Siinqee Bank Enters Investment Banking Arena with Record Capital

Siinqee Bank has entered the nascent investment banking industry, securing a license from the Ethiopian Capital Market Authority (ECMA) for its newly launched subsidiary, Siinqee Investment Bank, backed by a registered capital exceeding 480 million Br. This positions Siinqee as the fifth licensed player in the industry and the most capitalised to date, outpacing early entrants such as CBE Capital and Wegagen Capital.

The investment banking arm becomes the third subsidiary under the expanding Siinqee Group. According to Neway Megersa, Siinqee Bank's president, a fourth entity is in the pipeline.

Girma Muleta, a former marketing and credit monitoring officer at the state-owned Commercial Bank of Ethiopia (CBE) and the strategic change management director at Siinqee until recently, has been tapped to lead the new subsidiary.

In the broader investment banking race, Wegagen Capital Investment Bank led the charge under the current regulatory framework with an initial capital base of 358 million Br. It was followed by CBE Capital Investment Bank, a joint venture between CBE and Dalol Capital, managed by Zemedeneh Negatu. First Addis Investment and Awash Capital, the latter launching with a capital of 200 million Br, soon followed.

According to Hana Tehlku, the Authority’s director general, her agency is preparing for a surge in licensing activity, with more firms expected to enter the market, signalling a growing momentum in the capital market.

“ECMA expects more work,” she said.

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