Kazakhstan, Astana, Feb. 12 / Trend , K.Konirova /
The Kazakh Agency for Regulation Regional Financial Centre of Almaty has completed the analyses of obstacles to attract issuers from the CSI and neighboring countries, representative of the Agency Gulmira Arbabaeva said to Trend .
"Experts identify three categories of group of countries from the most to least promising companies to attract issuers to the domestic market," said Arbabaeva.
Kyrgyzstan and Azerbaijan are the most promising countries, and then follow Russia, Ukraine, Uzbekistan, Tajikistan, China and Georgia (Turkmenistan, Belarus).
The strategy of development of the securities market and the existing relationships between foreign countries were taken into account alongside with development of exchange markets in these countries and relevant legislation in respect of overseas bond issues, macroeconomic and political indicators Arbabaeva said.
In accordance with the report, Kyrgyzstan's main problem is the lack of country loan rating. Due to this reason country can't deliver securities on the international capital market.
In Russia the issuers who plan to place securities abroad need the permission from the Federal Service for Financial Markets (FSFM). This requires registration of issue (additional issue) of securities that must be included in the quotation list at least one of the Russian stock exchanges. Issuer can place not over than 70 percent of securities abroad. The remaining 30 percent must be placed on the territory of the Russian Federation
However, the issue can't be divided into separate proposal in Russia and abroad.
"This means that any issue abroad shall be entirely at the same time offered to the acquisition in Russia, which creates some difficulties in the process of registration and maintenance of books of applications, but also causes additional costs," Arbabaeva said.
In the countries with less developed financial sector, such as in Tajikistan, low quality of legislation in the securities market, lack of comprehensive statistical data on the stock market, weak financial performance of businesses and low level of transparency of companies are also added to those obstacles to attract issuers.
The report also identified the ways to overcome the obstacles.
"The report proposes to analyze potential issuers from the aforementioned countries and to implement further marketing programs to attract issuers, active cooperation with financial regulators and leading stock markets, to hold consultations on FSFM's issues and to exchange of views, Arbabaeva said.
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