JOHANNESBURG (Commodity Online): Finally, the entire African region is all set to have a common commodity exchange where even diamonds ill be traded.

The pan-African commodity and derivatives exchange, which is called Bourse Africa, will be fully operational in 2010.

The Gaborone-based exchange will take part in the $320 billion annual African commodity trade, including diamonds.

The exchange will offer multi-asset class trading in commodities, currencies, bonds and diamonds.

Currently there is no commodity diamond trading in the format that other commodities such as gold are traded, though there were a number of attempts to do so in the past.

Bourse Africa will serve African and international financial and commodity market participants and investors by providing opportunities for physical delivery and procurement as well as hedging and investment.

The exchange has an initial investment of $100 million and will have subsidiary markets in major African commodity producing countries.

Multi Commodities Exchanges of India (MCX India) operator Financial Technologies is the driving force behind the project. It also operates the Dubai Gold and Commodity Exchange (DGCX) and the Global Board of Trade in Mauritius (GBOT).

Botswana International Financial Services Centre (IFSC) has accredited Bourse Africa and has since secured the support of the Botswana government.