Zemen Insurance entered the record books this week as the first private insurance company to purchase shares on the Ethiopian Securities Exchange (ESX). The company acquired a two percent stake worth 20 million Birr.
While state-run Ethiopian Insurance Corporation (EIC) was an early founding shareholder, Zemen is now pioneering private insurance participation in Ethiopia's nascent capital markets.
Last week, private bank Hibret Bank had also announced a 50 million Birr stake purchase.
And last month, Awash Bank cemented its position as the top private investor on the ESX with 70 million birr investment last month, giving it a 7.7 percent stake and surpassing previous leading private shareholders - Zemen Bank, Siinqee Bank, and Global Bank.
The ESX is the first and sole organized securities exchange in Ethiopia. As a self-regulatory organization under the Capital Market's Proclamation, ESX is licensed by the Ethiopian Capital Market Authority to facilitate trading and developing the financial ecosystem.
