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Inside Behagerlij’s animation success

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Minasie Terefe is an award-winning animation director and Co-Founder of Behagerlij Studio, Ethiopia’s premier animation studio. With over 10 years of experience and a background in Architecture and Theology, his work blends structure, emotion, and culturally grounded storytelling. He has directed visually rich shorts including Zarem Arbegna and Endegena, which have won multiple awards and screened globally. In 2026, he made African history with a continent-first double win at Annecy Festival MIFA Pitchestaking the Disney and AGrAF (Association des Auteurs Groupement de l’Animation Française) Prizesfor his preschool animated series Sunday Morning. He currently leads creative vision for original IPs and is committed to strengthening Ethiopia’s animation ecosystem while contributing to Africas effort to tell and sell its own stories.

Capital: How did your principle of blending Ethiopian culture with modern digital art transition you from a startup studio to international recognition?

Minasie Terefe: From the beginning, our goal was never simply to make animation. We wanted to prove that stories from Ethiopia could stand confidently on the world stage without pretending to be from somewhere else. Many people think international success comes from making your work look or feel Western. I have always believed the opposite. The more honest and specific you are, the more universal your work becomes.

When Behagerlij started, we were a small studio with limited resources but a clear conviction. We focused on developing our artistic voice instead of chasing trends. Whether we were designing brands, producing short films, or developing original stories, we kept asking the same question: “What can only come from here?”

That philosophy gradually opened doors. Projects like Endegena, Zarem Arbegna, and now Sunday Morning became stepping stones. Being selected for Annecy MIFA and receiving prestigious recognition from Disney and AGrAF wasn’t something we planned for from day one. It was the result of years of consistently investing in originality. Those awards didn’t change who we are. They confirmed that authenticity can travel.

Capital: Your work is very diverse, ranging from short animations like “Endegena” and “Zarem Arbegna” to cultural children’s books like “Hasset’s House” and brand designs. How has it been possible to maintain a consistent artistic identity across these different mediums?

Minasie: The medium changes, but the questions we ask never do.

Whether we are making a children’s book, an animated film, or designing a visual identity for a company, we begin by understanding people. What makes them laugh? What gives them hope? What memories do they carry? Design and art are simply different ways of expressing the same curiosity.

I also come from an architecture background, and I think that shaped the way I see creative work. Architecture teaches you that every decision should serve a purpose. I try to approach storytelling the same way. Every color, every movement, every character design should contribute to the emotional experience.

If someone looks at our work and says, “This feels like Behagerlij,” even before they see our logo, then we’ve done our job.

Capital: What do you think are the main institutional, financial, and technical challenges local artists face when trying to transition to their own Intellectual Property (IP) works?

Minasie: The biggest challenge isn’t talent. Ethiopia has incredible artists. The challenge is the ecosystem around them.

Most creative businesses survive by doing client work because that pays today’s bills; and there is absolutely no shame in that.  But original IP is different. You invest for years before seeing any financial return, and that requires capital, strong institutions, and people who understand the value of intellectual property; which is almost non-existent in Ethiopia.

Ironically, we often place a higher value on fixed assets like houses and cars than on intellectual property, even though a well-developed IP can continue generating revenue for decades through licensing, distribution, publishing, merchandising, and countless other opportunities. Until we begin to see intellectual property as a long-term asset rather than just a creative idea, it will remain difficult for more creators to make that transition.

Animation also requires long development cycles. You need writers, artists, producers, sound designers, technical directors, and many other specialists working together. Building that pipeline is difficult when training opportunities are limited and financing is scarce.

But I think the biggest shift is psychological. We need to move from thinking of ourselves as service providers to becoming creators and owners of original worlds. Once we begin building valuable IP instead of only delivering projects for others, we create assets that can continue generating value for years.

Capital: While ensuring that your content is deeply rooted in local Ethiopian culture, psychology, and humor, how do you manage to balance this so that it remains appealing to an international audience?

Minasie: I don’t think culture and universality are opposites. The emotions are universal. The expression is local.

In Sunday Morning, the setting is unmistakably Ethiopian. The neighborhood, the rhythm of family life, the little details all come from our experiences. But the story isn’t about Ethiopia. It’s about childhood. And childhood is universal. Every child has wanted to play when adults wanted peace. Every parent has wanted just a few quiet moments.

That’s why we chose to make the series without dialogue. It wasn’t a marketing decision. It was a storytelling decision. In our world, silence is the rule and imagination is the tool. Visual comedy, music, and performance allow families from different languages and cultures to experience the same story together.

The more truthful we are to our own experiences, the more it has a sense of place and the less we have to explain them.

Capital: Animation and digital storytelling require high-level technical training, specialized software, and strong computing infrastructure. How are you managing the tasks of cultivating a skilled workforce and overcoming resource limitations while based in Addis Ababa, Ethiopia?

Minasie: Resource limitations are real, but they have also forced us to become intentional.

Instead of trying to compete by having the biggest team or the most expensive technology, we’ve focused on developing strong artistic foundations. Software changes every few years. Good storytelling doesn’t.

We’ve also been fortunate to benefit from the equipment and creative space provided through Habesha Creative Lab at Alliance Ethio-Française, which has been invaluable as we’ve continued to grow. At the same time, we’ve invested a lot in mentoring young artists, building workflows that fit our reality, and creating an environment where people can keep growing. Every project becomes a classroom.

Sometimes working in Ethiopia means finding creative solutions that larger studios never have to think about. But constraints can also sharpen innovation. You become disciplined. You learn to solve problems instead of waiting for perfect conditions.

Ultimately, we’re not just building projects. We’re trying to build people. If the industry is going to grow, we need more artists, more producers, more technical specialists, and more studios succeeding together.

Capital: It is known that representing Ethiopia at international animation festivals and winning Disney and AGrAF awards for “Sunday Morning” took place. What does this recognition mean for the studio and for promoting East African animation?

Minasie: Personally, the awards were encouraging. But I think their greatest value is symbolic.

For the first time in Annecy Festival’s 66-year history, an Ethiopian project was officially selected to pitch at the MIFA Pitches. Sunday Morning then went on to receive both the Disney and the AGrAF Awards, making it not only Ethiopia’s first win at the festival, but also the first project from Africa to comeback with a double-win. That matters because representation changes expectations.

I hope it sends a message that world-class animation can come from East Africa. Not someday, but today.

It’s true that for Behagerlij, it creates opportunities to build meaningful partnerships with broadcasters, distributors, and producers who may never have looked toward Ethiopia before. But what excites me even more is what it could mean for those coming after us. If our journey makes it a little easier for the next generation of Ethiopian and East African animators to be taken seriously, to access opportunities, and to dream a little bigger, then that will be our greatest achievement. Success is most meaningful when it opens doors for others.

Capital: “Sunday Morning” portrays a universal childhood aspect where four children turn Sunday into an adventure so as not to disturb their resting mother. How much of this comedic content is drawn from your own childhood memories?

Minasie: Quite a lot, actually. I grew up in a home where Sundays had their own rhythm. After church, everyone slowed down. Our parents wanted to rest, but my siblings and I had only one thing on our minds: play, play, and more play! That fun little tension was always there. And looking back now, I realize just how many funny and beautiful moments came out of it.

The series isn’t based on one specific memory. It’s based on a feeling that I think many of us recognize. Whether it’s an Ethiopian toddler or a French mom, any household with children can relate to that dynamic.

As children, ordinary places became extraordinary because our imagination transformed them. Terepezas became trains. Koba sheguts became AK 47s. We had this incredible superpower of turning the ordinary and mundane into something wild and magical.

That spirit is really the heart of Sunday Morning. The children don’t have extraordinary toys or magical powers. Their greatest resource is imagination. In many ways, the show is a celebration of something we all had as children but often lose as adults: the ability to create entire worlds out of almost nothing.

Capital: What is the future plan for Behagerlij? Where do you think the overall Ethiopian animation sector currently stands?

Minasie: Our ambition has never been to make one successful project.

We want Behagerlij to become a studio known for creating original stories that travel globally while remaining unmistakably Ethio-African. Sunday Morning is an important milestone, but hopefully it’s only the beginning.

We’re interested in building long-term IPs, training new talent, advocating authentic storytelling and showing that sustainable animation businesses can emerge from Ethiopia.

As for the industry, I think we’re at an early but still very exciting stage. We may not yet have the infrastructure of more established markets, but we have something equally important: fresh voices that haven’t been overdeveloped into sounding the same.

The next decade will depend on whether we can build stronger partnerships between artists, investors, educational institutions, and policymakers. If we do that, I genuinely believe Ethiopia can become one of the creative centers of African animation.

We’re no longer asking whether Ethiopian animation belongs on the global stage. The conversation now is about what kind of stories we want to contribute to it.

National ID program to expand digital wallet and credential verification

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Ethiopia’s National ID program is transitioning from a project-based initiative into a state-owned enterprise under the name ‘Faydaverse’, with plans to expand digital wallet and credential-verification services across public and private sectors.

The National ID program, widely known as Fayda, has been placed under the Ethiopian Investment Holdings (EIH) portfolio. Officials say the restructuring will reduce reliance on donor funding and create a financially sustainable and commercially driven institution.

Saminas Seyfu, Director of Stakeholder Engagement and Communication at the Ethiopia National ID Program, said the transition would provide greater operational flexibility and help the institution attract and retain specialized technology professionals.

“Agility is paramount, requiring us to move beyond the rigid confines of a traditional government agency,” Saminas told Capital. “As an autonomous, innovation-driven entity, we require a dynamic operating environment.”

He said operating as a state-owned enterprise would allow Faydaverse to compete more effectively for skilled professionals in the technology sector.

“We are competing directly with major global tech ecosystems. When evaluating our talent pool, retention is critical,” he added.

A central part of Faydaverse’s strategy is the expansion of Ethiopia’s digital wallet and credential-management infrastructure. The system currently supports verification of educational credentials, civil-service records and core government documents.

Officials plan to expand the platform to include academic transcripts, professional licenses, healthcare records, property titles, certified asset documents and financial compliance information, including Know Your Customer requirements.

The proposed digital wallet would allow citizens to securely store, manage and authorize verified credentials through an interoperable platform. Institutions could then verify information electronically, reducing administrative costs, document fraud and delays in service delivery.

The system is also being integrated with tax administration, according to officials. Saminas said improved identity verification could help broaden the tax base, reduce evasion and support the formalization of emerging sectors such as private transportation and small-scale commerce.

Beyond Ethiopia, Faydaverse is seeking to provide digital identity services to other African countries. The program has established an operational presence as an implementation partner in Mozambique and Zambia.

“We are leveraging South-South collaboration to export digital public infrastructure as a service,” Saminas said, adding that the services include system deployment, legal and policy development, procurement advice and technical consultancy.

Officials say the transition will allow Faydaverse to generate independent commercial revenue while continuing to support national development priorities.

The initiative’s success will depend on institutional participation, data accuracy, cybersecurity and public trust. Authorities will also need to ensure that citizens without smartphones, reliable internet access or digital skills are not excluded from essential services.

The restructuring marks a new phase for Ethiopia’s National ID program, which is now expected to serve not only as an identification system but also as a foundation for digital public services, financial inclusion, tax administration and economic formalization.

EthSwitch opens international settlement account to support global card services

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EthSwitch S.C., the operator of Ethiopia’s national payment infrastructure, has opened an International Settlement Account in partnership with Bank of Abyssinia, marking a major step toward connecting Ethiopia’s payment system with global card networks.

The account is expected to support cross-border card transactions and strengthen Ethiopia’s participation in the international digital-payments ecosystem.

The arrangement follows recent foreign-exchange reforms introduced by the National Bank of Ethiopia (NBE), which allow eligible institutions to establish and maintain foreign-currency accounts.

EthSwitch has opened a dedicated multi-currency US dollar settlement account in its own name at Bank of Abyssinia. The local bank maintains a correspondent banking relationship with Citibank, enabling the settlement arrangement to connect with international financial infrastructure.

Abenezer Wondwossen, Chief Portfolio Officer at EthSwitch, told Capital that EthSwitch does not have a direct relationship with Citibank.

“We do not have a direct relationship with Citibank; we work exclusively with the Bank of Abyssinia,” he said. “We have opened our dollar account with the Bank of Abyssinia and are utilizing it as our settlement account.”

EthSwitch officials said the account is operational, although formal contractual procedures are still being finalized.

The new account is part of a project that has been under development for more than a year. The implementation plan consists of two phases.

The first phase focuses on accepting international payment cards in Ethiopia. Once fully launched, visitors, tourists and other international cardholders will be able to use cards issued in nearly 200 participating countries at ATMs and point-of-sale terminals connected to the Ethiopian payment network.

Abenezer said technical preparations for the first phase had been completed and regression testing concluded. The service is expected to go live within one to two months.

“The new settlement account enables cross-border payments—whether through cards or other payment methods—to be accepted and settled directly into a foreign-currency account,” EthSwitch CEO Yilbes Addis said in December 2025.

At the time, Yilbes said the arrangement represented a new settlement model for Ethiopia’s payment system and was being evaluated by the National Bank.

The second phase will allow Ethiopian customers to use locally issued cards abroad. Once implemented, cardholders will be able to make purchases, withdraw cash and conduct online transactions in participating countries.

The timing of the second phase will depend on regulatory approval, technical preparations and agreements with international payment networks.

The initiative follows a series of foreign-exchange and digital-payment reforms by the National Bank.

In July 2024, the central bank issued Foreign Exchange Directive No. FXD/01/2024, introducing a more competitive and market-based exchange-rate system. The directive also eased restrictions on foreign-currency accounts and gave exporters and commercial banks greater flexibility to hold foreign currency.

EthSwitch said the reforms created the conditions needed to establish an international settlement structure.

For decades, strict foreign-exchange controls and restrictions on foreign-currency accounts limited the ability of Ethiopian financial institutions to participate in international payment systems.

The new settlement account is expected to address some of those limitations by providing a dedicated mechanism for settling international card transactions.

Abenezer said EthSwitch had also submitted a request to the National Bank and was continuing to work through the approval process while partnering with Bank of Abyssinia.

EthSwitch’s initiative forms part of a broader effort to integrate Ethiopia’s payment infrastructure with regional and international systems.

The company has signed a memorandum of understanding with the National Payments Corporation of India to explore payment interoperability through platforms including India’s Unified Payments Interface and instant-payment systems.

The planned cooperation could enable Ethiopian and Indian customers to make purchases and withdraw cash through participating payment networks.

EthSwitch is also developing a national payment gateway designed to connect bank accounts, debit and credit cards and mobile-money services.

The gateway is intended to improve interoperability between financial institutions and payment platforms. The international settlement account will further support the transfer of foreign-currency funds into Ethiopian accounts through cards and other digital channels.

The services could benefit tourism, trade and investment by reducing reliance on cash and making payments more convenient for foreign visitors and international businesses.

The initiative is also aligned with Ethiopia’s National Digital Payments Strategy for 2026–2030, launched in December 2025 alongside EthioPay, the country’s instant-payment system.

The strategy focuses on expanding affordable, accessible and reliable digital financial services, while promoting innovation, trust and low-cost cross-border transfers through cards, mobile wallets and digital banking.

EthSwitch’s expansion comes as digital-payment activity in Ethiopia continues to grow.

The company reported a gross profit before tax of 2.6 billion birr during the 2025/26 fiscal year. It processed 387 million transactions during the period, with a combined value of 1.26 trillion birr.

Person-to-person transfers accounted for 242.6 million transactions valued at 1.06 trillion birr. ATM transactions reached 131.5 million, valued at 189.2 billion birr.

Point-of-sale transactions totaled 3.9 million, with a value of 10.7 billion birr, while ETHQR transactions reached 551,500, valued at 6.8 billion birr.

The introduction of international card services could make payments easier for foreign visitors and support businesses in tourism, hospitality, retail and aviation.

For Ethiopian customers, the second phase could improve access to international online services and allow them to make purchases abroad using locally issued cards.

The expansion will also require strong cybersecurity, fraud prevention, consumer protection and foreign-exchange oversight. Issues such as transaction fees, exchange-rate transparency and dispute resolution will need to be clearly addressed.

EthSwitch said it would continue working with the National Bank, local banks and other stakeholders as it moves toward full implementation.

ESX founding CEO Tilahun steps down

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The Ethiopian Securities Exchange (ESX) has announced a leadership transition following the departure of its founding Chief Executive Officer, Tilahun Esmael Kassahun, after four and a half years at the helm.

The ESX Board of Directors has appointed Yodit Kassa as the exchange’s new chief executive officer. She is expected to lead the institution through its next phase of growth and market expansion.

Tilahun played a central role in transforming the securities exchange from an initial concept into a functioning institution. His tenure began with the establishment of the ESX Project Office in partnership with Ethiopian Investment Holdings and FSD Africa.

Under his leadership, the exchange achieved several milestones, including a major capital raise, the formation of key public-private partnerships, and the development of its regulatory, governance and technology frameworks.

The outgoing CEO described his time at ESX as a once-in-a-generation institution-building experience and the greatest privilege of his professional career.

“Building ESX from an idea into a functioning institution has been an extraordinary journey,” Tilahun said, reflecting on his departure. He expressed confidence in the exchange’s foundation and its future contribution to Ethiopia’s financial sector.

Yodit brings extensive institutional knowledge to the role. She has been involved with ESX since its early project phase and previously served as Chief Business Officer and Chief Operating Officer.

In those positions, she contributed to the exchange’s strategic development, business planning and operational framework. Her appointment is expected to provide continuity as ESX moves from institution-building into broader market development.

As CEO, Yodit will focus on expanding the exchange’s issuer and investor base, increasing participation in the capital market and introducing new products and market segments.

Her priorities will also include strengthening ESX’s core market infrastructure and positioning the exchange as a catalyst for investment, innovation and economic transformation.

The leadership change comes as Ethiopia seeks to deepen its financial markets and expand access to long-term capital. A functioning securities exchange is expected to provide companies with additional financing options while offering investors new avenues for investment and portfolio diversification.

ESX said Tilahun’s contribution had been instrumental in laying the groundwork for the exchange’s operations and long-term development. The board expressed appreciation for his leadership and service during the institution’s formative years.