Regional Integration of Stock Exchanges in Eastern and Southern Africa: Progress and Prospects
IMF Working Papers, June 1, 2005
Source details
- Canonical URL
- Regional Integration of Stock Exchanges in Eastern and Southern Africa: Progress and Prospects
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Bibliographic details
- Authors: Jacqueline T Irving
- Published: June 1, 2005
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781451861419.001
Summary and central conclusion
- This paper assesses whether regional cooperation and integration of stock exchanges in eastern and southern Africa could offer a way of overcoming impediments to the exchanges' development.
- The paper concludes that regional cooperation and, at a later stage, integration, if carried out at the right pace and in a pragmatic way, could improve the liquidity, efficiency, and competitiveness of these exchanges.
- Further progress in developing national financial markets must precede any actual moves to integrate securities markets.
- These exchanges could meanwhile benefit from closer cooperation, including by encouraging more crossborder listings and information/technology sharing.
Key findings and analysis
- Regional cooperation can address impediments to exchange development by improving:
- liquidity
- efficiency
- competitiveness
- Integration should be pursued at the right pace and in a pragmatic way.
- Preconditions: further development of national financial markets is required before actual integration of securities markets.
- Interim measures: closer cooperation through more crossborder listings and information/technology sharing.
Subject classification and keywords
- Subject: Capital market integration, Capital markets, Regional integration, Securities markets, Stock markets
- Keywords: economic growth, electronic trading, illiquid market, listing requirement, market development, NSX official, SADC exchange, trading system, WP