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"JSE last year started the African Board to lure companies outside South Africa, setting fees at levels that will only cover its costs."
The Zimbabwe Stock Exchange has been named as part of African bourses that turned down a proposal by the Johannesburg Stock Exchange (JSE) to combine under its African Board.
JSE Deputy Chief Executive Officer Nicky Newton-King speaking at the on going World Economic Forum on Africa said talks with exchanges in Botswana, Kenya, Nigeria, Botswana, Ghana, Namibia, Zambia and Zimbabwe to combine have failed to result in agreement, with bourses citing concerns that the JSE would take business away from smaller exchanges.
JSE last year started the African Board to lure companies outside South Africa, setting fees at levels that will only cover its costs.
JSE Ltd which is te operator of Africa’s largest bond and stock exchanges said it will urge policy makers on the continent to link their bourses electronically to boost trading volumes.
“We’ve been trying for 15 years and haven’t made enough progress,” said Newton-King said.
“Policy makers will be in the meeting on redesigning capital markets tomorrow -- we want committed action.”
“Redesigning Africa’s capital markets is the most important thing.It’s about linking exchanges. We need a harmonization of standards across the market. People aren’t going to trade in a market unless we’ve sorted this first thing out.”
The market value of companies traded on the Johannesburg exchange is $408 billion, more than 10 times the $40 billion of sub-Saharan Africa’s second-biggest market, Nigeria.
JSE Deputy Chief Executive Officer Nicky Newton-King speaking at the on going World Economic Forum on Africa said talks with exchanges in Botswana, Kenya, Nigeria, Botswana, Ghana, Namibia, Zambia and Zimbabwe to combine have failed to result in agreement, with bourses citing concerns that the JSE would take business away from smaller exchanges.
JSE last year started the African Board to lure companies outside South Africa, setting fees at levels that will only cover its costs.
JSE Ltd which is te operator of Africa’s largest bond and stock exchanges said it will urge policy makers on the continent to link their bourses electronically to boost trading volumes.
“We’ve been trying for 15 years and haven’t made enough progress,” said Newton-King said.
“Policy makers will be in the meeting on redesigning capital markets tomorrow -- we want committed action.”
“Redesigning Africa’s capital markets is the most important thing.It’s about linking exchanges. We need a harmonization of standards across the market. People aren’t going to trade in a market unless we’ve sorted this first thing out.”
The market value of companies traded on the Johannesburg exchange is $408 billion, more than 10 times the $40 billion of sub-Saharan Africa’s second-biggest market, Nigeria.
