@EthiopianEconomicForum – Ethiopian Business Review

Gadaa Bank has officially listed its shares on the Ethiopian Securities Exchange (ESX), becoming the second company to join the exchange’s main board, after Wegagen Bank made its debut.

The listing follows the Ethiopian Capital Market Authority’s (ECMA) approval of the bank’s prospectus on June 17, 2025, marking a key milestone for both the two-year-old bank and the ESX, which is yet to commence active trading.

The two-year-old bank, notable for its large and growing shareholder base of over 28,000 investors, listed 1.23 million ordinary shares at a par value of ETB 1,000 each, valuing the institution at ETB 1.23 billion (approximately USD 9 million). This achievement is especially remarkable given Gadaa Bank’s relatively short operational history, marking it as the first in its peer group to reach such a milestone.

The listing fully complies with Capital Market Proclamation No. 1248/2021 and the Public Offer and Trading of Securities Directive No. 1030/2024, underscoring the bank’s commitment to regulatory standards and transparency. The listing includes existing ordinary shares held by shareholders and reflects Gadaa Bank’s pioneering role as an early adopter of Ethiopia’s nascent capital markets.

A ceremony at the ESX headquarters brought together key stakeholders including government officials, financial experts, and members of the media to witness the occasion.

Speaking at the event, Wolde Bulto, CEO of Gadaa Bank, emphasized the importance of the listing:
“The listing will create liquidity for our shareholders and unlock new opportunities for capital formation. This will allow us to expand our reach and introduce innovative financial products and services that genuinely address the diverse needs of our customers.”

Dr. Hassen Hussien, Chairperson of Gadaa Bank, reaffirmed the bank’s vision:
“As a new player in the banking industry, we are committed to building a strong foundation based on trust and transparency. Being listed on the Ethiopian Securities Exchange reaffirms our dedication to transparency, growth, and public participation in our journey. We believe this will enhance our financial capacity, strengthen corporate governance, and improve our trust and credibility in the market.”

Dr. Tilahun E. Kassahun, CEO of the Ethiopian Securities Exchange (ESX), praised the development:
“Today marks yet another proud moment for Ethiopia’s capital market. Gadaa Bank’s listing demonstrates the growing confidence in our Exchange and the value of public markets in driving inclusive economic growth. We commend Gadaa Bank for its leadership and commitment, and we look forward to supporting more institutions in accessing capital, deepening market participation, and building long-term value for the Ethiopian people.”

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The Addis Ababa City Administration Cabinet has proposed a substantial budget increase for the 2025/2026 fiscal year, submitting a draft budget of ETB 350 billion to the city council, as reported by Fana Media Corporation (FMC). This represents a major expansion compared to the approved ETB 230.39 billion budget for the current 2024/2025 fiscal year.

The current fiscal year’s budget already marked a significant 64% rise from the previous year, with capital expenditures accounting for nearly two-thirds of the total allocation. Priorities included infrastructure development, job creation, housing projects, and poverty alleviation initiatives designed to support the city’s rapidly growing population.

Building on this foundation, the newly proposed budget allocates approximately 249.9 percent of its resources to critical sectors such as sustainable development, infrastructure expansion, poverty reduction, job creation, and subsidies for essential public services. The remaining ETB 100.1 billion is reserved for the city’s regular operational costs, managed with a strong emphasis on fiscal discipline and savings.

In parallel, the cabinet approved revisions to land lease bid prices following recommendations from the Land Development and Administration Bureau. The city’s Communication Bureau explained to the FMC that this adjustment is in response to improved infrastructure within corridor development zones, stable land prices, and future urban expansion requirements.

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Ethiopia’s Council of Ministers has approved a draft proclamation that will allow private companies, non-governmental organizations, cooperatives, and professional associations to participate in agricultural extension services. Historically, these services were solely provided by the government, but growing demand and evolving sector challenges have underscored the need for a more inclusive and multi-stakeholder approach.

The Council of Ministers convened virtually for its 45th regular meeting today, where it unanimously approved the draft proclamation. The document is now set to be forwarded to the House of People’s Representatives for further legislative review. This marks a significant step in reshaping key sectors of Ethiopia’s economy.

Alongside this, the Council also endorsed a draft proclamation aimed at establishing a consistent legal framework for ecosystem service fees. Previously, the lack of clear legislation led to fragmented and inconsistent implementation by various institutions. The new legal framework seeks to clarify the roles of federal and regional authorities, the private sector, and NGOs, promoting sustainable environmental management vital for Ethiopia’s development goals.

Gadaa Bank Joins Ethiopia’s Budding Stock Exchange, Becomes Second Firm to List

Addis Ababa City Plans Major Budget Expansion to Tackle Infrastructure and Poverty

Ethiopia Set to Open Agricultural Extension Services to Private Sector and NGOs