Prospects and Challenges of Foreign Banking Entry to Ethiopian Financial Market
International Journal of Science and Research (IJSR)

International Journal of Science and Research (IJSR)
www.ijsr.net | Open Access | Fully Refereed | Peer Reviewed International Journal

ISSN: 2319-7064

Research Paper | Business Management | Ethiopia | Volume 9 Issue 9, September 2020

Prospects and Challenges of Foreign Banking Entry to Ethiopian Financial Market

Matiwos Ensermu

Based on Ethiopia Government’s major policy shift in 2018 to partly privatize major state-owned enterprises like ethiotelecom, Ethiopian Airlines, , the preparation to introduce the stock market in Ethiopia by 2020, is an indication to help expect the possibility of allowing foreign banks to operate in Ethiopia in the future. Allowing foreign banks to operate in Ethiopia will bring both prospects and challenges to the incumbent state-owned commercial and private banks in particular and the financial sector in general. As evidenced from literature, foreign bank entry to the domestic market will bring immense opportunity to the Ethiopian banking market, and create strong competition challenge between foreign and domestic banks and within the domestic banking institutions. Accordingly, four strategies are recommended to be adopted by local banks in Ethiopia to follow either: merger and acquisition, niche, do nothing, and joint venture, with merger and acquisition as an optimal strategy.

Keywords: Foreign banking, entry, merger, acquisitions, Ethiopia

Edition: Volume 9 Issue 9, September 2020

Pages: 1006 - 1009

Share this Article

How to Cite this Article?

Matiwos Ensermu, "Prospects and Challenges of Foreign Banking Entry to Ethiopian Financial Market", International Journal of Science and Research (IJSR), https://www.ijsr.net/search_index_results_paperid.php?id=ART20198790, Volume 9 Issue 9, September 2020, 1006 - 1009

73 PDF Views | 55 PDF Downloads

Download Article PDF



Similar Articles with Keyword 'entry'

Research Paper, Business Management, Ethiopia, Volume 9 Issue 9, September 2020

Pages: 1006 - 1009

Prospects and Challenges of Foreign Banking Entry to Ethiopian Financial Market

Matiwos Ensermu

Share this Article

Research Paper, Business Management , India, Volume 2 Issue 11, November 2013

Pages: 137 - 140

A Study on Training Importance for Employees of their Successful Performance in the Organization

Uma S. N

Share this Article

Case Studies, Business Management, India, Volume 6 Issue 10, October 2017

Pages: 365 - 368

Path to Internationalization: Dr. Reddy?s Laboratories

Amisha Gupta

Share this Article

Research Paper, Business Management, India, Volume 8 Issue 3, March 2019

Pages: 217 - 220

Loyalty Programs and Their Importance

Riya Gupta, Aparajitha Srinivasan

Share this Article

Similar Articles with Keyword 'merger'

Research Paper, Business Management, Ethiopia, Volume 9 Issue 9, September 2020

Pages: 1006 - 1009

Prospects and Challenges of Foreign Banking Entry to Ethiopian Financial Market

Matiwos Ensermu

Share this Article

Case Studies, Business Management, India, Volume 6 Issue 10, October 2017

Pages: 365 - 368

Path to Internationalization: Dr. Reddy?s Laboratories

Amisha Gupta

Share this Article

Similar Articles with Keyword 'acquisitions'

Research Paper, Business Management, Ethiopia, Volume 9 Issue 9, September 2020

Pages: 1006 - 1009

Prospects and Challenges of Foreign Banking Entry to Ethiopian Financial Market

Matiwos Ensermu

Share this Article

Case Studies, Business Management, India, Volume 6 Issue 10, October 2017

Pages: 365 - 368

Path to Internationalization: Dr. Reddy?s Laboratories

Amisha Gupta

Share this Article

Similar Articles with Keyword 'Ethiopia'

Research Paper, Business Management, Ethiopia, Volume 9 Issue 9, September 2020

Pages: 1006 - 1009

Prospects and Challenges of Foreign Banking Entry to Ethiopian Financial Market

Matiwos Ensermu

Share this Article

Research Paper, Business Management, Ethiopia, Volume 8 Issue 1, January 2019

Pages: 1884 - 1898

Corruption in Public Procurement: In the Case of Borana and Guji Zones of Oromia Regional State, Ethiopia

Kumala Tolessa, Eliyas Wako

Share this Article

Research Paper, Business Management, Ethiopia, Volume 9 Issue 9, September 2020

Pages: 296 - 305

Factors Affecting Entrepreneurial Intention of Under Graduate Students: A Case Study of Arba Minch University-Ethiopia

Daniel Yosseph Tesfaye

Share this Article

Research Paper, Business Management, India, Volume 6 Issue 3, March 2017

Pages: 1619 - 1629

The Impact of Environmental Factors on the Performance of Micro & Small-Scale Enterprises in East Gojjam Zone, Ethiopia

Mulugeta Kebede, Getaendale Simesh

Share this Article
Top