Powering Africa's access to Capital Markets

Powering Africa's access to Capital Markets

Highlights include:

  • The listing of Kenya’s first Green Kenyan Shilling bond issued by Acorn Holdings, attended by H.E. President Uhuru Kenyatta
  • Signing of a Memorandum of Understanding between the Ghana Stock Exchange & LSEG, attended by H.E. President Nana Akufo-Addo
  • International Bank for Reconstruction & Development’s first Rwandan Franc bond, attended by Jingdong Hua, Vice President & Treasurer of the World Bank
  • Expansion of our partnership with African Development Bank and a reception for ‘Companies to Inspire Africa 2019 - One Year On’

UK-Africa Investment Summit
London Stock Exchange was honoured to host a number of dignitaries and events supporting Africa’s access to Capital Markets in conjunction with the UK-Africa Investment Summit, hosted by Prime Minister Boris Johnson this month. The summit was attended by over 15 heads of state from Africa to showcase and promote investment opportunities across Africa.

During the week, London Stock Exchange hosted President Kenyatta of the Republic of Kenya, to celebrate Acorn Holding’s first local currency (KES) green bond transaction. The KES 4.3 billion MTN programme, partially guaranteed by GuarantCo, will be used to finance the construction of green-certified student properties and to create clean, safe and affordable accommodation for 5,000 students in Nairobi. The deal marks a step forward in opening Africa’s local currency bond markets to international investors and promoting sustainable finance.

We also hosted the Governor of the National Bank of Rwanda, John Rwangombwa and Jingdong Hua, Treasurer of the World Bank Group, to celebrate the issuance of the first Rwandan Franc transaction on London’s markets from International Bank for Reconstruction and Development (IBRD). The three-year RWF-denominated bond raised approximately $40 mn. The transaction will contribute in development of Rwanda’s local capital markets, providing a unique opportunity for international investors to access the economic potential of Rwanda.

President Nana Akufo-Addo of Ghana visited London Stock Exchange for the signing of a Memorandum of Understanding between the Ghana Stock Exchange and London Stock Exchange.

London Stock Exchange welcomed the President Dr. Akinwumi Adesina of African Development Bank (AfDB) for a Market Open Ceremony expanding our collaboration and engagement with AfDB on capital markets development. The reception in London followed the African Development Bank’s Africa Investment Forum, the Bank’s innovative market-place for accelerating investment into the continent, playing a valuable role in convening investors and corporates and removing the bottlenecks to investments and enabling a free flow of long-term capital. Looking ahead, the Bank chief said it would be working with LSEG’s Africa Advisory Group (LAAG) to attract a bigger share of the $5 trillion global Exchange Traded Fund Assets under management into African capital markets.

“...today marks the beginning of a new exiting, strategic, and impactful engagement between the African Development Bank and London Stock Exchange to jointly expand wealth creation in Africa and the UK.
AfDB President Akinwumi Adesina

London Stock Exchange Debt Capital Markets – Supporting Africa
Currently, 57 bonds are listed on London Stock Exchange’s markets from 15 different issuers from Africa that have raised a total of $58 billion in 6 different currencies. This includes sovereign bonds from Angola, Ghana, Kenya and Nigeria. London Stock Exchange is committed to strengthening African capital markets through collaborative partnerships, for example:

  • LSEG has, to date, published two “Companies to Inspire Africa” reports (2017 and 2019), aimed at profiling some of Africa’s most exciting high growth businesses.
  • Forming the LSEG African Advisory Group (LAAG) to act as a forum for discussing the development of Africa’s capital market. Read more about LAAG here.
  • Partnerships with Johannesburg Stock Exchange, Nigeria Stock Exchange and Botswana Stock Exchange to provide trading software and clearing technology.

To find out more, watch our 2019 Debt Capital Markets highlights or take a look at the Debt Capital Markets Update - Quarterly & Full Year 2019.