Uzbekistan’s Securities Market Capitalization Exceeds $25 Billion
Economy
Uzbekistan’s securities market capitalization has grown more than threefold over the past two years, exceeding $25 billion. Anvar Irchaev, chairman of the National Association of Investment Institutions (NAII), announced the figure on September 17 at the VIII Cbonds International Conference “Capital Market of the Republic of Uzbekistan.”
According to Irchaev, the market is undergoing a “large-scale transformation” driven by a new legislative framework, Uzbek issuers’ access to international capital markets and growing interest from foreign investors.
“And the result already speaks for itself. The capitalization of the securities market has grown more than threefold over the past two years and, according to our modest estimates, exceeds $25 billion. Meanwhile, the turnover of the over-the-counter market has increased more than 40-fold over these few years,” the NAII head said.
The conference also focused on the new version of the Law “On the Capital Market.” The revised document contains 16 chapters instead of nine and, according to Irchaev, is designed to address issues accumulated by market participants and investors. New financial instruments are also being introduced, including Islamic securities and foreign-currency bonds. Access for foreign nominee holders has been simplified, making it easier for overseas investors to purchase securities in Uzbekistan.
Irchaev said the inflow of new capital could support the development of state-owned companies, private corporations and the professional market community. He noted that Uzbek brokers had long operated with limited resources and restricted access to international capital markets.
A recent industry visit to Hong Kong, along with planned trips to London and Frankfurt, is expected to help establish links with major international players, strengthen confidence and attract capital.
“We want our association’s participants to start earning more money so that they can invest in IT infrastructure, analytics, people and staff development,” Irchaev said.
The NAII also brings together professional market participants, banks and issuers and promotes common standards and working practices. According to Irchaev, strengthening the professional community is important for closer interaction with issuers, the state and foreign investors.
“And the result already speaks for itself. The capitalization of the securities market has grown more than threefold over the past two years and, according to our modest estimates, exceeds $25 billion. Meanwhile, the turnover of the over-the-counter market has increased more than 40-fold over these few years,” the NAII head said.
The conference also focused on the new version of the Law “On the Capital Market.” The revised document contains 16 chapters instead of nine and, according to Irchaev, is designed to address issues accumulated by market participants and investors. New financial instruments are also being introduced, including Islamic securities and foreign-currency bonds. Access for foreign nominee holders has been simplified, making it easier for overseas investors to purchase securities in Uzbekistan.
Irchaev said the inflow of new capital could support the development of state-owned companies, private corporations and the professional market community. He noted that Uzbek brokers had long operated with limited resources and restricted access to international capital markets.
A recent industry visit to Hong Kong, along with planned trips to London and Frankfurt, is expected to help establish links with major international players, strengthen confidence and attract capital.
“We want our association’s participants to start earning more money so that they can invest in IT infrastructure, analytics, people and staff development,” Irchaev said.
The NAII also brings together professional market participants, banks and issuers and promotes common standards and working practices. According to Irchaev, strengthening the professional community is important for closer interaction with issuers, the state and foreign investors.
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