In two weeks, Ethiopia's Awash International Bank will announce the winning bidder in its tender for 100 ATMs. The installation of these machines would make AIB one of the country's largest operators of ATMs, with a total of 120.
Six companies participated in the AIB tender; three made the short list, according to a report by All Africa. The remaining contenders include Morocco-based M2M Group, Indian provider Copy Cat and CBM.
The Commercial Bank of Ethiopia currently operates the nation's largest number of terminals, at around 120, but has purchased and plans to install about 350 more during its current fiscal year. CBE provides about 80 percent of the banking services in Ethiopia. The next largest ATM operator is Dashen Bank with 105, followed by Zemen with 35 and Wegagen with 27.
Collaborating with FIs Nib and United, AIB has established Premier Switch Solutions S.C., for implementation and joint operation of the ATMs. The three-bank consortium, established in 2010, has so far installed 20 ATMs out of a planned 60.
According to All Africa, Ethiopia's banking industry is modernizing at a rapid rate, but has had trouble with ATM network failures related to CORE banking system updates. The National Bank of Ethiopia set a July 2011 deadline for banks to interface with the national payments system. Fifteen banks have done so to date. Three others are still in the process.
