NAPP Launches Platform for Foreign Stock Trading
The National Agency of Prospective Projects (NAPP) of Uzbekistan is gearing up to launch a new platform for trading shares of foreign companies, as announced by the first deputy director of the department, Vyacheslav Pak.
In a recent interview with the YouTube channel Alter Ego, Pak highlighted the growing trend of citizens in Uzbekistan showing interest in investing in shares of foreign companies. However, he also pointed out the risks associated with this, such as falling prey to fraudsters on unknown platforms. To combat this, NAPP is working towards creating a platform on the Uzbek stock exchange where shares of foreign companies can be traded in a safe and regulated manner.
Drawing inspiration from a similar site in Kazakhstan, Pak emphasized the importance of determining a list of companies whose securities will be allowed to trade on the platform. He also warned against using “gray” schemes to purchase foreign shares, as it puts investors at risk of being scammed.
The move comes at a time when trading volume on the Tashkent Republican Stock Exchange has seen a significant decline in the first quarter of this year. Despite a 2.78 times increase in the number of transactions compared to the same period in 2023, the trading volume plummeted by more than 10 times, totaling 171.9 billion UZS.
By introducing a dedicated platform for trading shares of foreign companies, NAPP aims to provide investors in Uzbekistan with a secure and legitimate avenue to explore international investment opportunities.
