NAIROBI, Kenya April 27-African countries are expected to begin cross border trading in listed securities later this year, an official said on Tuesday.
Geoffrey Odundo, CEO of the Nairobi Securities Exchange (NSE), said that eight African stock exchanges have been digitally linked to facilitate the buying and selling of listed equities and debt instruments.
“The African countries have made good progress in harmonizing their securities trading rules and we are looking to begin cross-border trading this year,” Odundo said during the launch of the NSE quarterly barometer.
The countries participating in the project include Kenya, Nigeria, Morocco, Egypt, Cote d’Ivoire, Botswana, South Africa and Mauritius.
Odundo noted that cross-border trading allows an investor in one country to buy listed securities in another country through their local stockbroker.
“The securities exchanges will be linked to ensure that investors have visibility of the capital markets products in the eight African countries,” he added.
He added that cross-border trading is expected to increase the liquidity of African securities exchanges by expanding the pool of potential investors.
