Managing Director of the Ghana Stock Exchange (GSE), Mr. Kofi Yamoah, at a press briefing in Accra last Thursday stated the bourse will introduce seamless lending and repurchase agreement this year.
The move is expected to improve liquidity flow and allow for borrowing on the bourse. With the roll out, should two entities plan to merge and one reneges, the securities of the defaulting party can be put for purchase leading to change of ownership.
With the securities industry in Ghana governed by the Securities Industry Act, 2016 (Act 929) and its Regulations, the 2019 outlook includes the GSE supporting the BoG, Central Securities Deposits, MoF and dealers in finalising work and implementing repurchase agreement transactions on the Ghana Fixed Income Market.
Mr. Kofi Yamoah also mentioned the exchange is working on the deployment of mobile application for secondary trading of listed securities, and improving market compliance by dealers and issuers through the use of technology.
Meanwhile a total of GHc2 billion was raised on the Ghana Stock Exchange (GSE) in 2018. This is as against the 2017 financial year when no capital was raised on the local bourse.
The amount was raised through the listing of two new companies; MTN Ghana which listed on the main exchange after raising a record GHc1.14 billion and Digicut which listed on the Ghana Alternative Market (GAX) after raising GHc28 million. Floating of additional shares from nine other companies including Access Bank, Societe Generale, Republic Bank and Standard Chartered Bank, raised a total amount of GHc906 million.
By Michael Eli Dokosi/goldstreetbusiness.com
