Page 17 - Abyssinia Business Network ABN August 2019

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dealers known under the name of Share its pioneering efforts to provide an Ababa Chamber of Commerce
Dealing Group to participate in shares organized market for companies and Sectorial Association
trading. whose shares were relatively widely (AACCSA) and National Bank
held. Workable trading practices of Ethiopia (NBE) are being
The Share Dealing Group was engaged and standards had been developed made towards institutionalizing
in facilitation of transaction of shares and a smoothly operating market the financial market.
and other services in the share markets. mechanism had been created.
The financial institutions that played Virtually all of the researchers
an intermediary role in transferring came up with findings in favor
and delivery of traded shares were the Since the abolition of the Addis Ababa of establishing financial markets
Addis Ababa Bank, the Commercial Share Dealing Group in 1974 by the specially stock exchanges in
Bank of Ethiopia and the Ethiopian military government ruling Ethiopia Ethiopia. It was also indicated
Investment Corporation. They provided at that time, no capital market has by researchers that the National
over-the-counter share dealing services been in place in the country. For Bank of Ethiopia reportedly
and enjoyed a significant confidence of more than forty years, Ethiopia has undertook a study on the
the private investing community. been trying to have its own financial Feasibility of Establishing
market but didn‘t succeed. The Securities Exchange Market in
The stock market was administered need for financial markets, as the Ethiopia and also prepared a
by the National Bank of Ethiopia next step in the on-going financial draft Securities and Exchange
which was the known regulatory liberalization is gaining consensus proclamation. Furthermore,
body in the Ethiopian financial sector. among various stakeholders in the the Addis Ababa Chamber
According to scholars the stock country. A number of efforts, notably of Commerce and Sectorial
market was moderately successful in by scholars from academia, Addis Association (AACCSA) have
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