CME Group’s EBS says it has conducted the first ever African NDF trade on a central limit order book (CLOB) trading platform with a one-month dollar-Kenyan shilling NDF executed on EBS Market between Bank of America and Citi.
The firm says it has also added one-month pairs for the dollar against the Nigerian naira, the Zambian kwacha and the Ghanaian cedi “following client interest” to trade the pairs electronically. Typically trading in African currencies has been conducted on a bilateral basis via voice brokers, direct channels or Refinitiv’s Dealing platform.
“As capital markets in Africa continue to evolve, EBS is well positioned to support the switch to a fully electronic solution, with genuine liquidity and trades executed anonymously between market participants on our CLOB platform,” says Jeff Ward, global head of EBS. “Having successfully grown our Asian NDF franchise over the past five years, we see huge opportunity in expanding into African NDFs and will work with clients to build liquidity and add further currency pairs in the near future.”