Economists see a significant growth in liquidity at the Boursa Kuwait after its inclusion in the emerging markets list of the Financial Times Stock Exchange (FTSE) Russell index, state news agency said in a report.
“Classifying Boursa Kuwait as an emerging market will lure traders eager to invest in the Gulf region’s second key stock market, which comprises large banks and corporates with investments and branches in many countries, said Saleh Al-Salmi, the chairman of the International Financial Advisers Company.
FTSE Russell, which covers up to 90 percent of the investable market and benchmarks approximately $15 trillion in market assets, has placed Kuwait the Watch List for possible reclassification to secondary emerging market status since September 2008.
By joining the international market, the entry of global investment funds would impact not only on the Kuwaiti bourse but the regional stock markets as a whole, Al-Salmi said.
Mohammad Al-Tarrah of the Traders Society agreed, and said the Kuwaiti bourse’s inclusion in the FTSE Russell will enhance its attractiveness to offshore funds, and eventually prop stock market liquidity.
Liquidity will swell to 100 million Kuwait dinars per session once non-Kuwait investments enter the local market, Al-Tarra said.
Boursa Kuwait’s market capitalization was at 28.77 billion Kuwaiti dinars as of August, up 13.22 percent from 25.41 billion Kuwaiti dinars at the end of 2016.
The global index provider meanwhile maintained Saudi Arabia in its Watch List. The Kingdom was included in that classification in September 2015 following the introduction of a Qualified Foreign Investor scheme.
“Saudi Arabia is to be congratulated on the pace of the recent market reforms which are widely acknowledged as being positive,” FTSE Russell said.
Source: Arab News
GMT 11:02 2018 Tuesday ,11 December
ASE opens trading on lower noteGMT 15:40 2018 Monday ,10 December
Amman stock market closes trading at JD4.4 millionGMT 19:10 2018 Wednesday ,05 December
Index at Palestine stock market drops by less than one pointGMT 17:58 2018 Sunday ,25 November
Amman stock market wraps up trading at JD2.6 millionGMT 14:24 2018 Thursday ,22 November
Russia’s stock market demonstrates record-breaking figures in 2018GMT 11:45 2018 Tuesday ,20 November
Tokyo stocks close lower as tech issues weigh, Nissan tumblesGMT 15:08 2018 Monday ,19 November
Amman stock market wraps up trading at JD6.1 millionGMT 15:51 2018 Sunday ,18 November
U.S. stocks post weekly losses amid tech shares routMaintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©
Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©
Send your comments
Your comment as a visitor