FEDERATION OF EURO-ASIAN STOCK EXCHANGES

Transcription

1 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29 ISSUE ABU DHABI (UAE) ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ABU DHABI (UAE) ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ABU DHABI (UAE) ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ABU DHABI (UAE) ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ABU DHABI (UAE) ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ABU DHABI (UAE) ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ABU DHABI (UAE) ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ABU DHABI (UAE) ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA BULGARIA CROATIA EGYPT GEORGIA IRAN IRAQ JORDAN KAZAKHSTAN KYRGYZSTAN MACEDONIA MOLDOVA MONGOLIA MONTENEGRO OMAN PAKISTAN PALESTINE ROMANIA SERBIA TURKEY TURKMENISTAN UKRAINE UZBEKISTAN ABU DHABI (UAE) ALBANIA ARMENIA AZERBAIJAN BAHRAIN BELARUS BOSNIA AND HERZEGOVINA

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3 FINANS ASSET MANAGEMENT Finans Asset Management and New Products C. Ozgur Guneri Executive President Global economy has been going through tough times. Since the beginning of 28, global economies, developed or emerging, face negative growth, higher unemployment and declining consumption. Volatility in financial markets resulted in credit crunch and significant decline in asset prices which paved the way for negative investor sentiment towards financial products and/or financial institutions. During this period, investors needs and requirements continued to change. As Finans Asset Management, we continue to work on innovative solutions for changing investor needs and demands. Finans Asset Management (FAM) has been very active to launch new products in Turkey for Turkish and foreign investors. Exchange traded funds, fund of funds, theme-dedicated funds, quant fund, capital protected funds are some examples of the products FAM introduced in Turkey. Changing investor needs and priorities affected these products in different ways and will continue to impact future performance of financial products. Since the beginning of the crisis, central banks have been very active and responsive towards rapidly contracting economies. They were reducing interest rates consistently resulting in significant interest towards fixed income products. Especially developing markets with relatively high interest rates attracted investor interest. Therefore, the first fixed income ETF in emerging Europe and Turkey, FBIST has seen significant interest. As investor sentiment and trust towards financial institutions and financial products eroded significantly, gold has become a safe haven. Investors preferred gold not because it has always been a safe haven for turbulent times but also gold is believed to protect investments against inflation. GOLDIST, the first gold exchange traded fund in Turkey and the sixth in the world, has seen increasing interest. Average daily trading volume increased to US$ 2 mn from 27 to US$ 3 mn in 28. In the first half of 29, average daily trading volume of GOLDIST reached US$ 4 mn while total physical gold held within the fund rose to 1,45 kilograms during the same period. Capital protected funds also have been becoming popular in Turkey. As investors faced significant losses during volatile times, capital protected funds became an attractive alternative as they offer participation in certain asset class and protection of initial capital. Finans Asset Management also launched the first exchange traded fund based on Istanbul Stock Exchange Index in 29. Based on ISE 3 Index, IST3 provides direct exposure to Turkish blue-chips listed on the Istanbul Stock Exchange. IST3 has been listed on the Istanbul Stock Exchange since April 7th and average daily trading volume exceeds US$ 3mn. SMIST, Turkish Smaller Companies Istanbul 25 ETF will be converted into Turkish Large Cap bank ETF as of end of August 29. Banking stocks with large market capitalization are the most traded stocks on the ISE with the largest weight in all indices. We believe Large Cap Bank ETF will allow investors to develop various investment strategies. Investors will continue to focus on transparent financial instruments and passive investment and tactical asset allocation will gain momentum in the upcoming years. As the market leader in Turkey in terms of innovation and new products, Finans Asset Management will continue to work on new products and provide new tools for investors to benefit from long-term growth potential of Turkey. CONTACT INFORMATION Contact Name Mr. C. Ozgur Guneri E: ozgurg@finansportfoy.com W: AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 1

4 IS INVESTMENT IS Investment provides a wide array of financial services to local and foreign investors. Ilhami Koc General Manager IS Investment provides a wide array of financial services to local and foreign investors including brokerage of equities, fixed income and derivative products; investment advisory; asset management; public offerings, M&As, privatization advisory, restructuring & strategic planning, and private equity. IS Investment was established as the investment banking arm of Isbank, Turkey s largest private bank, over a decade ago and has since developed into Turkey s largest investment house and has played a distinctive role in the development of the capital markets. Now working with over 339 employees, IS Investment remains committed to creating a corporate culture with an emphasis on long term value. What sets IS Investment apart from its rivals is its business model. Since its inception, IS Investment has proven itself not only as a brokerage house but as an investment house capable of operating in all segments of the capital markets. The investment house provides a wide array of financial services to local and foreign investors, including Brokerage, Investment Advisory, Asset Management, Corporate Finance and Research. IS Investment has 7% equity stake in Turkey s largest asset management company; IS Asset Management, 29.1% equity stake in Turkey's largest and the first publicly traded private equity company, IS Private Equity and owns Maxis Securities Ltd, its full FSA licenced subsidiary in London. The wide corporate, foreign institutional and individual client base in Turkey provides IS Investment with a unique competitive edge. As the only investment house traded on the Istanbul Stock Exchange (ISE), IS Investment (ISMEN) represents more than 1/3 of the total assets in its sector and was granted with a credit rating of 'AAA(tur)' with Stable Outlook by Fitch Ratings. Leading position in brokerage services and strong track record in offerings and placements differentiate IS Investment among its competitors. With 7 branches and 3 representative offices, 2 domestic representative offices and one in Almaty-Kazakhstan, it has a strong and widespread distribution network through the agency of more than 1 Isbank branches. IS Investment s large and commanding presence in the Turkish capital market is reflected in its transaction volumes, ranking first not only in the ISE since 23, but also in the Turkish Derivatives Exchange (TurkDEX), since the foundation of the market in 25. A pioneer in the use of technology and new tools, IS Investment also plays a leading role on the development of electronic trading in the Turkish Capital Markets. As the first FIX compliant DMA provider, IS Investment supports almost all connectivity networks with inhouse developed FIX protocol and other advanced systems. Full Range of Investment Banking Services Brokerage Investment Advisory Asset Management Corporate Finance: IPOs, M&As, Strategic Planning Research Widest Client Base Largest domestic network more than1 Isbank branches are our agent 4,1 high-net-worth individuals 565 corporate clients 34 foreign institutional clients Largest assets under management TRY 9 bn mainly through subsidiary Is Asset Management Volume Leader #1 in Stock Market #2 in Bonds Market* #1 in Derivatives TurkDEX #1 in Eurobond Transactions* *among brokerage houses Shareholders Equity TL million Only Listed Investment House in ISE Went public with Mcap US$ 25 million Only Brokerage House with Credit Rating National Long-Term AAA (Tur) / Stable Outlook by Fitch Ratings FACTS AND FIGURES Date of Establishment December 18th,1996 Paid-in Capital TL 119,387, / US$ 78.9 million Assets (as of 28) TL 1,482,839,393 / US$ 982 million Free-Float 27.86% Branches Akaretler, Ankara, Izmir, Kalamis, Maslak, Yeniköy, Yesilköy Representative Office Agents Ownership Structure* Isbank 65.66% Is Factoring 2.43% Is Leasing 2.43% Sisecam 1.45% Camis Investment Holding.17% Free Float 27.86% Subsidiaries* IS Investment's Share Maxis Securities Limited 1.% Camis Investment 99.8% IS Asset Management 7.% IS Investment Trust 29.12% IS Private Equity 29.1% TurkDEX 6.% Levent, Suadiye (Istanbul), Almaty (Kazakhstan) More than 1, Isbank branches * Subsidiaries in which IS Investment has more than 5% shares. IS Investment has also shares in Emerging Enterprises Markets, Is REIT and Yatirim Finansman Securities 2 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

5 With its strong Research team, IS Investment is the leader in the Turkish capital markets; The Research issues regular reports of companies representing 81% of the total market capitalization of the stock exchange. The hand picked recommended portfolio, composed of stocks deemed to offer the most attractive upside potential, outperformed the ISE-1 index in 28. Wide range of Corporate Finance activities including Public Offerings, Mergers & Acquisitions, Privatization Advisory, Private Equity Advisory and Project Finance Advisory are provided by IS Investment. It is the leader in the public offerings market in Turkey in terms of both size and number of transactions and acted as the lead manager in 62 Public Offerings between 1988 and 28. Despite the global credit crunch, IS Investment completed 11 M&A deals in 28 while up to date 1 deal in 29 size reaching to million $. Since 28, IS Investment has a 12% share in terms of M&A deal values and 7% share in terms of deal volume. According to mergermarket M&A list in terms of deal value, IS Investment is the leader local investment bank between January 28 - April 29 and second in terms of number of deals. According to dealwatch M&A list both in terms of deal value and number of deals, IS Investment is the leader investment bank for the same period. IS Investment is also building on its reputation for innovation with new products and market tools; the Hedge Fund established by IS Investment with the initial capital of TL 3 million, is the first hedge fund in Turkey. Euromoney has awarded IS Investment as the "Best Equity House in Turkey" in the category of Euromoney Awards for Excellence 28, for the second time in succession, in honor of its superior performance in stock market transactions. It was also named as the Most Admired investment house in Turkey by Capital magazine. IS Investment which has been building up its strength in Turkish financial markets since its establishment in 1996 by Isbank has a leader position in both domestic equity, fixed income and the newly established derivatives market. IS Investment has also been active in international capital markets through which our clients have a better scope of investment products for achieving a diversified portfolio. The ongoing financial crisis, which has crippled most of the economies around the World, once again highlighted the importance of diversification. Parallel to the severe downturn in housing and nowadays in the consumer sectors, the World's biggest economies have been pushed deep into the arms of recession. Even the biggest and most prominent financial firms had disclosed holdings in problematic mortgage backed securities, which have been hit hard on disappearing liquidity and mark-to-marked accounting policies, stunned the World markets as there is no safe ground among the companies that are a vital part of the economic system. Although the major Central Banks tried to take excessive measures in order to lessen the severity of this worldwide crisis, the feeling of distrust among the investors has kept the financial markets in pressure while creating opportunities for others. Since our establishment in 1996, IS Investment has been investing heavily on improving our product mix in order to satisfy the needs and spread out the single country risks of our customers. As the liquidity crisis put the international capital markets to the foreground of investor's attentions, IS Investment has already had an ever increasing activity in these markets. IS Investment has direct market access capabilities through the major equity exchanges around the world and also has execution facilities to emerging markets like in Middle East and CIS region. In equity markets, our activities are not only limited to secondary market trading as we also provide means for our customers to participate in primary issues all around the world and chance to invest in equity options rather than directly in cash markets. In fixed income markets, with a volume reaching almost US$ 2 billion in 28. IS Investment was rated as the top financial firm among the other Turkish financial institutions based on transactions booked outside the exchange. Not only, as IS Investment, we concentrate purely on Turkish Eurobonds, but also focus heavily on high grade credits as well as credits from emerging market economies like Kazakhstan, Brazil, Russia and interact with more than hundred counterparties around the World. The syndication parts that we have taken on the Eurobond issues listed below demonstrate our commitment and willingness to be a more active player in these markets as a Turkish institution. As the financial crisis have created roller-coaster rides in the World markets, adding to the ways of diversification, the opportunities that keep on knocking increased the needs for exchange-listed derivative instruments. In order to facilitate our clients' needs for these leveraged instruments, IS Investment launched Trade Master International in the beginning of 28, which is giving execution capabilities to our investors for investing on their own in major equity markets and more importantly in futures markets like CBOT and CME. Rating ourselves by far as the top Turkish institution in international capital markets, not only IS Investment will work on improving its abilities in organized exchanges around the World, but also will pursue to provide access to opportunities in emerging economies to its clients whom IS Investment made believe the importance of diversification with a little kick in it. In 28 The leader in the ISE Stock Market with 6.61% of market share and TL 44 billion / US$ 33.8 billion of transaction volume. The highest transaction volume in the Turkish Derivatives Exchange (TurkDEX) with 13.68% of market share and TL 56.9 billion / US$ 43.8 billion of transaction volume. The leader in the Bonds & Bills Market among the brokerage houses with 14.9% of market share and TL 16.6 billion / US$ 12.8 billion of transaction volume. The leader in the Turkish Eurobonds Market among the brokerage houses with 6.43% of market share and TL 3.3 billion / US$ 2.5 billion of transaction volume. US$ 27.7 billion of transaction volume in foreign equity and fixed income securities, and 39,648 contracts in derivatives in international capital markets. CONTACT INFORMATION IS INVESTMENT Is Kuleleri, Kule-2 Kat: Levent 3433 Istanbul-Turkey T: F: W: / isinvestment.com For International Capital Markets Contact Name Mr. Ilkay Dalkilic T: E: idalkilic@isyatirim.com.tr For Turkish Capital Markets Contact Name Ms. Ozlem Tumer T: E: otumer@isyatirim.com.tr For Almaty/Kazakhstan Rep. Office Contact Name Mr. Samad Azimov T: E: sazimov@isyatirim.com.tr AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 3

6 GAMA ENERGY GAMA, GE To Bring Water to Northern Jordan Through Investment In US$1 Billion Pipeline A milestone in a strategically important new water supply that will help alleviate a severe water shortage in Jordan s capital and surrounding area has been reached with funding of construction of a pipeline project by GAMA Energy A.S., a joint venture between GAMA Holding A.S. and GE (NYSE:GE) unit GE Energy Financial Services. The US$1 billion Disi Water Conveyance Project includes construction of a 325-kilometer pipeline that will pump water from the Disi aquifer in Mudawarra to Jordan s most populous city, the capital of Amman. The investment will create jobs and promote private sector participation in Jordan s development. The Government of Jordan conceived the Disi Water Conveyance Project as part of its strategic plan to increase water supplies to the country s growing population. Jordan is one of the world s most water-scarce countries, and the Disi project is a key solution. It is expected to supply Amman and surrounding areas with more than 1 million cubic meters of water a year. The use of water from the reservoir in Disi-Mudawarra started in the early 198s for municipal and industrial purposes in the city of Aqaba. The Disi project is the largest privately financed water supply project in Jordan and the surrounding countries. GAMA Energy, based in Ankara, will invest approximately US$19 million, the Ministry of Water and Irrigation of Jordan will provide a US$3 million grant, and the Overseas Private Investment Corporation of the United States, the European Investment Bank and Proparco of France will collectively provide US$455 million in debt financing. The Jordanian ministry signed loan agreements with the EIB and the French Development Agency (AFD) on May 17. In 27, the Government of Jordan awarded GAMA a concession to build and operate the water pipeline. GAMA Energy will own the project for a 25-year concession period, after which it transfers to the Government of Jordan. The first in a series of fundings was made today, with construction expected to begin this month. The project s construction, by an affiliate of GAMA Holding, is expected to take four years and use an estimated 25, tons of steel and involve the digging of 55 wells. The project will extract water from the Disi well fields in the 32- kilometer-long Disi sandstone aquifer in Jordan and deliver it to the Abu Alanda Reservoir and the Dabuk Reservoir. Disi Amman Operation Maintenance LLC, fully owned by Suez Environnement, will provide long-term operations and maintenance services. Commenting on the Disi project, Prime Minister Dahabi of Jordan said: This strategic project represents a milestone towards ensuring water security and addressing the country s water shortage. GAMA Energy Managing Director and Board Member M. Arif Ozozan said: GAMA Energy is honored to help Jordan solve its water problem, improve the quality of life and accelerate the Jordanian economy through job creation and infrastructure improvement. We also take pride in the vote of confidence we won from the financial community by closing a $1 billion project amidst the worldwide economic downturn. Andrew Marsden, Managing Director of Europe at GE Energy Financial Services, said: In keeping with GE s commitment to expand its activities in the Middle East, this important project will help alleviate the critical water needs of the Kingdom of Jordan. This transaction will provide GAMA with a solid infrastructure development foothold in the region while enhancing the value of the GAMA Energy growth platform, said Hakan Ozman of GAMA Holding A.S. OPIC Acting President Dr. Lawrence Spinelli said, Improving the provision of water, particularly in a water-scarce country such as Jordan, is the most important developmental challenge any CONTACT INFORMATION Contact Name Mr. Arif Ozozan E: aozozan@gama.com.tr W: 4 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

7 nation faces. OPIC is extremely pleased to be part of the historic Disi aquifer project, which will help to alleviate a severe water shortage in Jordan, and to do so in partnership with GE Energy Financial Services and the other project sponsors. Jordan s water resources per capita are among the world s lowest. Water is delivered only once a week to Amman s residents. Jordan's annual water consumption is 9 million cubic meters, and it will need 1.6 billion cubic meters per year to meet its requirements by 215. The Disi Water Conveyance Project will account for approximately 6 percent of Jordan s total consumption projected in 215. GE's investment in the Jordanian water project is the latest in a series of initiatives the company has undertaken in just the past month in the region. On June 23, GE announced the opening of a nearly $1 million GE Saudi Water & Process Technology Center in Damman, Saudi Arabia, the second GE Water facility in the Gulf. On June 11, GE Energy announced it had signed contracts totaling more than US$5 million to supply advanced power generation equipment and long-term services for the Al Dur Independent Water and Power Project, the largest power plant in the Kingdom of Bahrain. GE and Mubadala Development Company announced May 31 the signing of a US$8 billion commercial finance joint venture agreement and establishment of a regional training center for next-generation business leaders. About GAMA Energy A.S. GAMA Group's extensive experience in all aspects of the energy sector resulted in the establishment of GAMA Energy to pursue the energy and water investments of the GAMA Group. GAMA Group has taken part in the construction and development of 14,5 MW of power generation capacity worldwide (which corresponds to approximately 4% of the installed generation capacity in Turkey). GAMA owns equity in projects with a total installed capacity of 2,25 MW. GAMA has been an active participant in Turkey's first major Build Operate Transfer projects as contractor and investor. GAMA Energy has made investments in water supply projects with a capacity of 14 MCM/year and serves as the largest stakeholder of Theolia -- a listed wind generation company based in France. It has made investments in four power plants, one of which is located in Ireland, GAMA Energy continues its development of renewable hydroelectric and wind energy projects as well as larger thermal power plants and one water project in Jordan. For more information, visit About GAMA GAMA was established in Turkey in 1959 and has become a leading international general contractor with operations in 17 countries extending from Ireland in the west to Russia s Sakhalin Island in the east. GAMA Group Companies presently have contracts in 1 countries valued about USD $4.4 Billion and a work force of 2, employees. Besides EPC supplier of power plants and general contractor of industrial facilities, GAMA s other core business is energy investments which is handled by its subsidiary GAMA Energy A.fi. For further information, please visit About GE Energy Financial Services GE Energy Financial Services experts invest globally with a longterm view, backed by the best of GE s technical know-how, financial strength and rigorous risk management, across the capital spectrum, in one of the world s most capital intensive industries, energy. GE Energy Financial Services helps its customers and GE grow through new investments, strong partnerships and optimization of its more than US$22 billion in assets. GE Energy Financial Services is based in Stamford, Connecticut, USA. For more information, visit About GE GE (NYSE: GE) is a diversified global infrastructure, finance and media company that is built to meet essential world needs. From energy, water, transportation and health to access to money and information, GE serves customers in more than 1 countries and employs more than 3, people worldwide. For more information, visit the company's GE is Imagination at Work. Web site at AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 5

8 SEKER SECURITIES Seker Securities was established in 1996, as a subsidiary of Sekerbank T.A.fi, with a paid-in capital of TRY 125, whereas the paid-in capital reached to TRY 15,, as of 29. Seker Securities offers a wide range of services to corporate and individual investors via its Head Office (Istanbul), 2 branches (Ankara and zmir), 25 Sekerbank agencies, 62 trading lounges, call center and internet. With strong brand recognition and customer loyalty through its parent Sekerbank - a 56 year old highly reputable brand - Seker Securities offers: the full set of brokerage services including stock trading, margin trading, fixed income brokerage and portfolio management. the full spectrum of corporate finance services including IPOs, Mergers and Acquisitions, Privatization Advisory Services and Private Placement Transactions Seker Securities Research Department provides a wide range of products such as macro economic analyses, company and sector reports, strategy notes beside its regular daily and monthly publications for domestic and international clients. Seker Securities' Asset Management Department provides private asset management and fund management services with several A type and B type mutual fund options to individual and corporate investors. Seker Securities is one of the few securities firms in Turkey already offering derivative instruments to its clientele including index futures (ISE-3 and ISE-1), FX futures (Euro and US$ contracts) and commodity futures (cotton, wheat and gold). Seker Securities is the first company in Turkey enabling its customers to trade online on a global scale, through a system called S.W.E.E.T. (Seker Worldwide Exchanges and Electronic Trading). SWEET is a touchstone for Turkish investment society considering that the system provides Turkish investors with the opportunity of trading in a large number of international markets. Catering to international clientele, Seker Securities International Capital Markets (ICM) Department provides sales, trading and settlement services for both institutional and individual investors. ICM division collaborates closely with the Research division to provide clients with timely advice, well-informed and most up-todate analysis. Seker Securities Treasury Department offers a diversified product range to individual and institutional investors including domestic bonds, Eurobonds, repo and reverse repo products CONTACT INFORMATION SEKER SECURITIES T: E: pazarlama@sekeryatirim.com W:

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10 NASDAQ OMX Focus on market maturity for long term growth Peter de Verdier Vice President, NASDAQ OMX Advisory Services Creating powerful partnerships During most of 28 markets across the globe were in high growth mode. Market activity steadily increased, and indices moved to new heights. Looking to diversify, investors increased their cross-border holdings, despite being less knowledgeable about foreign markets. The international flow of capital forced mutual fund managers to learn about different economies and new ways to trade and settle. Pressure mounted to even out differences among markets. Then, as the financial crisis hit, a sea change occurred. Investors quickly became risk-averse and many started pulling out of smaller and less developed markets. In many cases, budding efforts by these markets to become more international were abandoned. While this may be a natural response to a sudden drop in foreign investments, it may not be the best response. Rather, aiming for market maturity may well be the best way to faster regain volumes, prepare for future growth, and decrease perceived risk. The Market Maturity model shown below is a generic tool that can also be applied to financial markets. In the first phase of a country s development, the focus is on delivering the necessary conditions to sustain a financial market. There has to be laws to protect private ownership, courts to uphold the laws and police or other functions to enforce court rulings. Similarly, the market needs basic infrastructure, capital markets laws, a regulator to oversee the market, and a surveillance function to ensure a fair and orderly market. Usually an OTC bond market is developed in parallel to a cash equity market. The government often supports this model by issuing tradable treasury securities and privatizing through initial public offerings. As the market develops, quality increases and volumes tend to grow faster than the surrounding economy. Quality comes in many forms. Stakeholders form lobbying bodies, e.g., a trader association or an issuer organization. These bodies have opinions on market development and drive changes to increase investor attractiveness. By encouraging the creation of stakeholder bodies, market operators can gain access to valuable advice that is hard to get in one-on-one meetings with stakeholders. Corporate governance of listed entities is another important quality measure. If a single shareholder or an organized group effectively controls a listed entity, the rights of other shareholders could be put at risk. Transparent criteria for initial and continued listing, periodic disclosure of the company s recent financial performance and independent outside audit as well as disclosure of its financial statements are some of the key tools that serve to improve governance and protect shareholders. Overall, market transparency is a key focus to increase quality. To ensure market fairness, corporate news should be released in a manner that does not unfairly disadvantage any group of investors. Rules that govern trading by company insiders may also be necessary, as well as effective trading surveillance and monitoring of issuer compliance with continued listing standards. As the market gains greater trust, it can launch organized trading in new instruments, such as indices, options and futures. By now, the market is close to reaching critical mass. Local end investor awareness of the market increases, leading to a surge in investments and a broader ownership base of listed entities. 8 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

11 International trading firms start seeing the market as a feasible investment opportunity. If traders can more easily learn market rules, and understand how trading, clearing and settlement works, trust comes faster. Naturally, adapting to international best practices and standards will be important. Also, by enabling remote members, markets can attract trading from medium-sized firms that cannot afford a local presence but have a regional office. As volumes increase, the market can improve business development, thereby making itself more attractive to a broader investor base. At the same time, larger volumes mean lower unit costs, which can facilitate more aggressive pricing strategies. Finally, the mature market has adopted most commonly accepted standards and offers a wide range of products in a transparent and fair manner. For many markets in this category, business development may focus on international expansion and partnerships, paired with cost control. The local economy benefits from a vibrant capital market that serves as a source of capital for new investments. To tackle the large volume drops in the wake of the current financial downturn and to prepare for future growth, markets must think about their current position and future vision. How can the market become more relevant? How can it reach critical mass? There is a wide range of potential actions. Some, though long term, need to be started now to have the desired future effect. Other actions have more immediate consequences and can give a quick boost to market relevance. The plan does not have to be grand and cover every step to full maturity, but without a long term strategic plan, a market is likely to lag in comparison to other venues. So, take a step back and review your situation. What is your vision for the future and what is your plan to get there? Advisory Services from NASDAQ OMX is uniquely qualified to provide strategic guidance and help marketplaces prepare for the future. As an exchange owner, operator and technology provider, NASDAQ OMX has deep exchange industry business expertise and hands-on operational experience. We understand first-hand how marketplaces operate, the challenges they face and the complex technology infrastructures that support them. We focus on the core businesses of the securities industry: issuer services, trading, clearing, order routing, market data, surveillance, settlement, depository, and registry. Our approach is practical and issue driven. We view benchmarking against best practices as an essential tool to align different stakeholder views as changes are introduced and implemented. Our management consultants have broad experience in strategy, operations and change management. For each Advisory assignment, we also bring in subject matter experts from across the NASDAQ OMX organization. To date, NASDAQ OMX Advisory Services has provided strategic guidance to more than 6 exchange industry clients in 25 countries. Currently NASDAQ OMX supplies technology to the following FEAS marketplaces: Abu Dhabi Securities Market, Bahrain Stock Exchange, Egyptian Exchange, Istanbul Stock Exchange, Iraq Stock Exchange, Palestine Securities Exchange and Zagreb Stock Exchange. About NASDAQ OMX The NASDAQ OMX Group, Inc. is the world's largest exchange company. It delivers trading, exchange technology and public company services across six continents, with over 3,8 listed companies. NASDAQ OMX offers multiple capital raising solutions to companies around the globe, including its U.S. listings market, NASDAQ OMX Nordic, NASDAQ OMX Baltic, NASDAQ OMX First North, and the U.S. 144A sector. The company offers trading across multiple asset classes including equities, derivatives, debt, commodities, structured products and exchange-traded funds. NASDAQ OMX technology supports the operations of over 7 exchanges, clearing organizations and central securities depositories in more than 5 countries. NASDAQ OMX Nordic and NASDAQ OMX Baltic are not legal entities but describe the common offering from NASDAQ OMX exchanges in Helsinki, Copenhagen, Stockholm, Iceland, Tallinn, Riga, and Vilnius. For more information about NASDAQ OMX, visit CONTACT INFORMATION Contact Name Mr. Adam Kostyál E: adam.kostyal@nasdaqomx.com W: AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 9

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13 TABLE OF CONTENTS Country Profiles Abu Dhabi (UAE) 12 Bahrain 14 Egypt 16 Jordan 2 Iraq 22 Iran 24 Oman 27 Pakistan 29 Palestine 32 FEAS Region Statistics Member Statistics 36 FEAS Region 29 1st Half Statistics 45 FEAS Region 29 2nd Quarter Statistics 51 FEDERATION OF EURO-ASIAN STOCK EXCHANGES (FEAS) I.M.K.B Building, Emirgan Istanbul, Turkey Tel: (9 212) Fax: (9 212) secretariat@feas.org Web address: Contacts: Mr. Aril Seren, Secretary General Ms. Ege Adalioglu, Assistant Secretary General Ms. Susan Gogus, Assistant Secretary General The Federation of Euro-Asian Stock Exchanges nterfeas Magazine August 29 is published by the Federation of Euro-Asian Stock Exchanges. All editorial material was collated and edited by the Federation of Euro-Asian Stock Exchanges. The design, production and distribution was coordinated by the Federation of Euro-Asian Stock Exchanges. Designed by: Tayburn Kurumsal Although every care has been taken to ensure the accuracy of the information contained within the publication, the Secretariat cannot be held liable for any inaccuracies, errors or omissions, nor held liable for any actions taken on the basis of the information provided herein. The Federation of Euro-Asian Stock Exchanges AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 11

14 ABU DHABI (UAE) A new five-year strategic plan includes measures to ease the processing of licensing, in order to shape the emirate into a leading business and trade hub, DPE Chairman Nasser Ahmed Al-Suweidi told reporters. The entire legal regime will be revamped as to encourage the flow of investments to the emirate. This overhaul will cover aspects such as licensing, transparency, free competition and incentives, he said.the plan, which takes the emirate to 212, has three main objectives, Al-Suweidi said, beginning with the achievement of a rapid and sustainable gross domestic product (GDP). It will also seek to further diversify the economy by reducing dependency on oil and increasing the share of the non oil sector, and thirdly will aim to speed the integration of Abu Dhabi into the global economy by showcasing it as an investment hub, he added. About Abu Dhabi Securities Exchange Established in November 2, ADX is the official stock exchange of the Emirate of Abu Dhabi, the Federal Capital of the United Arab Emirates (UAE). ADX serves the domestic cash equity market, has 65 listed companies and a market capitalisation of AED252.7 billion (USD68.9 billion) as at 31 December 28. In alignment with the Abu Dhabi Government s Economic Vision 23, ADX aspires to become the leading stock exchange in the Gulf Co-operation Council (GCC) region by leading the development of the UAE capital market through a well-regulated marketplace in a lawful environment that ensures integrity, transparency and disclosure. Investors can trade securities listed on ADX through any of its registered brokers and ADX has custody agreements with HSBC, National Bank of Abu Dhabi, Standard Chartered Bank, Deutsche Bank and Citi. Abu Dhabi 23 Strategy The Strategy's most important objectives are: A diversified macro-economy, An economy based on advanced technology, An economy built upon the best international practices, Export-oriented economy based on competitiveness, An economy based on skilled labor, and An economy based on quality and providing the best services in conformity with global standards. The most important selected sectors are: Industrial sector Knowledge-based sector Financial sector Energy sector Infrastructure sector Tourism Advantages for investors Zero tax on profits 5% customs duties Industrial incentives Transfer of capital and profits Advanced Telecom & IT International financial services FTA with other countries Modern air and sea ports Transparency Simplified procedures Low labor-cost Real estate ownership (leasehold) CONTACT INFORMATION Abu Dhabi Stock Exchange P.O. Box 545 Abu Dhabi, U.A.E. T: (2) F: (2) E: info@adsm.co.ae W: 12 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

15 28 a challenging year, but long term outlook positive and strategy still on course The long-term objectives of diversification, improving transparency and of leading the development of the capital markets in the GCC region remain in place for Abu Dhabi Securities Exchange (ADX) despite 28 being a challenging year for financial markets across the globe said Tom Healy, ADX Chief Executive. Announcing a round-up of trading and investment statistics, and achievements for 28, Mr Healy said that last year was a mixed one for ADX, with performance for the first half of the year being exceptionally strong, but that in the second half all GCC exchanges succumbed to global events. Trading Volumes and Value: The first six months of 28 saw an unprecedented rise in the volume and value of trading on ADX, with volumes increasing by 93% compared to the same period in 27, said Mr Healy. Also, the total value of equities trading for the whole of 28 showed an increase of 32% compared to 27, with AED232 billion worth of shares changing hands compared to AED175 billion the year before. Overall volumes for 28 however dropped by 4% compared to 27. Companies and Sectors: Etisalat remained the largest company listed on ADX by market capitalisation, followed by National Bank of Abu Dhabi, QTel, First Gulf Bank and Arkan. The real estate sector however accounted for most of the trading value, followed by banks & financial services and then energy. In terms of individual listed companies traded, ALDAR remained the highest in terms of trading value, with Arkan in second and Sorouh in third. Institutional Investors: 28 also saw an increase in investors from 86, in 27 to 877, in 28 and, of particular importance, was an increase in activity from institutional investors, Mr Healy continued. Increasing institutional participation is an important objective for ADX as it will stabilise the market in the longer-term, he explained. The number of institutional investors increased 34% from 1,623 in 27 to 2,472 in 28 and their trading value increased from 26% to 32% of total market trading value. Foreign Investors: The proportion of shares owned by foreign investors declined in 28, accounting for 9% compared to 13% in 27. Investors from the UK remained the largest after UAE Nationals, followed by investors from Qatar, Saudi Arabia, Kuwait and Luxembourg. Despite the increase in 27 and subsequent decrease last year, foreign investors have always been a relatively small part of the ADX market, commented Mr Healy. Achievements: Mr Healy emphasised that ADX made considerable achievements in 28. In particular he highlighted initiatives to provide greater transparency and improved corporate governance. Ahead of third quarter financial results for example, we asked our listed companies to publish their statements as soon as possible to prevent rumours spreading in the markets, Mr Healy explained. ADX has also been working with the Securities and Commodities Authority (SCA) and its listed companies to implement the new Corporate Governance Code, he said. We have improved the e-services available on our website, signed custody agreements with three international banks, signed and implemented agreements with international stock exchanges including NYSE Euronext, and the Tokyo, Karachi and Taiwan Exchanges, and hosted the Annual General Assembly of the Federation of Euro-Asian Stock Exchanges. Outlook: In line with our 5 year strategy and the Government s Economic Vision: 23, ADX will continue to focus on diversification and sustainable growth so we reach our goal of becoming the market of choice in this region, said Healy. Our priorities for 29 are to develop markets for Exchange Traded Funds, debt securities and derivatives as well continuing to enhance transparency and the regulatory environment for the benefit of all our stakeholders. News ADX signs investor relations agreement with Thomson Reuters The ADX and Thomson Reuters announced today they have signed an agreement which will promote the benefits of investor relations principles to all ADX listed companies. Investor relations involves effective financial and corporate communications between a listed company, its shareholders and the financial community, and is considered best practice for listed companies around the world. Commenting on the agreement, Tom Healy, Chief Executive of ADX, explained the importance of a successful investor relations strategy, saying: For listed companies to achieve fair valuation they need to provide their stakeholders with timely and accurate information. This information is then vital for investors to make informed decisions. This is important for ensuring transparency and integrity in the marketplace. Issam Makki, Manager - Gulf for Thomson Reuters, explained how the agreement will work saying that Thomson Reuters alongside ADX will meet with ADX listed companies to discuss investor relations principles and introduce ways of improving financial communications and IR activities. Now more than ever, IR professionals and CFOs need intelligent information, robust analytics and sophisticated tools to provide greater transparency into the evolving capital markets. We are pleased to provide ADX-listed companies with the solutions they need to effectively manage their investor relations programs." Alex Menage, Business Development Manager for Thomson Reuters added "We are delighted to enter this agreement with ADX at this crucial point of time for the Middle East Capital Markets. Thomson Reuters IR services can provide all the tools listed companies need to: Identify investor risks and opportunities with detailed ownership and targeting analysis incorporating the same factors that drive institutional investment decisions Communicate their message to both institutional and retail investors, and monitor the impact of their communication Connect directly with their peers and the institutional investment community." This agreement is particularly timely as it complements the new Securities and Commodities Authority corporate governance code, currently being implemented by ADX listed companies, which will result in more accountability and independence. AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 13

16 BAHRAIN Country Forecast Overview Key Indicators Real GDP Growth Consumer Price Inflation (av;%) Budget Balance (% of GDP) Current-Account Balance (% of GDP) Exchange Rate US$:Euro (av) Exchange Rate US$:Euro(year-end) Source: Country Forecast Bahrain August 28 Bahrain: risk assessment Risk February 29 Sovereign risk BBB Currency risk BBB Banking sector risk BB Political risk BB Bahrain GDP PPP & GDP Growth Rates Year GDP in Billions of USD PPP % GDP Growth Source: EIU Country Data Q&A GDP & GDP GROWTH GDP % GDP Growth What are the short term objectives of your stock exchange for the next year? In the year 29, the BSE will continue its efforts to attract more local, regional, and international mutual funds despite the global financial crisis. The BSE will also seek more cooperation with stock exchanges worldwide, with the aim of exchanging information and expertise. The BSE will also continue to attract more listed companies, both local and international. Which are your top blue chip companies and what part / which sectors of your country look most likely to develop? The largest companies in terms of market cap. Listed on BSE are as follows: Bahrain Telecommunications Company (BATELCO) Ahli United Bank (AUB) Arab Banking Corporation (ABC) Al Baraka Banking Group (BARKA) United Gulf Bank (UGB) How do you facilitate foreigners to invest at your exchange? In an effort to encourage investors, especially non-residents, BSE launched the online trading services that enabled brokers to utilize technology in order to serve their clients. With the newly-launched eservices in 28, investors can now view the status of their portfolio by simply accessing BSE s website. Investors can also benefit from a variety of other services that can be performed electronically. Now, non-bahraini investors account for more than 55% of BSE s market capitalization and belong to a total of 93 nationalities. CONTACT INFORMATION Bahrain Stock Exchange Hedaya Building 2, Government Avenue, Manama, Block: 35 Kingdom of Bahrain, P.O. Box 323, T: (17) F: (17) E: info@bahrianstock.com W: 14 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

17 News Bahrain oil official reveals $2bn spending plans The oil and gas affairs minister for Bahrain has said that the kingdom is planning to invest US$2 billion in the development of its hydrocarbons sector. Bahraini newspaper the Gulf Daily News reported that Dr Abdulhussain Mirza said $15 billion would be spent developing the Bahrain oil field with another $5 billion being used to modernize the Bapco refinery. We have started in earnest the modernisation process in Bahrain over the last few years after Noga came into existence in 25, Dr Mirza is reported as saying. The process is now well and truly under way with offshore drilling for oil set to begin by the oil giant Occidental, in the very near future, he added. Bahrain has been planning to increase its oil production for some time. Last month it was reported that US oil company Occidental Petroleum Corporation (Oxy) has signed an agreement with Mubadala Development Company, the investment arm of the Abu Dhabi government, to develop the Bahrain oil field. It is estimated that the deal will double the current oil production of the Gulf microstate to around 75, barrels per day (bpd) within five years, reaching a peak of around 15, bpd after that. Under the plan gas production will also increase to 2.5 billion cubic feet per day (cfpd) from the current level of 1.7 billion cfpd. Online trading service Mubasher, the premier provider of e-financial solutions and a subsidiary of National Technology Group (NTG), has announced that it has started serving the Bahrain Stock Exchange (BSE) since December 21, 28 through Mubasher's portfolio of online trading services. Bahrain tops league for foreign direct investment The report was regionally launched from Bahrain and was hosted by the Economic Development Board and MENA OECD Investment Center at the Diplomat Radisson Sas Hotel Residence and Spa. Bahrain - internationally recognised as having the most open and liberal economy in the Middle East - was rated above fellow GCC states by the 28 World Investment Report, which ranks countries by the Foreign Direct Investment they receive relative to their economic size. The announcement builds on Bahrain's reputation as the most attractive country in the region for foreign investment due to the economic reforms that have been introduced in recent years to diversify the economy and encourage private sector growth, creating the best business conditions for international companies looking to establish a Gulf presence. Shaikh Mohammed bin Essa Al-Khalifa, Chief Executive of the Bahrain Economic Development Board, commented: 'This report reflects the great strides Bahrain has made towards modernising and liberalising our economy, with substantial investment in creating sustainable industries and economic activities such as the automotive, telecoms and financial services sectors. Bahrain is proud of its record as a leading destination for business and finance. It is the gateway to the Middle East and we will continue to forge a diverse, vibrant economy fully equipped for the demands of the world economy in the 21st century. 'The roots of Bahrain's success lie in its unique social and economic attributes: the Kingdom's economy is recognized as the most free and diverse in the Middle East and its society as the most liberal, together with its strategic location in the Gulf allowing rapid access to Qatar and Saudi Arabia and strong trade links with booming South Asian economies. Bahrain is ideally suited to foreign companies looking to access lucrative Gulf markets It is distinctions such as these and its skilled Bahraini workforce and cost competitiveness that make Bahrain a primary destination for foreign business, foreign investment and expatriates. AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 15

18 EGYPT Economic Performance According to IMF, the GDP growth rate is expected to reach 8% during the years to come, especially with the government taking significant steps towards improving the investment climate in Egypt as well as removing all obstacles facing local or international investors, which pushed the World Bank to choose Egypt to be the best country in terms of improving its investment and business climate during 26 as well as the UNCTAD ranking Egypt as one of the most investment-attractive countries along the African continent. Egypt's FDI reached a historic high of USD 13.2 billion in 27/28, while the net international reserves reached USD34.6 billion in June 28 recording the highest ever. Main Economic Indicators 25/26 26/27 28/27 GDP Growth Rate FDI (US$ billion) Inflation * Exchange Rate* Budget Deficit (% Of GDP) Net International Reserves* (US$ Billion) Balance of Payment Surplus (US$ Billion) *December 28 Source: CBE, Ministry of Finance. The Egyptian Capital Market Environment in a Nutshell No dividends or capital gain taxes or stamp duties are placed on investment. No restrictions on foreign investment or repatriation of capital & dividends. Settlement is T+2 for all listed securities. Very competitive listing/trading fees in the MENA region. A strong core of diversified sectors Multi asset classes products with different trading mechanisms About the Egyptian Exchange EGX the Oldest, Most Open & Sophisticated Financial Market in the (MENA) Region: The Egyptian Exchange (EGX), which was officially established in 1883, is considered as the most open financial market in MENA region as there are no restrictions on foreign investment or profit repatriation. Additionally, no taxes are levied on dividends, capital gain and interest on corporate bonds for individuals, mutual funds and international funds. EGX adopts the best corporate governance practices and vigorous disclosure rules that conform to international standards and enforce adherence to the Egyptian Accounting Standards, to ensure the quality of listed companies and their level of transparency. New Products in the Pipeline: Currently, only stocks, bonds and close-ended Funds are traded on the Exchange, yet EGX is working on increasing the product mix available to investors by listing and trading new products in the market, ETFs will be introduced to the market by the first half of 29 as well as introducing derivatives by the second half of 29. Additionally, EGX is also working on activating the margin trading system. High Trading Records: EGX is considered one of the most growing emerging market over the last four years, with it is main index soaring up by almost 19% over 23-June28, which pushed the Newsweek magazine to choose Egypt as one of the best 1 stock markets in the world in 25. In terms of liquidity, four years ago EGX was recording only 7,-1, transactions per day. Currently, EGX is recording about 6, to 7, transactions per day. Five years ago, EGX had a maximum of US$ 2 million in total daily transaction value; now, market consistently hitting US$ 4 million per day. CONTACT INFORMATION The Egyptian Exchange 4A, El Sherefeen St. Cairo, Egypt T: (2) F: (2) E: webmaster@egyptse.com W: 16 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

19 Largest Public Companies in Egypt Orascom Construction Industries (construction contracting) Orascom Telecom Holding S.A.E. (telecommunications) Egyptian Company for Mobile Services (mobile service operator) Commercial International Bank (Egypt) SAE (banking) Abou Kir Fertilizers and Chemical Industries Company (production of fertilizers and chemicals) El Ezz Aldekhela Steel - Alexandria (steel production) Talaat Mostafa Group Holding (real estate development) Egyptian Financial & Industrial Co (production of phosphate fertilizers) International Recognition The Egyptian economy maintained significant international confidence, as asserted by various international institutions, praising the economic reforms programs implemented by the government and placing Egypt as one of the least vulnerable countries in the world, to the current financial crisis. These included: Standard & Poor's Rating Services (S&P) affirming its 'BB+/B' foreign currency and 'BBB-/A-3' local currency sovereign credit ratings on Egypt, with a stable outlook. S&P stated that Egypt is in a better place to weather the external shocks, following the reforms that took place in different sectors, and better management of the government's debt, which fell to 71 percent of GDP in FY7/8. (December 28) Egypt is one of the top ten countries in terms of economic reforms and this is for the third time during four years and ranking as the first country in the region in enhancing the work environment.(ifc 29 Report) EGX Achievements EGX is the only Arab Exchange that introduced structured products on its in-house designed EGX 3 Index Introducing Intra-day, Online Trading & Omnibus Accounts Systems Launching NILEX; the first Mid & Small Cap Market in the MENA Region Removing the Price Limits on the 182 Most Active companies, to enhance liquidity New Trading System; OMX X-stream solution Hosting the World Federation of Exchanges (WFE) sixth Developing Markets Forum for the first time EGX: The Most Innovative African Exchange Egypt jumps to the 85 rank (up from 127 the previous year) on the global level in terms of the economic freedom, according to the international index of economic freedom for 28. (Heritage Institute 28). The financial sector in Egypt was not affected by the crisis and it is not expected to be affected in the coming period (IMF 28 report). "The Egyptian economy will be one of the least ten vulnerable countries affected by the crisis" (Merrill Lynch 28 Report). Egypt was the second least vulnerable nation in the world after Singapore (Credit Swiss Global Equities Strategy 28 Report) AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 17

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21 AMMAN STOCK EXCHANGE Amman Stock Exchange: A Decade of Success The Amman Stock Exchange has been a stock exchange success story in the Middle East over the last decade. This year the ASE celebrates its tenth anniversary. In the space of just a decade the Exchange has become a major player in securities trading in the region, with a plan aiming at building on the previous ten years of success, and steer the Exchange through the current global economic downturn, towards a prosperous future. Since its establishment in 1999, the ASE has made remarkable steps to enhance principles of fairness, transparency, efficiency, and liquidity. During the past 1 years the ASE has enhanced its presence on the global map. It has done this partly through a network of international and regional agreements and memberships. The ASE was accepted as a full member in the World Federation of Exchanges (WFE), the largest world assembly of stock exchanges. Alongside its membership of the WFE, the ASE was unanimously re-elected for a third term as the chairman of the Working Committee of the Federation of Euro- Asian Stock Exchanges (FEAS). And the ASE has also been an active member at the Union of Arab Stock Exchanges (UASE) and contributed in drafting a new Charter for the UASE, which was endorsed in 28. The ASE also, chairs the Users Group of the NSC Trading System. On the technological level, the launching of the new version of the electronic trading system in March 29 was one of the most significant developments. The new trading system is considered a quantum leap, as the electronic trading system is now linked with the Securities Depository Center (SDC) systems, as well as the new Jordan Securities Commission monitoring and surveillance systems. Recent projects have seen the introduction of instant disclosure of market information via SMS and on the ASE website, as well as plans to broadcast daily trading sessions live via different mass media. The international perspective of the ASE is further underlined by its approach to international investors. There are no restrictions on foreign ownership and investors, with Jordan offering relative stability and security compared to some other economies in the region. No surprise then that non-jordanian ownership in listed companies reaches 5% of the ASE total market capitalization. Another initiative on the international stage is the launch of the Dow Jones ASE 1 Index in early 28. The index was developed to meet the demand for products based on indexes at the ASE. The Exchange will soon be housed in the new Jordan National Financial Center. The Center will include alongside the ASE and the SDC headquarters; brokerage firms, banks, and a specialized financial institute. The ASE also, will continue with the projects it has started in recently, mainly the Internet trading, a new website, and developing new channels to disseminate market data. If its determination to remain competitive and provide excellent up to date services to members and clients, is anything to go by, then the next ten years may well be even more successful than the last. CONTACT INFORMATION Contact Name Mr. Sundos Jamayed E: sjamayed@ase.com.jo W: AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 19

22 JORDAN The Amman Stock Exchange at a glance Brief history: The Amman Stock Exchange (ASE) was established on March 11, This was a major step in the comprehensive reform of the capital market in Jordan. The Jordanian Government initiated the reforms by adopting the Securities Law of 1997 and the new Securities Law of 22 with the aim of bringing the operation of the securities industry up to international standards. Structure: The ASE is a non-profit making private sector institution managed by a 7-member Board of Directors; 4 of them are elected from the members of the Exchange, and the remaining 3 are appointed by the Jordan Securities Commission (JSC). Foreign investment: The ASE is open to foreign investment. There are no ceiling on non-jordanian ownership in the companies listed at the ASE. There are no restrictions on the entrance or on the repatriation of foreign capital nor on the proceeds or the income operated from it. Also there are no taxes on capital gains or cash dividends. Enforcement is primarily the responsibility of the JSC. It can suspend financial services companies, remove their licences and refer to the prosecuting authorities persons who carry on regulated activities whilst unlicensed or commit insider dealing or market manipulation offences. Securities traded: Stocks, right issues, development bonds, corporate bonds, Treasury bond, Treasury bills, and investment units. Trading system: The Amman Stock Exchange began electronic trading system in March 2. Trading on the ASE takes place on an automated, order-driven system. Brokers trade on the system remotely (from their offices). Trading takes place on a continuous basis for quoted equity stocks and traded on the First and Second Markets, as well as for right issues and bonds. Brokers enter buy and sell orders into the trading system. The system then matches those orders to produce a trade. Market Segmentation: Trading in stocks at the ASE takes place at two markets, the First Market and the Second Market. The markets are divided according to liquidity and company profit criteria. Companies listed at the first market fulfill stringent requirements in liquidity and profitability. Also these companies must provide the ASE with quarterly reports in addition to many other reports and disclosures (semi-annual, annual, primary results, material information). TRANSACTION COST Security Lower Limit (per thousand JD) Upper Limit (per thousand JD) Shares JD 5.4* JD 7.4 Bonds JD.45 JD.95 Investment Units JD 2. JD 2.2 *JD 3.4 for shares transactions that more than JD 1,. CONTACT INFORMATION Information & Awareness Department Arjan-Near Ministry of Interiors Postal address: PO Box , Amman 11121, Jordan T: F: E: info@ase.com.jo W: 2 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

23 News 1 Years of Progress and Success The Executive Chairman of Jordan Securities Commission, Dr. Bassam Al- Saket delivered a speech in which he delineated that the establishment of the ASE coincided with His Majesty s taking over the throne. Since then, the dawn of a new era emerged during which lots of accomplishments were fulfilled in various political, economic, technical, social and educational domains. In his speech, the CEO of the ASE, Mr.Jalil Tarif, said that applying the new version of the trading system NSC V9 is considered a major leap in Jordan Capital Market and entailed introducing comprehensive changes to all the components of the electronic infrastructure of the Stock Exchange as well as the other capital market institutions. The New Version of the Electronic Trading System The ASE has launched the new version of the electronic trading system NSC V9 on March 22nd, 29, whereby 12,534 transactions worth JD 59.9 million were executed in the first trading session across the several trading stages including the new stages that have been introduced by the new system. The ASE Participates in the Inauguration of Damascus Stock Exchange The ASE, represented by the CEO, Mr. Jalil Tarif, participated in the inauguration of Damascus Stock Exchange (DSE). The Chairman of the Board of Directors of the DSE, Mr. Rateb Shallah, delivered the shield of Damascus Stock exchange to Mr. Tarif as gratitude of the efforts and contributions of Amman Stock Exchange in the establishment of the DSE which honored the Jordan Securities Commission, as well. The ASE participates in the Economic Media and Financial Markets Forum The ASE has participated in the Economic Media and Financial Markets Forum, which was organized by the Jordan Securities Commission in cooperation with the Arab Federation of Securities Commission on October 21st, 28. The ASE Participates in the International Arbitration Conference The ASE has applied the arbitration provisions by issuing the Directives for Dispute Resolutions for the year 24. The Directives state that any dispute between a client and brokerage firm shall be resolved by arbitration provided that the account opening agreement include an arbitration condition. A number of arbitration sessions were held in the ASE, and a final verdict was issued in seven lawsuits. Strategic Government Investments in IT Boost Jordanian Market SAP AG (NYSE: SAP) executives in Amman have said that Jordan s IT market will continue to develop due to strategic investment by the government alongside public and private companies. The Government of Jordan s national e- Government initiative is designed to drive the nation s transformation into a knowledge-based society founded on a competitive and dynamic economy. As part of efforts to transform its society, economy, and government, Jordan is pursuing a national e-government strategy that aims to invest heavily in IT as part of its goal to diversify the country s economic and social development. SAP has 35 years of unparalleled expertise addressing the unique demands of organizations in more than 25 industries, and the Best-Run Now packages are based on an in-depth knowledge of the processes that drive business and an ideal commerce tool for CFOs, CIOs, and COOs. In 28 non-jordanian investment kept their upward trend The ASE achieved positive indicators despite the global financial crisis. During the year 28 non-jordanian investment kept their upward trend with a positive net balance, which is a testimony of trust in the Jordan Capital Market and an evidence of the increasing interest of investing at the ASE. The trading value, the number of shares traded, and the number of transactions increased during 28, as well as the net income before tax of the public shareholding companies during the nine months of the year 28. The ASE statistics for the year 28 showed that the ASE price index weighted by free float shares decreased by 24.9% reaching 2758 points, compared with 3675 points at the end of 27. As for the price index weighted by market capitalization; it closed the year with 6243 points, a 17% decrease than the 7519 points at the end of 27. Despite the decline in the shares prices during 28; the ASE was less affected by the global financial crisis compared to other Arab and international exchanges. The ASE price index increased by 3% during the first half of 28, reached its all time high, this was due to the rise in the stock prices of some industrial companies especially the mining sector which came as a result of the increase of international prices of row materials which participated in the increase of the demand on their shares. Also share prices for a number of companies from different sectors increased due to the price increase of their products prices. As for sectoral level, the price index declined for the Financial Sector by 29.7%, Services Sector by 17.7% and for Industrial Sector by 11.7%. Most of the sub-sectors indices witnessed a decline in their levels except for Food & Beverage sector and Mining & Extraction Industries sector, which increased by 7.5% and 1.6% respectively. Whereas Real Estate and Diversified Financial Services sectors price indices witnessed a dramatic decrease by 5.4%, 47.6% respectively. The ASE market capitalization reached JD 25.4 billion a decrease by 13% compared with last year, constituting 226% of the GDP, which is one of the highest ratios that reflect the importance of the ASE in the national economy. AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 21

24 IRAQ New opportunities for the rapid economic development The Iraqi economy is undergoing a transition from one tightly controlled by the government to a free market economy. Significant political, economic, and social changes are taking place, which should open up new opportunities for the rapid economic development of the country. A US-led Iraqi interim government was set up and is expected to take sovereign power in June 24. This interim government has played a critical role in supporting the rebuilding initiatives. During the last three decades, Iraq has suffered from persistent state intervention, costly militarization, three wars, and over a decade of international sanctions. With tremendous amounts of interest channeled towards succeeding in rebuilding the devastated nation, the situation has advanced considerably. Although far from becoming the regional powerhouse it has the potential to be, remarkable steps to reshape and rebuild the ruined economy have transpired in the wake of the liberation. Advances have been made on all fronts entailing the humanitarian, political and economic arenas. A US-led Iraqi interim government was set up and is expected to take sovereign power in June 24. This interim government has played a critical role in supporting the rebuilding initiatives many times deemed doubtful by skeptics. The reconstruction efforts are however being hampered by the continuing attacks on US troops and the lack of security in the country. A large part of the funds required for reconstruction will be obtained from crude oil exports. International aid in the form of grants and loans are also expected to meet a significant portion of the costs of reconstruction. A joint UN and World Bank report estimates the overall stock of medium-term reconstruction needs to be on the order of US$ 36 billion, US$ 9 billion of which would be needed in 24.These figures cover physical reconstruction, technical assistance, and training needs, plus additional operational and maintenance costs associated with new investments. In addition, critical sectors that have been identified outside the UN/World Bank scope, including security and oil have been estimated by the CPA to cost an additional US$ 2 billion over the coming years. Thus the total estimated cost of reconstruction amounts to around US$ 56 billion. On the humanitarian front, the international community, led by the United Nations has been able to respond to the needs of the Iraqi people. Electric power has returned to slightly below pre-war levels, while hospitals, health clinics and schools have reopened across the country. A wide range of goods and services are available in the markets. Food, water and medical necessities from the international community have been made available to Iraq's needy, which has helped stave off a potential humanitarian crisis. On the political front, many issues have been resolved although several still remain. On the economic front, the Iraqi government, recognizing the importance of capital inflow to the nation and to encourage much-needed capital investment, adopted a liberal regime for foreign direct investment. It permits foreign firms to establish wholly owned companies or to purchase 1% of Iraqi firms. Foreign firms may remit profits and capital freely. Also, the Banking Law has been an important complement to the foreign investment law, allowing foreign banks to enter Iraq as branches, subsidiaries, representative offices or through joint ventures with local banks. The passing of these two legislations, should pave the way for the inflow of international funds for the reconstruction of the country. The reconstruction effort has seen giant leaps forward. The few authorities which are organizing and awarding contracts (USAID, Iraq Interim Government, various Ministries) have taken effective measures at assessing and tackling the most significant infrastructure projects and awarding contracts to rehabilitate those segments. Although oil production has been erratic during 23, production has been gathering steam. CONTACT INFORMATION Iraq Stock Exchange P.O. Box, 367 AlAlwiya, Iraq T: (79) F: (1) E: info-isx@isx-iq.net W: 22 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

25 The Iraqi economy, which is heavily dependent on the sale of crude oil should see further improvements in 24 as both the CPA and the Ministry of Oil have set out the aim of expanding production to pre-war levels. The CPA has also set the aim of achieving some level of fiscal discipline and has established a budget for the coming period, which highlights a number of issues. One of the key issues highlighted is the continued dependency of the government on oil revenues, with about 89% of revenue budgeted to come from oil. The budget also points to the inevitability of a heavy fiscal deficit. On the positive side though, the deficit does not rely on increased borrowing or printing money, instead the deficit will be financed using unspent Oil for Food Program (OFFP) funds and other assets confiscated from the previous regime. The Iraqi economy has experienced continuous deterioration since 198. In terms of per capita GDP, Iraq may be classified as one of the few Least Developed Countries (LDCs). EIU estimates real GDP to have declined by nearly 2% in 23 over the previous year due to the fall in oil production and export levels. Iraq's oil output is expected to recover to pre-war levels by the second half of 24, and the non-oil sector is projected to expand rapidly as aid and reconstruction spending flows into the economy. Real GDP is estimated to grow by 19% and 15% in 24 and 25 respectively. A strong recovery in economic growth levels is projected for 24, subject to the restoration of adequate security, proper functioning of public services (particularly electricity), and the availability of external resources for reconstruction. The oil sector will continue to be the driving force behind economic growth in Iraq, with securing pipeline security the main impediment. At the same time, significant political, economic, and social changes will continue to take place that would open up new opportunities for economic activity. Q&A What are the short term objectives of your stock exchange for the next year? 1- Iraq Stock Exchange (ISX) start First Electronic Trading session on Sunday 19/4/29 In Trading first five companies (Al- Mansour Bank, Ashur Bank, Commercial Bank, Al- Mansour Hotel, Ishtar Hotel), ISX working to move all the companies to Electronic trading according to a plan to deposite (91) listed companies shares and then trading it electronically. 2- listing new companies in Electronic trading after providing listing requirements according to Financial Markets Law and its regulations. 3- participate in foreign and local conferences and start training programmes in cooperation with regional, Arabic Unions. 4- Developing eloquence ways and spread information, publish Bulletin, Reports and organize programmes in different Media ways and also in the Net. Dealing Al- MUBASHER for information which cover Iraq Stock Exchange performance. 6- publish third companies Guide which produce information and Financial Data. Which are your top blue chip companies and what part / which sectors of your country look most likely to develop? The Companies are: Middle East Bank, Investment Bank, Bank of Baghdad, United Bank, Al- Warka Bank. The sector which we except to develop in our country is the Industry sector and hotel & tourisiam sector. Are there any new products that you will introduce this year and next year? Iraq Stock exchange publish Daily, Monthly, Annual reports and also publish Companies Guide. How do you facilitate foreigners to invest at your exchange? Foreigners can invest in Iraq Stock Exchange according to the regulations and rules. 5- encouraging Brokerage companies to open new branches in provinces and in the near countries to attract Investment in ISX. AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 23

26 IRAN Q&A What are TSE's goals for the next year? Development of new instruments including single stock futures and exchange traded funds. Improvement of substructures for liquidity increase. Listing and offering of state-owned companies' shares within the privatization plans. Using book building method along with auctions in initial public offerings. Promoting financial knowledge of the society through public training. Cooperation with listed issuers through the establishing of corporate governance regime as well as investor relations system to improve financial reporting and disclosure quality. Which are your top blue chip companies and what part/ which sectors of your country look most likely to develop? Industries in TSE are highly diversified so that 349 listed companies are classified in 37 industries. 11 top blue chip companies are listed below: 1. Isfahan Mobarakeh Steel 2. Iran National Copper Industries 3. Chadormalu Mineral & Industries 4. Telecommunication Company of Iran 5. Kar-afarin Bank 6. EN Bank 7. Saipa 8. Isfahan Oil Refinery 9. Khark Petrochemical 1. Mines & Metals Development Investment 11. Gol-e-gohar Iron Ore Petrochemical industry, basic metals, telecommunication, banking and monetary institutions, cement and mineral metals are main industries in TSE. Investment industry, automotive industry, and real estate and property industry are the most interesting industries among shareholders during the recent years. Insurance industry will bring more industrial diversity in TSE with the first IPO of the Kind. Are there any new products that you will introduce this year and next year? TSE is going to make new investment opportunities for a wide range of investors and provide a market with high liquidity through development of new instruments in the market. Now, instruments being traded in TSE are shares, stock rights and participation bonds of listed companies. TSE intends to introduce and apply the new financial instruments such as single stock exchange and ETFs to promote the activities. Initial studies on development of secondary market may also help the market development of participation bonds in TSE. How do you facilitate foreigners to invest on your Exchange? In recent years, some regulations including "Foreign Investment Promotion and Protection Act and Foreign Investment by-law" have been approved to facilitate foreign investment in TSE. In addition to direct investment in various industries, foreign investors may invest in the listed companies' securities as well. Furthermore, TSE has a floor for active trading in Kish Free Zone, in which investors may take advantages including tax exemption and easy foreign currency transfers in addition to investment benefits. CONTACT INFORMATION Tehran Stock Exchange 228, Hafez Avenue, P.O Box , IR Tehran, Iran T: (21) F: (21) E: Int@tse.ir W: (Persian Website) 24 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

27 News TSE s New Trading Platform inaugurated TSE today announced the successful launch of the first phase of its new trading engine, JAM. The new platform provides rich functionality, flexibility and capacity to manage large transaction volumes. TSE s new trading platform will provide enhanced capabilities for the exchange to encourage better market liquidity and velocity, enhance the dissemination of trading information, increase trading efficiency and quality of market surveillance. It is also a change in the way investors will trade in the market, where new features will be introduced to benefit investors. This platform will allow TSE to deal with increased volumes and improved performance, as well as continuing to innovate through the launch of new products. The new trading platform enables TSE to meet the requirement for growth and alignment with international trading also underpins two strategic priorities of TSE, that is, international and developed stock exchange. The platform includes ARAMIS a new system that is slated to improve the exchange s market surveillance capabilities by providing greater transparency of trades that will allow the market to move more gradually and reduce possible manipulations. TSE Certified with ISO for Quality Management System TSE was honored to receive ISO 91:28 Quality Management System certificate on Friday, 3 March 29. The certification body of DNV approved the award of the certifications to TSE. The certification also serves as an acknowledgement that TSE s management conforms to internationally recognized standards. Hasan Ghalibaf Asl appointed new managing director of TSE TSE is to publicly announce the appointment of Mr. Hasan Ghalibaf Asl as its new Managing Director, instead of Mr. Ali Rahmani, who was the first TSE's Managing Director since the Exchange demutualization in 26. Owing to the termination of the former board's term, the new board of directors, in the meeting on 17 November 28 also appointed Mr. Mohammad Hashem Botshekan, and Mr. Mohammad Reza Rahbar, respectively as TSE's new Chairman and Vice Chairman. TSE IPOed First State-Owned Bank On 18 and 21 Feb 29, In compliance with the privatization scheme, 5 percent of equity shares of state-owned Bank Mellat (Equivalent of 656 million shares of company) first time after listing, was offered by the government on TSE at the price of $.12 per share with the total value of $78.7 million. This IPO exercise would be continued; another 1 percent of Bank Mellat is going to be offered by government in coming months. Bank Mellat was established on 1979/12/2 by virtue of the resolution dated 1979/9/29 adopted by the General Assembly of Banks and pursuant to the provision of article 17 of the Bill on administering the Banks, with a paid up capital of Rls 33.5 bn as a merger of ten nationalized banks. Currently, the bank's capital amounts to Rls 13,1 bn and is one of the largest commercial banks in the Islamic Republic of Iran, ranking among the top 1 banks of the world. At the present time it is active enjoying more than 18 branches all over Iran and other branches in Istanbul, Izmir, Ankara in Turkey, Seoul in South Korea, Yerevan in Armenia, London and Dubai (Persia Bank) and a percentage of the Share of Europaisch-Iranische Handelsbank. The certification was the outcome of an assessment of TSE s quality management system in relation to the standards requirements, internal procedures and legal and stakeholder requirements. To achieve this certificate, TSE underwent a stringent internal assessment and an external auditing process by DNV. The initiative took seven months for enhancement of existing procedural documentation and involved training for familiarization with the requirements of standards. ISO 91 defines requirements for quality management systems and focuses on meeting customer requirements, enhancing costumer satisfaction and improving the existing system. The standard is developed by the International Organization for Standardization (ISO). AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 25

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29 OMAN In the 37 years since the visionary Sultan Qaboos bin Said Al Said took over the reins of power in the Sultanate of Oman, the country has progressed from a land where camel caravan did ancient trading and sailing ships, into a booming world player with state-of-art communication abilities. Through the wisdom of His Majesty, Oman has become a modern country while impressively maintaining its ancient heritage and traditions. While the initial progress of the Sultanate was founded on the discovery of oil, it is now a world player in all sectors of industry, commerce, technology and tourism, as well as other sectors of the economy. Today Oman is a land of rare opportunities and one of the most progressive and stable countries in the Middle East. It is a sophisticated modern state that is enjoying the beginnings of a flourishing business and development era, one that invites investment and encourages entrepreneurship, and for investors looking for a lively new market; Oman is the perfect economy to consider. Muscat Securities Market The objectives of the Muscat Securities Market are: To provide opportunities for investing savings and funds in securities for the benefit of the national economy; To regulate the operations of selling and buying securities, to ensure the protection of investors against any unfair or invalid dealings; To create the proper atmosphere that ensures the interaction between supply and demand, and the ease of liquidating funds invested in securities; To keep pace with the application of the most modern developments relevant to the regulations, instructions and electronic systems that ensure the organisation of securities trading in accordance with international standards; To inculcate the professional code of conduct and enhance the efficiency of securities industry dealers. Muscat Securities Market is regarded as one of the most progressive, best-regulated and transparent stock markets in the region and is, today, a secure, efficient cost-effective and attractive investment destination for investors. It enjoys good corporate governance and disclosure and continues to play an active role in Oman s nation-building process. ( MSM Overview of year 28 MSM 3 Index lost %; turnover soars to RO 3.66 billion. Securities losses on the Muscat Securities Market in 28. Reflecting the negative trend, the MSM 3 Index registered a decrease of % at 5, points as against 9,35.48 points a year ago. AT A GLANCE During the year under review, the aggregate market turnover stood 37.5% higher at RO 3.66 billion as against RO 2.66 billion recorded in 27. More than 4.4 billion securities changed hand in 28 compared with 3.4 billion securities traded in 27. The market capitalizaton has decreased by % during 28 at RO 7.9 billion as against RO 1.3 billion in 27. Sector Indices such as Banking & Investment, Industry, and Services & Insurance gained 46.2%, 46.9%, and 28.5% respectively at 6,62.92, 4,321.64, and 2, points, respectively.21 as oil production and crude prices rise again. Description % MSM 3 Index (points) 5, , No. of Securities Traded (billion) Turnover (billion RO) No. of Trades 887,534 57, Mkt. Capitalization (billion RO) CONTACT INFORMATION Information & Awareness Department Po Box 3265, Postal Code 112 Ruwi, Sultanate of Oman T: + (968) ext. 888/881 F: + (968) E: hooti123@omantel.net.om AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 27

30 OMAN Five main blue-chip companies in Oman BANK MUSCAT (commercial banking) GALFAR ENGINEERING & CONTRACTING (engineering, contracting & construction-largest waterworks constructor in the Gulf) OMAN TELECOMMUNICATION (telecommunication services) RENAISSANCE SERVICES (multinational oil & gas services- largest luxury hotels company in the Gulf) RAYSUT CEMENT (production and sale of cement) News Oman expands airport to handle more passengers and freight Oman s minister of transport yesterday signed a number of contracts to develop the country s airports. Dr Khamis bin Mubarak Al Alawi, initialed 13 agreements, collectively valued at RO million (US $1.5 billion), according to Oman Daily Observer. The biggest contract was the RO 45 million civil works contract for Muscat and Salalah international airport projects. The contract was awarded last month to a joint venture of Consolidated Contractors Company (CCC) and TAV Insaat of Turkey. Strabag Oman was awarded an RO 37.5 million contract to construct phase on of the Sohar Airport in the Batinah region. An RO million contract on the Duqm Airport in Wusta was awarded to Desert Line Projects. An RO 18 million dredging and reclamation package on Muscat International Airport went to Boskalis Westminster and an RO 16 million soil strengthening job at Muscat was given to Solitanche Pachy. Other contracts covered flood channels and roadside paving, radar technology and meteorology stations at different airports. Oman has outlined ambitious plans to modernise its airports and boost their capacity. Muscat International Airport is being expanded to handle 2, tons of cargo and 12 million passengers annually by 212. Further expansions are planned to boost capacity to 48 million passengers by _oman_formalises_airport_development_contracts/ Deloitte: new income tax law in Oman to attract foreign companies From January 1, 21, a new Omani Income Tax law will take effect, designed to attract foreign companies to enter the market. The new law was enacted by royal decree on 24 May 29, and published in the Official Gazette on June 1 this year. "The new corporate income tax law is now more favorable to foreign corporations by fixing the corporate income tax rate to a low 12 per cent, for all businesses including branches and permanent establishments of foreign companies," said Nauman Ahmed, partner in charge for Tax Advisory Services in Deloitte Middle East, adding that it also introduces an annual 9 day threshold in aggregate for any given taxable year before a foreign company conducting business in Oman is deemed to create a taxable presence (Permanent Establishment). "Foreign companies providing consultancy and other professional services will benefit from this development," added Ahmed. In addition, the new Tax Law introduces measures to broaden the tax base whereby Global Income will now be subjected to corporate tax while also introducing foreign tax relief on certain taxes paid overseas in the form of a foreign tax credit. Tax exemptions and other incentives will continue to apply to specific industries engaged in development of tourism, qualifying manufacturing businesses and projects of strategic economic importance with substantial export and employment potential. "These industries are perceived to provide economic growth and help fulfill the Omanization program of the Sultanate," said Alfred Strolla, office managing partner for Deloitte in Oman. However, public utility projects will no longer be eligible for tax exemptions while Education and Medical Care providers will have their indefinite tax exemption status replaced by a maximum of 1 years. The new income tax law also includes provisions that deal with the tax treatment of the income and expenses of the preincorporation or pre-operation period. Expenditure incurred for business purposes before the business commences shall be deemed to be incurred on the day on which the business commenced. 28 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

31 PAKISTAN Q&A (Lahore Stock Exchange) What are the short term objectives of your stock exchange for the next year? Consolidate position after market crisis, setting stage for expansion based on increase market activity, new products and possible market de-fragmentation. How is your country/stock exchange managing the Global Crisis? a) consolidation of what survived through global crisis b) ensuring operational fundamental soundness Based on the economic structure of your country, what can you say about the future outlook of the Stock Exchange? Where do you see yourself in 5 years? We see ourselves as a de-fragmented market catering to infrastructure projects What is your most important asset to promote, as a country and/or as a Stock Exchange? a) our innovative nature b) IT intensity and IT R&D c) attention to internal corporate governance and transparency Who are your top blue chip companies? National Bank of Pakistan (Commercial Bank) Oil & Gas Development Company Ltd (Oil & Gas Exploration) Pakistan State Oil (Oil & Gas Marketing) D. G. Khan Cement Company Ltd (Cement) Pakistan Petroleum Ltd (Oil & Gas Exploration) Pakistan Oilfields Ltd (Oil & Gas Exploration) MCB Bank Ltd (Commercial Bank) Sui Northern Gas Pipelines Ltd (Oil & Gas Marketing) Sui Southern Gas Company (Oil & Gas Marketing) Nishat Mills Ltd (Textile) Lucky Cement Company Ltd (Cement) Nestle Pakistan Ltd (Food & Personal Care Products) Unilever Pakistan Ltd (Food & Personal Care Products) Abbott Laboratories (Pakistan) Ltd (Pharmaceuticals) What part/sector of your country / stock exchange would you like most to develop? i) Infrastructure & Utilities ii) Petro & Energy (vertically aligned) iii) Consumer Products companies, FMCGs What products are you looking to introduce next? i) Leverage providing products ii) Hedging Products: Futures and Options When was your last road show? Where did you visit? What was the interest level of the investment companies you met? Over the last few years have held road shows internally within Pakistan in cities of the likes of Sialkot and Faisalabad in order to promote investor awareness. What is the level of local vs. Foreign investment in your exchange? Predominantly local investment, foreign investment has declined in correlation to global crisis. What is the level of individual vs. Institutional investors in your exchange? Retail investors constitute a sizeable portion of our business. How easy is it for foreigners to invest at your exchange? Relatively easy, deciding factors are appetite and holding periods. CONTACT INFORMATION Lahore Stock Exchange 19, Khayaban-e-Aiwan-e-Iqbal, Lahore-54, Pakistan T: (42) F: (42) E: secretary@lahorestock.com W: AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 29

32 PAKISTAN Q&A (Karachi Stock Exchange) What are the short term objectives of your stock exchange? The short term objectives of the Exchange is to work for market stability through measures that will enhance investor confidence and to attract better volumes through development of new derivative products. How is your country / stock exchange managing the Global Crisis? Pakistan s macroeconomic environment is affected by the war on terror and deepening of the global financial crisis which resulted in slowdown in our GDP growth. Although slight contraction in export receipts is more than compensated by massive import compression emanating from crude oil prices. Pakistan is an agrarian economy which has shown 2. percent GDP growth during FY8-9 in spite of drop in export and record increase in petroleum prices last year. The stock market has shown an increase of 22% in the Index since January 29. Based on the economic structure of your country, what can you say about the future outlook of the Stock Exchange? Where do you see yourself in 5 years? The Future outlook of e our Exchange is very bright, due to present attractive PE multiples of our listed companies and the positive growth outlook of the Economy. We believe that following reasons will make our economy perform better and will make the KSE among the Top exchanges of the world. Pakistan has tremendous untapped natural resources; the total population of Pakistan is , the life expectancy in Pakistan is 64.9 years. Agriculture remains the dominant source of employment in Pakistan. The share of agriculture in employment is 44.6% followed by manufacturing (12.99%), trade (14.6%) & services (13.7%). In environment of global recession and slow growth, Pakistan s economy is expected to grow by 3.3 percent and by 4 and 5 to 6 percent during Fiscal Years 21/11 and 211/12, respectively. Mainly due to our Agriculture base and better Human resource. What is your most important asset to promote, as a country and/or as a Stock Exchange? The most important asset is our young population and low cost workforce. About 7% population is below the age of 3. Pakistan is blessed with enormous natural resource that is waiting to be exploited. Further, Government is making huge investments to promote the Agriculture and Industrial sector of the country. The Stock Exchange will benefit from general growth in the economy due to these factors and we see growth and investment in both these sectors and as a result the listing of new companies will increase. Who are your top blue chip companies? National Bank of Pakistan Habib Bank Limited MCB Bank Limited Lucky Cement Limited The Hub Power Co Ltd Kot Addu Power Co Ltd Pakistan State Oil Co Ltd Sui Northern Gas Pipeline Ltd Oil & Gas Development Co. Ltd. Pakistan Oilfields Ltd Pakistan Petroleum Ltd Fauji Fertilizer Company Ltd ICI Pakistan Ltd Engro Chemical Pakistan Ltd Pakistan Telecommunication Co What part/ which sector of your country / stock exchange would you like most to develop? Companies listed at the stock Exchange in Oil and Gas sector, Automotive, Telecommunications and Construction expect to do well in our growing economy. Further, Agriculture remains the dominant source of employment in Pakistan. The share of agriculture in employment is 44.6% followed by manufacturing (12.99%), trade (14.6%) & services (13.7%). The agriculture sector requires development as the yield per acre is very low as compared to advance countries. Karachi stock exchange has done various Investors education programs to educate the investors. In this regard various seminars, road shows have been conducted to increase the investors base. What products are you looking to introduce next? The Karachi Stock Exchange is planning to introduce corporate debt instruments trading, stock options & stock index options in 29. When was your last road show? Where did you visit? What was the interest level of the investment companies you met? The Exchange has done various road shows within the country and outside Pakistan. The last road show was in London and it attracted global participants and informed them about the prospects of investing at KSE. What is the level of local vs. Foreign investment in your exchange? Foreigners are free to trade at the stock Exchanges and are allowed to repatriate the principal plus capital gains without capital tax. In Pakistan Foreigners hold about 22-25% of the total free float. What is the level of individual vs. Institutional investors in your exchange? In Pakistan the ratio of institutional investors and individual is 65% and 35% respectively. How easy is it for foreigners to invest at your exchange? Foreigners are freely allowed to hold / trade at the stock market. They are also allowed to repatriate the capital gains. However foreign investors are required to open a SCRA account with SBP to ensure the repatriation of funds at official exchange rate. CONTACT INFORMATION Karachi Stock Exchange K.S.E. Building, Stock Exchange Rd., Offl. I. Chundrigar Road, Karachi- 74, Pakistan T: (21) F: (21) E: info@kse.com.pk W: 3 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

33 News Pakistan's Ship Breaking Industry Getting Huge Investment Minister of State for Industries & Production Dr Ayatullah Durrani has said that investors are putting huge investment in Pakistan's ship breaking industry at Gadani due to better environment provided by the present government. Pakistan Seeks Foreign Investment To Meet Demands Of A Burgeoning Economy Senator Waqar: The focus is to give a corporate image to Pakistan. We're creating incentives like 1-year tax holidays for investors interested in setting up special economic zones; increasing transparency, especially among intergovernmental dealings; and trying to build confidence among all parties that this government is not interested in unraveling policies of past governments, as has been the case in Pakistan's history. We are targeting to bring in $1 billion investments by the end of 29. So far we've received $4 billion. Tetra Pak to step up drive in new markets Tetra Pak, the world's biggest packaging company, will step up investment in building new plants in emerging markets by 1 per cent to more than?2m ($282m) next year as global milk consumption climbs to new highs. The investments by the Switzerland-based group that makes carton packages for milk and fruit juices come amid a 1.6 per cent increase in global milk consumption in 28 to 258bn litres Pakistan welcomes Argentinean interest Argentina has come forward with plans to invest in the Pakistani oil and gas sector, expressing interest in a gas pipeline to Turkmenistan, officials said. Ambitious Rs83b development outlay The government unveiled on Saturday an ambitious projected total outlay of Rs 83 billion including Rs 646 billion for Public Sector Development Programme and Rs 157 billion for various other development programmes for the fiscal year According to the break-up of total Annual Development Plan, the government has projected Rs 421 billion for federal government projects, Rs 2 billion for provinces, Rs 25 billion for Earthquake Reconstruction and Rehabilitation Authority, Rs 7 billion for Benazir Income Support Programme, Rs 5 billion for Internally Displaced Persons, Rs 35 billion for Peoples Works Programme and Rs 4 billion for Benazir Tractors Programme for the next fiscal year. The total national allocation for PSDP 29-1 is estimated at Rs 646 billion including an amount of Rs 2 billion for provinces, which would be spent through the provinces Annual Development Plans (ADPs), the documents reflected. AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 31

34 PALESTINE Political Developments During 28, the Palestinian Territory witnessed did not move out of the hard situation resulted from seperstion between West Bank and Gaza Strip, that makes political, social and economic life so unstable since June 27, dramatic changes and developments, from the one side the Palestinian political map changed radically at the results of 14 June events that led to the separation between West Bank and Gaza strip, on the other the Palestinian economy keeps close to its average growth rates in this year which did not exceed 2% according to official sources. Taking into account the financial blockade was eased, followed by an international conference in Ana Police, the expectation of the USA to activate the peace process in the Middle East, and later the donor conference held in Paris, aiming to provide the required financial support from the International community, given these evidence it is expected that the Palestinian economy will realize better performance in the coming months, but this situation will be directly impacted by any further complications in the Palestinian territory. Economic Developments The unemployment rate for the Third quarter of the year 28 reached to 27.3% recorded an increase by 5.8% compared with the Second quarter of the year 28. The unemployment rate recorded an increase by17.7% during the Third quarter 28 compared with the similar quarter of the previous year 27. The unemployment rate for the full year 27 was 21.5% compared with 23.6% in 26. Official sources reported that the preliminary estimates at constant prices for the first quarter of 28 shows decreases in the performance of the economy in the Remaining West Bank and Gaza Strip. The GDP estimates for the third quarter 28 shows a decrease by 1.7% compared with the second quarter 28, and showed an decrease of 6.9% compared to the third quarter of the year 27 at constant prices. The estimates refer also to decreases in the main economic activities within the available short term indicators for each activity. There were decreases in the agriculture, construction, real estate, renting and business services, public administration and defense. ( Impact of the economical situation on the PSE Despite the political and economical deteriorations, the PSE stands on solid ground, as it is better on both directions; improving the performance of the market, and improving the investment environment in securities market, which enables the PSE to achieve outstanding results in 28. PSE receives the disclosures for the fiscal year 28 The PSE expressed its satisfaction of the level of disclosure of the fiscal year 28, as it reached up to 97% of the total number of listed companies. This result is considered an indicator of high transparency and commitment to PSE regulations. The results of disclosures reveal that 24 companies out of 34 gained profits where 1 achieved losses (3 companies are halted). Ahmad Aweidah, Chief Executive Officer of the PSE declared that this commitment comes from the coordinated efforts of PSE and the Palestinian Capital Market Authority (CMA) in enhancing disclosure procedures. Aweidah believes that disclosure is an important component of a fair trading environment leading to trading efficiency and investor protection. Aweidah stated that it was not surprising that the PSE got a high rank in the international classification for investor protection of stock markets according to the study published by Market Watch site. He added "The PSE occupied the position 33 out of 178 countries internationally and the second after Kuwait in the Arab stock exchanges. He also pointed that the PSE will maintain its efforts to enhance disclosure procedures and transparency which is considered to be a core element of governance. He added "the PSE efforts will contribute to building a promising investment environment that attracts potential investors worldwide. PSE conducted a promotional road show to Chile on 5-6 May 29 One strategic objective of the PSE in the coming three years is to broaden its investment base by attracting foreign capital investments to the exchange and polarizing more investors from outside Palestine. This will be achieved through conducting a number of promotional campaigns and networking with international institutions to promote promising investment opportunities within the Palestinian Economy. Chile is among the CONTACT INFORMATION Palestine Securities Exchange Al Qasr Bldg., Rafidia, P.O. Box 128, Nablus, Palestine T: (9) F: (9) E: pse@p-s-e.com W: 32 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

35 countries that are particularly important to PSE due to the fact it has a large Palestinian expatriate community who are influential on many levels. The road show constitutes an open platform for exploring gates for cooperation between business men from both sides and to attract potential investments into the listed companies of the PSE. It aims at networking and establishing communication channels with the potential investors in Chile. It also seeks to promote promising investment opportunities available at PSE and in the Palestinian economy in general. Stock Simulation program to University students The PSE launched the Stock Simulation program on April 26th, 29 addressed to University students in Palestine. The PSE is currently finalizing the arrangements needed to launch the Stock Simulation program which is considered a paramount breakthrough in the form and content of PSE social responsibility towards the Palestinian community: it also represents a further expansion in PSE investor education program. Through this initiative, the PSE aims at integrating and providing new educational tools into universities that will improves students applied knowledge in the burse and stock exchanges, develop their analytical experiences and anticipation skills, in addition to improve their capacity in forming investment strategies and how to invest in stock markets. The PSE also aims to promote students' awareness in portfolio managements and investment decisions through hand on job training via virtual trading environment that simulates real trading environments. Through this initiative, the PSE aims at developing and enhancing the capacities of the Palestinian youth, and its pursuit to reinforce and invest in the human capital especially university students being its basic pillar. It also comes in line with the PSE wish to orient its social corporate responsibility strategy for universities being the main supplier of labor market in Palestine. The PSE and CMA sign an agreement with Smarts Group of Australia Palestine Securities Exchange (PSE) and the Palestinian Capital Market Authority (CMA) signed an agreement with the International Australian Smarts, located in Sydney, to utilize Smarts on Line System for instant supervision over securities trading. Implementing Smarts on line at PSE is a significant step towards improving the instant electronic surveillance system, as it adopts international standards of overseeing securities trading. This system will be in operation at the PSE as of the beginning of February. The new system will enable both the PSE and the CMA to monitor trading transactions using improved methods that protect investors and prevent any manipulation of transactions. This is due to the immediate detection and identification of any suspicious transactions and their eventual cancellation. Smarts on line generates warnings in case of illegal actions such as attempts to influence or manipulate prices. The system provides a monitoring system that is compliant with international standards which bolsters the efficacy of oversight and expands its scope. Q&A What are the short term objectives of your stock exchange for the next year? The PSE is working on achieving many objectives for the next, mainly: Develop domestic institutional investors and attract Palestinian Diaspora and foreign capital. Improve the operations and functions of the CDS Implement a plan for reaching an agreed division of labour on regulatory matters between PSE and CMA. Expand on investor education activities and in the filed of research, studies & human resources development. Which are your top blue chip companies and what part / which sectors of your country look most likely to develop? We have 5 economic sectors; Banking, Industry, Insurance, Investment & Services including 37 listed companies. It is most recognized by analysts that most of theses sectors reflect potential investment and development opportunities, due to the fact that the Palestinian economy is premature one, and PSE still an emerging market. Are there any new products that you will introduce this year and next year? No How do you facilitate foreigners to invest at your exchange? There are no restrictions on foreign investments at the PSE, unless the by-laws of the listed companies on the exchange state otherwise. To attract and encourage foreign investment, the PSE signed a Custodian Agreement in 1999 with HSBC Middle East in Palestine, and in these days we are working on a revised version of the custody agreement that will improve the role of HSBC in controlling the transactions done for foreign investors through the custodian bank. AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 33

36

37 TAYBURN KURUMSAL The privilege of serving our clients is what shapes our mission Ediz Usman Partner & Client Relations Director Tayburn Kurumsal (Tayburn Corporate) provides a complete line of creative, integrated corporate communication products and services tailored according to its clients needs. Tayburn Group With 3 years of experience in international as well as European markets, Tayburn is the biggest corporate communication company in Scotland and the tenth biggest in the United Kingdom. It has been 15 years since we began blending Tayburn's know-how with our own knowledge of the local market and putting them to work in the service of clients. For more than a decade we have developed and offered productive, highquality, and creative solutions for some of Turkey's leading companies. Thanks to our expert team, to the knowledge and experience acquired on our own and through Tayburn, to our customer focus, and to our innovative and creative approach to service, we are today Turkey's most sought-after service provider in the corporate communication segment. Our service area as Tayburn Kurumsal is not limited to Turkey. Because of our world-class know-how and quality of service, we are also called upon by clients operating in Europe and in neighboring countries. Professional approach to business One notion defines the reason for our existence and our mission: Enable our clients to establish and maintain accurate, sustainable, and high-yield communication with their target audiences by means of our high added value products and services. With our professional approach to business, our national and international market knowledge, and our global experience in corporate communication we transform this mission into reality for our clients. Branding: High-profile corporate and consumer brands In the areas of creating, developing, and defining and maintaining standards for our clients corporate and consumer brands, our brand-related activities consist of: Designing logos and emblems Developing corporate identities from A to Z Launching and relaunching brands Consultancy services. Reporting and investor relations: Printed and online corporate reporting and communicating with investors Our activities in the area of reporting and investor relations consist of the turnkey design and delivery of: Printed and electronic (CD and web) annual reports Corporate and investor relations websites Foreign language copywriting and editing services Road show presentations as well as similar products and services that enable our clients to establish and maintain timely, precise, uninterrupted, and transparent communication with investors, shareholders, creditors, business partners, customers, employees, and society at large. High added value services in investor relations It is vitally important for publicly-held companies to keep abreast and quickly comply with the requirements of national and international regulations. Providing truthful information at the right time and in a format that is easy to understand and to access heads the list of the objectives of everyone involved in investor relations in today s world. Tayburn Kurumsal offers clients all the products and services that they need in the area of investor relations. Marketing: Satisfying marketing needs in the product/service-consumer cycle Our activities under the heading of marketing consist of a providing all the advertising, promotional, and corporate communication products and services that our clients may need such as: Advertising campaigns Corporate films Web-based solutions Brochuresand information kits Electronic presentations Copywriting and editing services: Conveying your message clearly and to the right audience Tayburn prepares and edits text in Turkish and other languages to ensure that its clients messages are conveyed to their target audiences clearly and effectively. We provide high added value corporate communication services in Turkish, English, French, German, Italian, Spanish, Russian, Chinese, and Arabic. CONTACT INFORMATION Contact Name Mr. Ediz Usman E: eusman@tayburnkurumsal.com W: AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 35

38 MEMBER STATISTICS ABU DHABI SECURITIES MARKET OFFICIAL 12 MONTH STATISTICS US$ millions # Shares millions Total Volume Average Daily Volume Total Volume Average Daily Volume Stocks Jul-8 6, , Aug-8 3, , Sep-8 3, Oct-8 2, , Nov-8 1, , Dec Jan , Feb-9 1, , Mar , Apr-9 1, , May-9 2, , Jun-9 3, , TOTAL 28, , Bonds Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Other Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Market Capitalization Index MONTHLY STOCK VOLUME VS INDEX Stocks Index MONTHLY MARKET CAPITALIZATION Jul-8 135, , Aug-8 121, ,413.4 Sep-8 19, , Oct-8 93, ,326.1 Nov-8 79, , Dec-8 68, ,39.1 Jan-9 64, , Feb-9 67, , Mar-9 7, ,488. Apr-9 73, , May-9 78,6.72 2, Jun-9 76, , , 6, 5, 4, 3, 2, 1, J A S O N D J F M A M J 5, 4,5 4, 3,5 3, 2,5 2, 1,5 1, 5 14, 12, 1, 8, 6, 4, 2, J A S O N D J F M A M J 36 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

39 AMMAN STOCK EXCHANGE OFFICIAL 12 MONTH STATISTICS US$ millions # Shares millions Total Volume Average Daily Volume Total Volume Average Daily Volume Stocks Jul-8 3, Aug-8 2, Sep-8 1, Oct-8 1, Nov-8 1, Dec Jan Feb-9 1, Mar-9 1, Apr-9 1, May-9 1, Jun-9 1, TOTAL 19, , Bonds Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL Other Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Market Capitalization Index MONTHLY STOCK VOLUME VS INDEX Stocks Index MONTHLY MARKET CAPITALIZATION Jul-8 56, , Aug-8 52, ,37.71 Sep-8 49, ,73.81 Oct-8 39, , Nov-8 34, ,767.1 Dec-8 35, , Jan-9 34, ,73.95 Feb-9 32, ,616. Mar-9 32, ,78.1 Apr-9 32, ,736.5 May-9 36, ,864.6 Jun-9 34, , , 3,5 3, 2,5 2, 1,5 1, 5 J A S O N D J F M A M J 5, 4,5 4, 3,5 3, 2,5 2, 1,5 1, 5 6, 5, 4, 3, 2, 1, J A S O N D J F M A M J AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 37

40 MEMBER STATISTICS BAHRAIN STOCK EXCHANGE OFFICIAL 12 MONTH STATISTICS US$ millions # Shares millions Total Volume Average Daily Volume Total Volume Average Daily Volume Stocks Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL , Bonds Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Other Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Market Capitalization Index MONTHLY STOCK VOLUME VS INDEX Stocks Index MONTHLY MARKET CAPITALIZATION Jul-8 3, , Aug-8 29, ,69.9 Sep-8 27, , Oct-8 24, ,22.17 Nov-8 21, ,949.2 Dec-8 2,.4 1,84.7 Jan-9 18, , Feb-9 17, , Mar-9 17, , Apr-9 17, ,596.4 May-9 17, , Jun-9 17, , , 2,5 2, 1,5 1, 5 J A S O N D J F M A M J 35, 3, 25, 2, 15, 1, 5, J A S O N D J F M A M J 38 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

41 EGYPTIAN STOCK EXCHANGE OFFICIAL 12 MONTH STATISTICS US$ millions # Shares millions Total Volume Average Daily Volume Total Volume Average Daily Volume Stocks Jul-8 4, , Aug-8 3, , Sep-8 3, , Oct-8 2, , Nov-8 2, , Dec-8 1, , Jan-9 2, , Feb-9 1, , Mar-9 3, , Apr-9 4, , May-9 5, , Jun-9 9, , TOTAL 45, , Bonds Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL 4, Other Jul Aug Sep Oct Nov Dec Jan-9 1, Feb Mar Apr May , Jun TOTAL 7, , Market Capitalization Index MONTHLY STOCK VOLUME VS INDEX Stocks Index MONTHLY MARKET CAPITALIZATION Jul-8 141, , Aug-8 13, , Sep-8 114,95.7 7,59.16 Oct-8 85, , Nov-8 82, ,25.86 Dec-8 85,6.46 4,56.83 Jan-9 8, ,798.4 Feb-9 62, , Mar-9 7, ,14.96 Apr-9 77, ,81.27 May-9 8, ,82.34 Jun-9 83, , , 9, 8, 7, 6, 5, 4, 3, 2, 1, 1, 9, 8, 7, 6, 5, 4, 3, 2, 1, J A S O N D J F M A M J 16, 14, 12, 1, 8, 6, 4, 2, J A S O N D J F M A M J AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 39

42 MEMBER STATISTICS IRAQ STOCK EXCHANGE OFFICIAL 12 MONTH STATISTICS US$ millions # Shares millions Total Volume Average Daily Volume Total Volume Average Daily Volume Stocks Jul , Aug , ,23.52 Sep , Oct , Nov , Dec ,3.43 1,4.69 Jan , Feb , ,49.83 Mar , ,76.8 Apr , , May , Jun , TOTAL , , Bonds Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Other Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Market Capitalization Index MONTHLY STOCK VOLUME VS INDEX Stocks Index MONTHLY MARKET CAPITALIZATION Jul-8 2, Aug-8 1, Sep-8 2, Oct-8 1, Nov-8 1, Dec-8 1, Jan-9 2, Feb-9 2, Mar-9 2, Apr-9 2, May-9 2, Jun-9 2, J A S O N D J F M A M J 3, 2,5 2, 1,5 1, 5 J A S O N D J F M A M J 4 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

43 KARACHI STOCK EXCHANGE OFFICIAL 12 MONTH STATISTICS US$ millions # Shares millions Total Volume Average Daily Volume Total Volume Average Daily Volume Stocks Jul-8 2, , Aug-8 2, , Sep Oct Nov Dec Jan , Feb-9 1, , Mar-9 1, , Apr-9 3, , May-9 1, , Jun-9 1, , TOTAL 14, , Bonds Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Other Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Market Capitalization Index MONTHLY STOCK VOLUME VS INDEX Stocks Index MONTHLY MARKET CAPITALIZATION Jul-8 46, , Aug-8 37, ,28.26 Sep-8 36, , Oct-8 34, , Nov-8 35, ,187.1 Dec-8 23, ,865.1 Jan-9 21, , Feb-9 22, , Mar-9 25, ,86.22 Apr-9 26, ,22.1 May-9 26, , Jun-9 26, , ,5 3, 2,5 2, 1,5 1, 5 12, 1, 8, 6, 4, 2, J A S O N D J F M A M J 5, 45, 4, 35, 3, 25, 2, 15, 1, 5, J A S O N D J F M A M J AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 41

44 MEMBER STATISTICS MUSCAT SECURITIES MARKET OFFICIAL 12 MONTH STATISTICS US$ millions # Shares millions Total Volume Average Daily Volume Total Volume Average Daily Volume Stocks Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL 5, , Bonds Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL Other Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL Market Capitalization Index MONTHLY STOCK VOLUME VS INDEX Stocks Index MONTHLY MARKET CAPITALIZATION Jul-8 3, ,737.1 Aug-8 27, , Sep-8 25, , Oct-8 21, ,29.96 Nov-8 2,88.5 6, Dec-8 2, , Jan-9 19, , Feb-9 19, , Mar-9 18, , Apr-9 19, , May-9 21, ,5.32 Jun-9 21, , , 1, 8, 6, 4, 2, J A S O N D J F M A M J 35, 3, 25, 2, 15, 1, 5, J A S O N D J F M A M J 42 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

45 PALESTINE SECURITIES EXCHANGE OFFICIAL 12 MONTH STATISTICS US$ millions # Shares millions Total Volume Average Daily Volume Total Volume Average Daily Volume Stocks Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL Bonds Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Other Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Market Capitalization Index MONTHLY STOCK VOLUME VS INDEX Stocks Index MONTHLY MARKET CAPITALIZATION Jul-8 3, Aug-8 2, Sep-8 2, Oct-8 2, Nov-8 2, Dec-8 2, Jan-9 2, Feb-9 2, Mar-9 2, Apr-9 2, May-9 2, Jun-9 2, J A S O N D J F M A M J 3,5 3, 2,5 2, 1,5 1, 5 J A S O N D J F M A M J AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 43

46 MEMBER STATISTICS TEHRAN STOCK EXCHANGE OFFICIAL 12 MONTH STATISTICS US$ millions # Shares millions Total Volume Average Daily Volume Total Volume Average Daily Volume Stocks Jul-8 2, , Aug-8 3, , Sep , Oct , Nov-8 1, , Dec , Jan , Feb , Mar Apr , May-9 1, , Jun , TOTAL 11, , Bonds Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL Other Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun TOTAL.... Market Capitalization Index MONTHLY STOCK VOLUME VS INDEX Stocks Index MONTHLY MARKET CAPITALIZATION Jul-8 67, ,54. Aug-8 69, ,416. Sep-8 66, ,76. Oct-8 57, ,398. Nov-8 52, ,265. Dec-8 49,4.9 34,653. Jan-9 48, ,45. Feb-9 47, ,578. Mar-9 45, ,43. Apr-9 48, ,539. May-9 53, ,59. Jun-9 53, ,194. 4, 3,5 3, 2,5 2, 1,5 1, 5 5, 45, 4, 35, 3, 25, 2, 15, 1, 5, J A S O N D J F M A M J 7, 6, 5, 4, 3, 2, 1, J A S O N D J F M A M J 44 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

47 FEAS REGION 29 1ST HALF STATISTICS STATISTICAL COMPAR SON 25 THRU YTD 29/FEAS REGION STATISTICS YTD 29 % CHANGE OVER Category YTD # Companies Traded 8,348 9,57 9,498 11,298 1, % 1.% 15.3% 25.1% Market Capitalization 638,4.9 69, ,65, , , % -26.5% 13.4% 22.7% Total Volume (US$ millions-stocks) 467, , , , , % -65.9% -58.5% -55.2% Total Volume (# Shares millions-stocks) 39, , , , , % -33.5% 31.% -4.3% Average Daily Volume (US$ millions-stocks) 1, ,47.4 2,478. 2, , % -32.% -17.7% -8.7% Average Daily Volume (# Shares millions-stocks) 1, , ,36.7 3, % 32.2% 245.% 99.1% Total Volume (US$ millions-bonds) 429, , , , , % -63.5% -54.1% -59.3% Total Volume (# millions-bonds) 116, , , ,225. 7, % -77.6% -6.1% -39.6% Average Daily Volume (US$ mmillions-bonds) 1, , , , , % -26.4% -7.7% -17.1% Average Daily Volume (# millions-bonds) , % -54.1% -18.8% 23.9% Total Volume (US$ millions-other) 1,43,74.3 1,825, ,12, ,284, ,21, % -51.4% -44.1% -27.2% Total Volume (# millions-other) 1,835. 1, , , , % 12.4% 141.8% 153.% Average Daily Volume (US$ millions-other) 5, , , , , % -2.% 12.5% 48.1% Average Daily Volume (# millions-other) % 12.1% 361.7% 44.2% 29-ANNUALIZED RETURN ON INDEX TASIX/Uzbekistan Iraq/Iraq MOSTE/Montenegro TEDPIX/Tehran ISE 1/Istanbul Belarus Al Quds/Palestine KSE Index/Kyrgyz KSE 1/Karachi ASE/Amman CASE 3/Egypt Bahrain LSE 25/Lahore ADX/Abu Dhabi CROBEX/Zagreb BET/Romania B.I./Macedonia BIRS/Banja Luka GP/Muscat Top-2/Mongolia Kazakhstan Belex15/Serbia BSE/Bulgaria BIFX/Sarajevo #N/A 93.9 Indices are adjusted for currency fluctuations. (Formula: 1+(return)=((1+%chg. index)/(1+%chg. currency)) YTD 29-FEAS REGION VOLUME BY TYPE MONTHLY STOCK VOLUME VS MARKET CAPITALIZATION Stocks Bonds Other Market Cap Companies Traded 15% 1,2, 7, 1,, 6, 73% 12% 8, 6, 4, 5, 4, 3, 2, 2, 1, Jun-8 Jul-8 Aug-8 Sep-8 Oct-8 Nov-8 Dec-8 Jan-9 Feb-9 Mar-9 Apr-9 May-9 Jun-9 AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 45

48 FEAS REGION 29 1ST HALF STATISTICS AVERAGE DAILY TRADING VOLUME-STOCKS YTD 29 VS YTD 28 STOCKS MEMBERS OVER US$ 45 YTD 29 YTD 28 BOND MEMBERS OVER US$ 1, YTD 29 YTD 28 OTHER MEMBERS OVER US$ 5 YTD 29 YTD 28 Istanbul ADSM Egyptian Karachi Amman ,15.6 Istanbul 1, Istanbul 9,82.2 7,68.21 MEMBERS FROM US$ MEMBERS FROM US$ MEMBERS FROM US$ YTD 29 YTD 28 YTD 29 YTD 28 YTD 29 YTD 28 Tehran Muscat Kazakhstan Lahore Zagreb Bucharest Kazakhstan Belarusian Egyptian Bucharest Baku Kazakhstan Egyptian Baku NASDAQ OMX Armenia MEMBERS FROM US$ YTD 29 YTD 28 MEMBERS FROM US$ YTD 29 YTD 28 MEMBERS UNDER US$ 5. YTD 29 YTD 28 Bulgarian Iraq Palestine Montenegro Baku Bahrain Belgrade Zagreb Muscat Bulgarian Belgrade NASDAQ OMX Armenia Bulgarian BBVB Zagreb Bucharest MEMBERS UNDER US$.5 YTD 29 YTD 28 MEMBERS UNDER US$.15 YTD 29 YTD 28 Sarajevo Kyrgyz Macedonian Belarusian Banja Luka Moldovan Toshkent Mongolian Macedonian.7 Banja Luka.5..4 Montenegro.3 Kyrgyz.1..1 Tehran.3 Amman FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

49 STOCKS Member Stock Exchange ADX UAE Amman SE Jordan BBVB Azerbaijun (1) Bahrain SE Bahrain Baku SE Azerbaijun (2) Banja Luka SE Bosnia&Herzegovina Belarusian C&SE Belarus (3) Belgrade SE Serbia Bucharest SE Romania Bulgarian SE Bulgaria Egyptian SE Egypt Georgian SE Georgia Iraq SE Iraq Istanbul SE Turkey Karachi SE Pakistan Kazakhstan SE Kazakstan Kyrgyz SE Kyrgyzstan Lahore SE Pakistan Macedonian SE Macedonia Moldovan SE Moldova Mongolian SE Mongolia Montenegro SE Montenegro Muscat SM Oman NASDAQ OMX Armenia (4) Palestine SE Palestine Sarajevo SE Bosnia&Herzegovina SC&RME Turkmenistan (5) Tehran SE Iran Tirana SE Albania Toshkent RSE Uzbekistan Ukrainian SE Ukraine Zagreb SE Croatia Volume US$ Millions Month Same Period Year Volume US$ Millions Month Same Period Year Avg. Daily Volume US$ Millions Month Same Period Year YTD 28 Avg. Daily Volume US$ Millions Month Same Period Year YTD 28 3, , , #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A , , ,72.9 3,48, , #N/A , , #N/A , , , , , , , , #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A , #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A. #N/A -1.. #N/A -1.. #N/A #N/A , ,237, , ,89, TOTAL 47, , , , In total trades of BBVB on US dollar in June, 29 has taken part 21 banks. For the given month were carried out 4 trading sessions and were made 67 deals. The total amount of trades in currency section of BBVB in last month has made million AZN, and in a dollar equivalent of 16,363 million. On tool Swap_USD/AZN the turnover has made 8,62 million manats or 1, million in a dollar equivalent. It is necessary to note, that the exchange rate of national currency in given month has fallen on.4%. It is necessary to note, that average USD/AZN rate has made in June.833 AZN for 1 USD. 2. The BSE Traded companies are not listed or unlisted, but part of the OTC operations. 3. The BCSE informs that in accordance with the decision of the Council of Ministers of Belarus dated July 1, 28 No. 12 equities of 1555 open joint-stock companies are admitted to circulation at the BCSE as out-of-list securities from July 17, Due to the fact that the Central Bank of Armenia does not disclose information on buy exchange rate of AMD to USD, official exchange rates were used in calculations. 5. The SC&RM Exchange is trading commodities only at this time. 6. % change calculations on indices do not take into account currency fluctuations on this table. See Charts - Adjusted Return on Index. 7. Currency depreciation against the dollar is represented as a positive number, appreciation as negative. 8. Companies are those available for trading via both listed and unlisted or registered markets. * Statistics provided herein are as reported by the Members and are not audited by the FEAS Secretariat. AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 47

50 FEAS REGION 29 1ST HALF STATISTICS MARKET CAPITALIZATION INDEX EXCHANGE RATE COMPANIES Member Stock Exchange ADX UAE Amman SE Jordan BBVB Azerbaijun Bahrain SE Bahrain Baku SE Azerbaijun Banja Luka SE Bosnia&Herzegovina Belarusian C&SE Belarus Belgrade SE Serbia Bucharest SE Romania Bulgarian SE Bulgaria Egyptian SE Egypt Georgian SE Georgia Iraq SE Iraq Istanbul SE Turkey Karachi SE Pakistan Kazakhstan SE Kazakstan Kyrgyz SE Kyrgyzstan Lahore SE Pakistan Macedonian SE Macedonia Moldovan SE Moldova Mongolian SE Mongolia Montenegro SE Montenegro Muscat SM Oman NASDAQ OMX Armenia Palestine SE Palestine Sarajevo SE Bosnia&Herzegovina SC&RME Turkmenistan (1) Tehran SE Iran Tirana SE Albania (2) Toshkent RSE Uzbekistan Ukrainian SE Ukraine Zagreb SE Croatia Market Cap. US$ Millions Month Same Period Year Y/E 28 Index Month (8) Same Period Year (8) Y/E 28 (8) Exchange Rate US$ 1 Month (9) Same Period Year (9) Y/E 28 (9) Comp. Listed/ Unlisted (1) Month Same Period Year Y/E 28 76, , , , #N/A #N/A #N/A. #N/A #N/A #N/A.8 #N/A #N/A #N/A , , #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A , #N/A #N/A #N/A , , , , , , , , , , , #N/A #N/A #N/A #N/A , , , , , , , , , , , #N/A #N/A #N/A #N/A #N/A #N/A #N/A , , , , , , #N/A #N/A #N/A #N/A , , , #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A 53, , , #N/A #N/A #N/A. #N/A #N/A #N/A 93.9 #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A #N/A , , , TOTAL 782, , FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

51 BONDS Member Stock Exchange ADX UAE Amman SE Jordan BBVB Azerbaijun Bahrain SE Bahrain Baku SE Azerbaijun Banja Luka SE Bosnia&Herzegovina Belarusian C&SE Belarus Belgrade SE Serbia Bucharest SE Romania Bulgarian SE Bulgaria Egyptian SE Egypt Georgian SE Georgia Iraq SE Iraq Istanbul SE Turkey Karachi SE Pakistan Kazakhstan SE Kazakstan Kyrgyz SE Kyrgyzstan Lahore SE Pakistan Macedonian SE Macedonia Moldovan SE Moldova Mongolian SE Mongolia Montenegro SE Montenegro Muscat SM Oman NASDAQ OMX Armenia Palestine SE Palestine Sarajevo SE Bosnia&Herzegovina SC&RME Turkmenistan (1) Tehran SE Iran Tirana SE Albania (2) Toshkent RSE Uzbekistan Ukrainian SE Ukraine Zagreb SE Croatia Volume US$ Millions Month Same Period Year Volume US$ Millions Month Same Period Year Avg. Daily Volume US$ Millions Month Same Period Year YTD 28 Avg. Daily Volume US$ Millions Month Same Period Year YTD 28. #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A 1.9 #N/A #N/A. #N/A #N/A.1 #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A , , , , , , , , #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A 26, , #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A 1, , , , , #N/A #N/A #N/A #N/A.1 8. #N/A #N/A. #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A -1.. #N/A -1.. #N/A #N/A , #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A , , TOTAL 3, ,141. 1, , ,19. 1, SC&RM Exchange is trading commodities only at this time. 2. The TSE is trading debt instruments only at this time, but there is no volume to-date. * Statistics provided herein are as reported by the Members and are not audited by the FEAS Secretariat. AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 49

52 FEAS REGION 29 1ST HALF STATISTICS OTHER Member Stock Exchange ADX UAE Amman SE Jordan BBVB Azerbaijun Bahrain SE Bahrain Baku SE Azerbaijun Banja Luka SE Bosnia&Herzegovina Belarusian C&SE Belarus Belgrade SE Serbia Bucharest SE Romania Bulgarian SE Bulgaria Egyptian SE Egypt (1) Georgian SE Georgia Iraq SE Iraq Istanbul SE Turkey Karachi SE Pakistan Kazakhstan SE Kazakstan Kyrgyz SE Kyrgyzstan Lahore SE Pakistan Macedonian SE Macedonia Moldovan SE Moldova Mongolian SE Mongolia Montenegro SE Montenegro Muscat SM Oman (2) NASDAQ OMX Armenia (3) Palestine SE Palestine Sarajevo SE Bosnia&Herzegovina SC&RME Turkmenistan Tehran SE Iran Tirana SE Albania Toshkent RSE Uzbekistan Ukrainian SE Ukraine Zagreb SE Croatia Volume US$ Millions Month Same Period Year Volume US$ Millions Month Same Period Year Avg. Daily Volume US$ Millions Month Same Period Year YTD 28 Avg. Daily Volume US$ Millions Month Same Period Year YTD 28. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A ,378, , #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A 149, , #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A 7, #N/A #N/A #N/A #N/A #N/A. #N/A -1.. #N/A -1. #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A -1.. #N/A -1. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A #N/A #N/A #N/A. #N/A #N/A #N/A. #N/A -1.. #N/A -1. #N/A #N/A #N/A #N/A #N/A. #N/A #N/A. #N/A #N/A #N/A. #N/A #N/A #N/A TOTAL 158, , #N/A EGX other volume this month stands for OTC and funds. 2.MSM carries out OTC transactions for closely held companies, which primarily transfers ownership between family members. 3.Other instruments include FX and repo agreements with corporate bonds. Since the Central Bank of Armenia does not disclose information on "buy" exchange rate, official exchange rates were used in calculations. * Statistics provided herein are as reported by the Members and are not audited by the FEAS Secretariat. 5 FEDERATION OF EURO-ASIAN STOCK EXCHANGES AUGUST 29

53 FEAS REGION 29 2ND QUARTER STATISTICS STOCKS BONDS OTHER Member Stock Exchange ADX UAE Amman SE Jordan BBVB Azerbaijun Bahrain SE Bahrain Baku SE Azerbaijun Banja Luka SE Bosnia&Herzegovina Belarusian C&SE Belarus Belgrade SE Serbia Bucharest SE Romania Bulgarian SE Bulgaria Egyptian SE Egypt Georgian SE Georgia Iraq SE Iraq Istanbul SE Turkey Karachi SE Pakistan Kazakhstan SE Kazakstan (1) Kyrgyz SE Kyrgyzstan Lahore SE Pakistan Macedonian SE Macedonia Moldovan SE Moldova Mongolian SE Mongolia Montenegro SE Montenegro Muscat SM Oman NASDAQ OMX Armenia (1) Palestine SE Palestine Sarajevo SE Bosnia&Herzegovina SC&RME Turkmenistan (2) Tehran SE Iran Tirana SE Albania (3) Toshkent RSE Uzbekistan (4) Ukrainian SE Ukraine Zagreb SE Croatia (1) TOTAL Q2 29 Total Volume US$ Millions over Q2 28 Q2 29 Total Volume # Millions over Q2 28 Q2 29 Total Volume US$ Millions over Q2 28 Q2 29 Total Volume # Millions over Q2 28 Q2 29 Total Volume US$ Millions over Q2 28 Q2 29 Total Volume # Millions over Q , , #N/A. #N/A. #N/A. #N/A 4, , , #N/A. #N/A. #N/A. #N/A. #N/A. #N/A #N/A. #N/A. #N/A. #N/A , #N/A #N/A 4.9 #N/A. #N/A. #N/A , , , #N/A. #N/A #N/A. #N/A , #N/A. #N/A , , , , , #N/A. #N/A. #N/A. #N/A , #N/A. #N/A. #N/A. #N/A 86, , , , , , #N/A. #N/A. #N/A. #N/A , , , #N/A #N/A. #N/A #N/A , #N/A. #N/A. #N/A. #N/A #N/A. #N/A #N/A. #N/A. #N/A. #N/A #N/A. #N/A #N/A. #N/A 1, , #N/A 4.7 #N/A #N/A #N/A. #N/A. #N/A. #N/A #N/A. #N/A. #N/A. #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A 1, , #N/A. #N/A. #N/A. #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A. #N/A. #N/A. #N/A #N/A , , , , , , TOTAL Quarterly Trading Volume STOCKS Q2 29 Q BONDS Q2 29 Q OTHER Q2 29 Q AUGUST 29 FEDERATION OF EURO-ASIAN STOCK EXCHANGES 51

54 Abu Dhabi Securities Market Amman Stock Exchange Securities Depository Center (SDC) of Jordan NASDAQ OMX Armenia Bahrain Stock Exchange Baku Interbank Currency Exchange Baku Stock Exchange Banja Luka Stock Exchange Belarusian Currency and Stock Exchange Belgrade Stock Exchange Bucharest Stock Exchange Bulgarian Stock Exchange EGX The Egyptian Exchange Misr for Clearing, Settlement & Central Depository Georgian Stock Exchange Iraq Stock Exchange Istanbul Stock Exchange Takasbank - ISE Settlement and Custody Bank, Inc. Central Registry Agency Inc. Karachi Stock Exchange Kazakhstan Stock Exchange Kyrgyz Stock Exchange Lahore Stock Exchange Macedonian Stock Exchange Macedonian Central Securities Depository Moldovan Stock Exchange Mongolian Stock Exchange Montenegro Stock Exchange Muscat Securities Market Palestine Securities Exchange Sarajevo Stock Exchange State Commodity & Raw Materials Exchange of Turkmenistan Tehran Stock Exchange Central Securities Depository of Iran Tehran Securities Exchange Technology Management Company Tirana Stock Exchange Toshkent Republican Stock Exchange Ukrainian Stock Exchange Zagreb Stock Exchange

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