FEDERATION OF EURO-ASIAN STOCK EXCHANGES
ANNUAL REPORT JUNE 2013
BAHRAIN BOURSE
Bahrain Bourse continued the development
of its trading mechanisms in a way that will
attract different segments of investors and
clients, and increase their profitability.
Yusif Humood
Chairman
Despite the signs of relative recovery from the
global financial crisis that had an impact on
different countries worldwide in 2008 along with
the increase in oil prices during the second half
of 2009, the response of the market indices
in the region to this recovery varied among
markets. The reasons for such variation are
partly psychological reasons, and the other part
goes back to the distinctive characteristics of
each market that differentiates one market from
another.
The performance of Bahrain All Share Index this
year and the volume and value of shares traded
reflects the psychological state that prevailed
among investors at Bahrain Bourse resulting
from the consequences of the crisis in spite
of the good financial results reported by the
majority of companies listed at the Exchange.
This has led to a 19.17% drop in the index
compared to its closing at the end of 2008.
In line with the development strategy approved
by the Board of Directors of Bahrain Bourse five
years ago, one of the major decisions in the
history of the capital markets’ sector was made
with the issuance of Resolution No. (57) of 2009
in respect of corporatizing the Exchange and
transforming it to a shareholding company,
paving the way to major legal, administrative,
and technical modifications that would change
how the Exchange operates.
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Bahrain Bourse has completed the major part
of its relocation project to Bahrain Financial
Harbour in 2009. The new premises have
been equipped with advanced technology and
systems in a way that will enhance Bahrain
Bourse’s competitiveness to provide more
services. This will also enable Bahrain Bourse
to provide the technical infrastructure that
would encourage companies to benefit from
these facilities.
Bahrain Bourse continued the development
of its trading mechanisms in a way that will
attract different segments of investors and
clients, and increase their profitability when
trading in the shares of listed companies at the
Exchange. In addition, the bourse widened its
scope of cooperation with leading regional and
international financial institutions to be able to
provide its custodian services at the Exchange
with the aim of enabling local and foreign
institutional clients to invest at Bahrain Bourse
and benefit from the opportunities available.
Looking into Bahrain Bourse’s financial
performance in 2009, the global crisis had an
effect on the financial status of the Exchange
where the operating surplus activate revenue
reported a deficit of BD 127,180 thousand
compared to the surplus in 2008. The
accumulated surplus also decreased slightly
from BD 3,950,112 to BD 3,822,932, recording
a drop of 3.21%.
On behalf of the members of Bahrain Bourse’s
Board of Directors and staff, I would like to
express my thanks and gratitude to His Majesty
King Hamad bin Isa bin Salman Al Khalifa,
King of the Kingdom of Bahrain and His Royal
Highness Prince Khalifa bin Salman Al Khalifa,
the Prime Minister, and His Royal Highness
Prince Salman bin Hamad Al Khalifa, the Crown
Prince and Deputy Supreme Commander
for their guidance and continuous support of
Bahrain Bourse.
I would also like to extend my thanks to the
Central Bank of Bahrain’s Chairman and
members of the Board of Directors for their
support of Bahrain Bourse. I would also like to
thank the members of the Board of Directors
of Bahrain Bourse for their opinions and
contributions to the development of the bourse
in the previous years. I would also like to thank
Bahrain Bourse’s management and staff for
their hard work during the year, hoping that
such efforts will continue to further develop the
Exchange.