Kenya-based Equity Group Holdings Limited has officially started discussions with Ethiopian authorities in an effort to enter the Ethiopian financial sector.
It joins KCB Group Limited, another Kenyan bank that began talks with Ethiopian officials earlier this year, in the race to gain access to a vast untapped market that had been closed off until recently.
Equity Group CEO James Mwangi (PhD) recently met with ZelekeTemesgen (PhD), head of the Ethiopian Investment Commission, to discuss the regulatory framework under which the bank could operate in Ethiopia.
Zeleke described Ethiopia as a “preferred destination” for financial investors and offered the Commission’s full support to facilitate entry. Mwangi said the move reflects a long-standing plan and aims to serve as a benchmark for other international financial institutions.
Equity Bank operates across Kenya, Uganda, Tanzania, South Sudan, Rwanda, and the Democratic Republic of Congo, with experience spanning retail, corporate, and digital banking.
The revised Banking Business Proclamation ratified in late 2024 permits Equity Bank to establish itself in Ethiopia by incorporating a subsidiary in Ethiopia, buying stakes in a domestic bank, establishing a local branch office, or opening a representative or liaison office.
The historic amendment to the country’s banking laws is part of a wider economic liberalization agenda, encompassing telecommunications, aviation, and logistics. The move was long awaited by Kenyan banks like KCB and Equity, which have long expressed their interest in joining the Ethiopian financial sector.
Equity Group Holdings, formerly known as Equity Bank Group, registered close to USD 1.5 billion in revenue in 2024. It serves close to 22 million clients.
