The Ethiopian Securities Exchange (ESX) posted a net loss of 81.8 million Birr in its maiden financial year as heavy upfront investment in technology, staff, and market infrastructure outweighed still-nascent operating revenues, according to its annual report.
The Exchange registered a total income of 126 million Birr in 2024/25, more than 90 percent of which came from interest earned on its paid-up capital of over one billion Birr. Core operating revenue from listing, membership, and related fees amounted to just over six million Birr as the Exchange prepares to begin operations in earnest.
The financial year also marked a significant development with the launch of the interbank money market. The market recorded a transaction volume of 820 billion Birr, playing a vital role in enhancing liquidity management and supporting stability across the banking sector.
Tilahun Esmael (PhD), The Exchange’s CEO, Described the year as a mileston in Ethiopia’s Financial Sector Evolution.
From The Reporter Magazine
Expenditures amounted to 175 million Birr, consisting largely of investments in systems, staff and institutional capacity. Depreciation and amortization expenses reached 45.7 million BIrr, reflecting spending on the Exchange’s automated trading system and broker back-office platforms designed to support multi-asset trading and real-time reporting.
On the equity side, ESX secured its first listings with Wegagen Bank S.C. and Gadaa Bank, and received approval for the listing of Ethio telecom.
Newly designated chairperson and Ethiopian Investment Holdings chief Brook Taye (PhD) said next year is set to be a big one for the exchange, with more activity, visibility, and participation. He pointed out that ESX will welcome its first wave of new listings, with several promising companies ready to make the leap.
From The Reporter Magazine
The Ministry of Finance plans to raise up to 300 billion Birr through treasury bills and bonds on the exchange in the near future.
Beyond the near term, ESX has laid out a high-stakes five-year strategy to 2029, aiming to transition from a startup to a regional capital market powerhouse. The exchange plans to host at least 50 listed companies across its Main and Growth markets and to onboard three million retail investors.
Looking ahead, the Exchange expects several new listings in the coming year, alongside the admission of additional trading members. These developments are expected to strengthen market participation and further enhance the link between listed companies and the investing public, supporting the continued growth and development of Ethiopia’s capital markets.
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