Bourse Africa is a commodity spot and derivatives exchange to offer multi-asset class trading in commodities, currencies, bonds and diamonds, under the regulatory framework of the Non-Bank Financial Institutions Regulatory Authority (NBFIRA). The exchange will have a pan-Africa presence through a hub and spoke model that will connect all the major countries in Africa. Operating out of Botswana, Bourse Africa is accredited to the Botswana International Financial Services Centre (IFSC).
Bourse Africa will serve financial and commodity market participants and investors, both African and international, to provide opportunities for physical delivery and procurement as well as hedging, arbitrage and investment. The exchange will catalyse improved performance in African commodity and financial markets through enhancing price discovery, market transparency, risk management, cross-border economic integration, finance and investment on the Continent. Financial Technologies (India) Limited (FTIL) group has inked a deal to acquire a 60 per cent stake in Bourse Africa Limited. MCX is Bourse Africa’s strategic domain partner.
Financial Technologies operates one of the world’s largest exchange network connecting deep, vibrant and liquid financial markets in the fast-growing economies of Africa, Middle East, Central Asia, India and other Asian countries. It has 10 exchanges (including Bourse Africa) and 7 ecosystem ventures. MCX is India’s number one commodity exchange and amongst the ten largest exchanges of the world.
Other financial services ecosystems that are planned to be set up include a Clearing Corporation, Warehouse Receipt Corporation and Depository services.