ArmInfo. The Armenian Stock Exchange (AMX) intends to sign an agreement in the coming days to join the Tabadul exchange platform, which belongs to the Abu Dhabi Securities Exchange (ADX). This was told to ArmInfo by the Chairman of the AMX Board of Governors Hayk Yeganyan.
Tabadul Hub is an exchange platform based on the model of mutual access to markets. It provides a digital exchange network for trading between market participants - members of exchanges at the regional and global levels. Moreover, securities on Tabadul are traded in the local currency of the corresponding exchange, and in some cases - in the specified currency of the traded asset, while there are no minimum amount limits. Currently, several exchanges are registered on Tabadul - Abu Dhabi Securities Exchange (ADX), Bahrain Exchange, Muscat Stock Exchange and Astana International Exchange (AIX). Several other exchanges, including Armenia's AMX, are in the process of becoming Tabadul members.
According to Yeganyan, Abu Dhabi is trying to become an important regional exchange center, currently occupying the 2nd place among stock exchanges in Arab countries. In order to strengthen its position both in the region and in the world, ADX came up with the Tabadul Hub project, which is supposed to provide access to exchange platforms that have joined the platform. According to Yeganyan, the creation of such a platform is very beneficial for Armenia, since members of the exchanges participating in the platform are also large investors represented by international banks, which will thereby receive direct access for direct trading on the currency and debt platforms of the Armenian Exchange. Moreover, the clearing system for trading with counterparties will be located in Abu Dhabi. As Yeganyan noted, this is a rather expensive infrastructure - Central Counterparty (CCP) - an organization that takes on the risks of transactions concluded by participants during exchange trading, acting as an intermediary between the parties. Therefore, the Armenian side came up with a proposal to ADX to start providing this service to the Armenian market.
According to Yeganyan, the signing of the agreement with ADX to join Tabadul Hub can be considered the first step towards opening Armenian exchange platforms to external investors. The technical part has been resolved, and it will take time for regulatory changes. Yeganyan hopes that in six months the project to join the ADX platform will already be operational.
