A New Institution to Power New Market in Ethiopia
A draft proclamation intended to establish a new institution that will train, certify and regulate stock market experts is submitted to the Attorney General. Ethiopia is currently finalizing preparations to establish stock market for the first time.
“there are no stock market experts in Ethiopia. Therefore, we are trying to establish a new institution that will provide short-, medium- and long-term trainings and certify professionals. Otherwise, we will be in the same critical situation as IFRS. Ethiopia officially accepted IFRS years back, but could not implement it due to lack of expertise,” said Hikmet Abdella, director general of Accounting and Audit Board of Ethiopia (ABBE).
Experts from USA, Addis Ababa university, and other consultants and stakeholders discussed Initial Public offering (PO) and other various issues critical to launch stock market in Ethiopia, on July 29, 2021, at Sheraton Addis, which was organized by Cellular Consultancy.
The draft is expected to be ratified by the council of ministers in four months, after which it will be enacted. The realization of the institution will mark the launching of stock market in Ethiopia. Last year, the National Bank of Ethiopia (NBE), stated it will launch stock market in less than three years, following which the House of Peoples Representatives (HPR) ratified the Capital Market Proclamation.