News Type: News

Kenya’s CMA to benefit from £1.1m FSDA TA programme to strengthen capacity

Posted on by TIMOTHYRADIER

FSD Africa and the Capital Markets Authority of Kenya (CMA) are pleased to announce a strategic partnership to strengthen the CMA’s institutional and staff capacity to support the development of Kenya’s capital markets.  FSD Africa will invest £1.1 million over three years in a technical assistance programme. The investment will be substantially matched by the CMA itself.

The partnership will ensure that the CMA has the resources it needs to enable it to meet a number of the strategic objectives set out in the ten-year “http://www.cma.or.ke/index.php?option=com_docman&task=doc_download&gid=293&Itemid=102″>Capital Markets Master Plan (2014-2023) (CMMP) adopted by industry and the Government of Kenya.  The CMMP aims to position Kenya as an international financial centre and a regional hub for capital markets investments in Africa.

The technical assistance programme focuses in particular on strengthening the CMA’s institutional capacity and developing staff skills.  It also aims to: facilitate the promotion of Islamic finance (in capital markets and other parts of the financial industry); support the implementation of corporate governance reforms; and help raise professional standards across the capital markets industry.  In addition, the partnership will allow the CMA to encourage capital markets integration across the East African Community (EAC) by providing funding for projects carried out jointly between EAC member states.

We strongly welcome the collaborative nature of the relationship we have with FSD Africa, which is aligned to the full implementation of the Capital Markets Master hrough the provision of complementary resources and facilitating access to top quality global expertise to support excellence in the delivery of the Authority’s mandate.

Paul Muthaura, Acting CEO of CMA

 

Well-functioning capital markets can play a vital role in driving economic growth and reducing poverty by encouraging investment and providing access to long-term capital.  We are delighted to have the opportunity of working with the CMA on this programme which we believe will boost innovation in Kenya’s capital markets and further strengthen investor confidence.

Mark Napier, Director of FSD Africa

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“Going for inclusive growth – building capital market capacity for the ling-term in Tanzania”

Posted on by Kihingu Inc

With support from FSD Tanzania, FSD Africa worked with the London Stock Exchange (LSEG) Academy in 2014 to build capacity within Tanzania’s capital markets through targeted skills development.

Starting in January 2014, three phases of training were delivered to 103 professionals from the Dar Es Salaam Stock Exchange (DSE), Capital Markets & Securities Association (CMSA), Office of the Prime Minister, Ministry of Finance and a range of local brokers. To help achieve a lasting impact, LSEG Academy trainers also trained 14 Tanzanian trainers from local institutions such as the University of Dar Es Salaam and the University of Dodoma.

The training rated well, scoring an average of 4.8/5 on overall satisfaction. Evidence indicates that knowledge and expertise has increased. In Phase 2 and 3, practitioner test scores increased from 58% and 69% on entry to 84% and 77% on exit respectively.

A more detailed evaluation shows promising signs of s on the wider capital market system. In September 2014, the CMSA signed an MoU with London-based Chartered Institute for Securities & Investment (CISI), which will accelerate the development of a new capital market qualification for East Africa. There are also signs of replication. Again in September 2014, the LSEG Academy was separately contracted by a Tanzanian broker to deliver a training course to 15 participants on the post trade environment.

Between January and December 2014, the DSE reported an increase in total market capitalisation of 30%, 2 listings and an increase in market liquidity. According to the DSE CEO, Moremi Marwa: ‘our partnership with the UK is now moving away from aid towards trade and investment