Finance

Savings holders want more opportunities on the BRVM

Monday, 20 December 2021 17:35
Savings holders want more opportunities on the BRVM

(Ecofin Agency) - The average value of transactions on the BRVM is now close to CFA2 billion ($3.3 million) as of December 17, 2021. Although this figure represents a real progression in this market, it remains low compared to other markets of the same size.

Twenty-five years after its creation, liquidity remains a challenge on the WAEMU Regional Securities Exchange (BRVM). A group of experts discussed the issue last December 18 in Cotonou, Benin, and came up with some proposals. Professor Lamine Mbengue of the Gaston Berger University in Saint-Louis, Senegal, believes that financial inclusion via mobile wallets could be a solution. Other experts call for greater awareness of stock market culture among issuers to have diversified products for investors and to increase the number of savings holders on the market. Another solution they came up with was to promote the regional stock market on the international capital market.

"We must convince international investors, showcase our dynamism, and attract them to our markets. We can do this through the indexes and securities of our market," according to Serges Ekue, President of the West African Development Bank (BOAD), who participated in the discussions.

Speaking about the liquidity issue, an expert said: “there is always a demand that is not satisfied. The liquidity of security also depends on its availability. In both the bond and equity segments, what we see is that demand in the secondary market is not always met, and we have a trend ratio that is permanently above 100%. If capital seeking investment does not find any opportunities, it will look for other solutions elsewhere.”

This particular point seems to be a priority for the BRVM management team. Work is reportedly underway to diversify the range of financial products on the market to attract more savings. In addition, the Central Bank of WAEMU (BCEAO) is leading the process of transforming monetary cooperation, which should affect overall liquidity within the WAEMU economy.

This year, the BRVM composite (the main index) has a potential gain of 34.5%, according to the most recent data. Overall, the regional market has maintained an average return of 6.18% in a context where inflation does not exceed 3%.



 
Telecom


 
Public Management


Ecofin Agency covers the news from 9 business sectors in Africa: Public management, Finance, ICT, Agribusiness, Electricity, Mining, Oil and Gas, Comms and Laws. Ecofin Agency is also creating and management specialized medias, in paper and on the web/social networks, for institutions or African publishers.

AGENCE ECOFIN

Mediamania Sarl
Rue du Léman, 6
1201 Genève
Tél: +41 22 301 96 11

REDACTION
redaction@agenceecofin.com

Public management
Aaron AKINOCHO
Borgia KOBRI
Moutiou ADJIBI

Finance
Idriss LINGE
Walid KEFI
Chamberline MOKO

Agribusiness
Espoir OLODO

Electricity
Gwladys JOHNSON

Oil and Gas
Olivier DE SOUZA

Mining
Louis-Nino KANSOUN

ITC 
Muriel EDJO

Comms
Servan AHOUGNON

Cameroon
Brice R. MBODIAM
Sylvain ANDZONGO
Monique MAY
Julienne Rose SENDE

Togo
Fiacre E. KAKPO
Waliyullah TAJUDEEN
Séna AKODA

Niger
Sandrine GAINGNE

Gabon
Stephane BILLE
Pierre-Celestin ATANGANA

Desk
Stéphane ALIDJINOU
Souha TOURE
Vahid CODJIA
Diane ZODEHOUGAN
Hikmatu BILALI

Translation
Schadrac AKINOCHO
Mouka MEZONLIN
Firmine AÏZAN



Digital
Omar SOKHNA
Mamadou DIOP
Bacary MANE
Abdel Razak MOULIOM

Digital Marketing
Jérémie FLAUX
Geraud ACHI
Jean Christian BERNARD
Franck FOUTE

Web publishing
Bakoly RAHARISOA
Rina RAMANANDRAISOA
Hasina RAJEMISON

Development
Dominique FLAUX

 


 
REGIE COMMERCIALE
AGENCE ECOFIN
Rue du Léman, 6
1201 Genève
Tél: +41 22 301 96 11
Fax: +41 22 301 96 10

Benjamin FLAUX
bf@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72

Voir page 
Nos services
 

 










 



Ecofin Agency is a news agency for economic and sectorial information. It was created in 2010 and it website was launched in June 2011.

Please publish modules in offcanvas position.