Ethiopia’s Investment Holding Secures First Overseas Stake in $3M Akobo Minerals Investment











OSLO / ADDIS ABABA — August 11, 2025 — In a historic move signaling Ethiopia’s growing integration into global capital markets, Ethiopian Investment Holdings (EIH), the country’s sovereign wealth fund, has taken its first-ever equity stake in an international company — investing USD 3 million in Scandinavian-based gold producer Akobo Minerals AB (Euronext and Frankfurt: AKOBO; OTC: AKOBF).

The deal, announced Monday, involves a private placement of 15 million new shares at USD 0.20 per share, giving EIH a 7.4% ownership stake. The capital will be used to accelerate the development of Akobo’s high-grade Segele gold mine in western Ethiopia, including the construction of a vertical shaft that is expected to boost monthly output five- to eightfold, from 5–10 kilograms to 50–80 kilograms.

A First for Ethiopia’s Sovereign Fund

Founded in 2021, Ethiopian Investment Holdings manages roughly 40 state-owned enterprises — from Ethiopian Airlines to Ethio Telecom — with a mandate to preserve national wealth, diversify revenue streams, and deliver sustainable returns.

By taking a position in Akobo Minerals, EIH is not only venturing beyond Ethiopia’s borders for the first time but also making a rare re-entry into the global equity market after more than a century of absence. The move reflects Ethiopia’s “3D strategy” — Diversify, Drive, Deliver — designed to broaden the sovereign portfolio, fuel long-term innovation, and ensure economic benefits flow back to Ethiopian citizens.

“This represents a historic and strategic breakthrough for Ethiopia’s economic expansion,” said Dr. Brook Taye, CEO of EIH. “Akobo’s sustainable approach and proven expertise make it the ideal partner for our first international mining stake.”

Strategic Timing Amid Economic Reforms

The investment comes as Ethiopia accelerates market liberalization efforts, opening previously closed sectors to private and foreign participation. In the past three years, the government has loosened state monopolies in telecoms, banking, and logistics while actively courting international investors.

Analysts note that the EIH–Akobo deal dovetails with the administration’s reform agenda, which aims to position Ethiopia as a competitive emerging market player. Sovereign fund participation in a listed overseas company not only signals investor confidence but also sets a precedent for Ethiopian capital to compete in global deal-making.

“This is more than a mining investment — it’s a signal to the market that Ethiopia is ready to be both a destination and a source of capital,” said one Addis Ababa–based investment banker.

Validation for Akobo Minerals

For Akobo, which has operated in Ethiopia for over 14 years, the EIH partnership serves as a strong endorsement of its operational model and financial trajectory. The Segele mine boasts an Inferred and Indicated Mineral Resource of 68,000 ounces with an unusually high gold grade of 22.7 grams per ton — placing it among the richest deposits globally.

“This milestone validates the strength of our project and our long-term vision,” said Jørgen Evjen, CEO of Akobo Minerals. “We are proud to be paving the way for Ethiopian investors to directly participate in one of their own industries.”

The company, listed on Euronext Growth Oslo and the Frankfurt Stock Exchange, is also traded on the OTC Pink Market. With gold prices trading near multi-year highs amid global market uncertainty, the timing could amplify returns for both parties.

Potential Ripple Effects for the Mining Sector

Mining accounts for a relatively small share of Ethiopia’s GDP — less than 1% — but the government has identified it as a strategic growth sector, aiming to increase exports and attract exploration investment. Sovereign wealth fund participation in a domestic-linked international miner could encourage other Ethiopian entities, including pension funds and private equity firms, to explore similar cross-border strategies.

The deal may also reassure foreign mining companies hesitant about Ethiopia’s operating environment, showing that state-backed financial institutions are prepared to provide capital and political support to credible operators.

The Bigger Picture

With this transaction, Ethiopia joins a small but growing group of African sovereign wealth funds actively investing abroad. While resource-rich states like Botswana and Nigeria have long allocated capital to global assets, Ethiopia’s debut move underscores its intention to leverage state capital to both strengthen domestic industries and build a globally diversified portfolio.

If the Akobo model proves successful, industry observers expect EIH to target other high-value sectors — from energy infrastructure to technology — creating new pathways for Ethiopian capital in international markets.

About Ethiopian Investment Holdings (EIH): Established in 2021, EIH is Ethiopia’s sovereign investment arm, overseeing state-owned assets worth billions of dollars. Its portfolio spans aviation, banking, telecoms, shipping, and logistics, with a strategic mandate to drive national economic transformation.

About Akobo Minerals: Akobo is a Scandinavian-based gold producer with operations in Ethiopia’s Gambela region and Dima Woreda. Known for its high-grade Segele deposit, the company follows rigorous ESG standards and maintains strong community engagement programs.