FEDERATION OF EURO-ASIAN STOCK EXCHANGES
ANNUAL REPORT 2015
PALESTINE
Country Facts
Country Palestine
Area (km 2 ) 6,220
Population (million) 4.55
GDP (USD billion) 7.45
Currencies used USD, JOD, ILS
Exchange rate (1 USD) 1 (USD)
Time zone GMT+3
Calling code +970
key CAPITAL MARKETS INFORMATION
Legal
Regulation
Securities market regulations
Trading rules
Surveillance
Corporate actions
Instruments
Foreign investors
Clearing and settlement period
Public Shareholding Company
Regulated by the Palestinian Capital Market Authority
1. Securities law # 12 of 2004
2. PEX regulations: listing, disclosure, membership, trading and dispute
settlement.
Exchange
SMARTS system
Centralized (except cash dividends)
Stocks & bonds
Allowed
T+2
key economıc data
GDP ANNUAL GROWTH (%)
10
5
INFLATION (%) UNEMPLOYMENT (%)
3.5 30
3
28
2.5
0 2 26
-5 1.5 24
-10
-15
1/1/12 1/7/12 1/1/13 1/7/13 1/1/14 1/7/14 1/1/15
1
22
0.5
20
0
1/7/2012
1/10/2012
1/1/2015
1/4/2015
1/7/12 1/1/13 1/7/13 1/1/14 1/7/14 1/1/15
Source: www.tradingeconomics.com/palestine/indicators
PEX joins FTSE Indices
“watch list” Cairo-Amman Bank becomes
second PEX custodian
In September 2014, PEX was added to the Financial
Times Stock Exchange (FTSE) Indices ‘watch list’
for possible promotion to Frontier market status. A
new milestone in putting PEX on the international
investment radar, hoping that it will attract further
foreign investment into PEX. In August, PEX signed an agreement authorizing
Cairo-Amman Bank to be a custodian for local
and foreign PEX investors. Cairo-Amman Bank is
the second custodian at PEX, in addition to HSBC
Middle East.
PEX lists its first fixed
income security
Palestine Commercial Bank (PCB) listed USD 10
million of bonds under the symbol (PCB01) on
01/09/2014. It will be converted into shares upon
maturity in 2019. PEX paved the way for its first
bond listing by establishing appropriate trading,
settlement and IT infrastructures in accordance
with international best practices.
Arab Palestinian
Investment Company (APIC)
lists on PEX
Shares of APIC, a large holding company with a
variety of investments and a paid up capital of
USD 60 million, began trading on 2 March 2014
under the symbol (APIC).
38
Settlement cycle shortened
At the beginning of 2014, in accordance with the
global principle of delivery versus payment (DVP),
PEX cash and securities settlement moved from T+3
to T+2 cycle.
2014 London Road Show
In partnership with Palestine Trade Centre
(Paltrade), PEX led a delegation of Palestinian
corporate and securities industry leaders on a two-
day road show to London in January 2014. Some
30 meetings were held with UK-based investment
fund managers and financial analysts to present the
investment opportunities in Palestine.
Panorama Exchange
E-bulletin
issues. It is available at www.pex.ps/panorama/
default.asp
Investment awareness
In 2014, PEX continued its efforts in enhancing
investor awareness among different community
segments, and held number of workshops, seminars,
and training courses. PEX focused on the academic
community, and held the 7th round of the stock
simulation contest, which benefits 240 students
from 10 national universities, and welcomed more
than 1500 students form schools and universities
whose visits include an introduction to financial
market concepts.
Palestine Chapter of the
Middle East Investor
Relations Society
Headed by the PEX, the Chapter held number of
meetings for members and listed companies and
continued to promote best practices in investor
relations among listed public companies, and held
two specialized seminars presented by international
experts, covering important topics related to IR best
practices.
PEX launched its specialized quarterly electronic
bulletin that report on Palestinian capital market
FULL MEMBERS