Bankers Association Plans New Training Drive to Support Ethiopia's Capital Market

August 6, 2026
By Mintesinot Nigussie

The Ethiopian Bankers Association is preparing a fourth round of training on capital markets for executives from member banks, as the country's financial sector adapts to the launch of its first organised securities market. The programme follows three earlier rounds delivered with international experts before trading began on the Ethiopian Securities Exchange (ESX), which started operations in 2025 after decades without a formal stock market. The exchange forms part of wider financial sector reforms aimed at broadening access to long-term financing and attracting private investment.

Demsew Kassa, secretary-general of the Ethiopian Bankers Association, said the next training programme will begin after Meskerem 2019 in the Ethiopian calendar, the first month of the country's 2026/27 fiscal year. Speaking to Ahadu Radio, Demsew said at least three senior executives from each member bank had participated in the previous rounds, which focused on the fundamentals of capital markets and securities trading.

The association launched the training before the securities market became operational, seeking to equip banks with the knowledge needed to participate in a financial system that is undergoing significant liberalisation. Although banks remain central to Ethiopia's financial system, the emergence of a capital market is expected to provide companies with an alternative source of long-term funding through the issuance of shares and debt securities. Banks are also expected to play a growing role as investors, intermediaries and service providers as the market develops.

Demsew said a regulated securities market would strengthen investor confidence by ensuring share transactions take place within a recognised legal and regulatory framework. He added that greater transparency and oversight could help reduce fraudulent practices while supporting the development of the country's formal financial system. The training initiative comes as Ethiopia continues to implement financial sector reforms that include opening the banking industry to foreign investment, liberalising the foreign exchange market and expanding domestic capital markets to diversify sources of finance for businesses.

Source: FSX Business News