The Ethiopian Securities Exchange (ESX), a significant milestone in the country’s financial landscape, is slated for official launch at the end of November 2024. This development marks a historic step as part of Ethiopia’s national economic reform efforts aimed at enhancing public-private sector collaboration.
Established in October 2023, the ESX operates under the provisions of the Capital Market Proclamation No. 1248/2021, which facilitates cooperation between joint stock companies and the private sector. The initiative has garnered substantial interest, with a successful capital raising effort that exceeded expectations.
Tilahun Esmael Kassahun, CEO of the Ethiopian Securities Exchange, announced during a recent press conference that the market plans to raise 631 million birr but has already secured over 1.5 billion birr—240% more than initially anticipated. “We have seen participation from 48 domestic and foreign investors across various sectors,” Tilahun stated, highlighting key investors such as FSD Africa, the Trade and Development Bank Group (TDB), and the Nigerian Exchange Group (NGX).
The ESX aims to create new investment opportunities, encourage entrepreneurship, and promote sustainable development across multiple sectors of the economy. The exchange will operate from the former state-owned television station building in Addis Ababa, where buyers and sellers will convene for transactions.
In addition to the ESX headquarters, the building will also house the Ethiopian Capital Market Authority and Ethiopian Investment Holdings, further consolidating key financial institutions in one location.
