EDITORIAL: Capital markets forum will boost the sector

Rwanda will next week host the first international conference on capital markets in East Africa. This comes at a time when government has been deeply involved with sensitising the public about the benefits of investing in shares and government paper like treasury bills. The conference, that will attract global and regional sector experts as well as representatives of financial institutions, among others, is a timely opportunity for government and sector players to further popularise capital markets among Rwandans as an investment vehicle to help them expand their sources of income. This would augment last year’s efforts by the Ministry of Finance and Economic Planning, and the Capital Markets Authority, which saw a number of savings and credit co-operative societies (Saccos) bidding for TBs issued in December. A total of 10 Saccos participated in the last bond issue, up from just three in August, a sign that ordinary Rwandans have started to appreciate the bourse as an avenue to grow their revenue streams. Therefore, it is important to build on this achievement because capital markets and commodities exchange have the potential to help lift ordinary people, like farmers and SMEs, out of poverty and hence boost the country’s development. In fact, one of the main issues that will be discussed at the forum is how regional countries can use capital markets to accelerate economic development. They are also essential as far as creating a foundation for long-term and inclusive economic growth is concerned. The Rwanda Stock Exchange has, since inception in 2006, been looking for new ways to strengthen the sector, as well as encourage Rwandans to invest in shares and government instruments. This meeting of sector experts and stakeholders could, therefore, be used to further bolster these efforts and grow local industry.

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EDITORIAL: Capital markets forum will boost the sector