Ethiopian Securities Exchange official announcements and sector analysis

Ethiopia Launches Stock Exchange Without Brokers or IPOs After 50-Year Absence

Jan 10, 2025, 03:17 PM

Ethiopia has launched its first stock exchange in 50 years, marking a significant milestone in its economic liberalization efforts. The Ethiopian Securities Exchange (ESX) was inaugurated on January 10, 2025, in Addis Ababa by Prime Minister Abiy Ahmed, who described it as a 'new beginning.' The exchange, which opened without brokers or initial public offering debuts, aims to attract 90 listed companies and four million investors in its first decade. This development follows a series of economic reforms, including partial liberalization of the banking sector and a major overhaul of the foreign exchange system. Ethiopia's previous stock exchange was dissolved in 1974 during the socialist revolution. The ESX is expected to help businesses raise long-term capital, regulate bond and interbank markets, and modernize the country's historically state-controlled economy. Ethiopia, the second most populous country in Africa with 120 million people, anticipates initial listings to include Ethio Telecom and Dashen Bank.