FEDERATION OF EURO-ASIAN STOCK EXCHANGES
ANNUAL REPORT APRIL 2009
BELARUSIAN CURRENCY AND STOCK EXCHANGE
Pavel Tsekhanovich
Chairman of the Board
Established in 1993, the Belarusian Currency
and Stock Exchange (BCSE) is a unique
trading platform in the country that serves the
financial market of Belarus. Today, the BCSE
is a stable working organization with
constantly growing trade turnovers.
The mission of the BCSE is to become the
main power on the way of reforming the
Belarusian organized financial market and to
make it the basic source of investments for
Belarusian enterprises.
HISTORY AND DEVELOPMENT
The BCSE was established on the basis of the
state-run Interbank Currency Exchange in
December 29, 1998 as a non-profit, public
company with administrative and financial
autonomy. Having obtained the license to
pursue exchange activities and the depository
license, the exchange began to organize trading
in the main segments of the financial market of
Belarus (the currency market, the government
securities market, the market of the National
Bank’s bonds, the corporate securities market,
the market of bonds of local loans and the
market of bills of exchange).
In 1999, the BCSE developed the first listing
criteria to provide a transparent and efficient
market. The Exchange is governed by a five-
member board of directors. The highest body
is the General Meeting of Stockholders, the
managerial body is the Supervisory Board
(8 members).
The BCSE membership is comprised of 29
banks, 64 brokerage and dealer firms and 5
individuals.
The Interbank Currency Exchange was
established 4 March 1993 by 18 leading
business banks as a closed-type joint-stock
company. Its main task was organizing trading
in foreign currencies. On 24 March 1993, first
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The mission of the BCSE is to become the
main power on the way of reforming the
Belarusian organized financial market and
to make it the basic source of investments
for Belarusian enterprises.
Functions of the BCSE
• Organization of exchange trading in foreign
currencies, futures and securities
• Clearing Center in Belarusian settlement
clearing system
• Depository functions for corporate securities
• Registration of OTC transactions with
corporate securities
• Information Center functions
trades in the Russian ruble were held in the
electronic trading system. In 1995, the National
Bank of Belarus granted the Interbank Currency
Exchange the right to organize the purchase
and sale of futures on foreign currency and
other financial assets.
On 24 September 1996 the Interbank Currency
Exchange was made a subdivision of the
National Bank, in which capacity it organized
trading in foreign currencies for 2 years. In 1997,
the Interbank Currency Exchange was granted
the right to organize the secondary market of
government securities (except for registered
privatization vouchers) and the securities of the
National Bank.
First electronic government securities trades
were carried out at the Interbank Currency
Exchange on 16 January 1998.
The BCSE aims to:
• minimize risks and transaction charges from
capital formation in the organized market;
• provide transparency of transactions;
• protect investors’ legal rights and their
interests;
• implement programs on financial resources
formation necessary for their development;
• develop state monetary and credit policy
market mechanisms;
• create necessary conditions for effective
controlling functioning of the State
FUTURE OUTLOOK
• Trading technologies development,
introduction of new trading modes and
expansion of circulated financial instruments
range.
• For the currency market - introduction of
”continuous double auction“ and ”call
transactions“ modes; for the stock market -
introduction of the sector of foreign currency
securities transactions, introduction of a new
instrument - exchange bonds, as well as the
change of the circulation scheme for shares of
open-type societies in Belarus that implies
operations exclusively through the BCSE.
• Introduction of new segments of the
organized market–Interbank Credit Sector–the
credit resources market.
• Development of the program and technical
complex and transition to a uniform system of
electronic document circulation in all segments
of the exchange market.
• Development of information systems
regarding modernization of operating soft- and
hardware for Internet systems of the BCSE, as
well as regarding new version of the “On-line
Information Disclosure” software following the
results of the exchange trades.