A cluster of Ethiopian banks has registered tens of millions of shares with the country’s capital markets regulator, signalling growing confidence in the Ethiopian Securities Exchange (ESX) as both a source of capital and a platform for investor returns.
The Ethiopian Capital Market Authority (ECMA) — the regulatory body overseeing the country’s nascent securities market — approved Addis Bank S.C.’s registration of five million existing shares on 29 June 2026. The approval was granted under Public Offer and Trading of Securities Directive No. 1030/2024, which requires issuers to register securities before they are offered or traded publicly.
The registration covers shares already held by existing shareholders and does not constitute a new share sale or public offering. The ECMA clarified that its notice confirms registration only and should not be read as an endorsement of any offer to sell, or an invitation for investors to buy.
Banks deepen participation in Ethiopia’s securities market
Addis Bank’s move places it among a widening group of lenders that have moved through the securities registration process. Awash Bank registered 54.1 million existing shares with the regulator ahead of joining the exchange, while Abay Bank registered 9.7 million existing shares before entering the ESX’s Main Market.
Bunna Bank received approval to register 61.9 million existing shares alongside 2.6 million new shares intended for existing shareholders. Dashen Bank and Zemen Bank have also registered shares with the regulator.
The ESX has already admitted several companies to trading, including Wegagen Bank, Gadaa Bank, Awash Bank, Ethio Telecom, and Abay Bank. The exchange recently recorded a milestone when weekly equity trading volume exceeded one billion birr — roughly equivalent to around $7 million at current rates — a marker of rising participation in a market that only recently became operational.
Accessibility has improved following the launch of the Neway Trading application, which has broadened retail investor reach. Share prices across listed companies have begun responding to market demand and investor sentiment, a development that distinguishes the current phase from the earlier period of regulatory and infrastructure construction.
Trading momentum builds as ESX matures
The broader shift is significant for Ethiopia’s financial sector. Banks have been among the earliest participants in the ESX, and their continued registration activity suggests the exchange is transitioning from rule-building to active capital formation.
The focus, according to market observers, is now on liquidity, investor participation, and the exchange’s capacity to become a meaningful source of capital for businesses.
Addis Bank reported total assets of 23.6 billion birr during the 2024/25 financial year, a 53.4% increase from the prior year.
Deposits rose to 14.6 billion birr, profit before tax nearly quadrupled to 2.9 billion birr, and net profit reached 2.2 billion birr. The bank’s paid-up capital stood at 2.5 billion birr, with total capital reaching 5.6 billion birr.
Its non-performing loan ratio was 3.4%, and it mobilised $189 million in foreign currency during the period.
Ethiopia’s securities market remains one of the continent’s newest, but the pace of bank listings and the growth in trading volumes suggest the ESX is gaining the depth needed to attract sustained investor interest — both domestic and international.
