WEF Global Competitiveness Report 2013-2014: South Africa ranks first in regulation of securities exchanges

September 12, 2013


 

Johannesburg, 4th September 2013 – The latest World Economic Forum (WEF) Global Competiveness Report ranks South Africa first out of 148 countries for regulation of securities exchanges for the fourth consecutive year. This, together with several other elements of the report, points to the country’s exchange as a sound environment in which to invest.

“We are very pleased with this accolade for South Africa, which indicates that the Johannesburg Stock Exchange (JSE) is a secure and credible environment to raise capital and in which to invest,” says Director of Issuer Regulation John Burke. “Investors, regardless of size, can have a high level of comfort when using the exchange. This ranking is also testament the JSE and Financial Services Board (FSB)’s sound working relationship.” The country’s securities market regulators are the JSE and its regulator, the Financial Services Board.

Other elements of the report which should give investors comfort are South Africa’s first place rankings for strength of auditing and reporting standards; efficacy of corporate boards; and the protection of minority shareholders’ interests. This is the first time that South Africa has achieved a first place ranking for protection of minority shareholders’ interests.

Another key ranking is South Africa’s second place for financing through the local equity market, moving up from third place last year. “South Africa has access to deep pools of capital both from our well-developed local investment community and high participation of foreign investors. This makes the exchange an ideal destination to raise capital for development in the region,” adds Burke.

South Africa’s financial market development ranking remains impressive at third place.
Overall, South Africa ranked number 53 in the survey out of 148 economies from number 52 last year (when 144 countries were assessed).

Released annually in September, the report rates countries according to 12 pillars or sets of criteria. This includes competitiveness in terms of quality of infrastructure and institutions, efficiency, market sophistication as well as capacity for innovation amongst others. Regulation of securities exchanges falls under the eighth pillar for financial market development.

To view or download the full report, please visit http://www.weforum.org

ENDS

Issued on behalf of:

Nicky Newton-King
CEO JSE Ltd

For media enquiries please contact:

Victoria Williams / Thamari Kally H+K Strategies South Africa
Tel: +27 11 463 2198
Cell: +27 72 452 1772 Cell: +27 72 921 3520
Email: victoria@corpcom.co.za  Email: rozt@corpcom.co.za  

About JSE Limited
As South Africa’s only full service securities exchange, the JSE connects buyers and sellers in four different financial markets, namely equities, equity derivatives, commodities derivatives and interest rate instruments. The JSE Ltd offers the investor a first world trading environment, with world class technology, surveillance and settlement in an emerging market context. It is amongst the top 20 largest equities exchanges in terms of market capitalisation in the world.
For further information, please visit www.jse.co.za