FEAS Yearbook FEAS Yearbook 2008 | Page 40

FEDERATION OF EURO-ASIAN STOCK EXCHANGES SEMI ANNUAL REPORT OCTOBER 2008 MACEDONIAN STOCK EXCHANGE In 2007, the total turnover of the Macedonian Stock Exchange was a record breaking US$ 990 million, 4.5% higher than the combined turnover in 2005 and 2006. Altynbek Alymkulov President 2007 was an extraordinary year for the Macedonian Stock Exchange (MSE). The total turnover of the MSE was a record breaking US$ 990 million. The turnover in 2007 is 4.5% higher than the combined turnover in 2005 and 2006. More detailed analysis of the turnover shows the quality level of the MSE performance in 2007: trading in equities through BEST trading system reached about US$ 683.7 million which indicates 237% increment compared with the same figure in the 2006. The total number of transactions executed in 2007 (141.984) increased by 168% compared to 2006 and it is almost equal with the number of transactions performed on the MSE during the previous 6 years combined. FUTURE OUTLOOK For the MSE 2007 was extremely successful year with extraordinarily high turnover; market capitalization was three times higher than 2006 and the official stock index MBI-10 reached its highest level ever. In 2008 the Macedonian securities market will be more influenced by non-economic factors. Expectations that Macedonian admission in NATO will resolve positively, determination of the date for starting the negotiations with EU for Macedonian membership, as well as resolving of Kosovo’s status of independence will have At the end of the year 38 companies were listed on the Official market with market capitalization of around US$ 2.7 billion, which compared with 43 companies listed at the end of 2006 with market capitalization of US$ 1.2 billion means an increment of 122%. Until 31 December 2005 all companies that fulfill listing requirements were obliged to be listed on the MSE Official market, but since January 2006, listing is on a voluntary base. The MSE index, MBI-10, started the year at 3.812 points and then increased the highest level in the history of the MSE on 31 August 2007 (10.057,77 points) and ended the year at 7.740,79 points which indicates increment of 109%. This is the third year in a row with an ascending trend of the MBI-10 index (2.292,04 points in 2005 and 3.702,54 points in 2006). significant influence over the economy of the country and will influence future trends on the capital market. In 2008 we expect that the presence of foreign investment funds, as well as appearance of several new domestic funds will contribute to the improvement of the demand side of the securities market. During 2007 a few takeovers become effective, especially in the banking sector with the entrance of French, Icelandic and Bulgarian capital. By the end of the year four exchanges from the region (the Belgrade, Macedonian, Zagreb and Ljubljana stock exchanges) signed Memorandum of Partnership. This document will contribute to closer cooperation in the promotion of the regional market, international promotion of regional issuers and products and further development of regional products, services and members. Through various forms of cooperation with other regional exchanges the MSE will be involved in the processes of the promotion of regional markets and international promotion of issuers and products in order to attract international as well as regional investors. The MSE will promote a few changes and amendments in the Listing Rules that will introduce higher standards for disclosure for the companies on the Exchange Listings. CONTACT INFORMATION Contact Name Mr. Milco Kupev E-mail [email protected] Website www.mse.com.mk PAGE 40