Uzbekistan, Tashkent, Oct. 13 / Trend D.Azizov /
Uzbekistan intends to involve the Korean Stock Exchange (KSE) in a shareholder structure of the Republican Stock Exchange (RSE)"Toshkent", the Uzbek State Committee for Management of State Property reported.
A Korean delegation led by Deputy Strategy and Finance Minister Koo Bon-jin paid a visit to the Uzbekistan Stock Exchange "Tashkent".
During the visit, the Korean delegation familiarized with modern trends of developing stock market of Uzbekistan, quality and quantitative changes in the market for recent years.
The sides discussed issues of further developing exchange market in Uzbekistan and its technological re-equipment.
The Korean Stock Exchange's direct participation in the RSE "Toshkent" could serve to establishing more constructive economic and financial ties between the two countries, the committee reported.
The committee did not specify the mechanism by which the KSE could become part of the shareholders of the Uzbek Stock Exchange.
According to some analysts in the Uzbek securities market, the KSE may be offered shares at a rate of 26 percent that is currently owned by the State Property Committee.
In August 2008, the Uzbek government decided to increase the authorized capital of the RSE to one billion and introduce the state share at a rate of 26 percent to the statutory fund.
The government had also recommended the commercial banks to participate in the formation of the statutory fund of the RSE "Toshkent" through the purchase of issued additional shares.
The funds received from the increase in the authorized fund was planned to be directed to the introduction of a common set of software of the security market (SM), which will improve the organization of trading and interaction of the SM with other institutions of the infrastructure market.
A single set of software, implementation of which is scheduled for 2011, will unify and standardize the software and technical support for all members of the SM, create a data base of securities market, simplify the accounting system and improve settlement and clearing services of securities transactions.
Republican Stock Exchange "Tashkent" was established in 1994. Its founders are investment, brokerage and insurance companies, as well as the State Property Committee of Uzbekistan. Market organizes primary and secondary trading of privatized companies' shares and bonds (around 370 companies). Members of the exchange are more than 100 investment institutions.
In 2009, total trade on "Toshkent" decreased compared to 19.6 percent - up to 89.978 billion soums in 2008.
In March 2008, the RSE "Toshkent" and the KSE signed a memorandum of understanding between the exchanges, providing for cooperation in information technology, education of specialists, as well as possible funding for various projects. In particular, the KSE offers assistance in updating the e- trading system.
The KSE enters the top twenty of the largest stock exchanges for market capitalization. It is a member of the Federation of Stock Exchanges in Asia and Oceania.
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