Nairobi, April 7 -- East African stock market chief executives are considering a policy shift to allow them issue debt instruments in hard currency to open competition with commercial banks over the issuance of foreign currency denominated loans to companies largely involved in international trade.

The proposal which regional central banks are still jittery to approve, seeks to allow companies to raise fresh capital from the capital markets by issuing bonds denominated in hard currency and particularly the US dollar.

The East African Stock Exchanges Association (EASEA) says this will cushion issuers and investors from massive exposure on local currency risks where foreign investors and companies dealing in international trade absorb exc...