Djibouti has signed a Memorandum of Understanding (MoU) with Visa to co-develop a national “Smart Wallet” that will serve as both a digital payments channel and a gateway for government services. The agreement reflects the government’s push to accelerate financial inclusion and advance its digital economy agenda.
A Foundation for Digital Transformation
Officials have positioned the Smart Wallet as a central pillar of Djibouti’s digital transformation strategy, aiming to increase access to cashless payments and public services across the country. Domestic stakeholders have signaled support: state-owned Djibouti Telecom amplified the announcement on LinkedIn, highlighting national buy-in for the initiative.
The program is being developed on the back of a new regulatory framework. In June 2025, Djibouti enacted a comprehensive Digital Code, consolidating legislation on data protection, e-commerce, and cybersecurity. This legal scaffolding is expected to provide the compliance foundation for the wallet’s eventual roll-out.
Regional Context and Next Steps
Visa has increasingly positioned itself as a partner in digital public infrastructure. Earlier this month, the company formalized a seven-year collaboration with TECH5, aimed at integrating payments with digital identity systems.
According to state daily La Nation, citizens who do not have smartphones or internet access will still be able to use the system through post offices and “Maisons du Citoyen” service centers, ensuring broader reach beyond app-based channels. The government has also confirmed that TECH5 will provide the biometric and digital-ID security layer, underpinning onboarding with face, iris, and fingerprint recognition. A Visa technical mission visited Djibouti on September 15-16, 2025 to assess infrastructure and run co-design workshops with the Ministry of the Digital Economy and Innovation and TECH5, signaling that preparatory work is already under way.
The initiative is explicitly tied to Djibouti’s new Digital Code, which consolidates rules for data protection, cybersecurity, and e-commerce, and forms the legal framework for the wallet’s operation. Authorities say the Smart Wallet will connect with local banks and existing payment systems, with an ambition to reduce cash usage by 60 percent within three years of launch. While the government has not yet published a detailed rollout calendar, these disclosures point to a system designed for inclusivity, with biometric assurance at its core and a clear policy link to the country’s digital transformation agenda.
Outlook
The Smart Wallet initiative could help expand access to financial services in a country where large portions of the population remain unbanked. Whether the program can deliver on its inclusion goals will depend on technical design choices, interoperability with existing mobile money platforms, and clear governance on data safeguards. With the MoU in place, the next steps will be closely watched for signs of execution and alignment with Djibouti’s broader digital economy ambitions.
Sources: Ecofin Agency, TechAfrica News, La Nation
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By the ID Tech Editorial Team
