Licensing and ownership

Module 03 / 5 · 55 min

Learn who may own and run an Ethiopian bank, how foreign banks can enter, and what capital a bank needs to obtain and keep its licence.

In this module you will learn to

Describe what the Banking Business Proclamation No. 1360/2025 changed
State the capital and renewal rules of SBB/94/2025 for new banks, foreign subsidiaries and branches
Compare the foreign entry modes and apply the foreign shareholding caps
Explain fit and proper approval for persons with significant influence under SBB/89/2024

Built on

Erudite Africa Ethiopian Context course specification: 1.a Ethiopian Banking Law and Regulation, Level 1 (October 2026)
Erudite Africa Ethiopian Context programme overview and regulatory register (October 2026)
National Bank of Ethiopia Proclamation No. 1359/2025 and Banking Business Proclamation No. 1360/2025
NBE directives as listed in the lessons: SBB/72/2019, SBB/87/2024 to SBB/92/2024, SBB/93/2025, SBB/94/2025, SBB/95/2025, SBB/99/2026, NBE/INT/13/2026, FXD/01/2024, FCP/01/2020
NBE Monetary Policy Committee meeting No. 7 press release (13 July 2026)
Capital Market Proclamation No. 1248/2021 and ECMA Directive No. 980/2024

Examples and companies are fictional. Bank practices are shown as typical Ethiopian practice, not as any one bank's policy. Always apply your own institution's approved policy and the current NBE directives.