Big Step for Small Country

Nestled among the negative headlines of Mauritanian suicide bombers and continued unrest in Kenya was a bright spot of news from the Continent as Rwanda announced the opening of its first stock market. As reported by the BBC:

The central bank of Rwanda has launched its own securities exchange in the country's capital, Kigali.

Initially it will deal in corporate and treasury bonds, but the Bank says it will include other products such as shares as the operation develops. Upon opening the Rwanda Capital Market, President Paul Kagame described it as a milestone for the nation. The hope is that the exchange will aid the economy, which has yet to bounce back after the 1994 genocide. "It's an important achievement which will provide the business community with a second option to financing that is long term and which will inevitably add great value to our economy," President Kagame said.

Earlier this evening I had the pleasure of hearing a talk given by Roben Farzad, the author of the December Business Week cover story 'Can Greed Save Africa' who noted that in the wake of what's happened in Kenya in the past few weeks, Africa needs a "shining example" of positive economic development based on investment. Perhaps the Rwandan stock exchange will be the economic spark of a growing financial bonfire in East Africa. Let's hope so!