The Palestine Exchange (PEX) is hoping to secure frontier status with US-based Morgan Stanley Capital International (MSCI).
“This is our aim because we want to enhance market visibility,” says Ahmed Aweidah, chief executive officer of PEX. “It is a long-term process and we are lobbying.”
According to Aweidah, PEX has heard little from MSCI. “They are circumspect and they do not say much,” says Aweidah. “One of the challenges is the issue of liquidity and market capitalisation.”
At present, PEX’s market capitalisation is about $2.7bn. Daily turnover is about $2m. The bourse is one of the smallest in the region, with just 45 listed companies.