Special committee to establish e-stock market

The Capital Markets Authority (CMA) has dedicated a special committee to study the establishment of the e-stock market, which has already been cleared for licensing.

“The e-stock market will act under the umbrella of the Beirut Stock Exchange (BSE),” said Sami Saliba, Executive Board Member of CMA. “It won’t be an alternative to the BSE, unless the latter does not develop well. The e-stock market’s role is intended to stimulate market activity,” he said.

The e-stock market will allow banks and financial institutions to list financial tools online. “These tools include stocks, securities, debt instruments, and treasury bonds, among any other tradable tools,” said Saliba.

The e-stock market will also provide room for Small and Medium Enterprises (SMEs) to be listed. “Many SMEs have reached maturity. It will be a good opportunity to exit through listing instead of being sold to private equity or venture capital funds,” he said.

The rules and conditions of listing will be more flexible for SMEs in the e-stock market, especially in terms of reducing costs, according to Saliba. “Listing costs for companies at the BSE are high,” he said.