Nigeria’s United Capital Group has become the first foreign institution licensed to provide investment banking services in Ethiopia, a milestone the Ethiopian Capital Market Authority (ECMA) formalized on June 5, 2026, as the East African nation presses ahead with the most sweeping liberalization of its financial sector in half a century.
The authority granted United Capital Financial Services PLC, a subsidiary of the Lagos-headquartered group, a Capital Market Service Provider license covering financial advisory services, securities brokerage, and portfolio management.
The license brings the total number of licensed capital market service providers in Ethiopia to 18 and the number of investment banks to seven, according to the ECMA statement.
The authority also approved the appointment of five board directors and the licensing of four appointed representatives within the company.
ECMA Director General Hana Tehelku, speaking at the official licensing ceremony, described the entry of a pan-African institution as a historic milestone in the development of Ethiopia’s capital market, adding that it demonstrated strong confidence in the credibility of the country’s emerging financial ecosystem and the direction of ongoing reforms.
Group Chief Executive Officer Peter Ashade framed the approval as a signal of bilateral possibility. “Receiving the Ethiopian license shortly after our entry into Rwanda and becoming the first foreign investment bank to receive this license in Ethiopia demonstrate the confidence the market has placed in us,” he said.
“As an institution committed to Africa’s economic progress, we see capital markets as a critical catalyst and enabler for mobilizing investment, supporting enterprise growth and unlocking long-term economic value,” he added.
The Ethiopia approval follows regulatory clearance from Rwanda’s Capital Market Authority for the group to provide trust services, investment banking, and portfolio management in Kigali.
A United Capital press release said the Ethiopian approval followed a comprehensive regulatory review process involving multiple government institutions and extensive cross-market due diligence, according to the Ethiopian Capital Market Authority.
United Capital’s Africa Director, Ejikeme Okoli, said the dual approvals extend the group’s footprint to 12 countries across the West African Economic and Monetary Union region and East Africa.
“This milestone is significant not only for our institution but also for Nigeria and Africa as a whole, as it reflects the strengthening of long-term partnerships and collaboration across the African financial services sector,” he said.
Ashade gave special recognition to the reform environments created by Prime Minister Abiy Ahmed in Ethiopia and President Paul Kagame in Rwanda, crediting the forward-looking policies of both governments and their financial regulatory bodies for enabling the expansion.
“This is also a significant milestone for our country, Nigeria, as we export our business expertise, for Ethiopia and Rwanda as they open their doors to foreign players, and to the African continent indicating that bilateral collaboration can be a major catalyst for accelerating economic development on a continental scale,” he said. “This is Africapitalism in action.”
