[Kenya] Nairobi Securities Exchange integrates its bond system with Refinitiv’s FICO
The Nairobi Securities Exchange announced the successful integration of its bond system with Refinitiv’s Fixed Income Call Outs application (FICO), an automated workflow that facilitates negotiations and agreements of fixed Income bonds trading terms among Kenyan banks, brokerage firms and the Central Securities Depository (CSD).
The integration will facilitate seamless trading of fixed income transactions supporting accurate price discovery, enhanced market liquidity, improved trade negotiations and execution as well as an enhanced trade cycle process. Equally, the integration will support enhanced monitoring and transparency which will lead to increased trading and operational efficiency.
Market players will benefit from certainty of executions as well as leverage on the integration to access and process real time and historical data on fixed incomes transactions. Similarly, the integration will lead to reduced costs by eliminating cost duplication of related work and manual interventions. The adoption of Refinitiv’s FICO makes Kenya one of the first frontier markets globally to deploy an automated Over the Counter (OTC) FI workflow that integrates with both the securities exchange and the CSD.
Geoffrey Odundo, Chief Executive, Nairobi Securities Exchange, said, “We are pleased to offer investors and market participants an automated trading workflow that will improve trade life cycle, reduce operational risks and encourage price discovery and transparency in the bond market. This integration underscores our commitment to offer best-in-class infrastructure solutions for efficient trading and clearing of financial markets transactions and adoption of global best practices as we seek to position NSE as the region’s leading financial infrastructure provider.”
Nadim Najjar, Managing Director, Middle East and Africa, Refinitiv, said, “We are proud to partner with the NSE and the local regulators to foster transparency, latency and liquidity. Refinitiv Fixed Income Callouts will allow market participants to benefit from real-time price discovery across bonds and bills. The Kenyan financial markets have seen significant growth over the past few years. This partnership reinforces our commitment to enable the local regulators and financial community with advanced technologies and workflows. The adoption of Refinitiv Fixed Income Callouts will create an effective market infrastructure, build greater long-term confidence amongst investors, and ensure strong governance processes.”