Investors at the Nairobi Securities Exchanges will in the coming years begin to trade in securities in other three top exchanges in Africa without opening an additional trading account under a plan to link markets in Kenya, South Africa, Nigeria and Morocco.
Nairobi Securities Exchange CEO Geoffrey Odundo said the pilot project, spearheaded by African Securities Exchanges Association, will give investors exposure in other African markets through existing brokers and accounts.
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“If that integration works, then a broker from Kenya will directly buy a stock in Nigeria for you and hold them here in Kenya,” Odundo said. “Currently, if you want to buy a stock in Nigeria, you must have a broker in Nigeria to buy them for you and that again will be held in Nigeria.”
“We are at a very nascent stage. We hope to go for a consultative meeting to see just how far [the technical] team has gone in terms of a technical discussion. There’s activity going on behind the scenes, but there is no firm date yet,” he said.
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