Ethiopia’s Capital Market Adds Three New Licensed Service Providers

The Ethiopian Capital Market Authority (ECMA) has licensed three new capital market service providers, expanding the country’s licensed market intermediaries to 21 as Ethiopia continues to develop its nascent capital market.

The newly licensed firms are PrizeWorth Investment Bank S.C., which received an investment banking licence, and BluFin Capital Advisory PLC and Lumina Capital PLC, both licensed as securities investment advisors.

The approvals increase the number of licensed investment banks in Ethiopia to eight and securities investment advisors to 11, according to the ECMA.

Alongside the institutional licences, the regulator also approved 10 appointed representatives and confirmed the appointment of 15 board directors for the three newly licensed firms.

ECMA Director General Hana Tehelku presented the licences during a ceremony held at the authority's headquarters on July 10.

Addressing the new entrants, Hana urged the firms to deliver services with professionalism and integrity while promoting investor inclusion and maintaining a commitment to the public interest.

The latest approvals mark a further expansion of Ethiopia's capital market ecosystem as the regulator continues to license institutions that will provide investment banking and advisory services to issuers and investors.

This development is part of the country’s broader efforts to build a robust and inclusive capital market framework.

Officials believe the growing number of licensed players will enhance market depth, improve liquidity, and attract more domestic and foreign investment in the coming years.

Source: FSX Business News