United Capital Plc secures Ethiopia's first foreign investment bank license, gains Rwanda approval
United Capital Plc, the Nigerian financial services giant, has secured Ethiopia's first-ever foreign investment banking license and obtained regulatory approval to operate in Rwanda. This milestone marks a historic shift where African institutions fund Africa's development rather than relying on foreign capital.
The Ethiopian license is particularly significant given the country's 120+ million population and recent financial sector liberalization under PM Abiy Ahmed. In Rwanda - now a premier financial hub - United Capital will offer full services including investment banking, portfolio management, trust services, and capital market advisory, strengthening Kigali's role as a regional financial gateway.
This expansion embodies Africapitalism, championed by Heirs Holdings' Tony Elumelu (a major United Capital investor). It proves African businesses can mobilize local capital for sustainable growth, create jobs, and build domestic industries - reducing dependence on foreign aid. Industry analysts note the knowledge transfer of technical expertise and best practices will accelerate local financial ecosystems, while underscoring Nigeria's leadership in Africa's financial services landscape as Nigerian institutions export innovation refined in competitive markets.
Will this signal more Nigerian financial firms expanding across Africa to fill the funding gap left by retreating foreign capital, or will regulatory hurdles slow this continental integration momentum?