AVESTA Overview: July 22 - August 2
AVESTA Overview: July 22 - August 2
Biweekly overview on Uzbekistan securities markets by Avesta Investment Group & Europe-Uzbekistan Association for Economic Cooperation
TASHKENT STOCK EXCHANGE
During the given period, trading on the Tashkent Stock Exchange amounted to 59.9bln UZS, which is 20.3 times higher than the previous period. This difference in volumes is due to M&A transactions involving UNVB (for 40bln UZS at 11,996 UZS per share shares), MKPT (for 2.6bln UZS at 75,448 UZS per share) and UGSR (for 600mln UZS at 4,298 UZS per share) shares which accounted for 73% of this period's turnover. However, there were no M&A transactions during the previous period, leading to a substantial increase in overall trading volumes this time. Excluding the impact of M&As, the turnover still decreased by 5.1 times compared to the previous period. The number of securities traded totaled 67, ten less than the previous period.
BFMT3V2 and IFMT4 together accounted only for around 7% of the total volume (excluding the M&As). Among stocks, IPTB and IPTBP were the top contributors, accounting for 42.6% and 30.1% of the turnover, respectively.
The closing price of UNVB, IPTB and IPTBP increased the most, by 34.8%, 25.2% and 9.9%, respectively. Conversely, UZMK experienced a price decline of 8.3%.
AVEX decreased by 0.1% during these two weeks.
Turnover breakdown
AVESTA EQUITY INDEX
*The AVEX index describes the general market trend by covering the top 20 listed companies, in a particular quarter, with the highest liquidity and transaction turnovers on the Tashkent Stock Exchange. The index is a sum of the daily stock prices multiplied by the weighted average coefficients given to selected companies. The base date is 01/01/2021 (1000).
FINANCIAL NEWS
ECONOMICS
The Chinese company to invest $50mln to build a mining complex in the Tashkent region, which will produce 2.4mln tons of ore per year and create 450 new jobs;
Foreign trade turnover in 1H2024 increased by only 8.5% and equaled $31.8bln, including a 5.5% increase in exports, up to $12.9bln and a 10.6% increase in imports, up to $18.8bln;
In 1H2024, Uzbekistan's GDP grew by 6.4%. The budget revenue increased by 14% to 113tn UZS, yet the expenditures reached 149.8trln UZS with a budget deficit of 36.8trln UZS;
Central Bank decreased the key rate by 0.5% down to 13.5% - the lowest level since June 2017;
IFC placed another round of UZS-denominated bonds in London for 250bln UZS/$20mln equivalent with maturity date in April 2030;
In 1H2024, the volume of remittances to Uzbekistan increased by 25% to $6.5bln. Particularly, Russia's share decreased from 81-82% in 2022 to 77% - $4.95bln;
India's Jakson Green received a $35mln loan from First Abu Dhabi Bank(FAB) to build a solar power plant in Bukhara Region, which includes a 250 MW solar farm and a 126 MWh electricity storage complex;
Asaka Motors International has entered into a long-term partnership agreement to start the production of 6 Hyundai car models in Uzbekistan;
In 1H2024, Uzbekistan produced 72.9k tons of vegetable oil, an increase by 18.2%;
Deflation in July reached 0.28% or an annualized inflation of 10.5%;
BMB Holding started exporting saffron from Bakhmal district to China;
OVERVIEWFitch assigned Navoi Mining JSC (NGMK) BB- rating with Stable outlook;
Fitch Ratings has affirmed Uzbekistan’s Microcreditbank at a ‘BB-’ rating with a stable outlook;
Biokimyo JSC (BIOK) attracting the 24.5bln UZS loan from Ipak Yuli Bank JSCB (IPKY) under the collateral of the main productional buildings;
TBC Bank JSCB established a 100% subsidiary Qulay Insurance LLC with an initial capital of 22bln UZS. It is expected, that the company will apply for a life insurance license;
Kogon yog-ekstraksiya zavodi JSC (KYEZ, KYEZP) was delisted from the Tashkent Stock Exchange from July 17th, 2024.