KEMMCOM Media and Communications

New capital market rule to curb misleading claims in share sale

By: Samuel Bogale
Published On: June 10, 2023

Ethiopian Capital Market Authority (ECMA) is expediting steps to regulate initial public offerings (IPOs) through a new directive aimed at curbing overpromising by companies seeking to sell shares to the public.

The move comes as the Authority prepares to launch the stock exchange next year and boost investor protection by preventing companies from making misleading claims about returns.