Nigerian Exchange Group Plc (NGX Group), a prominent integrated market infrastructure group in Africa, has announced a substantial investment in the Ethiopian Securities Exchange (ESX). This investment, alongside contributions from FSD Africa and Trade and Development Bank Group (TDB), underlines NGX Group’s commitment to fostering growth and innovation in African capital markets while marking its entry into East Africa.
The investment signifies NGX Group’s confidence in Ethiopia’s burgeoning economy and capital market. By partnering with ESX, NGX Group aims to support the establishment of a robust financial ecosystem in Ethiopia, encouraging greater investor participation and capital formation.
Chairman of NGX Group, Alhaji Umaru Kwairanga, praised the successful capital raise by ESX, highlighting the collaborative efforts of the Ethiopian government and private sector in realizing this milestone. He emphasized NGX Group’s dedication to promoting economic development, transparency, and exemplary corporate governance standards.
Temi Popoola, Group Managing Director/CEO of NGX Group, expressed enthusiasm for the investment, citing Ethiopia’s rapid economic growth and investment potential. He underscored NGX Group’s commitment to leveraging its expertise to contribute to the development of a dynamic capital market in Ethiopia.
CEO of ESX, Tilahun Esmael Kassahun, welcomed NGX Group as a strategic partner, noting the overwhelming investor confidence in Ethiopia’s economic landscape. He emphasized the importance of such partnerships in driving regional integration and collaboration within African capital markets.
As part of the investment, Temi Popoola will join ESX’s board as a nominee of NGX Group. This move reflects NGX Group’s dedication to enhancing cross-border investment flows, liquidity, and economic development across Africa.
ESX surpassed its initial fundraising target, raising close to 1.3 billion Ethiopian Birr from the private sector. With the government retaining 25% ownership and private sector players holding 75%, the investment demonstrates strong investor confidence in Ethiopia’s capital market and economic prospects.
