Botswana bourse to automate trading

BUSINESS

|
Image: By BiztechAfrica
Botswana bourse to automate trading

By John Churu, Gaborone, Botswana

The Botswana Stock Exchange intends to introduce an Automated Trading System (ATS) which it hopes will make the local bourse more visible and create efficiencies in the trading methodology once implemented.

This information was part of its annual report for 2011. The BSE explained that the implementation of ATS was progressing at a rapid rate and is expected to be implemented in Quarter 4 of 2012. “Along with the implementation of the ATS, our CSD system is also being upgraded,” wrote Chairperson, Patrick O’ Flaherty.

According to O’ Flaherty: “The ATS is a major development” for the BSE and “compliments the already established CSD, which will propel the BSE to into the future,” he noted. Adding that “The ATS will make us more visible and help create efficiencies in the trading methodology, which we expect will enhance liquidity.”

BSE implemented the Central Securities Depository (CSD) in 2008 and since the introduction the systematic risk of investing in share market decreased. However, the exchange observed that in order for the CSD to reach its potential, there is a need to engage investors and motivate them to dematerialise their shares.

“A central depository system can only reach its full potential in a 100 percent dematerialised environment,” said O’ Flaherty. “This is the reason that in certain countries dematerialisation is mandated by law or directed to be carried out by the Capital Market Regulator.”

The BSE said that the dematerialisation of share is in the CSD is continuing at a satisfactory pace. By the end of December, 2011, there were more than 12, 800 investor accounts open with 46 percent of all domestic company shares and 91 percent of all foreign company shares being dematerialised. “The BSE also dematerialised its first corporate bond after obtaining approval from Registrar of Companies”. O’ Flaherty added that this has been the experience of many other markets that have implemented the automated trading systems. 



Share the News

Get Daily Newsletter

comments powered by Disqus

MORE BUSINESS NEWS

TNM first quarter net profit jumps to K1.8 billion

Malawi's mobile telecoms network service provider TNM continues to realise an increase in net profit from operations. Read More

Revenues from tablet games to triple

New data from Juniper Research has revealed that by 2019 worldwide revenues from tablet games will reach $13.3 billion – a threefold rise on the 2014 figure of $3.6 billion. Read More

Airtel Uganda hosts high value customers at Business Leaders’ Forum

Enterprise Director, Airtel Uganda, Mr. Oladapo P. Sorinolu Airtel Uganda has hosted an Enterprise Expo in Mbarara district, Western Uganda, as part of efforts to provide practical and modern business solutions to its high value customers.  Read More

Safaricom, Airtel complete yuMobile deal

Safaricom and Airtel have completed the US$120 million acquisition of yuMobile from Essar Telecom. Read More

GrowthAfrica, Usahibu partner to solve SME accounting issues

Kenyan accelerator GrowthAfrica has partnered cloud computing firm Uhasibu in a bid to address the accounting and financial software needs of East African startups and small and medium enterprises (SMEs). Read More

Top 10 risks worth considering when expanding into Africa

Companies planning to expand across Africa must make a concerted effort to understand the risks, and not assume they “know” Africa, says ContinuitySA. Read More

Shop Soko connects Kenyan artisans to lucrative international markets

A new e-commerce platform, Shop Soko, is helping Kenyans access a lucrative international market. Read More

Ricoh SA begins rollout of new services-led strategy, Africa expansion

Jacques van Wyk has been appointed Ricoh SA’s new COO to drive the expanded strategy that will enable the business to become a services-led organisation and see its expansion into the rest of Africa. Read More

Stock Exchange launches news service

A news service by the name of X-News has become the latest product coming from the local bourse, the Botswana Stock Exchange (BSE) recently. Read More

Telkom forays into Botswana through acquisition

South African telecommunications giant Telkom is making inroads into the Botswana market through the acquisition of an ICT company, Business Connexion (BCX).  Read More

PRESS OFFICES

Sage ERP AfricaSAP AfricaSage Pastel AccountingTrust PayVMWareSamsung ElectronicsMitsumi DistributionPhoenix DistributionSage HR AfricaMTN BusinessSchneider ElectricMultichoice

FEATURED STORY

Safaricom-Equity battle for mobile banking hots up Safaricom-Equity battle for mobile banking hots up

Equity bank's entry to the mobile banking and telephony industry is still hanging in the balance with London-based global association of mobile operators (GSMA) calling for independent audit. 

IN DEPTH

Kenya rolls out e-extension to improve agricultureKenya rolls out e-extension to improve agriculture

In a bid to curb the overwhelmed number of agricultural extension officers in Kenya, the ministry of agriculture is embracing technology with their introduction of E-Extension services, which are aimed at reaching out to over 7 million farmers annually.