Rwanda Wants to List its Firms on Nairobi Bourse

05 March 2004

The Rwanda government is considering listing some of its companies on the Nairobi Stock Exchange (NSE).

Rwandese Minister for Commerce, Tourism and Industry, Prof Nshuti Manasseh, who visited Kenya last month, however declined to name the companies. He said a policy to facilitate the cross-border listing was ready and the government was talking to the NSE about the issue.

Officials said that the companies likely to be listed were those in the process of privatisation, which started more than three years ago.

Prof Manasseh said the listing was meant to raise capital and broaden the companies' ownership. While Rwanda does not have a stock exchange, the privatisation drive has seen more than 50 per cent of state companies pass into private hands.

Prof Manasseh said his mission in Nairobi was to seek expert advice on how Rwanda could set up a stock exchange later in the year and how to use the NSE.

He said Rwanda was about to join the East African Community trading bloc and this would bring the country closer to the other three East African countries of Uganda, Kenya and Tanzania.

The three countries are in the process of integrating their securities markets, which have already seen limited cross-listings, a factor that makes it imperative for Rwanda to set up its own bourse.

Rwanda says that the setting up of a securities exchange will help to speed up the privatisation process.

Meanwhile, Rwanda last week signed a memorandum of understanding with the East African Community on co-operation in the sustainable management and utilisation of the Lake Victoria basin.

EAC Secretary General Amanya Mushega signed on behalf of the organisation, while Protais Mitali, Rwanda's Regional Co-operation Minister, signed on behalf of his country.