Four east African countries have agreed to fast-track integration of their bourses on an online portal. In a joint communiqué, the East African Securities Association urged members to sensitise their citizens ahead of the unveiling of a virtual bourse.
Speaking at a consultative meeting in Kigali, the association’s chairman Pierre Celestone Rwabumbuka urged the four countries to fast-track integration of the Kenya, Uganda, Tanzania and Rwanda bourses, saying this will create sustainable markets.
Mr Rwabumbuka said a five-year strategic plan will be developed to guide the integration that will also see introduction of an East African securities index, launch of an inter-depository transfer procedure and establishment of a regional securities training school.
The meeting also resolved that a regional capital markets infrastructure for trading and depository systems be fast-tracked to establish an East African Community hub where dealings in stocks and bonds will be settled and cleared.
An ad hoc committee was formed to oversee establishment of a Securities Industry Training Institute, which will ensure a common training for brokers and agents.
Kenya, which was represented by NSE chief executive Geoffrey Odundo, said it planned to launch a mobile trading platform of Treasury bonds to enable the government to raise cheap money locally to fund its development activities.
The NSE said it was upgrading its Automated Trading System to support the planned new products and service offerings.
The Central Depository and Settlement Corporation of Kenya reported that an electronic system allowing cross-trading across Africa was under formulation.
Rwanda for its part, said it was in the final stages of automating its trading infrastructure that will see the bourse connected to a central depository system, the central bank and to the Real Time Gross Settlement System.