Single Securities Market to Be Launched in the EAEU
Last week, the Eurasian Intergovernmental Council convened in Almaty, where the heads of government from the Eurasian Economic Union (EAEU) member states agreed to standardize securities trading across their stock exchanges. The agreement is expected to further integrate the financial markets of the five member countries, according to Myktybek Abirov, vice president of the Kyrgyz Stock Exchange. “The main purpose of the agreement is to harmonize the rules and standards of securities circulation within the common economic space, which will facilitate financial market integration, improve investor access, and enhance liquidity,” the Kyrgyz Ministry of Economy and Commerce stated. “The adoption of such rules will create new opportunities for businesses and investors, expanding their reach and strengthening economic ties between EAEU countries.” Abirov told The Times of Central Asia that the agreement will allow both private and state-owned companies to list their securities on stock exchanges across EAEU member states. “This is a welcome development, as it gives our issuers access to other stock markets,” Abirov said. “They will be able to place their securities in Russia, Kazakhstan, Belarus, and Armenia, while investors will gain broader access to financial instruments, enabling them to diversify risks.” According to Abirov, efforts to establish a unified securities market within the EAEU have been ongoing for a decade. The newly reached agreement includes the mutual recognition of financial brokers across member states’ stock exchanges. “Each EAEU country currently has slightly different listing requirements. Now, the Eurasian Economic Commission has set unified standards that companies must meet,” he explained. “Securities that comply with these standards will be tradable on financial markets without additional procedures.” Private financial sector representatives have expressed unanimous support for the initiative, emphasizing that greater integration will be beneficial - provided that administrative and regulatory procedures are sufficiently streamlined. The key challenge now is ensuring effective implementation, they noted. Officials at the Kyrgyz Stock Exchange hope that the first such trades will take place this year. Meanwhile, the Kazakhstan Stock Exchange (KASE) has confirmed its readiness to list foreign securities under the new framework.