Botswana bourse to automate trading
BOTSWANA| 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 BOTSWANA NEWS
IPO not foreigner-friendlyThe CEO of BTCL, Paul Taylor, has allayed fears that foreigners resident in Botswana will snap up shares reserved for locals when his organisation starts the Initial Public Offering in November. Read More
Presidential hopefuls face off on radioGabzFM has set 22 October as the day when Botswana's presidential hopefuls will tell the electorate what they will do for them if voted into the highest office in the country. Read More
LINKZ ICT challenge getting biggerThe fourth annual Botho University LINKZ ICT challenge this year attracted a sizeable number of students from both the tertiary and secondary school students. Read More
Orange Botswana, Ericsson in managed services agreementOrange Botswana has entered into a multi-year managed services agreement with Ericsson in which Ericsson will manage network operations for Orange Botswana. Read More
BOCRA cracks whip on hospitality industryThe Botswana Communications and Regulation Authority (BOCRA) has issued guidelines on minimum internet connectivity requirements for Botswana’s hospitality industry. Read More
Stakeholders engage Batswana at Gaborone IPO Awareness meetingAs promised by the Botswana Telecommunications Limited (BTCL) stakeholders held the first of two diPitso (consultative meetings) on the upcoming BTCL IPO. Read More
MTN Business partners with City Lodge Hotel GroupMTN and City Lodge Hotel Group have announced a partnership to improve connectivity and telecommunications services across more than 50 hotels in SA and Botswana. Read More
Huawei’s CSR extends to Botswana schoolMorelelo Primary school head Dineo Olisitse has expressed gratitude towards Huawei Technologies Botswana after the ICT company donated laptops and a WiFi router to equip a computer laboratory at her school. Read More
BTCL shares to be floated in NovemberThe Botswana Telecommunications Corporation Limited (BTCL) Initial Public Offering, which has been in the pipeline for some time, has reached an advanced stage, says the government. Read More
Policy Interventions can eliminate operational barriers - MascomMascom Marketing and Public Relations Executive Tebogo Lebotse-Sebego says the creation of an enabling legislature and policy interventions can help Botswana overcome its ICT obstacles. Read More
FEATURED STORYGrowing African focus on data security
Beachhead Solutions’ new SA and Mauritius country manager explains the challenges and solutions around securing customer data and compliance with new personal information legislation.
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 NEWSVMware reports third quarter 2014 results
VMware, the global leader in virtualization and cloud infrastructure, today announced Year-over-Year Revenue Growth of 18% to $1.52 Billion in its financial results for the third quarter ...CNN, MultiChoice name top African Journalist 2014
Kenyan journalist Joseph Mathenge has been awarded the top prize at this year’s CNN MultiChoice African Journalist 2014 Awards Ceremony.