Whereas a Self-Regulatory Organization (SRO) plays a valuable role in developing and
enforcing standards of conducts for market participants, fostering fair competition, and reducing
regulatory burdens on the Ethiopian Capital Market Authority;

Whereas the Capital Market Proclamation empowers the Ethiopian Capital Market Authority to
institute procedures to recognize and delegate certain powers and duties to an SRO through a
directive; and

Now, Therefore, the Authority hereby issues the following Recognition of Self-Regulatory
Organizations Directive in accordance with Part Three and Article 108(2) of the Proclamation.