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This research work focuses on exploring the existing opportunities to establish stock exchange in Ethiopia and challenges which would make it rarely easy. The findings of the study revealed that, Ethiopia should establish stock exchange from today on wards hand in hand with the development of basic market, regulatory and institutional infrastructures. Since the challenges explored are the one which can be worked out; though some of them are on the government´s hand, commencing the exchange market would benefit the economy and it also just a matter of time in which the environment by itself puts the concerned bodies in to pressure. The reviewed experience of the three African countries stock market; Kenya, Uganda and Tanzania further revealed that though they already establish the market, it is still thin and not serving as a major financing option for companies. The findings further have policy implications that the government has to give an emphasis for the development of market infrastructures so as to milk the benefits of the market

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Aderajew Shumet obtained his MBA in 2010 at Adama University, Ethiopia, where he also serves as an Ethics Liaison Office Head. Since 2006, He has been working in the University as head of the Department of Banking & Insurance, FBE practicum Coordinator & currently as a senior lecturer and researcher in the department of Business Management.

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