Upgrading Boursa Kuwait to emerging market ‘vital’: CEO
All traders, shareholders urged to focus on upcoming steps
KUWAIT CITY, Sept 23, (KUNA): Upgrading of Boursa Kuwait, the national stock exchange, to the status of an emerging market is vital for the country’s economic development, said the bourse CEO Khaled Al-Khaled on Sunday.
Speaking to KUNA, Al-Khaled that the first step in this regard occurred when the FTSE Russell included Boursa Kuwait in its index after a considerable effort exerted by Kuwait Clearing Company and Boursa Kuwait.
Another achievement was including Kuwait in the MSCI index in the 2019 review, another step towards the emerging market recognition, said Al-Khaled.
Meanwhile, Al-Khaled said that healthy and vial monetary and financial markets depended majorly on transparency and trust, stressing that Boursa Kuwait urged all traders and shareholders to focus on the upcoming steps towards an emerging market status.
The Boursa Kuwait CEO touched on the upcoming plans for the market, saying that the focus will be on tools related to the family companies market, institutions of individual nature, in addition to profitable real estate funds and the REITs index.
Al-Khaled touched on Kuwait 2035 vision, affirming that the state’s ambitious plans must be accompanied by thriving and strong national market able to assist the country’s future plans.
Since April 2016, Boursa Kuwait had taken strong strides towards comprehensive development with various milestones reached, said Al-Khaled who indicated that listing companies and other measures at the stock market had veered in a more international and professional direction up to global standards.
Facilitating
He indicated that Boursa Kuwait is keen on facilitating the transport of capital via a transparent and streamlined method, which include an adequate division of the market as well as the inclusion of several indices such as the XBRL.
Last Thursday, Boursa Kuwait announced that it has completed the first phase of its listing in the FTSE Russell Index for emerging markets.
The bourse said in a statement that this accession signified the growing investor confidence in the Kuwaiti market, as well as the rapid and successful implementation of reforms and wideranging developments that have enhanced international investors’ access to the bourse.
It added that attracting foreign capital would undoubtedly required enormous efforts from any emerging market.
The inclusion is expected to lead to a significant inflow of foreign investment, which will boost liquidity support in the domestic capital market and contribute to a more balanced market condition and stability.
It said that such measure required that international investors be notified about the luring opportunities in the country, adding that the bourse has participated in several promotional campaigns for global investors.