By KPC Reporter
Regional experts from East African Community (EAC) Partner States have renewed calls for urgent legal and regulatory reforms to fast-track cross-border trading of government securities.
The call followed a high-level meeting in Kigali, Rwanda, which brought together representatives from Ministries of Finance, Central Banks, Capital Markets Authorities, Securities Exchanges, and the EAC Secretariat to review progress and chart the next phase of regional financial integration.
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Opening the session, Dr. Moise Bigirimana of the National Bank of Rwanda underscored the importance of a unified approach in driving the initiative forward.
“A coordinated regional approach is essential for the successful implementation of cross-border trading of government securities,” said Dr. Bigirimana.
“I urge Partner States to fully implement the Council Directives within their national legal and regulatory frameworks.”
He added that institutions must align internal systems to support seamless trading, while the Regional Technical Working Group should remain a hub for peer learning and knowledge sharing.
The Kigali meeting built on earlier engagements where experts identified key pillars for cross-border trading, including robust market infrastructure and the adoption of a regional trading model.
Participants assessed whether existing EAC Council Directives on Securities Markets are still fit for purpose.
Chairing the session, Dickson Ssembuya of Uganda’s Capital Markets Authority highlighted the need to align regional markets with global standards, noting that integration challenges faced by the EAC are not unique.
“The free movement of capital, as provided for under the EAC Common Market Protocol, remains one of the most important commitments made by Partner States,” said Ssembuya. “Many of the challenges we face are not unique, and we can learn valuable lessons from other regional blocs.”
The Council Directives, originally gazetted between 2015 and 2017, were designed to harmonize rules across securities markets in the region.
However, stakeholders agreed that the framework now requires updating to reflect technological advancements, evolving market dynamics, and international best practices.
During the meeting, the Regional Technical and Legal Working Group conducted a comprehensive review of key directives governing securities markets.
These included rules on admission to trading on secondary exchanges, public debt offers, regional listings, central securities depositories, and securities exchanges.
The review generated a set of recommendations aimed at improving legal clarity, strengthening regulatory alignment, harmonizing market practices, and accelerating integration across EAC capital markets.
The Technical Working Group is now expected to submit its proposals to key regional bodies, including the Monetary Affairs Committee, the Committee on Fiscal Affairs, and the Capital Markets, Insurance and Pensions Committee for consideration.
Once approved, the EAC Secretariat will work with Partner States to implement the revised directives, paving the way for more efficient cross-border trading of government securities and deeper regional financial integration.
