The African Stock Exchange Association has said that having successfully launched phase one of the African Exchanges Linkage Project, it is looking at rolling out the second phase of the project to ensure investors take advantage of the wide array of investment prospects across African capital markets.

The President, ASEA and Chief Executive Officer of Botswana Stock Exchange, Thapelo Tsheole disclosed this to market stakeholders during the AELP webinar themed “Exchange Linkage Project- Facilitating trades across borders” on Wednesday.

The webinar, which was hosted by Nigerian Exchange Limited and supported by Chapel Hill Denham Securities Limited, Central Securities and Clearing System, Cordros Securities Limited and Stanbic IBTC Limited,  provided insights into the benefits and objectives of the AELP, Pan African Payment and Settlement and other cross-border transaction requirements.

Applauding NGX for promoting the AELP initiative, Tsheole noted that although African economies have encountered numerous challenges, the continent’s resilience in the face of adversities underscores its potential for sustained economic resilience and initiatives such as the AELP are very vital for Africa to rely on itself as it presents a momentum of opportunities for investors across Africa and the world by fostering deeper integration and connectivity among Africa’s capital markets.

He said, “Having successfully launched phase one of the project in December 2022, connecting 7 exchanges across Africa, we urge Nigerian brokers in the process now to reach out to their counterparts in other countries and strive for expanded cross-border trading across the continent. We are looking at rolling out Phase 2 of the AELP in Q3 2023 as funding has already been approved by the African Development Bank.

“We will expand the number of participating exchanges to about 15 exchanges and we think this will enable investors in the continent to maximize and take advantage of the wide array of investment prospects across Africa.”

Earlier in his opening remark, the Chief Executive Officer, NGX, Temi Popoola, stated that despite offering high potential for growth and investment returns, African stock markets still face challenges.

He noted that the AELP will encourage increased participation in investments and further enhance financial inclusion in the country and added that the NGX will continue its collaboration with all market stakeholders for the collective growth and development of the capital market in Africa.

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