Although it experienced significant improvement after its merger with the Douala Stock Exchange, the Central African Stock Exchange (Bvmac) is still far from reflecting the ambitions and dynamism that was predicted for it. Certainly, the stock exchange common to the 6 countries of the economic and monetary community of Central Africa (Cemac) now has 6 companies listed on the equity compartment, as well as a market capitalization of 460 billion, (compared to less than 150 billion in time of the merger of the two stock exchanges, editor’s note), but it still has difficulty attracting individuals. For example, in a market with more than 60 million potential investors, only 8,512 people have a securities account. Louis Banga Ntolo, general manager of Bvmac, is aware that despite some significant progress, many efforts still need to be made to boost the stock market, but also attract a diverse range of investors.
To achieve this, this specialist experienced in the subtleties of the sub-regional financial market has already developed his Marshall plan. It intends in particular to rely on mobile money services, very popular with the populations of the sub-region. “Position the Wallet as a method of payment for listed financial assets. This will make financial assets listed on the stock exchange accessible to a wide range of people, including those who only have wallets (mobile money) as a method of payment. We want to take advantage of the mobile penetration rate which is very high», he confided to our colleagues at Sikafinance. The objective is simple, to allow those who have a Mobile money account to take part in saving on securities. “If we succeed in this, we believe that the figures mentioned above should be multiplied by 1000. We also recall that electronic money benefits from a legal framework from the central bank, therefore it is a means of payment which is secure and which is transparent“, he added.
Louis Banga Ntolo also thought of a reform which, beyond attracting new investors, could also contribute to exponentially increasing the purchase of shares listed on Bvmac. This involves splitting the value of the securities, “to allow people to access the assets of large companies, at a low entry price“, he clarified. It should be remembered that at Bvmac the price of listed shares fluctuates between 20,000 CFA francs and 200,000 CFA francs. Prices which are not always up to all budgets. However, for such a reform to come into force, clearance must first be obtained from the companies. Louis Banga Ntolo intends to carry out consultations with the latter, in order to facilitate the implementation of this reform which, according to him, contributes to financial inclusion.
Although laudable, the reforms proposed by Bvmac must still be approved by the Central African Financial Market Surveillance Commission (Cosumaf).
