A bell ringing ceremony was held at the Mongolian Stock Exchange (MSE) to mark the 33rd anniversary of the establishment of the stock market in Mongolia and the Exchange on January 18.
Acting Executive Director of MSE J.Tsogtbayar said in his opening speech, “MSE has made history with its progress and achievements of the past 30 years. On this day 33 years ago, the Mongolian Stock Exchange was established to start the process of privatization of state property and further develop the stock market. In this way, we would like to congratulate all of those who worked hard and developed together in the process of transitioning Mongolia from a centrally planned economy to a market economy, developing participants in the stock exchange and securities market, and introducing new products and services. Over the past 33 years, the market value of the stock exchange has been successfully increased to the level of 20 percent of GDP.”
According to the Financial Regulatory Com mission (FRC), the market value of digital exchange has reached a historical high of 11.6 trillion MNT and 21.6 percent of GDP. Last year, companies raised about 1.45 trillion MNT through initial public offerings (IPOs) and asset-backed securities and bonds. As part of the reform of the banking sector, the market capitalization of banks increased by 5.86 trillion MNT. FRC then mentioned that one of the important tasks that will be implemented this year is the tax reduction and the income tax exemption of investment funds, the reduction of the dividend tax of publicly traded companies, and the calculation of the taxable income of foreign investors on an equal basis with that of domestic investors. To internationalize the stock market and connect it with the markets of Asia and the Pacific region, FRC plans to organize an event in major financial centers of the region this year. In addition, attention will be paid to increase investors’ trust in the market, expanding international cooperation, enriching the names and types of products and services based on advanced technology and supporting green financing, and updating the law and legal framework of the securities market. For example, FRC reports that amendments are planned to be made to the Securities Market and Investment Fund Laws.
Director of Business Development Department of MSE T.Khash-Erdene said, “Since the establishment of MSE, the market value of the stock exchange has reached 11 trillion MNT, shares of more than 170 companies are publicly traded, and mining products worth 7.7 trillion MNT have been traded.”
