The capital Markets of KenyaAuthority has urged stakeholders to support the development of a regionally integrated market to meet the growing demand for capital in East Africa.Acting chief executive Paul Muthaura said demand for capital to fund infrastructure growth and development in the region is high. Muthaura attributed the increased demand for capital to a strong desire by East African Community (EAC) member states to attain middle-income status.“It is evident that no single jurisdiction is likely to have the level of liquidity to fully fund the aspirations of our Visions and therefore it is critical to support the development of a regionally integrated market to widen access and pool funds,” he said.The regional heads of capital markets in Uganda, Tanzania, Rwanda, and Burundi have been in talks to develop mechanisms to integrate the region’s capital markets, while strengthening regional surveillance.Muthaura said the new drive for a unified markets is informed by convergence among the regional regulators.This, he said, has been on-going under the umbrella of the East African Member States Securities Regulatory Authority, which was established in 1997.Muthaura was speaking during a bell ringing ceremony to mark the official listing of 1.6 billion shares of Umeme Ltd, the largest electricity distribution company in Uganda, on the Nairobi Securities Exchange yesterday.Umeme was listed on the Uganda Securities Exchange on November 30. Umeme is the first international company to cross-list shares at the NSE.The listing of the shares follows a successful initial public offer which was oversubscribed by 37 per cent, with particular demand from East African institutions and Ugandan retail customers. “The timing of the listing sends positive message of confidence in order to close the year on a high,” said Muthaura.He said the transaction fully embodied the vision of the EAC Treaty of creating a single market for financial instruments in the region.
