The Ethiopian Security Exchange (ESX) project team has launched the capital raises request today as a first step and a way of inviting different institutions, Ethiopian Capital Market Authority Director-General affirmed.
Briefing the media following the event, Ethiopian Capital Market Authority Director-General Brook Taye said that 25 percent of the share of the capital market of the Ethiopia’s Security Exchange will be held by Ethiopian Investment Holdings and the rest 75 percent will be available for private participants.
“Today, the ESX project team has launched the capital raises request which means in order to have other partners to come and invest on the 75 percent and this is our way of inviting different institutions.”
Citing that Banks and Insurance companies and other investors show their interest and with the hope that more investors will come, he stated today’s event is mainly focused on financial sector investors and participants but going forward it will be open for all pertinent institutions.
Similarly, Chief Executive Officer of Ethiopian Investment Holdings (EIH) Abdurehman Eid Tahir said that today’s event is the official announcement of the capital raise to the wider financial sector players and other institutional investors.
Ethiopia’s new ESX, or the stock market, is set to become a reality in 2024-25.
The stock market can help Ethiopia drive consistent economic growth, it was indicated.
According to experts, capital markets can help companies’ development by easing financing and improving the business environment of a country.
Capital markets mobilize additional savings into the economy, making more capital available to companies, which may then in turn create jobs and facilitate real-wage growth.
Source: Ethiopian News Agency