The
The objective is to demonstrate current situations and how nations might strengthen market structures to support investor access and sustainable growth.
The index rates nations based on six criteria:
- macroeconomic opportunity
- market depth
- access to foreign exchange
- tax and regulatory environment
- market transparency
- the capacity of local investors
- enforceability of financial contracts
Despite the index's performance being hampered by challenging market conditions, 19 of the 26 countries ranked higher than they did the year before, according to the report.
This was partly because of the widespread development of sustainable financial markets, which are becoming more significant to international investors.
According to the survey,
They have strengthened their market frameworks for governance, social issues, and the environment.
In
Greater product diversification has improved rankings for most nations, including
- The
Absa Group and OMFIF recently launched the Absa Africa Financial Markets Index 2022 report, which assesses the growth of the financial markets in 26 countries - This year, the index was still developing. With the inclusion of
Madagascar , theDemocratic Republic of the Congo , andZimbabwe , the number of nations now covered has increased to 26 - The research demonstrates how nations have improved market infrastructure, transparency, and regulation by utilising new technology without directly affecting scores
The sixth edition of the Absa Africa Financial Markets Index offers a comprehensive snapshot of the continent's financial markets. This year, the index was still developing; with the inclusion of
The ranking also acknowledges how digital initiatives and innovations have helped the growth of the African financial market.
The research demonstrates how nations have improved market infrastructure, transparency, and regulation by utilising new technology without directly affecting scores.
It also provides information on numerous programmes for financial inclusion that contribute to expanding the domestic investor base. For
Major conclusions include:
This year, the top three nations are still
There are 17 countries in the index with sustainability-focused policies, an increase of 5 from the previous year.
Overall AFMI scores, 2022 vs 2021
The sufficiency of foreign exchange (FX) reserves has generally decreased from the previous year. Ten African Finance Markets Initiative (AFMI) nations will each get
Note: 2021 scores may differ from those released in AFMI last year since they consider newly available data and methodological adjustments.
According to capital market mechanisms that actively direct sufficient risk pricing,
Numerous sites could be developed. To further these beneficial reforms, the private sector must exert unrelenting efforts alongside the
According to
"Now in its sixth year, this index has spurred market transparency, improved policy-making, and enabled the development of
The index was also well-received by influential international decision-makers. The 2022 Absa Africa Financial Markets Index, with improved geographic coverage and thematic scope, serves as a crucial tool for legislation and regulators in developing financial markets on the African continent, according to
It offers an in-depth comparative assessment to aid in the formation of policies for the long-term growth of the financial market.
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