Baku, Azerbaijan, Oct. 10
By Rashid Shirinov – Trend:
The Moscow Exchange will acquire up to 20 percent of the authorized capital of the Kazakhstan Stock Exchange (KASE) in two stages before the end of 2019, Kazakh media reported.
This is noted in the strategic partnership agreement signed by the two exchanges on October 10. The amount of the transaction is 338 million rubles.
Following the agreement signing, Chairman of the National Bank of Kazakhstan Daniyar Akishev said that the Moscow Exchange is a reliable and strategic partner for KASE, and the latter, in turn, is the most reliable partner for the Moscow Exchange.
"This will expand the opportunities for all market participants, and will allow the Moscow Exchange to create a base for expansion and to have the necessary reserve capacity," he said.
Chairman of the National Bank also noted that much know-how of the Moscow Exchange will be quickly implemented in Kazakhstan.
"We have already switched to currency trading through the T+1 scheme. Since October 1, KASE has become the central counterparty in the foreign exchange market. In the near future we will introduce T+2 settlements for transactions with short-term notes of the National Bank and government securities of the Finance Ministry," Akishev added.
He noted that currency risk hedging mechanisms, including the possibility of conducting currency swaps for a period of up to one year are developed on the basis of the central counterparty.
KASE, which is the leading stock exchange in the Central Asian region, is a universal trading platform for repo market tools, foreign currencies, government and corporate securities, bonds of international financial institutions as well as derivatives. Presently KASE ranks second among the CIS stock exchanges in terms of the volume of trading in securities.
Moscow Exchange manages Russia's only multifunctional exchange platform for trading of stocks, bonds, derivatives, currency, money market instruments and commodities. Moscow exchange is among the five largest trading platforms in terms of trading in bonds and futures contracts, as well as in the Top-25 leading stock markets in the world in terms of the total capitalization of traded shares.