. Investment / Project Loan (Term Loan)

  • Purpose: A long-term form of debt financing for real estate development and project finance.
  • Repayment: Relies primarily on the project’s cash flow. Payment mode is typically monthly equal installments (annuities), quarterly, or semi-annually.
  • Maturity: 5 to 20 years.
  • Requirements: Recent or renewed investment license, commercial registration/trade license, project plan, acceptable and adequate collateral, and the customer must contribute the required equity (at least 30% of the loan).

  Note: For all loan requests of Birr 5.0 million and above, the application must be backed by audited financial statements. A healthy credit relationship with other banks is also a basic requirement for most products.

International Banking

Foreign Exchange Permits

The foreign exchange regulation of the country requires most imports, exports, and outgoing foreign payments to be processed with the approval of foreign exchange permits. Permits will be approved when in the presence of documents in a set that show the consistency of data between each other, some of the data to be included are

• Name and full address of parties
• Types of currency and amount
• Agreement between the parties
• Description of commodities or service of the transaction
• Port of Loading and Delivery

Import and Export:

Import:

Dashen Bank offers a range of international trade services to facilitate imports, including:

• Advance Payment Transfer: Generally, for small transactions, this allows the seller to receive payment before presenting shipping documents. It is favorable to the exporter, but requires various import application forms, a Proforma invoice, licenses, and an undertaking to import goods within 120 days.
• Documentary Letter of Credit (L/C): A bank guarantee to the exporter that payment will be made upon receipt of all stipulated documents, protecting both the buyer and seller. Requirements include an Import Permit, ICB documents for large imports, a signed contract, an insurance certificate, and relevant licenses.
• Cash Against Document (CAD): In this arrangement, the exporter’s bank hands over shipping documents to the importer only when the importer fully pays the accompanying bill of exchange (at sight or on a specified future date). This allows the importer not to pay for goods before shipment. Requirements include a purchase order, a proforma invoice, a signed contract, an insurance certificate, and an undertaking for settlement within 90 days for sight CAD.
• Franco Valuta Permit: This is a license for importers to bring in goods without using the bank’s foreign currency; the foreign exchange is sourced by the customer. Requirements are varied and include a signed application, a valid passport, transportation documents, and approval from pertinent government organs or NBE, where applicable.

Export:

Dashen Bank offers the following international trade services to facilitate exports:

• Advance Payment Transfer (Advance Payment L/C): A service for small export transactions where the seller receives payment before presenting shipping documents. It is favorable to the exporter, providing working capital and eliminating credit risk, while allowing the buyer to import at a relatively lower finance cost.
• Documentary Letter of Credit (L/C) / Banker’s Commercial Credit: A bank’s guarantee on behalf of the importer that payment will be made to the exporter, provided the terms and conditions of the L/C are met and specified documents are presented. Payment is made based on the documents, protecting both buyer and seller.
• Cash Against Document (CAD) / Inward Bills for Collection (IBC) / Documents against Payment (DP): An arrangement where the exporter instructs a bank to hand over shipping and title documents to the importer only when the importer fully pays the accompanying bill of exchange (draft) at sight (D/P or CAD) or agrees to pay on a specified future date (D/A or Cash Against Acceptance). This allows the exporter to retain control over the goods until payment or commitment to pay is secured.

Letter of Guarantee:

Definition: Guarantee means any bond or payment undertaking given in writing by the guarantor (bank or insurance company or other body or person) at the request or on the instruction and under the liability of a principal to discharge an obligation otherwise to compensate loss or damage sustained in the form of payment to a beneficiary on presentation of a written demand and such other documents in conformity with the terms and conditions of the guarantee.

Dashen Bank – Sharia‑Compliant Interest‑Free Banking (“Sharik”)

Dashen Bank delivers a comprehensive suite of Sharia‑compliant, interest‑free banking products under the brand name “Sharik”. These services are overseen by a dedicated Shariah Advisory Committee and delivered through full‑fledged IFB branches as well as dedicated windows within conventional branches.

1. IFB Deposit and Investment Accounts

These accounts are structured according to Islamic finance principles and offer ethical alternatives to conventional interest‑bearing accounts:

• IFB Qard Current Accounts:
  Sharia‑compliant demand deposit accounts where customers’ funds are held and can be withdrawn on demand without interest.
• Wadiah Savings Accounts:
  Interest‑free custody savings accounts based on the Wadiah concept. These may include specialized savings such as Hadji and An‑Nissa accounts tailored to individual and community needs.
• Mudarabah Savings Accounts:
  Profit‑and‑loss sharing savings accounts, where profits (instead of interest) are shared between the customer and the bank according to pre‑agreed ratios.
• Diaspora IFB Accounts:
  Designed for Ethiopian diaspora customers, including foreign‑currency Qard current and Mudarabah fixed deposits with Sharia‑compliant savings features.

2. IFB Financing and Credit Products

Sharik financing products are structured around permissible Islamic contracts:

• Murabaha Financing:
  Asset‑backed cost‑plus financing, where the bank purchases an asset and resells it to the customer at an agreed profit margin. These products support purchases such as homes, vehicles, and personal financing.
• Interest‑Free Financing (Qard Al‑Hassan):
  Qard‑based financing products provide cost‑free financial support for small producers, entrepreneurs, and priority sectors.
• Working Capital and Trade Finance:
  Products tailored to business liquidity needs, including Tijarah working capital finance and warehouse receipt finance under Shariah‑compliant structures.

3. IFB Card and Digital Services

Dashen Bank provides cards and digital access solutions for Sharia‑compliant accounts:

• SharikCard:
  ATM and POS cards for IFB accounts, enabling 24/7 access.
• An‑NissaCard:
  A dedicated IFB card for women’s accounts, with ATM and merchant POS functionality.
• Omni‑Channel and Mobile Access:
  Sharik products are integrated into Dashen’s mobile and digital banking platforms, enabling balance inquiries, transaction histories, and other services.

4. Interest‑Free Credit Platform – DubeAle‑IFB

In addition to traditional Sharik products, Dashen Bank offers “IFB DubeAle”, an interest‑free Buy‑Now‑Pay‑Later (BNPL) platform:

• Offers short‑term, interest‑free financing for purchases at participating merchants.
• Repayment terms typically span three, six, or twelve months without interest or profit mark‑up.
• Maximum financing limit up to ETB 700,000.
• Accessible via the DubeAle‑IFB app, with repayments processed through Dashen’s digital channels.

5. Sharia‑Compliant Trade and Transaction Services

Under the Sharik umbrella, the bank also provides:

• Letters of Guarantee and other contingent facilities are compliant with Islamic finance principles.
• International Trade Services is structured to comply with IFB standards.
• IFB Money Transfer Services aligned with interest‑free principles.

Key Features and Principles

• • All Sharik products are interest‑free and structured according to Islamic finance principles.
  • Products leverage profit‑sharing (Mudarabah), cost‑plus (Murabaha), and trust (Wadiah/Qard) contracts where applicable.
• Services are available nationwide through dedicated IFB branches and windows within conventional branches.

Dashen Bank Mobile App

Dashen Bank offers multiple mobile banking platforms, with the main consumer app branded as the Dashen Super App — a unified, all‑in‑one digital banking solution for accounts, transfers, payments, budgeting, QR‑code payments, virtual cards, and more. It integrates both conventional and Sharia‑compliant (interest‑free) banking services in a single platform and has attracted millions of users since its launch.

In addition to the Super App, Dashen Bank still supports the legacy Dashen Mobile app (formerly Dashen Amole Lite), which provides core banking features such as account balance and statement inquiries, fund transfers, bill payments, airtime top‑ups, and QR merchant payments.

Summary of Dashen Bank mobile apps:

• Dashen Super App – comprehensive digital banking platform with advanced banking and lifestyle features (accounts, transfers, QR payments, virtual cards, budgeting, and third‑party services).
• Dashen Mobile – traditional mobile banking app supporting essential transactions and bill payments.

Both apps are available for iOS and Android download and are designed to give customers convenient access to Dashen Bank services on the go.

Dashen Bank Creditworthiness, Loan Portfolio Quality, and Credit Risk Management

Credit Risk Profile

Non-Performing Loans (NPLs):
Dashen Bank maintains a Non-Performing Loan (NPL) ratio of around 4.6%, which remains within the regulatory limits set by the National Bank of Ethiopia. This reflects the bank’s ongoing monitoring of loan performance and borrower repayment capacity.

Loan Portfolio:
The bank’s loan and advance portfolio exceeds ETB 130 billion, serving corporate clients, SMEs, and retail borrowers across multiple sectors of the Ethiopian economy.

Provision Coverage:
Dashen Bank maintains loan-loss provisions in line with regulatory requirements, ensuring adequate financial buffers to absorb potential credit losses from non-performing assets.

Creditworthiness and Lending Standards

Dashen Bank evaluates borrower creditworthiness through a structured credit assessment process that considers:

• Borrower’s financial capacity and repayment history
• Business performance and cash-flow strength
• Collateral coverage and asset quality
• Sector exposure and macroeconomic risks

These factors help the bank maintain a balanced and diversified lending portfolio.

Credit History and Loan Structure

Loan Tenure:
Loan tenures vary depending on product type. Retail and SME loans typically range between 2 and 5 years, while corporate financing and project loans may extend longer.

Credit Utilization:
Borrowers generally utilize a significant portion of their approved credit facilities, reflecting strong demand for financing across Ethiopia’s growing private sector.

Loan Monitoring:
The bank continuously monitors borrower performance through periodic credit reviews, risk assessments, and early warning systems.

Credit Risk Management Framework

Dashen Bank has established a comprehensive credit risk management framework designed to protect the bank’s financial stability and ensure sustainable lending.

Key components include:

• Internal credit risk rating systems for borrower classification
• Portfolio diversification across sectors and industries
• Continuous monitoring of loan performance
• Regulatory compliance with prudential banking standards

The bank’s risk management policies are aligned with the regulatory guidelines issued by the National Bank of Ethiopia.

Banking Fees and Service Charges

Account Maintenance

Account maintenance fees may apply depending on the account category and service package.

• Current Accounts: Fees vary based on account type and transaction activity.
• Savings Accounts: Generally, low or minimal maintenance charges depending on account structure.

Overdraft Facilities

Dashen Bank provides overdraft services for eligible customers. Interest rates and terms are determined based on the borrower’s risk profile and prevailing lending rates.

ATM and Debit Card Services

Dashen Bank offers debit and ATM cards that allow customers to access their accounts through ATMs and electronic payment networks.

• ATM Card: Annual maintenance fees apply depending on card type.
• Debit Card: Fees vary for local and international debit cards.

Credit Card Services

Dashen Bank provides international credit cards for eligible customers.

• Annual Credit Card Fee: Depends on card category.
• Cash Advance: Cash withdrawals from credit cards may incur service charges and applicable interest rates.

Electronic Banking Services

Dashen Bank provides a range of digital banking solutions to enhance customer convenience.

Online Banking:
Allows customers to manage accounts, transfer funds, and pay bills electronically.

Mobile Banking:
Customers can perform banking transactions using mobile applications with minimal service charges.

Other Banking Services

Cheque Book Issuance:
Fees may apply depending on the cheque book size.

Stop Payment Instruction:
A service charge may apply for each stop-payment request.

Account Statement:
Printed statements may carry a fee, while digital statements are generally provided free of charge.

Important Note

Banking fees, lending terms, and service charges are subject to change depending on regulatory updates, product structure, and the policies of Dashen Bank. Customers are advised to consult the bank directly for the latest service charges and conditions.

Dashen Bank – Latest Financial Reports and Key Performance Indicators

Financial Performance (FY 2024/25)

• Total Assets: Dashen Bank’s total assets expanded to ETB 254.5 billion, marking significant year‑on‑year growth in the bank’s balance sheet.
• Total Deposits: Customer deposits grew to ETB 202.2 billion, supported by both retail and corporate deposit inflows.
• Total Loans and Advances: The bank’s lending portfolio (including interest‑free financing) stands at approximately ETB 134 billion, reflecting continued credit growth.
• Net Profit: Dashen Bank reported net profit of about ETB 5.8 billion for the period, with pre‑tax profit around ETB 6.7 billion.
• Return on Equity (ROE): The bank’s ROE remains strong, supported by profitable operations and capital base expansion (reported ROE not officially published online; industry indicators suggest robust equity returns).
• Return on Assets (ROA): ROA remains consistent with industry peers; specific audited ROA figures are not publicly disclosed for FY 2024/25.

Capital Adequacy

• Capital Adequacy Ratio (CAR): Dashen Bank maintains a CAR of about 14.0%, comfortably exceeding the minimum regulatory requirement established by the National Bank of Ethiopia.
• Equity and Core Capital: The bank’s equity base strengthened to approximately ETB 28.7 billion, supported by retained earnings and capital injections.

Asset Quality

• Non‑Performing Loans (NPLs): The NPL ratio declined to about 4.6%, indicating improvement in asset quality and loan performance.
• Provision Coverage: The bank continues prudent provisioning practices in line with regulatory standards, maintaining adequate coverage for impaired loans.

Liquidity Position

Dashen Bank sustains strong liquidity buffers, with liquid assets and liquidity ratios above regulatory thresholds. Exact audited LCR figures for FY 2024/25 are not publicly available but the bank’s liquidity position remains robust according to official reporting.

Off‑Balance Sheet Exposures

Dashen Bank remains active in trade finance and contingent liabilities, which include:

• Guarantees and Letters of Credit: Supporting domestic and international trade transactions.
• Contingent Obligations and Other Commitments: Typical for commercial banking operations.

Specific contingent liability figures are not published in summary reports but are disclosed in detailed annual financial statements.

Contact Information

Toll-free Number: 6333

Dashen Bank phone number: +251 911575827

Dashen Bank email address: [email protected]

SWIFT: DASHETAA, Addis Ababa, Ethiopia

Dashen Bank Head Office: Sudan St., Addis Ababa, Ethiopia