Skyscraper City Forum banner
1 - 9 of 9 Posts

·
Engineer d's art't enjoys
Joined
·
6,431 Posts
Discussion Starter · #1 ·
The Nairobi Securities Exchange will
Wednesday sign a memorandum of
understanding with the Somalia Stock
Exchange Investment Corporation
(SSE) to co-operate in establishment
of a stock market in the war ravaged
country.
Kenya’s market regulators and
operators have taken the role of big
brother in helping develop stock
markets in the East African region.
Ambassador Idd Mohamed and
deputy permanent representative of
Somalia to the United Nations will sign
the pact on behalf of the Somalia
Stock Exchange Investment
Corporation.
“SSE shall be responsible for the
implementation of the project and its
subsequent operation. The NSE shall
have primary responsibility for the
technical development of the project,”
said the NSE in a statement.
The NSE head of marketing and
product, Donald Ouma, said the
agreement would also help to attract
investments by the large Somali
Community.
“The parties will explore the location
of the exchange, development of
human capital, the trading mechanism
and the development of Shariah
products and services. It makes sense
to explore business opportunities as
the situation in Somalia stabilises,”
said Mr Ouma.
The ongoing military action to flush
out Al Shabaab militants in Somalia is
expected to enter a decisive stage this
month with the planned takeover of
the port of Kismayu, the militant
group’s main operational base.
The NSE is also monitoring the
progress in South Sudan, which may
also turn to Kenya for technical
assistance in setting up a stock
market.
The two Kenyan neighbours, South
Sudan and Somalia, have been
ravaged by many years of violence
leaving them without any formal
governance structures.
Kenya’s capital markets authority has
played a role in the set up of Rwanda
stock market and the current set up of
the Burundi market through the East
African Securities Regulatory Authority
(EASRA).
Several Kenyan companies with
regional operations have cross-listed
in the East Africa stock markets with
KCB listed in all five markets. Other
companies include Nation Media
Group, Equity Bank, Kenya Airways
and Jubilee Insurance .
However, due to the
underdevelopment of other markets
some investors who have bought
shares across borders have incurred
losses.
Some companies, such as Centum
Investment, have postponed their
cross-listing plans. Centum
Investments, which is already listed in
Uganda, has delayed its listing in
Tanzania and Rwanda.
 

·
RETIRED
Joined
·
2,613 Posts
Premature, the Central Bank is still in process of collecting prewar assets, not to mention it needs to be beefed up as well as regain a reputation of trust, only then will a Somali stock-market make sense. However this is an interesting development, especially if the various Somali companies based in Somalia, Dubai, other parts of Africa, and Europe/Americas involved themselves in this project.
 

·
Registered
Joined
·
819 Posts
I have a strong feeling, as someone said here earlier, this country can definitely become Switzerland of Africa if it tries. Smart, witty, hard workers!!
 
1 - 9 of 9 Posts
Top