Addis Ababa, January 9, 2025 (FMC) – Capital market resonates with the Ethiopian government’s idea of private sector-led economic development, resilient and sustainable economy and financial inclusion, Director General of Ethiopian Capital Market Authority, Hana Tehelku stated.
Hana recently sat down with ‘Ethiopia in Focus’ prepared by Prime Minister Office Press Secretary, Billene Seyoum.
During the interview, the director general said concrete measures have been taken to establish the regulatory frameworks and build its capacity in the capital market.
“We are in a continuous learning process to understand the market, how it operates and how to better supervise it and regulate it.
The other one would be to increase potential intermediaries and capital market service providers,” She said.
According to Hana, as a regulator, the Ethiopian Capital Market Authority has carried out extensive market development activities.
In the past couple of years, “We’ve done a lot of engagement individually with potential issuers, potential capital market service providers, even potential investors,” the director general revealed.
As report shows Ethiopia is the 3rd largest economy in Sub-Saharan Africa and its impressive trajectory positions it amongst the fastest growing economy in the region driven by ambitious economic reforms, strategic investments, and increasingly vibrant private sector.
As a result, the recent establishment of the capital market is a key milestone to modernizing Ethiopia’s financial market.
Hana pointed out that the Ethiopian Capital Market Authority has been conducting conversations with potential investors both locally and internationally.
Noting that Ethiopia has been consistently delivering on its promise in the macroeconomic reforms and other spheres, the director general noted that the country is also delivering on the implementation of the capital market.
She added Ethiopia has established the necessary institutions like Ethiopian Securities Exchanges to have a vibrant capital market.
For her, this establishment demonstrates the commitment of the government to realize a competitive capital market ecosystem, as called in its report by ENA.
The entry of the Ethiopian capital market has already put in place a good guarantee for international investors, she stated.
Hana added the development of capital market regulatory frameworks is evidently the first effect as a concrete measure of the government to open the financial sector for international investors.