Nigeria’s United Capital Group has received approval from the Ethiopian Capital Market Authority (ECMA) to operate investment banking services in Ethiopia, marking a major milestone in the country’s emerging capital market.

The licence, issued on June 5, 2026, is the first foreign investment banking approval granted by ECMA after months of regulatory review involving multiple Ethiopian financial and investment authorities.

With the approval, United Capital will operate through its wholly owned subsidiary, United Capital Financial Services PLC, becoming the first foreign investment bank to establish operations in Addis Ababa.

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The development is being viewed as a significant step in Ethiopia’s financial sector reforms and a signal of growing confidence in its regulatory environment. It is also expected to attract more foreign financial institutions and deepen capital market activity in the region.

According to the Ethiopian Capital Market Authority, the licensing process included extensive due diligence, including verification of United Capital’s regulatory standing in Nigeria.

ECMA Director General, Hana Tehelku, said the approval reflects Ethiopia’s strategy to build a competitive capital market while opening the sector to foreign expertise and capital inflows.

United Capital Group CEO, Peter Ashade, described the approval as a landmark achievement, noting that the firm aims to support capacity building and human capital development within Ethiopia’s financial ecosystem.

The regulator also disclosed that United Capital may eventually operate under multiple licence categories, including investment banking and collective investment scheme management.

The company has reportedly committed over $1.5 million in capital to support its Ethiopian operations.

United Capital’s expansion comes amid its strengthened capital base following its recapitalisation of SEC-regulated subsidiaries in Nigeria, positioning the firm for cross-border growth and regional financial integration.