Ethiopian capital market authority grants licenses to 16 service providers

The Ethiopian Capital Market Authority has granted licenses to 16 capital market service providers so far. Executive Director Hana Teklequ told Fana Digital that the authority is focusing on registering small and medium enterprises this year.

Addis Ababa, February 19, 2026 (FMC) – The Ethiopian Capital Market Authority bears the responsibility of providing licenses and supervision to institutions and individuals operating in the capital market. It allows registration of institutions with capital counted in billions, the authority stated.

Executive Director Hana Teklequ told Fana Digital that the number of licensed providers has increased, with licenses granted to 16 capital market service providers so far. The authority is working to strengthen the licensing system. It encourages companies that have not registered their small and medium enterprises to do so.

Trading platforms for the capital market have been established in various regions, including cities like Bahir Dar, Ambo, Jigjiga, and Arba Minch. The authority has successfully held the second Capital Market Conference.

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CBK headquarters with banner announcing 32 new digital credit provider licenses, officials holding certificates and smartphones.
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CBK inatoa leseni kwa watoa mikopo kidijitali 32 zaidi

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Awash Capital Investment Bank and Geda Securities Dealer have joined the Ethiopian Securities Exchange as new trading members. This addition brings the total number of trading members to five. As intermediaries, these institutions will facilitate financial flows in the market.

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Ethiopia's capital market is entering a new phase as regulators prepare to launch a Compensation Fund to protect small and retail investors from losses due to fraud or operational mishaps. The draft regulation proposes a maximum payout of 100,000 birr for eligible retail investors. The fund will draw support from contributions by capital market service providers and the Securities Depository & Clearing Company.

Ethiopia's recently liberalized foreign exchange market remains influenced by government decrees rather than pure market forces, according to Addis Fortune, continuing challenges for businesses.

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Ethiopia's National Bank has launched an automated trading system that transforms the foreign exchange management framework. This new platform enables real-time interbank forex trading. It marks a significant update in the country's financial infrastructure.

Ethiopia's National Bank Governor Dr. Eyob Tekalgn stated that development efforts in the financial sector are yielding tangible results. This remark came during the Invest Africa 2026 forum in Addis Ababa. The Minister of Labor and Skills also emphasized the need for commitment in knowledge and skills.

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The National Bank of Ethiopia announced key foreign exchange liberalizations on February 11, 2026, to enhance the market's efficiency and transparency. These measures build on macroeconomic reforms and draw from IMF policy advice. Notably, service exporters can now retain 100 percent of proceeds indefinitely, and bureau limits have been raised.

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