How does the Rwanda Stock Exchange (RSE) operate
Rwanda Stock Exchange serves as the primary platform for trading securities. The Central Exchange Depository System acts as a secure database where investors can hold their shares and bonds for trading purposes.
Additionally, the concept of over-the-counter trading allows for transactions to occur outside the official trading hours through direct negotiations between brokers. The clearing and settlement process on the RSE involves the transfer of securities ownership and funds between buyers and sellers, with deadlines set for final settlement reports and availability of funds in settlement accounts.
The Settlement bank shall notify relevant CSD participant settlement position to the CSD on T+1, 5.00 pm. CSD will submit to the Clearing Bank Settlement Instructions in respect of trades effected on trade day T on T+2, 9.00 a.m. It's crucial for CSD participants to ensure timely compliance with these settlement procedures to facilitate smooth trading operations.
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