The article discusses the need for a stock market in Ethiopia to improve private sector participation and access to financial resources. The study used two models to analyze the potential benefits of establishing a stock market as an alternative to the current bank-based system. The findings suggest that developing a stock market would be beneficial for both investors and entrepreneurs, complementing existing banking services and providing an alternative financial access system. The establishment of a stock market is strongly recommended to support the growth of the economy and provide more choices for long-term investments.