MSE focuses on improving stock liquidity

The Mongolian Stock Exchange (MSE) has stated that it is now focused on improving stock liquidity and is implementing certain measures to address key issues.

Of the 200 companies currently listed on MSE, 60 percent do not have adequate liquidity, 95 companies have not fully fulfilled their obligations and responsibilities, and trading has been suspended for 32 companies. As a result, MSE said it will take action to improve the situation.

For companies that have broken securities and exchange laws and regulation and those who have not paid service fees for two consecutive years, MSE has said that they could potentially be delisted from the exchange.

This signals more of a concerted effort by the state-owned MSE to tidy up its exchange as the stock market begins to develop rapidly. A large part of tidying up the exchange is to ensure that the publicly listed companies are complying with relevant laws and regulation.