Number of REPO transactions on Azerbaijan's capital market triples

Finance Materials 10 June 2021 16:23 (UTC +04:00)
Number of REPO transactions on Azerbaijan's capital market triples

BAKU, Azerbaijan, June 10

By Zeyni Jafarov - Trend:

The total value of REPO transactions on securities at the Baku Stock Exchange (BSE) made up over 2.2 billion manat ($1.3 billion) as of early June 2021, a source in the BSE told Trend.

According to the source, this indicator accounts for 33 percent of total transactions on securities.

Number of REPO transactions in Azerbaijan’s capital market for the reporting period increased by more than three times compared to early June 2020, totaling 1,423.

"Most of the REPO transactions were carried out on government bonds, the amount of which exceeded 2.1 billion manat ($1.2 billion) on 1,382 transactions," the source said.

As the source noted, this indicator also showed multiple growth (3.4 times) in annual terms. Another 32 deals amounting to 168 million manat ($98.8 million) on REPO operations were carried out with the securities of the Central Bank of Azerbaijan.

The remaining nine deals worth 3.5 million manat ($2.06 million) on REPO transactions by early June of this year fell on corporate securities.

Besides, in the first quarter of 2021, in order to ensure the sustainable development of the Baku Stock Exchange, based on the decision of an extraordinary meeting of shareholders, the par value of BSE shares was increased from 200 manat ($117.6) to 800 manat ($470.6) through retained earnings.

As a result, the authorized capital of the exchange grew from 1.26 million manat ($740,000) to 5 million manat ($2.9 million).

The capitalization of the BSE on the last trading day of May 2021 amounted to over 4.2 billion manat ($2.4 billion), having risen by 9 percent YTD.

(1 USD = 1.7 AZN on June 10)


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