2007 ASEA Yearbook.pdf

7/30/2019 2007 ASEA Yearbook.pdf

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ASEA Executive Committee

Office Bearers

PresidentMr. Maged Shawky SourialCairo and Alexandria Stock Exchanges (CASE)

MemberDr. Ndi OKereke-OnyiukeThe Nigerian Stock Exchange

MemberMr. Chris MwebesaNairobi Stock Exchange (NSE)

Member

Mr. Geoff RothschildJSE Limited

Member

Mr. Simon RutegaUganda Securities Exchange Ltd.

First Vice President

Mr. Ekow AfedzieGhana Stock Exchange (GSE)

Second Vice President

Mr. Sunil BenimadhuStock Exchange of Mauritius (SEM)


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Chairmans Letter

The increasing dynamics across global securities markets and the fast change in the exchangeindustry, driving globalization, market consolidations, demutualization and self listing, have actedas a spur for exchanges to continually improve the quality of their trading platforms and rulebooks.

African securities markets, as service providers positioning themselves to serve the needs of theirclients, are pressured to upgrade their technology infrastructure, increase efficiency in providing

trading/ post trading services, enhance their markets liquidity, harmonize their rules, increasetheir products and services range as well as lower costs, while assuring scalability, to be able tosupport their organizations growth and compete in the domestic and international markets.

During the year 2007, ASEA member exchanges have continued their journey of developing theirmarkets regulations, expanding their services and products as well as enhancing their operationalinfrastructure. Despite recent credit market turmoil and fluctuations in the global market, ASEAmember markets have provided impressive returns for investors in 2007 with the majority postingannualized gains on their indices, ranging from 110 % to 12 % and have concluded the year witha robust aggregate market capitalization of US$ 2.1 trillion. Many African equities/ markets also

offered very attractive price earnings and dividend yield ratios.

The Association has grown and matured over the years and has succeeded in attracting potentialAfrican exchanges to join the association. Year 2007 has witnessed, both the Libyan Stock Exchangeas well as Khartoum Stock Exchange, joining ASEA as full members, while the Central Depository& Settlement Corporation (Kenya) was granted an associate membership. ASEA has now a totalnumber of 20 member exchanges serving 26 African states.

ASEA also plays a vital role in providing a forum for mutual communication, exchange of information,

cooperation and technological assistance among member exchanges, to facilitate the process offinancial integration within the region and accelerate the economic development of Africa. TheAssociation supports nascent exchanges in the establishment of their markets and the developmentof financial products.

Throughout this year, we have taken a number of initiatives to speed up the development progressin the association, aiming at strengthening ASEA position and creating continuous value addedto its members.

Maged Shawky

President

African Securities Exchanges Association


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The new ASEA website that was launched in 2006, under the URL www.africansea.org, was againupgraded and re-launched in August 2007, with additional features and a more user-friendlyinterface, providing a single source for updated ASEA members' profiles, annual and monthlytrading data and comparative statistics as well as the latest news of both ASEA and its memberexchanges.

From another perspective, bilateral programs and visits among ASEA members, which help promotingthe growth of stock exchanges, have been activated. Close ties and effective participation inconferences and forums organized by regional bodies such as NEPAD, UNECA and Africa Investor(Ai), have been maintained, whereby the latter has offered, during May 2007, to partner with ASEAand promote for its activities and member markets performances in Ai newsletters and newswire.

This was followed by another approach, during June of the same year, by the South Asian Federationof Exchanges (SAFE) to propose ASEA a reciprocal affiliate status, whereby both shall promote forone another and exchange experiences and publication resources.

In October 2007, ASEA held its 11th conference in Accra, Ghana under the theme African CapitalMarkets - The next investment frontier. The conference addressed issues related to the performanceof the African stock markets, key drivers to development, the role of technology in the capitalmarkets as well as the implementation of integration in the region.

Raising the profile of ASEA and the member exchanges, enhancement of corporate governancepractices, ongoing harmonization of market principles as well as cross listing and trading as a steptowards regional integration, are now being placed on top of the working agenda. Three task forceshave been created in that respect to achieve the objectives of the Association and to attain a greater

role in the competitive global market environment.

Finally, having been privileged to work closely with the Executive Committee members, theSecretariat as well as all ASEA members, has raised my confidence in the capital market of ourcontinent and deepened my trust that mutual cooperation backed by such effective contributionand commitment, will enable us, as African countries and capital markets, to step up globalchallenges.

Maged ShawkyPresidentAfrican Securities Exchanges Association


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ASEA M ember Countries

Egypt

Ghana

CoteDvoire

Nigeria

Uganda Kenya

Tanzania

MozambiqueZambia

Malawi

Namibia Zimbabwe

Botswana

South Africa

Morocco

Swaziland

Mauritius

Mali Niger

Togo

BurkinaFaso

Guinea

Senegal

Benin

Libya

Sudan


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ASEA Member Exchanges

Bond Exchange of South Africa

Botswana Stock Exchange

BRVM

Cairo & Alexandria Stock Exchanges

Casablanca Stock Exchange

Dar-Es-Salam Stock Exchange

Ghana Stock Exchange

JSE Limited

Khartoum Market

Libyan Stock Market

Lusaka Stock Exchange

Malawi Stock Exchange

Mozambique Stock Exchange

Nairobi Stock Exchange

Namibian Stock Exchange

Stock Exchange of Mauritius

Stock Exchange of Swaziland

The Nigerian Stock Exchange

Uganda Securities Exchange

Zimbabwe Stock Exchange

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Table of Contents

ASEA at a Glimpse

ASEA Background

ASEA Primary Objects & Powers ASEA Membership

ASEA Executive Committee Meetings & Annual

General Meeting during 2007

ASEA Conferences during 2007

ASEA Information & Promotional Avenues

ASEA Participation and Strategic Partnership

ASEA Bilateral Programs & Cooperation

ASEA Looking Ahead

Main Economic Indicators (ASEA Member Countries)

Market Highlights (ASEA Member Stock Exchanges)

Member Exchanges Profiles

Bond Exchange of South Africa

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12

1314

16

19

20

21

22

23

25

33

51

52


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Ghana Stock Exchange

JSE Limited

Khartoum Stock Exchange

Libyan Stock Exchange

Malawi Stock Exchange

Nairobi Stock Exchange

Namibian Stock Exchange

The Nigerian Stock Exchange

The Stock Exchange of Mauritius

Uganda Securities Exchange

Zimbabwe Stock Exchange

ASEA Audited Financial Statements - June 2006

61

68

82

94

102

115

123

136

143

153

159

165

179

187

195


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ASEA AtA Glimpse

ASEA


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he African Stock Exchanges Association

(ASEA) was registered in Nairobi on

13th November 1993 with the object

of, inter alia, establishing an association for

systematic mutual cooperation, exchange of

information, materials and persons, mutual

assistance and joint programs between the

members.

In September 2006, in recognition of the fact

that Stock Exchanges trade a variety of

products other than equity securities, the

Association changed its name to the African

Securities Exchanges Association and also

amended its articles and memorandum ofassociation to allow for the creation of an

Executive Committee; elected at the annual

general meeting, whose members are

responsible for the business and affairs of the

Association.

The Executive Committee, which consists ofseven members, acts as the Board of Directors

African Securities

Exchanges Association

of ASEA, where the Chairman and the Vice

Chairman are elected at the General Assembly

for a term of two years. The Chairmanship

and Vice Chairmanship are currently held by

Cairo & Alexandria Stock Exchanges and Ghana

Stock Exchange, respectively, while the

Secretariat is headed by Kenya Stock Exchange

and is based in Nairobi, Kenya.

ASEA Background

T

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African Securities Exchanges

Association


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1. To establish an association for systematicmutual cooperation, exchange of information,materials and persons, mutual assistance andjoint programmes between the members.

2. To promote the establishment of securitiesexchanges in all African countries.

3. To promote the development of commonstandards of training and professionalismamong members of the Association and othermarket players.

4. To promote common standards of issuing,listing, trading and settlement of securities.

5. To facilitate the development and promotion

ASEA Primary Objects & Powers

mutual cooperation ... exchange of information ... standards harmonization

of products and services for Africas capitalmarkets.

6. To assist members in the promotion anddevelopment of the range of servicesassociated with the capital markets.

7. To develop and promote a data bank andinformation system for the mutual benefit ofmembers.

8. To study and research on matters of mutualinterest to members.

9. To disseminate information; produce

materials in all media, hold conferences,seminars and exhibitions and conduct otherpublic education activities relevant to theinterests of members.

10. To ensure that the views and interests ofthe Association are promoted in theappropriate worldwide fora.

11. To do all other things, not inconsistentwith the foregoing as shall promote the objectsand powers.

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The membership of the association is open toany securities exchange or nascent securitiesexchange located in the African region or any

other organization, after filling the admissionapplication, submitting a Letter of Interestand getting the Executive Committee approval.ASEA offers 3 membership categories, namely:

Full Membership

Granted to all securities exchanges in Africathat are legally recognized and in operationin their countries.

Associate Membership

Granted to all nascent securities exchangesin Africa that do not meet the requirementsof the full membership criteria.

Observer Membership

Granted to national or international

organizations that have an interest in orrelated to the exchanges industry and willassist the association in a constructive way.

The eleventh AGM of the Association in 2007admitted the Libyan Stock Market and theKhartoum Stock Exchange. The membershipof the Association now stands at twenty fullmember exchanges:-

1. Bolsa de Valores de Mozambique

2. Bond Exchange of South Africa

3. Botswana Stock Exchange

4. Bourse de Casablanca

5. Bourse Rgionale des Valeurs Mobilires delAfrique de lOuest

ASEA Membership

membership ... is open to any ...

14ASEA Yearbook 2007

AS

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6. Cairo and Alexandria Stock Exchanges

7. Dar-es-Salaam Stock Exchange

8. Ghana Stock Exchange

9. JSE Ltd.

10. Khartoum Stock Exchange

11. Libyan Stock Market

12. Lusaka Stock Exchange

13. Namibian Stock Exchange

14. Nairobi Stock Exchange

15. Nigerian Stock Exchange

16. Malawi Stock Exchange

17. Uganda Securities Exchange

18. Stock Exchange of Mauritius

19. Stock Exchange of Swaziland

20. Zimbabwe Stock Exchange

The members of the Association serve thefollowing twenty six (26) African States - Benin,

Kenya, Libya, Mali, Cte d'Ivoire, Botswana,Burkina Faso, Egypt, Ghana, Guinea Bissau,Malawi, Mauritius, Morocco, Mozambique,Namibia, Niger, Nigeria, Senegal, South Africa,Sudan, Swaziland, Tanzania, Togo, Uganda,Zambia, and Zimbabwe.

The Central Depository and SettlementCorporation (Kenya) is the only observermember in ASEA, which was accepted in 2007.

different categories ofmembership ...

full ... associate ... andobserver ..

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Executive Committee Meetings

Three Executive Committee meetings wereheld during 2007, whereby the 12th ASEAExecutive Committee meeting was hosted byCairo & Alexandria Stock Exchanges on the30th of April 2007, while Ghana Stock Exchangehas hosted the 13th and the 14th meetings on

the 28th of October 2007.

The 12th Executive Committee meetingfollowed up on the latest developments of theassociation and discussed the new membershipfees scheme. Moreover, in an attempt toimprove information and promotional avenuesfor ASEA, CASE presented the latest

development of the new website as well as theannual yearbook of 2006. The committeemembers finally discussed the future plansof ASEA and how to enhance mutualcooperation between its members.

The 13th Executive Committee meetingaddressed, the affiliate status with theSouthern Asian Federation of Exchanges (SAFE)and it was agreed that promoting commonlinks with organizations such as SAFE wouldbenefit ASEA in terms of creating awarenessand promoting linkages with capital marketsin South Asia; a region that is experiencing

rapid and sustained economic growth.

Moreover, the committee members reviewedand accepted the full membership of both,Libyan Stock Market and Khartoum StockExchange as well as the Central Depositoryand Settlement Corporation (Kenya) as an

observer member.

From another perspective, the Presidentrecommended that the members of ASEAshould work towards becoming affiliatemembers of the WFE. It was also noted thatCASE, JSE Ltd. and SEM are already full

members of the WFE and the Namibian StockExchange (NSE), the Nigerian Stock Exchange(NSE) and the Bourse de Casablanca are allaffiliate members of the WFE. The Secretariathas been asked to distribute to the members,

ASEA Executive Committee Meetings &Annual General Meetings during 2007

... discussed future plans ofASEA and how to enhancemutual cooperation between

its members


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Annual General Meetings

The 11th Annual General Meeting (AGM) was

held on the 28th of October 2007 in Accra,

Ghana and was hosted by Ghana Stock

Exchange. During this meeting, ASEA membersreviewed and approved the Audited Financial

Statements for the year ended 30th June 2007

and it was agreed that KPMG Kenya should

be re-elected as ASEAs Auditors for the

ensuing year.

The meeting addressed a number of importantissues related to the development of the

African markets according to the international

standards, to further enhance members'

competitiveness and enable them to step up

global challenges.

In addition, the new seven executive members

were elected among the exchanges who

nominated themselves, which comprise of

Cairo and Alexandria Stock Exchanges, Ghana

Stock Exchange, JSE Limited, Nairobi Stock

Exchange, Nigerian Stock Exchange, Uganda

Stock Exchange and the Stock Exchange of

Mauritius. Out of the new committee members,

the new President and Vice Presidentnominations went to Mr. Maged Shawky, the

Chairman of CASE, and Mr. Ekow Efedzie,

General Manager of Ghana Stock Exchange,

respectively, for a second consecutive term.

Finally, the meeting discussed the comingASEA conferences, whereby Uganda proposed

to host the 2008 AGM and Conference in

Kampala, Uganda during November 2008,

while Nigerian Stock Exchange and Lusaka

Stock Exchange proposed to host the 2009

and the 2010 AGM and Conference,

respectively.

... addressed development ...... competitiveness ...

to step up global challenges


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The 11th ASEA conference African Capital

Markets: The Next Investment Frontier was

held in Accra, Ghana over the period from

28th till 31st of October 2007 and was hostedby Ghana Stock Exchange. The conference

addressed issues related to the performance

of the African stock markets, key drivers to

development, the role of technology in the

capital markets as well as the implementation

of integration in the region.

ASEA Conferences during 2007

African Capital Markets: TheNext Investment Frontier ...focused on ... securitization,regional integration, crossborder investments andcorporate governance

practices ...

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ASEA Information & Promotional Avenues

To enhance the ability of the association to

fulfill its mandate to its members, the first

ASEA Yearbook was issued in 2006, followed

by the second issue in 2007, providing a

credible and central source of information on

the association and its members.

The new ASEA website which was launched on the 31st

August 2006, under the URL:

www.africansea.org, was again upgraded and re-launched in August 2007, with additional

features and a more user-friendly interface.


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and was invited to give the key note of its

ceremony that was held in London on the 8th

of June 2007, which was recognized by African

stock markets, listed companies, fundmanagers, stock brokers and analysts.

The association was also approached, in June

2007, by the South Asian Federation of

Exchanges (SAFE), proposing ASEA a reciprocal

affiliate status, whereby both shall provide

links to the other association on each website,together with advertisements for the events

or publications of each other. The offer was

approved by ASEA Executive Committee

members and will be voted for in this General

Assembly meeting.

Moreover, ASEA Vice President was invited,as a representative of the association, to attend

the WFE 47th General Assembly & Annual

Meeting during the period 14th to 26th October

2007 in Shanghai, China, as an observer. The

Conference provided an opportunity to learn

about the changing landscape in which

securities exchanges operate and how

securities exchanges are repositioning

themselves to best face emerging opportunities

and challenges.

Close ties and effective participation in

conferences and forums organized by regional

bodies such as NEPAD, UNECA and Africa

Investor (Ai), have been maintained, wherebythe latter has offered to partner with ASEA

and promote for its activities as well as member

markets' performance in its magazine,

newsletters and newswire. On the other hand,

ASEA shall provide Ai with invitations to its

conferences, recognition on ASEA website and

an opportunity to partner with Ai on futureevents.

ASEA representatives were also invited in a

forum organized by UNECA, namely; Capital

Flows and Development of African Economies

Towards an Action Plan for Financing

Investment in Africa" that was held in Zanzibar,Tanzania during the period 24th to 25th of

April 2007. The forum brought together policy

makers, researchers and practitioners to

discuss problems of capital markets

development on the continent at both national

and regional levels.

From another perspective, ASEA President was

chosen to join the judging panel of the Ai

Index Series awards (benchmark indices of

Africa's biggest and most traded companies)

ASEA Participation andStrategic Partnerships

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ASEA Bilateral Programs& Cooperations

Bilateral programs and visits among ASEA

members, which help promoting the growth

of stock exchanges, were maintained. CASE

has hosted visits from Nairobi and Ghana

Stock Exchanges, respectively. Conversely, it

has sent a delegation to JSE Ltd.

This year has also witnessed some regional

initiatives, whereby three of ASEA members;

Nairobi Stock Exchange, Dar-Es-Salam Stock

Exchange and Uganda Stock Exchange have

visits among ASEA members

Nairobi ... CASE ... Ghana

discussed and approved an outline towards

the integration of their markets, under the

umbrella of the Eastern African Securities

Exchanges Association.


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ASEA Looking Ahead

ASEA focus for the coming years will be on

promoting the African region as an attractive

investment destination, enhancing corporate

governance practices as well as achieving

harmonization of market principles within

member exchanges to facilitate cross border

investments and regional integration.

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ASEA Member Countries

Main EconomicIndicators

ASEA


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Botswana

2005 2006

1.80

22.78

2,182.29

8.50

NA

17.60

12.72

5.81

Population (million)

Real GDP (USD billion)

Real Per Capita GDP

Inflation Rate (%)

FDI

Unemployment Rate (%)

Interest Rate (T-Bills 91 days)

Exchange Rate (Local Currency versus USD)

Indicators

1.78

22.98

2,542.72

11.40

NA

17.60

12.35

5.06

2007

1.82

24.40

NA

8.10

NA

17.60

12.00

6.01

Egypt2004/2005 2005/2006

73.60

74.00

1,038.00

7.20

6.119.50

8.84

5.75



Real Per Capita GDP

Inflation Rate (%)

FDI (USD billion)Unemployment Rate (%)



Indicators

71.90

68.70

981.00

4.70

3.9010.30

9.06

5.80

2006/2007

75.00

132.95

1,772.61

8.60

11.059.10

6.78

5.70



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Libya

2005 2006

5.67

66.94

11,800.00

3.40

1.73

NA

1.75-2.50

1.31



Real Per Capita GDP

Inflation Rate (%)

FDI (USD billion)




Indicators

5.61

60.27

10,737.00

2.00

1.04

NA

1.75 -2.50

1.31

2007

6.04

74.25

12,300.00

6.70

6.80

NA

1.75-2.50

1.26

Malawi2005 2006

12.80

NA

NA

13.90

NANA

17.14

136.02



Real Per Capita GDP

Inflation Rate (%)

FDIUnemployment Rate (%)



Indicators

12.30

NA

NA

15.40

NANA

24.44

116.36

2007

13.20

NA

NA

8.00

NANA

10.16

140.70


Economic

Indicators


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Mauritius

2005 2006

1.22

6.23

5,112.63

8.90

194.01

9.10

6.30

33.04



Real Per Capita GDP

Inflation Rate (%)

FDI (USD million)




Indicators

1.21

6.13

5,058.36

4.90

92.79

9.60

5.50

30.25

2007

1.23

8.10

6,601.90

8.80

313.81

7.60

6.80

28.68

Namibia2005 2006

2.04

6,071.00

2,976.00

6.10

3.1244.00

NA

7.06


Real GDP (USD million)

Real Per Capita GDP

Inflation Rate (%)

FDI (USD million)Unemployment Rate (%)



Indicators

2.03

5,882.00

2,895.00

3.40

36.2440.00

NA

6.35

2007

2.07

6,265.27

3,022.85

6.60

885.0248.00

9.80

6.84

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Economic

Indicators


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Nigeria

2005 2006

135.00

116.50

1,227.00

8.50

NA

5.80

NA

125.84



Real Per Capita GDP

Inflation Rate (%)

FDI




Indicators

131.00

98.60

1,154.00

11.60

NA

2.90

NA

127.00

2007

149.00

126.70

1,281.00

5.70

NA

5.20

NA

124.00

South Africa2005 2006

47.39

172.83

3,620.00

4.70

-7,25025.50

7.50

6.80

Population (million) *


Real Per Capita GDP

Inflation Rate (%)

FDI (USD million)Unemployment Rate (%)



Indicators

46.89

175.34

3,701.00

3.40

5,71226.70

7.00

6.40

2007

47.85

175.27

3,607.00

7.10

2,56925.5**

9.30

7.10

* Mid-year population estimates.

** As of March 2007


Economic

Indicators


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Sudan

2005 2006

41.24

36.40

1,005.00

7.20

3,541.00

17.30

2.17



Real Per Capita GDP

Inflation Rate (%)

FDI (USD million)



Indicators

36.99

27.40

776.00

8.50

2,305.00

17.10

2.43

2007

42.22

46.20

1,242.00

8.10

4,241.00

17.20

2.01

Uganda2005 2006

27.46

10.69

390.60

11.30

286.90

NA

9.46

1,741.44



Real Per Capita GDP

Inflation Rate (%)

FDI (USD million)




Indicators

26.66

8.96

338.12

3.50

257.10

NA

7.61

1,816.00

2007

28.20

11.75

413.26

4.90

NA

NA

7.76

1,697.00

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Economic

Indicators


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Zimbabwe

2005 2006

14.00

858.57

1,523.87

1,281.00

NA

82.00

2.50

250 (revalued)


Real GDP (USD million)

Real per capita GDP

Inflation rate (%)

FDI

Unmeployment rate (%)


Exchange rate (local currency versus USD)

Indicators

13.00

78.86

1,508.76

585.80

NA

80.00

3.40

5,730.00

2007

12.30

6,186.00

500.00

66,212.30

NA

84.00

1.50

30,000.00

ZWD currency was revalued in August 2006.


EconomicIndicators


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Member Stock Exchanges

MarketHighlights

ASEA


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Comparative Market Statistics (2007 vs. 2006)

2006 2007

1,282,135.17

246,341.18

2,169.01

1,545

Value Traded (USD million)

Volume Traded (million)

Market Capitalization (USD billion)

Number of Listed Companies

Indicators

446,344.79

138,333.30

1,149.40

1649

% Change

187.25%

78.08%

88.71%

-6.31%

ASEA Members Trading Aggregates *

* Excluding Bond Exchange of South Africa (BESA), Dar-es-Salam, Lusaka, Mozambique, Swaziland Stock Exchanges and BRVM

2007 Market Highlights

Botswana SE

Casablanca SE

CASE*

Ghana SEJSE Ltd

Khartoum SE

Libya SE

Malawi SE

Nairobi SE

Namibian SE

Nigerian SE

SE of Mauritius

Uganda SE

Zimbabwe SE

Exchange

* P/E and DY ratios are based on the most active companies only (Liquid Market)

DY(%)

3.10

NA

5.10

3.082.70

20.00

NA

2.64

2.62

4.95

NA

2.80

NA

NA

P/E

15.60

NA

19.09

20.5016.48

6.00

NA

15.34

20.00

9.00

23.91

13.26

16.11

NA

# of ListedCompanies

30

73

435

32422

53

6

13

54

27

212

91

12

85

TurnoverRatio (%)

2.88

61.36

38.73

1.14142.70

12.30

59.00

0.29

10.41

0.89

28.21

5.74

1.42

1.03

Market Cap.(USD billion)

5.44

76.02

139.69

12.74802.37

5.18

0.39

1.29

13.61

173.52

105.65

7.77

3.53

821.81

Volume Traded(million)

124.89

262.10

15,091.29

287.2271,199.78

9,411.56

7.40

359.52

1,938.20

242.60

138,000.00

300.80

484.13

8,631.70

Value Traded(USD million)

137.53

40,766.70

66,008.47

144.901,144,964.99

899.80

231.60

37.00

1,417.02

1,536.66

17,000.00

445.96

50.21

8,494.33

Market Cap.as % of GDP

39.93

96.75

105.07

96.00NA

NA

57.48

NA

NA

27.70

84.00

96.50

30.00

NA


MarketHighligh

ts


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Return on ASEA Member Exchanges Indices (Local Currency)

Zimbabwe SE*

Malawi SE

Nigerian SE

SE of MaritiusCASE

Botswana SE

Casabanca SE

Ghana SE

Uganda SE

JSE Limited

Namibian SE

Khartoum SE

Nairobi SE

Exchange % Change

335337.58%

109.89%

74.73%

53.78%51.29%

35.93%

33.92%

31.84%

16.64%

16.23%

12.19%

-0.36%

-3.56%

Index Closing (end of year)

2007

1,911,538,281.84

4,849.79

57,990.22

1,852.2110,549.74

8,421.63

12,694.97

6,599.77

991.12

28,957.97

929.41

2,962.10

5,444.83

2006

569,864.08

2,310.67

33,189.30

1,204.466,973.41

6,195.45

9,479.45

5,006.02

849.75

24,915.20

828.44

2,972.76

5,645.65

Index Name

Industrial Index

Malawi All Share Index

NSE 30 Index

SEMDEXCASE 30

DCI

MASI

GSE All Share Index

USE All Share Index

FTSE/JSE All Share Index

NSX Overall Index

Khartoum Index

NSE 20 Share Index

* ZWD currency was revalued in August 2006.

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arketHighlights


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Market Capitalization

Zimbabwe SE*

Nigerian SE

Libya SE

Malawi SESE of Mauritius

Casablanca SE

CASE

Uganda SE

Botswana SE

Nairobi SE

Khartoum SE

Namibian SE

JSE Ltd

Ghana SE

Exchange % Change

2,956.97%

162.03%

146.35%

89.86%59.31%

54.12%

49.64%

47.58%

32.99%

19.28%

11.32%

10.05%

8.22%

4.60%

Market Cap (USD billion)

2007

821.81

105.65

0.39

1.297.77

76.02

139.69

3.53

5.44

13.61

5.18

173.52

802.37

12.74

2006

26.88

40.32

0.16

0.684.88

49.32

93.35

2.39

4.09

11.41

4.66

157.67

741.40

12.18



MarketHighlights


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Value Traded

Libya SE

Zimbabwe SE*

Uganda SE

Nigerian SEJSE Ltd

Ghana SE

Malawi SE

SE of Mauritius

Casablanca SE

Botswana SE

Namibian SE

CASE

Nairobi SE

Khartoum SE

Exchange % Change

88,447.90%

1,007.12%

755.53%

359.46%210.35%

181.03%

158.68%

120.66%

113.56%

92.14%

57.18%

31.54%

7.60%

-12.98%

Value Traded (USD million)

2007

231.60

8,494.33

50.21

17,000.001,144,964.99

144.90

37.00

445.96

40,766.70

137.53

1,536.66

66,008.47

1,417.02

899.80

2006

0.26

767.25

5.87

3,700.00368,931.40

51.56

14.30

202.11

19,088.84

71.58

977.63

50,183.04

1,316.96

1,034.00


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arketHighlights


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Volume Traded

Libya SE

Uganda SE

Nigerian SE

Ghana SEMalawi SE

CASE

Casablanca SE

Botswana SE

Nairobi SE

Khartoum SE

SE of Mauritius

Zimbabwe SE

Namibian SE

JSE Ltd

Exchange % Change

52,309.08%

3,024.69%

276.02%

192.22%123.91%

66.17%

46.60%

43.15%

33.24%

24.36%

19.94%

8.74%

3.41%

-4.51%

Volume Traded (million)

2007

7.40

484.13

138,000.00

287.22359.52

15,091.29

262.10

124.89

1,938.20

9,411.56

300.80

8,631.70

242.60

71,199.78

2006

0.01

15.49

36,700.00

98.29160.57

9,081.77

178.78

87.25

1,454.67

7,567.78

250.79

7,937.91

234.59

74,565.40


MarketHighlights


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2007 Gains in ASEA Member Exchanges Indices (local currency)

Nairobi SE

Khartoum SE

Namibian SE

JSE Limited

Uganda SE

Ghana SE

Casabanca SE

Botswana SE

CASE

SE of Maritius

Nigerian SE

Malawi SE

Zimbabwe SE*

12.2%

16.2%

16.6%

31.8%

33.9%

35.9%

51.3%

53.8%

74.7%

109.9%

-0.4%

-3.6%

335,337.6%

0% 20% 40% 60% 80% 100% 120% 140%

* ZWD currency was revalued in August 2006

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arketHighlights


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Top 5 Member Exchanges by Value Traded in 2007 (USD million)

0 20,000 40,000 60,000 80,000 100,000 120,000

8,494

17,000

40,767

66,008

1,144,965

Zimbabwe SE*

Nigerian SE

Casablanca SE

CASE

JSE Ltd

* ZWD currency was revalued in August 2006

40

ASEA Yearbook 2007

MarketHighlig

hts


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Gains in Value Traded (2007 vs. 2006)

32%

57%

92%114%

121%

159%

181%

210%

359%

756%

1,007%

88,448%

8%

-13%

0% 200% 400% 600% 800% 1000% 1200%

Khartoum SE

Nairobi SE

CASE

Namibian SE

Botswana SE

Casablanca SE

SE of Mauritius

Malawi SE

Ghana SE

JSE Ltd

Nigerian SE

Uganda SE

Zimbabwe SE

Libya SE

41

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arketHighlights


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Top 5 Member Exchanges by Volume Traded in 2007 (million)

0 20,000 40,000 60,000 80,000 100,000

8,632

9,412

15,091

71,200

138,000

Zimbabwe SE

Khartoum SE

CASE

JSE Ltd

Nigerian SE

42

ASEA Yearbook 2007

MarketHighlig

hts


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Gains in Volume Traded (2007 vs. 2006)

3%

9%

20%

24%

33%

43%

47%

66%

124%192%

276%

-5%

52,309%

3,025%

0% 50% 100% 150% 200% 250% 300% 350% 400%

JSE Ltd

Namibian SE

Zimbabwe SE

SE of Mauritius

Khartoum SE

Nairobi SE

Botswana SE

Casablanca SE

CASE

Malawi SE

Ghana SE

Nigerian SE

Uganda SE

Libya SE

43

MarketHighlights


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Top 5 Member Exchanges by Market Cap.End of December 2007(USD billion)

Nigerian SE

CASE

Namibian SE

JSE Ltd

Zimbabwe SE*

106

140

174

822

802

0 50 100 150 200 250 300


44

ASEA Yearbook 2007

MarketHighlig

hts


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Gains in Market Capitalization (2007 vs. 2006)

5%

8%

10%

11%

19%

33%

48%

50%

54%

59%

90%

146%

162%

2,957%

Ghana SE

JSE Ltd

Namibian SE

Khartoum SE

Nairobi SE

Botswana SE

Uganda SE

CASE

Casablanca SE

SE of Mauritius

Malawi SE

Libya SE

Nigerian SE

Zimbabwe SE

0% 50% 100% 150% 200% 250%

45

MarketHighlights


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Market Cap as % of GDP (End of December 2007)

Namibian SE

Uganda SE

Botswana SE

Libya SE

Nigerian SE

Ghana SE

SE of Mauritius

Casablanca SE

CASE

0% 20% 40% 60% 80% 100% 120%

28%

30%

40%

57%

84%

96%

97%

97%

105%

46

ASEA Yearbook 2007

MarketHighlig

hts


48/205

Number of Listed Companies (End of December 2007)

Libya SE

Uganda SE

Malawi SE

Namibian SE

Botswana SE

Ghana SE

Khartoum SE

Nairobi SE

Casablanca SE

Zimbabwe SE

SE of Mauritius

Nigerian SE

JSE Ltd

CASE

6

12

13

27

30

32

53

54

73

85

91

212

422

435

0 50 100 150 200 250 300 350 400 450 500

47

Ma

rketHighlights


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Turnover Ratio (End of December 2007)

0% 20% 40% 60% 80% 100%

Malawi SE

Namibian SE

Zimbabwe SE

Ghana SE

Uganda SE

Botswana SE

SE of Mauritius

Nairobi SE

Khartoum SE

Nigerian SE

CASE

Libya SE

Casablanca SE

JSE Ltd

0.3%

0.9%

1.0%

1.1%

1.4%

2.9%

5.7%

10.4%

12.3%

28.2%

38.7%

59.0%

61.4%

142.7%

48

ASEA Yearbook 2007

MarketHighlights


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Comparative Valuations for ASEA Member ExchangesP/E Ratio vs. Dividend Yield (End of December 2007)

0

5

10

15

20

25

0 1 2 3 4 5 6

DY (%)

P/E

Ghana SENairobi SE

JSE Ltd.

Malawi SE

SE of Mauritius

Botswana SE

CASE

Namibian SE

Khartoum Stock Exchange has a P/E of 6 and a DY of 20%.

49

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rketHighlights


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ASEA


52/205

Member

ExchangesProfiles

Bond Exchange of South Africa (BSEA)


53/205

BackgroundBond Exchange of South Africa Limited (BESA) is an independent, licensed exchange, constituted

as a public company, and responsible for operating and regulating the debt securities and

interest-rate derivatives markets in South Africa.

BESA was granted its exchange licence in 1996 and over the past ten years has been at the

forefront of market developments in South Africa. As an exchange, BESA is in the businessof Building Better Markets by providing a range of platforms and services to address the needs

of capital market participants, be it issuers, market makers, traders or investors.

In December 2007 BESA entered a new era, successfully converting from a mutual association

to a public company. As a demutualised exchange, BESA will now be able to raise capital to

grow the business, diversify revenues and accelerate the development of financial market

infrastructure in South Africa.

In addition, BESA strives to serve as an effective and proactive regulator of local bond and

derivatives markets, operating within the framework of the Securities Services Act 2004 and

a set of rules and directives approved by the Financial Services Board. The Exchange aims to

ensure that the debt securities it lists and the market participants who trade these securities,

adhere to its compliance and regulatory standards.

The South African bond market is a leader among emerging-market economies. At December2007 BESA had listed some 967 debt securities, issued by 104 sovereign and corporate

borrowers, with a total market capitalisation of R862 billion.

g ( )

52

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Profilewww.bondexchange.co.za

Mezzanine Level, 30 Melrose Boulevard, Melrose Arch, Johannesburg South Africa

+2711 215 4000 / +2711 215 4100

GMT + 2.00

Monday - Friday

24 hour trading (trade reports from 07:00 to 18:00)

Website

Address

Telephone/Fax

Time Zone

Trading Days

Trading Hour

:

:

:

:

:

:

Mr. Nonkululeko (Nku) Nyembezi-Heita (non-executive)

Mr. Stephen Mulema

Granted exchange licence in 1996

2003

BESA obtained its exchange licence from the Financial

Services Board(FSB), which is an independent body

that exists because of statute to oversee the banking

and financial services industry in South Africa. This

exchange licence serves to recognise BESA as a self

regulatory organisation.

Cash Market, Bond Market, Derivative Market

Bonds Traded Better (BTB) System for Bonds (Trade

Matching and Reporting System) and Intersec System

for Derivatives (Reporting System)

Strate LimitedT+3

Chairman

Contact Person

Year of Establishing the Exchange

Year Joining ASEA

Market Regulator

Types of Markets Available

Trading System Name

Settlement CompanySettlement Cycle

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Short Selling & Borrowing

Non-res members are exempt from being taxed.

No Restrictions

Unavailable

Rand

Trading Mechanism

Tax Rates (dividends, interest, capital gain)

Foreign Participation

Commodities Exchange

Name of Local Currency

54

ASEA Yearbook 2007

Bond

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Trading Statistics

2005 2006

2,010.74

1,690.25

311,948

91

91122.80

70.64

16.37

N/A

N/A

Total Value Traded (USD billion)

Total Volume Traded (billion)

Total Number of Transactions


Number of Traded CompaniesMarket Capitalization End of Year (USD billion)

Market Capitalization as % of GDP

Turnover Ratio (%) *

P/E ratio

DY (%)

Indicators

1,542.82

1,542.82

298,211

77

77118.31

67.4

13.04

N/A

N/A

2007

2,296.33

1,962.92

327,319

104

104122.34

69.80

18.77

N/A

N/A

Investors Type

63%

LocalInvestors

Foreign

Investors

37%

Local Investor Vs. Foreign Investors

55

Bond

ExchangeofS.

Africa


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Products

ProductGovernment and corporate issued bonds.

1 Exchange traded fund that tracks the performance of certain listed bonds

Swaps, FRAs, On demand, Index linked

Bonds

ETF

Derivatives

Description of the Product

Bonds Statistics2005 2006

2,010.56

1,886.92

89.76

33.88


Value Traded on Government Bonds

Value Traded on Corporate Bonds

Others

Indicators

1,542.82

1,435.35

68.30

39.17

2007

2,296.33

2,146.90

107.60

41.83

56

ASEA Yearbook 2007

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Main Index Performance

Index

ALBI

% Change

4.21%247.753

Closing 2006 Closing 2007

258.178

IndicesIndex Name

The ALBI consists of 20 bonds ranking according to capitalisation and liquidity

The COBI consists of corporate bonds

The GOVI consists of 7 government issued bonds

The OTHI consists of all the other bonds outside of the GOVI constituents

ALBI

COBI

GOVI

OTHI

Index Type (Price Index, Return Index,..etc)

Other Indices Performance

Index

COBI

GOVI

OTHI

% Change

5.84%

4.37%

3.23%

110.052

248.58

244.764


116.481

259.438

252.676

ALBI Performance during 2007

Jan-07 Feb-07 Mar-07 Apr-07 May-07 Jun-07 Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07

240242244246

248250252254256258260262

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February 2007

Airports Company South Africa Limited (ACSA) listing on BESA to the value of R12 billion,

of which R1 billion CPs have been issued under the Programme to date.

May 2007

GOVEX listing of R500 million is the first exchange traded fund on BESA, and the firstExchange Traded Fund (ETF) in the bond market for South Africa providing a benchmark

for future ETFs in these markets.

June 2007

Namibian Power Corporation listing of R500 million is the second dual-listing on BESA. The

first was Swaziland Posts and Telecommunications Corporation in April 2003.

Lion of Africa Insurance Company Ltd listing (Black Economic Empowerment deal) of R50

million.

August 2007

At a town-hall meeting of BESAs user firms, there is strong support in favour of Remote

Membership, thereby allowing market participants to become authorised users of BESA

without the need to be domiciled in South Africa. This follows rapid changes in the market

for Rand-denominated bonds, prompting a review of the regulatory structure of the bond

market overall.

November 2007

Greenhouse Funding listing of R1.9 billion.

December 2007

BESA demutualises, converting from a mutual association to a public company, becoming

Bond Exchange of South Africa Limited. As a demutualised exchange, BESA will now be ableto raise capital to grow the business, diversify revenues and accelerate the development

of financial market infrastructure in South Africa.

Achievements

58

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African Development Bank listing of R1.2 billion is the first supranational listing on BESA.

Record annual bond market turnover of R13.8 trillion nominal for 2007.

Operations for 2007

BESA operates three core platforms all of which operated with a total uptime of 99.8% for

2007 with no major downtime experienced during the year. These are:

BTB: a trade reporting and matching engine for all listed paper

Intersec: a confirmation engine for interest-rate derivatives based on the current ISDA

framework

ZA Prices: a centralised price discovery tool for all pre-trade bond information

As at December 2007, there were six contributors of data to ZA Prices which BESA intends

building upon in order to rapidly increase the amount of data collected through the platform

for the purposes of disseminating it to a broader audience in 2008, as a means of contributing

towards diversifying revenues for the Exchange.

During the year BESA, in conjunction with market participants, established a working group

to address settlement matters relating to global bond transactions and the impact of thesedeals on the domestic settlement infrastructure.

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Following the demutualisation of the Exchange in December 2007, 2008 will be characterised

by BESA focusing on raising funds through its capitalisation programme in order to grow

the business, diversify revenues and unlock new opportunities to accelerate financial

markets development in South Africa.

South Africas cash bond market remains well poised for strong growth in coming years

and will require the broadening of the fixed income derivatives space as part of this

expansion. With this in mind, BESA is positioning itself to provide the required market

infrastructure for this to occur.

BESA, in partnership with joint venture company MarketTech, has created a web-based

online platform for the trading of binary options. This exciting new product allows trade

on individual equities, interest rates and economic data releases. This initiative gives

economic and effortless access to financial markets for individuals. Roll out of the project

is scheduled during the first half of 2008.

BESA has developed an Africa strategy focusing on partnering with other exchanges that

would like to benefit from BESAs experience in the fixed income market. African markets

are taking advantage of recent levels of macro and socio economic growth to develop

their financial markets. BESA believes the development of the financial markets is the

next inevitable step in the process towards self sufficiency and private sector led growthof African economies. The Exchanges strategic positioning in a developing world and

its developed infrastructure and experience, will help contribute towards the ongoing

process of developing financial markets in Africa.

BSEA Ongoing Plans

60

ASEA Yearbook 2007



62/205

BackgroundThe Botswana Stock Exchange is Botswanas national stock exchange given the responsibility

to operate and regulate the equities and fixed interest securities market. Formally established

in 1989, the BSE continues to be pivotal to Botswanas financial system, and in particular the

capital market, as an avenue on which government, quasi- government and the private sector

can raise debt and equity capital. The BSE plays host to the most preeminent companies doing

business in Botswana. These companies represent a spectrum of industries and commerce,

from Banking and financial services to Wholesaling and Retailing, Tourism and Information

Technology.

The main law which governs all the activities between the Exchange and its members, the

proceedings of the main Committee and its composition; the relationship between the Minister

and the Exchange together with the relations between the Registrar, the exchange and members

of the exchange is the Botswana Stock Exchange Act No 11 of 1994.

The members have promulgated Rules (Members Rules) which provide for the requirements

to be fulfilled for the securities listed and trading on the Exchange. Members Rules provide

as the main objective thereof, to operate a Stock Exchange in Botswana with due regard to

the public interest, and to maintain fair and efficient dealing in securities for the protection

of investors and to regulate the affairs of members.

In addition, the Exchange has a set of Listing Requirements which provide the pre-listingrequirements and post listing requirements to be observed by the issuers of listed Securities.

The emphasis is to make sure issuers disclose as much information to the public and investors

so that the latter can make informed investment decisions.

61

wanaStockExchange


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Profilewww.bse.co.bw

Private Bag 00417 Gaborone Botswana

Tel +267 3190201 Fax +267 3180175

GMT + 2.00

Monday - Friday

11:00

Website

Address

Telephone/Fax

Time Zone

Trading Days

Trading Hour

:

:

:

:

:

:

Mr. R Desai

Ms. Bopelokgale Soko

June 19, 1989

NA

Ministry of Finance and Development Planning

Cash Market, Bond Market

Open Outcry

The Stock Exchange

T+4

Day Trading

15% Witholding tax

No Restrictions

Unavailable

Pula

Chairman

Contact Person


Year Joining ASEA

Market Regulator


Trading System Name

Settlement Company

Settlement Cycle

Trading Mechanism

Tax Rates (dividends, interest, capital gain)




62

ASEA Yearbook 2007

Botsw

BotswanaStockExcha


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Trading Statistics2005 2006

71.58

87.25

4,172

31

314.09

28.40

1.76

16.30

3.80

Total Value Traded (USD million)

Total Volume Traded (million)



Number of Traded CompaniesMarket Capitalization End of Year (USD billion)


Turnover Ratio (%)

P/E ratio

DY (%)

Indicators

47.14

44.16

2,693

28

282.65

25.30

1.85

11

5.90

2007

137.53

124.89

6,378

30

295.44

39.93

2.88

15.60

3.10

63

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swanaStockExchange


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Number of Companies Included in Each Sector

Sectors Traded

Sectors Traded on the Stock Exchange

4

4

5

3

9

1

1

1

1

1

Banking

Financial Services and Insurance

Retail, Wholesaling and Consumer Staples

Property and Property Trust

Mining and Material

Health Care and Emergency Services

Security Services

Information Technology

Energy

Transport & Tourism

2007

Sector Name

Most Active Sectors in 2007

Banking

Financial Services and Insurance

1

2

Sector Name

Retail, Wholesaling and Consumer Staples

Mining and Material

3

4

ProductsProduct

Ordinary, Bonus Issue, Rights Issue

Fixed Income

Stocks

Bonds


64

ASEA Yearbook 2007

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BotswanaStockExchan


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Index

Domestic Company Index

% Change

35.93%6195.45


8421.63

IndicesIndex Name

Price Index

Price Index

Price Index

Domestic Company Index (DCI)

Foreign Company Index (FCI)

All Company Index (ACI)

Index Type (Price Index, Return Index,..etc)

Domestic Company Index Performance during 2007

0

2000

4000

6000

8000

10000

12000


65

nge

otswanaStockExchange


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IPOs

Company

PrimeTime

Value (USD million)

35.9719-Dec-07

Date


Index

Foreign Company Index

All Company Index

% Change

23.84%

24.19%

1777.30

1914.48


2200.99

2377.56

66

ASEA Yearbook 2007

Bo

BotswanaStockExchang


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AchievementsThe year 2006 turned out to be another spectacular year for the BSE. Market turnover increased

from P238.6 Mn in 2005 to P414.7 Mn in 2006, growing by 74%. The average daily turnover

was P1.7 Mn in 2006 compared to P1.0 Mn in 2005. Further analysis of market statistics

reveals that the daily average turnover for 2006 increased from P0.9 Mn in the first quarter

to P3.0 Mn in the fourth quarter. As per the information available at the BSE the turnover

for 2006 is the highest recorded since 2003. The number of shares traded in 2006, which

was 87.2 Mn, surpassed the 44.2 Mn shares traded in 2005 by 97%.

It is also noted that the DCI closed the year at 6 195.4 points appreciating by over 74% in

2006. This again is the highest growth recorded in the DCI for the past 3 years. A further

analysis of the quarterly performance of the DCI shows that, subsequent to a 10.9% appreciation

of the index in the first quarter of 2006, the DCI grew by 11.8% in the second quarter followed

by a further growth of 20.4% and 16.7% in the third and fourth quarters respectively. In

contrast the FCI recorded a growth of 57.3% in the year under review in comparison to 78%in 2005.

One of the most significant gains made during 2006 was in respect of market capitalization.

Domestic company market capitalization increased from P13.4 Bn in December 2005 to a

record P23.8 Bn as at end of December 2006 while foreign company market capitalization

increased from P301.1 Bn in 2005 to P510.4 Bn in December 2006.

67

ge



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BackgroundThe Casablanca Stock Exchange was established as long ago as 1929. At that time, it wasknown as the Office de Compensation des Valeurs Mobilires.

The growing importance of the securities market and the introduction of foreign exchangecontrols prompted the authorities at that time to improve and regulate the Stock Exchange'sorganisation and operations.

In 1948, the Office de Compensation des Valeurs Mobilires became the Of_ce de Cotationdes Valeurs Mobilires.

The markets organisational shortcomings hindered its attractiveness, however, at a time whendomestic investors showed a growing interest in stock market investment. To overcome suchshortcomings, reforms were undertaken in 1967 providing Moroccos financial markets with

a well-organised legal and technical framework.

Following these reforms, in 1986, Morocco embarked on a Programme of Structural Adjustmentwhich was completed ten years later, enabling the economy to return to a sound footing andsuccessfully bringing under control its high level of debt and inflation.

Seven years later, another major set of stock market reforms was undertaken to complementand enhance previous measures with the adoption of three fundamental laws:

Dahir providing law No.1-93-211 relating to the Stock Exchange;

Dahir providing law No.1-93-212 relating to the Conseil Dontologique des ValeursMobilires and information required of corporate entities making a public offer;

Dahir providing law No. 1-93-213 relating to Undertakings for Collective Investments

in Transferable Securities.

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Such reforms were aimed at substantially modernising the market by: Creating the Conseil Dontologique des Valeurs Mobilires to ensure the protection of

investors in securities;

Authorising Brokerage Firms, specialist intermediaries, which alone are entitled toexecutes trades in transferable securities;

Creating Undertakings for Collective Investments in Transferable Securities, financialintermediaries whose sole responsibility is to manage investment portfolios based onthe principle of risk diversification;

Creating the Socit de Bourse des Valeurs de Casablanca, a private company responsiblefor managing the Casablanca Stock Exchange, whose share capital is held equally between

authorised brokerage firms.

In order to increase market transparency, listed companies were obliged to publish financialstatements from 1993. The refusal of ten companies to comply with these new measuresresulted in their de-listing.

In January 1997, further improvements were made to stock market organisation by theenactment of law N34-96, revising and complementing the dahir providing law N1-93-211relating to the Casablanca Stock Exchange and Maroclear, the central securities depositary,was established in October 1998, by the enactment of law No. 35-96.

Since then, the Casablanca Stock Exchange has found a new lease of life. In 2000, the Socitde la Bourse des Valeurs de Casablanca or SBVC changed its name and became the CasablancaStock Exchange, a socit anonyme with a Board of Directors and a Supervisory Board.

69

Stock

Exchange

ck

Exchange


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In terms of market organisation, several new measures have been adopted, including: The launch of a new electronic-based trading system in March 1997;

The Official Market and Direct Transfers Market were replaced by the Central Market andBlock-trade Market in November 1998;

Electronic-based trading was decentralised to the dealing rooms of brokerage firms inJanuary 2001;

The trade settlement period was shortened from T+5 to T+3 in May 2001;

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S


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Profilewww.casablanca-bourse.com

Angle Avenue des Forces Armes Royales et Rue Arrachid Mohamed - Casablanca- Morocco

+ 212 22 45 26 26 / 27 Fax: + 212 22 45 26 25

GMT

Monday - Friday

9:30 - 15:30

Website

Address

Telephone/Fax

Time Zone

Trading Days

Trading Hour

:

:

:

:

:

:

Mr. Fath-Allah BERRADA

[email protected]

1929

NAConseil Dontologique des Valeurs Mobilires


NSC V900

MAROCLEAR-THE CENTRAL SECURITIES DEPOSITARY

T+3

Online TradingNo Tax Rates

No Restrictions

Unavailable

Dirham (MAD)

Chairman

Contact Person


Year Joining ASEAMarket Regulator


Trading System Name

Settlement Company

Settlement Cycle

Trading MechanismTax Rates (dividends, interest, capital gain)




71

S

tock

Exchange

ock

Exchange


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Trading Statistics2005 2006

19.09

178.78

238,797

63

64

49.32

71.91

39.90

NA

NA


Total Volume Traded (million)



Number of Traded Companies

Market Capitalization End of Year (USD billion)


Turnover Ratio (%)

P/E Ratio

DY (%)

Indicators

16.97

441.97

160,984

54

55

27.28

55.09

59.70

NA

NA

2007

40.77

262.10

470,136

73

73

76.02

96.75

61.36

NA

NA

72

ASEA Yearbook 2007

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Sto

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to


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Number of Companies Included in Each Sector

Sectors Traded

Sectors Traded on the Stock Exchange

7

4

6

63

4

7

1

1

3

2

17

3

2

1

8

1

31

2

Food Producers & Processors

Insurance

Banks

Construction & Building MaterialsBeverages

Chemicals

Distributors

Electrical & Electronic Equipment

Wrapping

Real Estate

Leisures and Hotels

Software & Computer ServicesMining

Oil & Gas

Pharmaceutical Industry

Utilities

Investment Companies & Other Finance

Forestry & Paper

Holding CompaniesTelecommunications

Transport

2007

Sector Name


BanksReal EstateTelecommunications

123

Sector Name

Construction & Building MaterialsInvestment Companies & Other Finance

45

73

tock

Exchange

2006

B d S i iSt

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2006 2007

373.22

NA

373.22

0

Total Value traded (USD million)



Others

321.97

NA

321.97

0

Bonds StatisticsBonds

Products

ProductEquities, Rights Issue

Corporate bonds

Shares

Bonds


2005

8.69

NA

8.69

0

74

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Index

MASI

% Change

33.92%9,479.45


12,694.97

MASI Performance during 2007

Jan-07 Feb-07 Mar-07 Apr-07 May-07 Jun-07 Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07-

6,000.00

12,000.00

18,000.00

IndicesIndex Name

A broad-base index comprising all shares.

A compact index comprising the most liquid shares.MASIMADEX

Description of the Index

75

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Other Indices PerformanceaSt

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Index

MADEX

% Change

35.13%7,743.81


10,464.34

Sector Indices

Closing 2006Index Name

7877.36

2202.37

7764.52

14624.22

9028.85

6381.53

16861.57

6571.43

3532.85

42092.63

1791.67

933.977349.85

12725.88

1227.89

1625.00

9063.68

219.40

6778.73

1898.23

1075.14

AGRO

ASSUR

BANK

B&MC

BOISS

CHIM

DISTR

EEE

EMBAL

IMMOB

L&H

L&SIMINES

P&G

PHARM

SAC

SF&AF

S&P

SP&H

TCOM

TRANS

Sector IndicesSector Name

Food Producers & Processors

Insurance

Banks

Construction & Building Materials

Beverages

Chemicals

Distributors

Electrical & Electronic Equipment

Wrapping

Real Estate

Leisures and Hotels

Software & Computer ServicesMining

Oil & Gas

Pharmaceutical Industry

Utilities

Investment Companies & Other Finance

Forestry & Paper

Holding Companies

Telecommunications

Transport

Closing 2007

8426.75

4286.68

11889.65

20970.55

10010.87

5978.84

26956.42

11714.29

3972.33

60943.61

1812.50

1228.078005.85

13163.63

1471.44

1291.67

11831.12

242.44

7323.49

2147.74

1435.24

% Change

6.97%

94.64%

53.13%

43.40%

10.88%

-6.31%

59.87%

78.26%

12.44%

44.78%

1.16%

31.49%8.93%

3.44%

19.83%

-20.51%

30.53%

10.50%

8.04%

13.14%

33.49%

76

ASEA Yearbook 2007

Casablanca

IPOs

Casablanca

Stock


78/205

IPOsCompany

ATLANTA

CGI

M2M Group

MATEL PC MARKET

MICRODATAPROMOPHARM S.A.

SALAFIN

SNEP

STOKVIS NORD-AFRIQUE

TIMAR

Value (USD million)

151.66

427.47

17.24

16.44

15.6828.39

38.14

135.92

14.01

1.93

16/10/2007

10/08/2007

04/07/2007

28/02/2007

31/12/200715/06/2007

17/12/2007

07/11/2007

03/12/2007

17/07/2007

Date

77

k

Exchange

AchievementscaStock

Exchange


79/205

AchievementsJanuary Launch of UNIMERs share buyback programme from 1 January 2007 to 1 April 2008 in

order to stabilise the company's share price by acquiring 5% of its share capital or 27,500shares.

February ATTIJARIWAFA BANKs MAD1bn bond issue.

Flotation of MATEL PC MARKET by sale of 239,459 shares and by issuing 135,135 newshares.

March Launch of AUTO HALLs share buyback programme from 9 March 2007 to 8 September

2008 in order to stabilise the companys share price by acquiring 5% of its share capital or118,000 shares.

April Launch of ITISSALAT AL MAGHRIBs share buyback programme from 16 April 2007 to 16

October 2008 in order to stabilise the companys share price by acquiring 3% of its sharecapital or 26,372,860 shares.

Launch of SOTHEMAs share buyback programme from 2 April 2007 to 30 September 2008in order to stabilise the companys share price by acquiring 2% of its share capital or 24,000shares.

Increase in OULMES' share capital by issuing 1,100,000 shares for cash on the basis of onenew share for five existing shares at MAD 606 per share.

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Stock

E


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May Launch of BMCIs share buyback programme from 7 May 2007 to 6 May 2008 in order to

stabilise the companys share price by acquiring up to 5% of its share capital or 500,136shares.

Launch of CREDIT DU MAROCs share buyback programme from 11 May 2007 to 10 May

2008 in order to stabilise the companys share price by acquiring 5% of its share capital or416,908 shares.

Launch of BMCE Banks share buyback programme from 28 May 2007 to 28 November 2008in order to stabilise the companys share price by acquiring up to 9.45% of its share capitalor 1,500,000 shares.

Increase in BMCIs share capital by conversion of debt into equity.

Increase in BMCIs share capital by optional conversion of dividends.

June Initial public offering of 27% of PROMOPHARMs share capital or 270,045 shares at MAD

880 per share.

July SNIs MAD600m bond issue.

Launch of DOUJA PROMOTION GROUPE ADDOHAs buyback programme from 2 July 2007to 31 December 2008 in order to stabilise the companys share price by acquiring 2.8% of

its share capital or 400,000 shares.

79

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Exchange


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Initial public offering of 20% of M2M's share capital or 129,555 shares at MAD 1095 pershare.

SNIs issue and listing of a MAD 600m bond.

Flotation of TIMAR by issuing 45,000 new shares at MAD 350 per share.

August Flotation of COMPANIE GENERALE IMMOBILIERE (CGI) by sale of 1,473,600 shares and

increasing share capital by 2,208,000 new shares.

September Increase in CARTIER SAADAs share capital by issuing bonus shares on the basis of one new

share for five existing shares at MAD 100 per share.

October Initial public offering of 17% of ATLANTAs share capital or 1,005,720 shares at MAD 1,200

per share.

November Initial public offering of 35% of the share capital of SOCIETE NATIONALE DELECTROLYSE

ET DE PETROCHIMIE (SNEP) or 840,000 shares at MAD 2,350 per share.

Launch of ATTIJARIWAFA BANKs public offering of 1.5% of its share capital or 289,494shares reserved for its employees.

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ATTIJARIWAFA BANKs MAD800m bond issue.

Launch of COMPANIE GENERALE IMMOBILIEREs share buyback programme from 26 November2007 to 25 May 2009 in order to stabilise the companys share price by acquiring 3% of itsshare capital or 552,240 shares.

Increase in LAFARGE CIMENTS share capital by issuing bonus shares on the basis of 8 newshares for 3 existing shares at MAD 100 per share.

December Flotation of STOKVIS by issuing 183,903 new shares at MAD 590 per share.

SOMACOVAMs primary issue of a MAD275m index-linked bond.

Flotation of SALAFIN by sale of 231,224 shares and by issuing 216,537 new shares at MAD670 per share.

Initial public offering of 30% of MICRODATAs share capital or 126,000 shares at MAD 960per share.

81

xchange

Background



83/205

BackgroundEgypts Stock Exchange has two locations: Cairo & Alexandria, that are managed by the same

Chairman and members of Board of Directors. The Chairman is appointed by the Prime

Minister, whereas the Board of Directors are elected from market participants, representatives

of the Capital Market Authority (CMA), the Central Bank of Egypt (CBE) and the banking

sector. There are also some appointed non-voting members.

Cairo and Alexandria Stock Exchanges (CASE) dates back to more than 100 years. AlexandriaStock Exchange was officially established in 1883, followed by Cairo in 1903. The two exchanges

were very active in the 1940s and the Egyptian Stock Exchange ranked fifth in the world.

Nevertheless, the socialist policies adopted in the mid 1950s led to a drastic reduction in

activity on the stock exchange, which remained dormant during 1961 till 1992.

In an attempt to re-activate the market, the government opted for the public offering of the

state-owned enterprises through the privatization program, which provided the impetus forits revival. In 1997, CASE started its modernization program in terms of legislation and

infrastructure to keep abreast with globalization and internationalization.

82

ASEA Yearbook 2007

ProfileW b i

Cair


84/205

www.egyptse.com

4A Sherifein St, Down Town, Cairo, Egypt.

202 23933984 / 202 23970430

GMT + 2.00

Sunday - Thursday

10:30 - 15:15

Website

Address

Telephone/Fax

Time Zone

Trading Days

Trading Hour

:

:

:

:

:

:

Mr. Maged Shawky

Ms. Nevine Mansour

Alexandria (1883), Cairo (1903)

NACapital Market Authority


EFA

Misr For Clearing, Depository and Central Registry

T+2

Intra-day Trading, Online TradingNo Tax Rates

No Restrictions

Unavailable

Egyptian Pound (L.E)

Chairman

Contact Person


Year Joining ASEAMarket Regulator


Trading System Name

Settlement Company

Settlement Cycle

Trading MechanismTax Rates (dividends, interest, capital gain)




83

ro&AlexandriaSE

Trading Statisticsia

SE


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Investors Types

Institutions Vs. Individuals

69%

Local

Investors

ForeignInvestors

31%

Institutions

39%

61%

Individuals

Local Investors Vs. Foreign Investors *

g


Total Volume Traded (billion)



Number of Traded Companies

Market Capitalization End of Year (USD billion)


Turnover Ratio (%)

P/E Ratio *

DY (%)

2005 2006

50.18

9.08

6,824,893

595

407

93.35

73.03

48.70

21.03

4.16

Indicators

27.94

5.31

4,210,092

744

441

79.35

73.87

31.10

21.99

3.82

2007

66.01

15.09

9,016,116

435

337

139.69

105.07

38.73

19.09

5.10

* P/E and DY ratios are based on the most active commpanies only (liquid market).

* After excluding large deals.

84

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Sectors Traded Cairo


86/205

Sector Name


Personal & Household Products

Travel & Leisure

Financial Services Excluding Banks

1

2

3

Sector Name

Real Estate

Industrial Goods, Services

& Automobiles

4

5

Number of Companies Included in Each SectorSectors Traded on the Stock Exchange

23

18

20

55

37

54

28

53

5

32

45

141

7

3

36

4

Banks

Basic Resources

Chemicals

Construction and Materials

Financial Services excluding Banks

Food and Beverage

Healthcare and Pharmaceuticals

Industrial Goods and Services and Automobiles

Oil and Gas

Personal and Household Products

Real Estate

RetailMedia

Technology

Telecommunications

Travel & Leisure

Utilities

2007

85

o&AlexandriaSE

2005 2006 2007Bonds StatisticsBonds

riaSE


87/205

2005 2006 2007

4.36

4.33

0.03

1.94

1.88

0.07




1.54

1.51

0.03

Bonds

Products

Product

All common stocks as well as 2 companies with preferred stocks

Government and corporate bonds with the bulk owed to Treasury bonds

issued through the Primary Dealers System.

3 closed ended funds

Rules and regulations are issued and CASE is currently studying proposals

received from funds willing to launch ETFs on CASE 30 index

Stocks

Bonds

Mutual Fund

Exchange Traded Funds


86

ASEA Yearbook 2007

Cairo&A

lexandr

IndicesIndex Name Description of the Index

Cairo&


88/205

CASE 30 Performance during 2007

0

2000

4000

6000

8000

10000

12000


Main Index Performance during 2007

Index

CASE 30

% Change

51.29%6973.41


10,549.74

Index Name

CASE 30 Price Index includes the top 30 companies in terms of liquidity

and activity.

CASE 30 is a price index i.e. it measures the return on investment from

the change in market value of the stock (capital appreciation/depreciation)

only.

CASE 30 Index


87

&AlexandriaSE

Other IndicesIndex Name Description of the Indexd

riaSE


89/205

IPOs

Company

G B AutoTalaat Mustafa Group Holding *

Value (USD million)

60862

07/200711/2007

Date

CASE Sector Indices Performance

Closing End of Dec. 2007Index Name

1,590.96

1,209.11

1,138.08

1,902.581,450.46

1,101.30

1,203.75

2,825.34

1,088.34

2,190.33

1,218.52

1,917.30

Banks Index

Basic Resources Index

Chemicals Index

Construction and Material IndexFinancial Services excluding Banks Index

Food & Beverages Index

Healthcare & Pharmaceuticals Index

Industrial Goods & Services & Automobiles Index

Personal & Households Products Index

Real Estate Index

Telecommuncation Index

Travel & Leisure Index

* All sector indices were lanuched on 3 Jan 2007

Sector Indices

Index Name

CASE has launched for the first time its sector indices, which comprises

twelve indices tracking the different sectors of the Egyptian market and

helping investors make better-informed investment decisions.

CASE Sector Indices


* A private placement of 215 million shares, worth USD 453 million, was executed in the primary market.

Jan 2007

999.44

1,028.88

1,022.75

1,021.131,005.44

1,010.20

1,010.80

976.99

1,010.00

1,025.92

1,028.60

1,008.79

% Change

59.19

17.52

11.28

86.3244.26

9.02

19.09

189.19

7.76

113.50

18.46

90.06

88

ASEA Yearbook 2007

Cairo&A

lexan

AchievementsRegulatory Framework

Cairo&


90/205

Regulatory Framework

29 AprilA Manual for the executive regulations of the corporate governance was issued for non listed

brokerage firms to ensure the understanding of the company's executives of their role in

implementing corporate governance principles.

9 MayThe Capital Market Law No. 95 of the year 1992 was amended to add consultancy services

to licensed brokerage firms.

12 SeptemberA new Article in the Listing Rules allowing an acquirer which performs its activities through

one or more of its acquired companies to list its shares on the Stock Exchange after directlyholding more than 50 percent of the outstanding shares of at least one acquired company.

The addition of another new article in the Listing Rules concerning stock splits.

The amendment of the Listing Rules regarding the terms of forced de-listings.

27 SeptemberThe modification of the criteria of Capital Adequacy for securities intermediation companies

with the purpose of enhancing their efficiency in managing the risks related to their activities

including settlement, liquidity, operation and credit risks.

1 NovemberThe amendment of the Executive Regulations of the Capital Market Law to include a new

section for the ETFs activity and also to add the activity of the Market Maker to the activities

of securities companies.

26 DecemberThe Listing Rules have been amended concerning the purchase of treasury stocks as well as

imposing more corporate governance practices on the listed companies such as informing the

Exchange of the internal procedures undertaken by the company to prevent insider trading.

89

&AlexandriaSE

Technological DevelopmentJanuarynd

riaSE


91/205

JanuaryThe contract signed with OMX Technology company to upgrade CASE current trading system

to OMX proven and high performance X-stream solution. X-stream came into effect.

MarchThe completion of CASE networks back-bone upgrades to be ready to host the new trading

system as well as effectively dealing with the increasing trading volumes and the introductionof new investment tools.

AugustThe finalization and activation of the electronic coding system that contributed in reducing

the coding proc

Documents

2007 ASEA Yearbook.pdf