Azerbaijan, Baku, Feb.26 /Trend I.Khalilova/
The European debt crisis will have no direct effect on the securities market in Azerbaijan, the chairman of the board of the Baku Stock Exchange (BSE) Emin Aliyev said.
"It is due to the fact that the degree of integration of our markets is not so interdependent; however nobody is insured from indirect effect. The positive aspects of this process should also be recognized. Upward trend will be observed in domestic market due to complexity of external borrowing," Aliyev told Trend on Saturday.
Aliyev believes that European investors turned their sights on emerging markets in light of the intensifying debt crisis in Europe.
"It is possible that the flow of foreign investment will also begin to the stock market of Azerbaijan in the near future," Aliyev said "Foreign investors reduced their activities in the local market in 2009, when there was a financial crisis, but we are witnessing a different pattern today".
Stock market of Azerbaijan should improve to ensure such interest of investors.
"It is one of the cornerstones of the State Program of development of securities market for 2011-2020," Aliyev said.
"Despite the fact that the stock market of Azerbaijan is relatively young, it can be described as a dynamically developing institution. There is all the necessary infrastructure in local capital market, the State Securities Committee as a central supervisory authority, which conducts public policy in the securities market of the country; the National Depository Center, which is the central depository and registrar, operating more than a dozen broker and dealer firms, leading directly trading on the market, and BSE - a platform, where all the trades in securities are," Aliyev said.
Aliyev said "we will witness quite interesting and positive developments in the securities market of the country, such as the emergence of investment funds and other forms of collective investment, increasing the share of the corporate sector in the structure market, development of new exchange products, the introduction of new IT-solutions, etc" in the current decade - the period of the state program on development of securities market.
In turn, the BSE can help to established businesses that are looking for alternative sources of funding for their projects, companies that are sufficiently advanced to enter the stock market and to use its potential for the quality of the new financial, management, image conversion.
"We invite such companies to jointly develop solutions that may seem complicated at first, but are feasible in practice," Aliyev said.