The Yangon Stock Exchange (YSX) will introduce an online trading platform in an effort to attract more investors and stimulate growth, says U Htay Chum, a member of the Securities and Exchange Commission of Myanmar.
The Securities and Exchange Commission of Myanmar is developing internal technology to offer a digitalized trading platform by the end of the year.
“Little interest is paid to YSX because its first year has been unremarkable and growth was less than expected. Most activity involves traders moving existing shares to and fro rather than new companies emerging or issuances of new shares,” U Htay Chun explained.
The online capital market will feature trading regulations and secure payment systems to oversee trading activity and offer protections to consumers, according to the SECM.
An online trading network is consistent with the national trend towards banking and digital financial transactions and away from a cash based system.
Authorities blame the YSX's last 16 months of declining activity and stagnating growth on systematic difficulties in gaining access.
The YSX has four listed companies, First Myanmar Investment Co., Ltd, Myanmar Thilawa SEZ Holdings Public Ltd, Myanmar Citizens Bank Ltd, and First Private Bank Ltd.
Yangon Bus Public Company Ltd and Myanmar Agro Exchange Public Limited are pending approval and expect to go public later this year.
“In engaging more investors and attracting more companies to hold IPOs, one hand will effectively wash the other,” U Htay Chun, said.
