Caribbean Investment IQ December 2013 | Page 58

C. Wainwright Iton General Manager and Chief Executive Officer Trinidad & Tobago Stock Exchange (TTSE) Can Caribbean Governments through a divestment/privatisation policy help develop Caribbean capital markets? Capital markets and more specifically stock (securities) markets are relatively speaking, fledgling institutions in the Caribbean. Introduction Capital markets and more specifically stock (securities) markets are relatively speaking, fledgling institutions in the Caribbean. The oldest stock exchange in the English speaking Caribbean is the Jamaica Stock Exchange (JSE), which dates back to 1969; the Trinidad and Tobago Stock Exchange (TTSE) was established in 1981; the Barbados Securities Exchange (BSE) in 1987; and the Eastern Caribbean Securities Exchange (ECSE) 2001. By Table 1: comparison, the New York Stock Exchange (NYSE) dates back to 1792 and the London Stock Exchange is more than 300 years old. Growth and development over the years have been tough; nevertheless Caribbean Stock (Securities) Exchanges continue to make an important contribution to daily economic life in the region. Table 1 shows some relevant statistics. Stock Exchanges in the Caribbean Exchange Initial Trading Date Number of Listed Equities Market Capitalisation as at October 31st, 2013 First Tier Local Currency Billion Second Tier Nominal GDP (US Billion) Market Cap/ GDP USD Billion TTSE Oct. 1981 29 2 113,409 17,593 23.8 74% JSE Feb.1969 33 19 491,760 4,681 15.3 31% 1987 20 10,940 5,393 4.5 120% Oct. 2001 13 11.70 4.30 5.4 80% BSE OECS Source: TTSE, JSE, BSE, ECSE 58 Caribbean Investment iQ December 2013