The government-approved privatisation of state-owned companies will lead, from July to the emergence of a stock market in Angola, the chairman of the board of the Angola Debt and Stock Exchange (Bodiva) said on Thursday in Luanda.
Patrício Vilares, presenting the report and accounts of Bodiva for 2018, said that the stock market will work with new multilateral trading and post-trading systems, which will start operating in July.
In addition to the privatisation of public companies, the CEO of Bodiva said there were private companies that had already started to prepare their Initial Public Offerings (IPOs).
Vilares also said the new multilateral systems will allow the start of the Repo (repurchase agreements) market, under which an intermediary sells a bond to an investor, usually for one day, and buys them back at the end of that period.
Bodiva, established in July 2014, has so far been limited to trading Treasury bonds or debt instruments issued by the Ministry of Finance.
The Angolan Debt and Securities Exchange posted a net result after tax of 916.83 billion kwanzas (US$2.8 million) in 2018, a rise of 56.7% against the 585.08 billion kwanzas recorded in 2017. (Macauhub)