The Ghana Stock Exchange (GSE) has hinted to Citi Business News that it will suspend the introduction of market making in Ghana.
“We needed to step back a little” Managing director of the Ghana Stock Exchange, Kofi Yamoah said.
Market making will allow registered individuals or companies to hold a substantial amount of shareholdings in listed companies providing a two way quote with the prime objective of making the shares available for trade in order to improve liquidity on the stock exchange.
The Exchange had earlier told Citi Business News the rules would be ready by the end of the first quarter if this year for onward submission to the Securities and Exchange Commission (SEC) for approval.
But Kofi Yamoah tells Citi Business News they have had to suspend the process to make rules that are aligned with the integration of the West African Stock Exchanges.
“We needed to step back a little because in reviewing all our rules, we now need to conform with the discussions that is going on under the integration. Whatever rules we come up with must conform with the integration agenda and so we needed to step back a little”, he said.
According to him “it will run alongside the integration effort because under the integration, we need to have common rules as far as listing is concerned. All the rules that we have to come up with must be alongside what integration is thinking about.”
Nigeria in April 2012 authorized ten dealer brokers to make market on the Nigeria Stock Exchange.
Anim Kwaku Boadu