By Andualem Sisay Gessesse (Bujumbura, Burundi) – Linking and merging Ethiopian Commodity Exchange (ECX) with the East African Commodity Exchange (EAX), African countries are advised to introduce a single regional agricultural commodity exchange. He stated that Africa specifically the east Africa region has significant and various agricultural commodities which can be traded on a regional commodity exchange. Somalia, Comoros, Burundi, and Ethiopia are the top 4 countries in the region with a high share of agriculture in GDP. “The approach of merging all existing national commodity exchanges is aligned with the structure of most existing international commodity exchanges and will be cost efficient,” he said. Government interferenceOne of the most important governance conditions for a successful commodity exchange is the level of government interference in setting commodity market prices, according to Professor Issouf Soumare.

Source: News Business Ethiopia October 04, 2023 17:45 UTC