FEDERATION OF EURO-ASIAN STOCK EXCHANGES
SEMI ANNUAL REPORT OCTOBER 2006
MONTENEGRO STOCK EXCHANGE
Dejana Suskavcevic
CEO
Although young, the Montenegrin stock
market is characterized by the extraordinary
performances of development and the
achieved results. Through the growth of the
MOSTE index, that has continued growing,
the multiple growth of the daily number of
the transactions and the profit gained, the
year has been marked with a great numbers
of investors, foreign ones as well as national
ones that have significantly influenced the
liquidity of the market. The opening of the
Montenegrin companies for the public eye
and the arrival to the elevation of the official
HISTORY AND DEVELOPMENT
The Montenegro Stock Exchange (MSE) was
set up in June 1993 pursuant to the Act on
Money and Capital Markets (1989). The first
founder-members were the four Montenegrin
banks: Montenegrobanka a.d. Podgorica,
Pljevaljska banka a.d. Pljevlja, Beranska
banka a.d. Berane, Hipotekarna banka a.d.
Podgorica, and the Republic of Montenegro,
i.e. Montenegrin Agency for Economic
Restructuring and Foreign Investments.
On the constitutional meeting held on July 7,
1997, the MSE harmonized its operation with
the Exchange, Exchange Operations and
Exchange Intermediaries Act. Another three
banks and two insurance companies joined
the founder members of the Exchange:
Podgoricka banka a.d. Podgorica,
Jugobanka a.d. Podgorica, Niksicka banka
a.d. Niksic, Lovcen osiguranje a.d.
Podgorica and Swiss osiguranje a.d.
Podgorica.
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The legal regulation, tax privileges and the
exact status for foreign investors as well as
for national ones, are only some of the
mechanisms that attract new participants
every day.
market represent the positive tendencies of
our market of securities the best. The legal
regulation, tax privileges and the exact status
for foreign investors as well as for national
ones, are only some of the mechanisms that
attract new participants everyday.
material, strengthening of the supervisory
and controlling function of the MSE,
strengthening of the structure of the staff and
education of the relevant participants; all of
this with a goal of connecting with other
related institutions and markets.
The Montenegro Stock Exchange (MSE) is
the first institution concerning the
Montenegrin stock market and was founded
in 1993. We at the MSE are paying particular
attention to the further development,
strengthening, introduction of the new market
In order to increase its share capital, the
MSE issued additional shares, upon the
approval of the Federal Commission for
Securities and Financial Markets. The shares
were subscribed and paid in by several
Yugoslav banks, as well as the Federal
Government.
In order to coordinate with the Law on
Securities of the Republic of Montenegro,
the MSE issued third issue of shares in total
amount EUR 120,372. The importance of
this issue which is sold successfully with
100% is very important for further
development of capital market of
Montenegro from the reason of appearing
new 10 shareholders as owners of the MSE
from banking sector, insurance companies
and private companies from all spheres of
economy. So now, the MSE has 28
shareholders.
FUTURE OUTLOOK
In 2006, the MSE has the following plans:
• In the middle of March, the MSE will start
using a web monitoring application.
Shareholders, investors and all interested
people will be able to watch trading on the
MSE on-line in real time,
• A new design of web site will be instaled
before the April of 2006,
• At first half of 2006, the MSE will introduce
a new index which will cover old currency
saving bonds,
• In the beginning of June 2006, the Forth
Adriatic Business and Investment Summit
will be held, organized by the MSE in
cooperation with the Government of
Montenegro and Argonauts Consultants Ltd.
from Cyprus; and
• In September of 2006, the MSE will start a
book on the topic: “The History of
Shareholding in Montenegro”.