FEDERATION OF EURO-ASIAN STOCK EXCHANGES > YEARBOOK 2002/2003 > PAGE 59
MOLDOVAN STOCK EXCHANGE
LETTER FROM THE PRESIDENT
In 2002, 1,436 transactions were
concluded in 251 trading sessions.
The number of joint-stock companies
participating in these transactions was 366.
The Securities Market is the integral part of
the financial market and its activity reflects
the situation of the Republic. Different
changes in the banking system were made
as banks changed their legal status and
became joint-stock companies. For the first
time corporate bonds were listed, but at the
present these bonds are not traded at the
Moldovan Stock Exchange (MSE).
The volume of registered transactions in 2002
was US$ 19.43 million, a decrease of 9%
compared to 2001. In 2002, 1,436
transactions were concluded in 251 trading
sessions. The number of joint-stock
companies participating in these transactions
was 366. transactions was 7%, the rate of repo
transactions was 2% of the total volume and
the rate of the selling of state shares
amounted to 5% of the total volume.
A series of restrictions was implemented in
the legislative base. These restrictions
changed not only the form for the conclusion
of transactions, but also the structure of
transactions. Buying-selling transactions
amounted to 86% of the total volume of
transactions - the greatest number transacted
in the last 5 years. The rate of swap The number of registered companies as of
31 December was 997, including 22 listed
companies.
increased beginning at US$ 0.5 million in 1995
to US$ 20.3 million for all instruments as of year
end 2002. are the only valid trades. The Parliament of
Moldova further adopted two new laws in March
1999; the Law on Securities Markets and the
Law on the National Commission on Securities
Markets.
Dr. Corneliu Dodu
President
HISTORY AND DEVELOPMENT
The Moldovan Stock Exchange (MSE) was
founded on 7 December 1994 and is located in
Chisinau, Moldova. The first transactions took
place on 26 June 1995. Under the assistance of
the US government and by the instrumentality
of USAID, the MSE has acquired the necessary
up-to-date technologies to execute trades. In
October 1995, the MSE adopted a new
automated trading system making it a modern
Exchange. There are 24 listed companies and
more than 977 unlisted/traded companies as of
01 December 2002. Along with this
development, the MSE’s trading volume
In 1998 the MSE established the National
Securities Depositary (NSD), a non-commercial
joint-stock company.
According to the decision of National
Commission of Security Markets, direct trades
on the cash board of the trading system were
prohibited during 1999. With this decision all
trades executed on the main board of the MSE
(interactive trades), using limit and market orders,
Also during 1999, the security market of Moldova
published its first edition "Capital," a publication
dedicated to reporting on the capital markets in
Moldova.
In April 2000 the MSE received the status of a
self-regulating non-commercial organization.
FUTURE OUTLOOK
Plans are to:
increase the volume of transactions by changing
the procedure of non-divided shareholding
transactions;
improve the listing rules according to
international standards;
introduce new financial instruments, particularly
T-bills and derivatives;
attract new investors; and
implement a remote trading system.