Sawubona,
Victoria from Techpoint here,
Here's what I've got for you:
- Ethiopia launches first stock exchange in 50 years
- CBN launches 2 products to ease diaspora remittances to Nigeria
- Meta's policy may stir Nigeria's divides
Ethiopia launches first stock exchange in 50 years
Ethiopia just hit a major milestone in its economic journey by launching its first stock exchange in nearly 50 years! On Friday, January 10, 2025, Prime Minister Abiy Ahmed officially opened the Ethiopian Securities Exchange (ESX), and it’s being called a game-changer for the country’s financial future.
The ESX was created by Ethiopia Investment Holdings (EIH), the country’s sovereign wealth fund, and the Ministry of Finance, with support from FSD Africa and FSD Ethiopia.
Per IT News Africa, the ESX is designed to shake up Ethiopia’s financial system, providing a transparent platform for trading stocks, bonds, and money market instruments. The goal? To attract long-term investments, boost economic growth, and get more people to save.
The Prime Minister described the launch as a "historic milestone" for Ethiopia’s financial sector. And it’s already making waves! Since October 2024, its interbank trading platform has facilitated trades worth over ETB 135 billion (about $1.1 billion), making it easier for businesses to access loans and helping the banking system with credit flow and liquidity.
Tilahun Esmael Kassahun, the ESX CEO, highlighted several financial instruments the exchange will offer. From treasury bills and corporate bonds to Sukuk bonds (for those seeking Shariah-compliant options), the ESX aims to be a one-stop shop for all kinds of investors and issuers.
This launch is part of Ethiopia’s broader push to reform its economy. Over the past year, the government has floated the Birr (its currency), opened the banking sector to foreign players, and taken steps to modernise its capital markets. The ESX is set to play a massive role in raising capital, facilitating trade, and driving economic transformation.
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Mark Napier, CEO of FSD Africa, summed it up perfectly: “This is a true game-changer. We’ve seen how modern capital markets can spur economic growth across Africa, and the ESX is set to do the same for Ethiopia. It’s exciting to see the potential for equity, bonds, and other innovative financial tools take off.”
Ethiopia is officially stepping into the big leagues, and this is just the beginning!
CBN launches 2 products to ease diaspora remittances to Nigeria
The Central Bank of Nigeria (CBN) has just launched two new financial products for Nigerians living abroad: the Non-Resident Nigerian Ordinary Account (NRNOA) and the Non-Resident Nigerian Investment Account (NRNIA).
Starting January 1, 2025, according to Nairametrics, these accounts are designed to make it easier for the Nigerian diaspora to send money home, manage funds, and invest in the country.
Here’s what they’re all about: the NRNOA lets Nigerians abroad send their foreign earnings to Nigeria and manage their money in foreign and local currencies. On the other hand, the NRNIA is perfect for those looking to invest in Nigerian assets, whether in naira or foreign currencies.
Both accounts give full flexibility — balances can be repatriated without restrictions, and funds can be converted into naira at prevailing exchange rates. Profits from investments can also be sent back abroad without hassle.
Setting up one of these accounts is pretty simple. If you have a valid or even expired Nigerian passport, you’re good to go, especially if it’s paired with a foreign passport or proof of residency. If you don’t have a Nigerian passport, showing proof of Nigerian citizenship through a parent works too.
The bigger picture: This move isn’t just about convenience. Remittances from Nigerians abroad have brought in an average of $20.5 billion annually over the last decade. But most of that money is spent on immediate needs like bills and family expenses instead of investments that could grow the economy. The CBN wants to change that narrative.
The new accounts make it easier for Nigerians abroad to handle their finances without middlemen and explore investment opportunities back home. Whether you’re supporting family or looking to invest, the NRNOA and NRNIA aim to simplify things and boost Nigeria’s economy at the same time. It’s a win for everyone!
Meta's policy may stir Nigeria's divides
Meta, the company behind Facebook and Instagram, is making big changes to how it handles misinformation. Last week, CEO Mark Zuckerberg announced they’re ending their third-party fact-checking programme, which has been around since 2016.
Instead, they’re rolling out something called Community Notes, where users can flag and add context to posts. It’s a crowd-sourced system, kind of like what X (formerly Twitter) uses.
Zuckerberg said the switch is about “simplifying policies and restoring free expression.” He admitted the old system was messy and prone to mistakes. Now, Meta wants to focus on major issues like terrorism and child exploitation instead of fact-checking every controversial post. Apparently, the recent US elections, where Donald Trump won, influenced this decision.
But not everyone is convinced this is a good idea, especially for countries like Nigeria. Shirly Ewang, from advocacy firm Gatefield, thinks this could cause more harm than good. She says misinformation is already a huge problem in Nigeria, and this change might make it worse.
For example, during Nigeria’s 2023 elections, social media was flooded with lies that fueled ethnic and religious tensions. Platforms like FactCheckHub were logging over 100 false claims daily.
In one case, a politician shared a photo from Cameroon’s crisis but claimed it was a Fulani attack in Nigeria. Even with Meta’s current system, misinformation thrives, so relying on users to fix it doesn’t sound like a great plan to Ewang.
Meta’s track record in Africa also raises red flags. Back in 2022, the company faced a lawsuit in Kenya for allegedly inciting violence during the Tigray war. There’ve also been complaints about how Meta treats its African content moderators, with reports of poor working conditions.
So, why does this matter for Nigerians? Meta’s platforms are massive here — 51 million people use Facebook, 12.6 million are on Instagram, and 51 million use WhatsApp.
With so many people relying on these apps for news, misinformation spreads fast. And while Meta hasn’t said when these changes will hit Nigeria, the timing couldn’t be worse. Many African countries, including Nigeria, are at crucial points in their democratic journeys, and unchecked misinformation could have serious consequences.
Meta’s new approach might work in some places, but in a country like Nigeria, where misinformation can have real-life consequences, it’s a risky move. What do you think, though?
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Have a productive week!
Victoria Fakiya for Techpoint Africa.
