PNGX signs agreement to develop capital markets

Business

PNGX Markets Ltd (PNGX), Papua New Guinea’s national stock exchange, and the South Pacific Stock Exchange (SPX) yesterday signed a memorandum of understanding (MoU) to cooperate on developing of their capital markets.
According to PNGX, the MoU was signed in Suva, Fiji, by PNGX chairman David Lawrence and SPX chairman Dr Nur Bano Ali.
PNGX in a statement said areas of cooperation were development of their respective capital markets including dual listing of securities, cross-border trading arrangements, mutual recognition and access of stockbrokers to each other’s markets, collaboration regarding mutually beneficial trading, clearing, settlement and registration technology infrastructure platforms, investor and corporate education, rules frameworks and general market development and to generally facilitate a broader range of investment opportunities for domestic and international investors in the Pacific region.
Dr Ali said: “The signing of the MoU is a major development achievement for SPX, in particular with regards to its strategic objective focused on regional expansion as an avenue for further growth. This alliance between the two exchanges within the South Pacific will certainly establish a framework for collaboration inaugurating a pathway towards the success of both institutions.
“SPX is a progressive organisation and our intention is to optimise our operational capacity which we believe can be significantly enhanced through fostering professional relationships with institutions with similar intent.”
Dr Ali added that the MoU was the third engagement by SPX with another stock exchange.
She said similar MoUs were signed with Colombo Stock Exchange (CSE) and New Zealand Stock Exchange (NZX) earlier this year.
PNGX chairman David Lawrence said: “The value generated by both organisations co-operating to mobilise capital in the region can exceed the value of each working individually.
“We are looking forward to the prospects this MoU presents for PNGX and SPX to work together.”

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