Instimatch Global and Frontclear Partner to Advance Electronic Repo Trading Infrastructure in Africa

February 16, 2024 - Instimatch Global AG has announced a collaboration with Frontclear, aimed at revolutionizing electronic repo trading in Africa. This partnership is set to introduce an integrated global repo trading solution designed to foster the development of an efficient money market in emerging economies, facilitating their integration into the global financial system and promoting trade and investment.

 

Adrian Edelmann, CEO, Instimatch Global AG

 

 

Adrian Edelmann, CEO of Instimatch Global AG, emphasized the partnership's goal: “Our joint vision is to create an inclusive money market system in Africa, providing access to a significant depth of local liquidity and a range of global counterparties. Together we can offer a standardised and negotiable trading workflow for interbank transactions on Frontclear’s Tradeclear platform, whereby Frontclear can enhance liquidity on the platform via credit risk guarantees and principal trading capabilities.”

 

Philip Buyskes, CEO, Frontclear

 

 

Philip Buyskes, CEO of Frontclear, highlighted the importance of robust money markets: “Money markets are the most fundamental layer of financial markets, supporting maturity transformation and responsible lending practices of banks, deepening of government security markets, and allowing for effective transmission of monetary policy signals. We are delighted to partner with Instimatch Global to implement our common vision.”

 

The Tradeclear platform, underpinned by Instimatch Global AG’s cutting-edge technology and guaranteed by Frontclear, aims to create stable and inclusive money markets. 

 

The platform will offer:

 

 ▪️ Access to both domestic and international interbank markets for African financial institutions, facilitating global counterparties’ engagement with local entities.

 

 ▪️ Improved liquidity and pricing through enhanced price discovery and matching processes, reducing market frictions.

 

 ▪️ Increased market transparency by providing valuable data on the African repo market, improving surveillance, oversight, and compliance.

 

 ▪️ Enhanced efficiency by automating and integrating repo trading processes, ensuring the African repo market's compatibility with other financial instruments and markets.

 

The platform is scheduled to launch in Uganda in Q1 2024 and Zambia in Q3 2024, following Frontclear's comprehensive technical assistance aimed at overcoming market development challenges.