The Ethiopian Capital Market Authority has granted Nigeria’s United Capital Group the country’s first foreign investment banking licence, marking a historic milestone for Ethiopia’s emerging capital market.
The licence, issued on 5 June 2026, followed months of regulatory review and legal vetting involving the Capital Market Authority, the Ethiopian Investment Commission and other relevant government institutions, according to ECMA Director General Hana Tehelku, who spoke exclusively to Capital.
United Capital will operate through a wholly owned local subsidiary, United Capital Financial Services PLC, making it the first foreign investment bank licensed to establish a base in Addis Ababa. The company said it has brought in more than $1.5 million in capital to fund its investment banking operations in Ethiopia.
Hana said the licence reflects Ethiopia’s efforts to build a robust and globally competitive capital market while opening the door to foreign expertise and capital inflows. She said the regulator carried out extensive due diligence, including verification of the company’s regulatory standing with Nigerian authorities before approving the application.
According to the Authority, United Capital may eventually operate under up to four licence categories, including investment banking and collective investment scheme management.
The entry of the Nigerian firm is expected to signal confidence in Ethiopia’s nascent capital market and encourage other foreign institutions to consider entry. While D & T Management Consulting, a Deloitte subsidiary, was previously licensed as a securities investment adviser, United Capital is the first foreign institution to receive an investment banking licence.
United Capital Group CEO Peter Ashade praised the Ethiopian government and Prime Minister Abiy Ahmed for reforms aimed at opening and modernizing the financial services sector. He also said the company received strong support from the Ethiopian Capital Market Authority during the licensing process.
“We are honored to be the first foreign institution licensed to provide financial services in Ethiopia,” Ashade told Capital. He said the move was a milestone for both Nigeria and Ethiopia and reflected growing pan-African financial cooperation.
Ashade said United Capital intends to contribute to the growth of Ethiopia’s capital market by supporting human capital development, capacity building and the training of local professionals.
Hana said the greatest contribution expected from the company is not only financial capital, but also human capital and technical expertise. She said United Capital will be required to hire, train and empower Ethiopians so that its presence can help develop a broader pool of domestic investment bankers, analysts and compliance specialists.
United Capital’s Africa Director, Ejikeme Okoli, said the firm’s experience across Africa positions it to help accelerate the development of Ethiopia’s financial markets. He said the company sees Ethiopia as part of a broader pan-African strategy that already includes operations in several countries across the continent.
The Authority also said it is working with the Nigerian Securities and Exchange Commission on regulatory benchmarking and capacity-building initiatives.
