News

Friday, March 11, 2016

Proposed stock exchanges integration to take off 2011
Audrey Agyiri-Inkoom

Accra, March 18, Ghanadot - The proposed integration of the stock exchanges of Ghana, Nigeria and Ivory Coast is now expected to take off sometime in the early parts of next year.

This implies that brokers in these countries beginning early next year would be afforded the opportunity to trade across the respective markets without necessarily cross-listing.

The process officially commenced sometime in December last year when the three stock exchanges signed a Memorandum of Understanding to that effect.

The Deputy Managing Director of the Ghana Stock Exchange, Ekow Afedzie in an interview with Citi FM said the integration process involves two key steps namely the issuance of common trading passport for the brokers and harmonization of the respective trading rules.

He explained that the initiative goes beyond cross-border trading because it allows a broker in Nigeria who gets orders, to get in touch with a broker in Ghana to do those trades on his behalf using technology.

According to him, “the integration process would serve as a common passport for brokers who make certain standards to be able to trade across the markets in West Africa.”

He added that “it is also to harmonize all the rules and regulations especially the listing rules and the content of prospectuses to enable companies or potential issuers to have access to capital across West Africa.”

The decision follows the recent meeting of capital market regulators of these countries in Lagos during which a stakeholder executive committee was formed to oversee all the preliminary implementation procedures of the initiative.

Mr. Afedzie said the committee comprises of representatives of all stakeholder entities expected to reach some definite decisions by the end of the year for implementation of the initiative in the early parts of next year.

According to him, “the committee would basically be the decision making body to ensure that decisions taken are biding.”

Mr. Afedzie said “the first assignment for the committee is to review a consolidated report from the technical committee that is being prepared by end of April in order to achieve our targets

Ghanadot