Botswana bourse to automate trading
BUSINESS| July 10, 2012, 11 a.m.
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.
MORE BUSINESS NEWS
‘Prepare for an explosive year ahead’ - Dac SystemsFrom a technology solution supply and reselling perspective, 2015 is going to be a bumper year, says Dac Systems. Read More
The Business Network is the futureHyper-connected business networks will extend business processes that used to stop at the walls of the enterprise, and will fulfill the promise of the real-time global networked economy to reduce complexity without sacrificing sophisticated work, says SAP. Read More
Africa SME Champions Forum: creating an ecosystem to support African championsThe Africa SME Champions Forum closed in Dakar last week, but its work in support of African champions is only just beginning. Read More
Deloitte: Africa GDP to top $3.7 trillion by 2019Africa’s gross domestic product will grow by 50% to $3.7 trillion over the next five years, says Deloitte. Read More
EOH CEO named All Africa Business LeaderAsher Bohbot, CEO of Enterprise Outsourcing Holdings (EOH) Limited, has been named Business Leader of the Year at the CNBC Africa All Africa Business Leaders Awards. Read More
Data revolution will shake banking sector, says NCC chiefThe Executive Vice Chairman of the Nigerian Communications Commission (NCC), Dr Eugene Juwah, says Nigeria’s second revolution in data will have a significant effect on the banking sector. Read More
Qrent expands across AfricaAs organisations look to hire instead of purchasing essential equipment such as computers, printers copiers, LCD screens and projectors, the demand for Qrent’s services has grown across the continent. Read More
Africell completes Orange Uganda acquisitionAfricell, one of the fastest growing mobile telecommunications operators in Africa, has announced that it has completed the acquisition of Orange Uganda. Read More
MTN calls for collaboration between mobile network operators and OTT playersA balanced co-operation between mobile network operators and Over the Top (OTT) players is required to develop a win-win ecosystem, says MTN South Africa. Read More
Morocco to host fifth annual Global Entrepreneurship SummitOver 3000 entrepreneurs, Heads of state, government officials, global entrepreneurs, SMEs and corporate leaders are expected to attend the fifth annual Global Entrepreneurship Summit in Marrakech. Read More
FEATURED STORYGSMA: half a billion mobile subscribers in SSA by 2020
The number of unique mobile subscribers in Sub-Saharan Africa will pass the half billion mark in 2020, says a new GSMA report.
BEST READ NEWS
IN DEPTHAfrica lags on digital migration
Only three African countries have so far completed the digital migration process, and serious issues are hampering the migration in other nations.
COMPANY NEWSThe Business Network is the future
Hyper-connected business networks will extend business processes that used to stop at the walls of the enterprise, and will fulfill the promise of the real-time global networked economy to ...