By Yakubu LAAH InvestAdvocate
Lagos (INVESTADVOCATE)-Oscar Onyema, chairman of the West African Capital Markets Integration Council (WACMIC) and chief executive officer (CEO) of the Nigerian Stock Exchange (NSE) Friday said achieving integration will enable momentous growth in the sub-region capital markets.
Onyema said this in his opening address at the second (2nd) meeting of WACMIC in Accra Ghana.
According to him, the growth as a result of integration will empower the region to remain relevant in attracting investment flows, while creating a much larger market for local and international businesses.
“Additionally, integration will enable the movement of capital within the region, creating flexibility for issuers looking to raise capital and investors looking to invest across member states,†Onyema said.
He affirmed that integration would speed up the development of the regions various domestic financial systems, promoting increased competition and innovation, as well as offering opportunities for risk diversification.
Onyema said much progress has been made over the course of the year but much more needs to be done.
According to the chairman of WACMIC, the leaders of and experts from the regions respective markets, all of whom are key players in the sub-region’s integration process will present their findings, opinions and recommendations for the following: Trading, clearing, settlement and depository Framework which will dwell on the review of the CSD rules, harmonization of trading rules, benchmarking against international best practices and proposal of a strategic direction.
The other area to be deliberated upon is the Legal and Regulatory Framework where issues such as harmonization of listing rules, responsibilities of each jurisdiction and guidelines on standardization and the common passport will be discussed.
Also, the WACMIC meeting will focus on the area of proposed budget and funding needs for its operations.
Prior to this time, the WACMIC has held successful Technical Committee meetings and working sessions during the year.
The Technical Committee meetings held May in Abidjan and followed by another in June hosted by the Ghana Stock Exchange (GSE), both were aimed at developing the technical framework for trading and settlement infrastructure required to integrate the regions markets, as well as the legal framework necessary for seamless integration.
These meetings served to convey and incorporate the WACMI Council’s feedback, and decisions from the first Council meeting held in March of this year. Technical Committee members were given the responsibility of building on the foundation laid out by the Council to fine tune the details of capital market integration.
