The Zambian Kwacha has broken new ground after it was listed on the Johannesburg Stock Exchange (JSE) on Friday as one of the three African currencies in which investors, as well as importers and exporters will now be able to protect themselves against currency fluctuations in the three countries.
The listing of the Kwacha, together with the Kenyan Shilling and the Nigerian Naira, was launched at a ceremony held at the JSE in Johannesburg.
The JSE officially started trading in the three currencies at 09.00 am immediately after representatives from the three countries took part in celebrating the trade opening bell.
This development means that market participants wherever they may be around the world are guaranteed a future price for a specific commodity.
Zambia’s Deputy High Commissioner to South Africa, Joe Kaunda who represented Zambia at trade opening bell occasion, has described the launch as a momentous occasion especially that it was happening barely three weeks before Zambia celebrates her Independence Golden Jubilee.
Mr. Kaunda says the development is a milestone and confirmed the confidence that the international markets had in Zambia’s economy and its leadership.
And JSE General Manager for Capital Markets, Warren Geers says the day has marked a ground-breaking initiative in that the JSE had finally managed to launch the African currency listing after having worked on the idea for two years.
Lusaka Stock Exchange (LuSE) Chief Executive Officer, Mr. Brian Tembo, who was also in attendance, hailed JSE for the initiative and disclosed that LuSE that LuSE Is working on introducing such measures through collaboration with the South African stock exchange.
Meanwhile Barclays Bank vice-president for Sub-Saharan African Trading, Lourens Harmse notes that the economic growth rates for Zambia, Kenya and Nigeria were among the highest in the world and signs were that the trend would continue for years to come as investment into Africa continued.
Head for Tradition Futures, Mr. Andrew Gillespie said it was a ground-breaking development to have a transparent, independent and well-regulated platform from which to mitigate or assume foreign exchange risk in the three African countries.
The JSE had partnered with Barclays Africa and specialist brokers, Tradition Futures, in working on this initiative.
This is contained in statement released to Qfm News Press Secretary at the Zambia mission in South Africa Nicky Shabolyo.