Financial markets in the East African region need to grow their market capitalization in order to increase opportunities for investment.
The Chief Executive Officer of Capital Markets Authority, Keith Kalyegira says to facilitate this; the East African Securities Regulatory Authority has resolved to support efforts by market players across the region to introduce new products such as depository receipts and real estate investment trusts.
Speaking at the authority’s committee meeting in Burundi, Kalyegira said they will also be working with market players across the region to introduce and implement risk based supervision and to harmonize regulatory issues across the region.
This, he adds, is expected to widen the product offering for investors, boost vibrancy and draw international investors while ensuring that they are well protected.
The meeting also resolved to develop a framework to harmonize regulations on market abuse offences; harmonize the licensing requirements for fund managers; and develop a mechanism for sharing daily trading statistics among members.