Remittances are a vital source of income for millions of Ethiopian families, and digital services now make sending birr home faster and cheaper than the traditional bank wire. With mobile money and bank delivery expanding quickly, 2026 offers more good options than ever. Here is how to choose.
Remitly is frequently the cheapest for cash pickup and mobile wallet — low flat fees (about $1.99 bank deposit, $2.99 cash pickup) and delivery to CBE, Dashen, Awash, Abyssinia and TeleBirr. Xe is often cheapest for bank transfers, and Wise offers the real mid-market rate on USD wires. Western Union has the largest cash network for minutes-fast pickup. Fund from a bank account or card to stay exempt from the new 1% US remittance tax.
Ethiopia’s currency: the birr (ETB)
Ethiopia uses the Ethiopian birr, written Br and coded ETB. A major currency reform in 2024 moved the birr toward a more freely floating rate, which narrowed the old gap between official and street rates but also means the exchange rate can move. As always, what your recipient receives depends on both the fee and the rate, so benchmark any offer against the mid-market rate on our live USD to ETB converter.
Best options for sending money to Ethiopia
| Provider | Best for | Notes |
|---|---|---|
| Remitly | Cash pickup, wallet, bank | ~$1.99 bank / ~$2.99 cash pickup; delivers to CBE, Dashen, Awash, Abyssinia, TeleBirr; top-rated |
| Xe | Bank transfers | Often cheapest tested for bank deposits |
| Wise | Best rate on USD wire | Real mid-market rate, 0% markup; USD wire only |
| Western Union | Cash pickup speed | Largest agent network in Ethiopia; pickup often in minutes |
Mobile money and bank delivery
Ethiopia’s financial landscape is modernising quickly, and mobile money — led by TeleBirr — is now a mainstream way to receive funds. Depositing straight into a wallet or a major bank account (CBE, Dashen, Awash, Abyssinia) via Remitly is fast and low-cost, and usually beats cash pickup on price. If your recipient has a wallet or bank account, ask for it first.
Cash pickup
For recipients who need physical cash, Western Union’s large agent network delivers pickup in minutes across the country, and Remitly offers competitive cash pickup at low flat fees. Recipients collect birr in person with a valid ID and the transfer reference number.
The 1% US remittance tax
Since January 1, 2026, a 1% US federal excise tax applies to outbound remittances funded with cash or a money order. Transfers funded from a US bank account or with a debit or credit card are exempt. Sending online from your bank gets the best rate and avoids this tax entirely.
How to get the best deal
Match the provider to the delivery method: Remitly for wallet, bank or cash pickup at low flat fees; Xe or Wise when a bank transfer or the best rate matters most; Western Union when speed of cash pickup is the priority. Compare on the birr received, fund electronically, and you will keep more money in your family’s hands.
Check today’s USD to ETB rate
The birr rate can move since the 2024 reform. See the real mid-market USD to ETB rate before you send so you can judge each provider’s markup.