ASE to link with regional bourses
The Amman Stock Exchange is expected to be linked with regional bourses soon to enable Jordanian firms to list their shares in these markets, brokers said on Thursday, April 12. The brokers, who were speaking during the general assembly of the ASE, indicated that the link will group the Jordanian bourse with its counterparts in Dubai and Bahrain. They did not say when this step will take place, but indicated that such a matter could take place late this year.
The move could enhance the trading of Jordanian shares and boost the activities of the Amman bourse which currently suffers from a lack of liquidity which keeps many investors away from trading on the floor. According to the ASE's figures, over 40 percent of the shares of the listed firms which are owned by non-Jordanian investors are owned by Arabs.
The trading volume of the 163 listed firms dropped by 26.1 percent in 2000, down to JD287.8 million compared to JD389.4 million in the first and secondary markets, the figures showed. Chairman of the ASE's Board of Directors Abdul Rahman Touqan told the assembly that the Amman bourse will do its best to attract local and foreign investors to enhance trading on the stock market.
Abdul Rahman also said the ASE will also encourage new firms to list their shares on the bourse.
He said that among the outstanding achievements of the ASE in 2000 is the shifting from manual trading to electronic and remote trading “which were introduced to facilitate the work of the brokers and those involved in the stock market.”
He indicated that among the achievements of the stock market in the previous year were the introduction of Directives for Trading in Securities, the Internal-Bylaw for Disputes Settlements and the Instructions for Selling Securities by Public Auction manuals. — ( Jordan Times )
© 2001 Mena Report (www.menareport.com)