Kenya’s Equity Bank is in discussions with the Ethiopian Investment Commission (EIC) to assess conditions for entering the country’s banking market, following a meeting in Addis Ababa.

EIC Commissioner Zeleke Temesgen (PhD) outlined the regulatory framework for foreign banks and said the commission would facilitate the bank’s investment. Equity Bank chief executive James Mwangi (PhD) said the group has long considered expansion into Ethiopia and that recent reforms now allow foreign lenders to establish subsidiaries or acquire stakes in domestic banks.

Ethiopia, Africa’s second-most-populous country, began opening its financial sector under the Banking Business Proclamation No. 1360/2025 and subsequent directives, which permit foreign banks to set up subsidiaries, open branches, or acquire stakes in local banks. The move forms part of broader economic reforms aimed at attracting foreign capital, enhancing competition, and deepening financial inclusion.

Equity Bank, listed on the Nairobi Securities Exchange, operates across six African countries, including Kenya, Uganda and the Democratic Republic of Congo. The group reported total assets of approximately 12 billion US dollars in 2024 and serves more than 17 million customers.